Fashion App

Final Report for OAP - Venture Lab 2012

The Idea - Fashion App Our Visionis to combine the advantages of online shopping and retail stores shopping experiences in one product. Our Product "Your fashion app"is a free service for young women to inform themselves about actual fashion trends and to receive a valuable and personalized shopping advice.

Problems to solve

Fashion conscious women:● shopping time and budget are

limited● frustration is big by not

finding desired styles ● personalized advice is difficult

to receive● fashion magazines costs

money● mismatch between styles

presented in magazines and offered in retail stores

Brands / Retail Stores: ● big competition with other

retail and internet stores● classical advertisement

media lost their efficiency● Google ads are plain text and

doesn't fit good to the needs of industry

● customers develop banner blindness and block ads

... exhausted with shopping

+

Source: thesun.co.uk

Benefits of our product

Fashion conscious women:● entertain with new fashion

impressions for free● valuable and personalised

shopping advice● articles can be bought and

tried on in a local shop● save money by getting latest

coupons and find local deals● have an overview of local

shops

Brands / Retail Stores benefits: ● access to a target group● high quality environment for

branding ● high customer attention to

presented message● highly personalised and

localized ad targeting● new customer acquisition and

activation of existing customers

...happy shopping with our app!

Source: lettbylgjan.visir.is

Market size and growth● The german online advertisement market has grown +16% in 2011

and has a size of 6,3 bill. euro, OVK 2011● It is possible to see a shift from classical advertisement to digital ads,

Carat 2011● The online advertisement market is divided in three segments:

affiliate, search engine marketing and classical online advertisement● The classical online advertisement segment is the biggest segment

with +20% growth rate and 3,8 bill. euro demand in 2011, OVK 2011● Retail businesses and direct mail businesses spent round about 230

mill. euro in 2011 on classical online ads, OVK 2011● Digital advertisement has still 8% share on total marketing mix of

retailers, which is comparing to service and communication industries relatively low, OVK 2011

Summary of the market analysis

● There is a shift from classical media to digital advertisement● The classical online advertisement market is 230 Million Euro

large● It is growing fast +20% year-on-year● The market has an interesting potential for our product

Revenue streamsBecause consumers are used to free information on digital devices our service shall be free for end-users.On vendors side we have several revenue options:

● article listing fees for fashion brands● fees for coupon distribution and leads for retail stores● lead fees for online shops● advertising revenue from vendors with complementary

goods

With well targeted and inspiring ads we can compete with online content portals and web blogs and gain a big share of the fashion industry advertisement market.

Objective: ● how do women collect information about fashion trends?● what kind of problems do they face?● what kind of needs do they have?● will they use our product

Method:

● face-to-face interview● predefined field manual

Demographics:

● 12 women from 16 to 40● 5 men from 23 - 37● students / employees● married / unmarried

Customer Survey #1

Customer Survey Results # 1

● Inspiration for fashion styles comes from emotional pictures of magazines, store windows, celebrities, catalogs and people from the street

● Local real-life shopping is more relevant and valuable for customer than online shopping

● Fashion is very emotional, less rational and very individual● Some users like to share styles, others might avoid it● Spontaneous shopping is always fun and pleasure but to be

prepared in advance is an appreciated value● Customer really appreciate to use our product for inspiration and local

shopping● The end-users want to get the service for free

Objective: ● how do women use our product prototype?● which features will they use?● which features are important, which are less important?● do they value the guidance of our product?● which suggestions do they have for improvement?

Method:

● face-to-face interview● mockup and questionaire

Demographics:

● 7 women● students / employees● married / unmarried

Customer Survey #2

The Mockup

Customer Survey #2 - Results

Mockup feedback:● The basic functionality has proven enough● The inspiration-part has proven very important● Start of computer to see website may be very time consuming in

comparison to a magazine Wishes:

● Star-styles and more clothes on real people● Top rated styles● zoom feature is must-have● a collage tool to mix own styles● inspiration via top brands● sharing● following topics● iphone and/or ipad app

Our TeamFashion Lab is a team of five people based in Germany:

● Ina is a fashion victim and likes finding latest fashion trends and shop online and in retail stores

● Sergey has strong skills in technology area - software architecture and development

● Valentine has experience in visual and interface design in different web projects

● Jan and Stanislav have long-term experience in fashion industry and online shopping

All of us like fashion and shopping by our own and working passionately on this idea.

ConclusionProblem:

● Shopping is time consuming and exhausting● Local stores are looking for the new distribution channels

to acquire customers● Brands need to know more about their target groups

Solution:● free service and personalised app for young women to inform

themselves about actual fashion trends● targeted and inspiring ads for fashion industry

Market:230 Million Euro market with +20% growth in 2011

Feedback:Two surveys show that customer have need for our product.

Thank you and contact us for more information!

contact@fashion-lab.de