Recommendation
BRAZIL
AUSTRALIA
ITALY
Go to Australia
Overview
Company Overview
Decision Making Matrix
Key Factors
Realized Threats
Launch Strategy
Company Overview
WHEN did we start?
In 1975, near the
campus.
(About UO)
Company Overview
WHO do we target?
Company Overview
WHERE do we operate?
USA
HONG KONG
SWEDEN
DENMARK
FRANCE
GERMANY
IRELAND
CANADA
UK
NETHERLANDS
BELGIUM
SPAIN
(Locations)
Company Overview
Foreign Sales
UO considers all their operations outside of the United States as foreign.
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(Annual Review, 2015)
Company Overview
WHAT do we sell?
(Home)
*considering foreign currency translation and change in unrealized gains on marketable securities
Company Overview
Comprehensive Income
Between 2014 and 2015, UO experienced a decrease in income as they expand internationally
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(Annual Review, 2015)
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Company Overview
WHY are we successful?
Company Overview
Decision Making Matrix
Key Factors
Realized Opportunity
Realized Threats
Launch Strategy
Overview
Recommendation
| Australia | Brazil | Italy |
Target Market Size | 70 | 100 | 80 |
Consumer Attitudes | 80 | 40 | 72 |
Business As Usual | 60 | 42 | 48 |
Total | 210 | 182 | 200 |
Decision Matrix
Company Overview
Decision Making Matrix
Key Factors
Realized Threats
Launch Strategy
Overview
Key Factors
Key Factors
1. Target Market Size
Key Factors
Population Aged 18-28
1. Target Market Size
3,640,000 people in Australia are within UOs target market.
*The totals were calculated based on historic and forecasted values from 2009 to 2019, that were averaged to determine the population within the desired age group.
(CITE)
CITE
Key Factors
Short-Term Visitor Arrivals to Australia by Age
1. Target Market Size
About ¼ of the visitors to Australia in 2012 were within the UO target market.
(FEATURE ARTICLE: INTERNATIONAL MOVEMENTS, 2012)
Key Factors
Top 10 Visitor Countries to Australia
1. Target Market Size
CITE
1/5 of the visitors to Australia are from countries that already have UO stores.
*The above data points were calculated top 10 countries based on number of visitors from the countries around the world, ranked from highest to lowest (aside from top 10 countries, the rest of the major countries are grouped into one percentage of the total).
^Percentage, a total of visitors from USA, UK, Hong Kong
(FEATURE ARTICLE: INTERNATIONAL MOVEMENTS, 2012)
Key Factors
2. Consumer Attitudes
Company Overview
WHO do we target?
Key Factors
Disposable Income
2. Consumer Attitudes
Australians have the highest disposable income compared to the listed countries.
(Countries and Consumers, 2015)
Key Factors
Shopping Habits
2. Consumer Attitudes
“Aussies shop online from the U.S. As it’s cheaper!!”
(Consumer Lifestyles in Australia, 2013)
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Key Factors
Shopping Habits
2. Consumer Attitudes
The average Australian online order has increased by about 20% between 2011-2012.
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(Consumer Lifestyles in Australia, 2013)
Key Factors
Shopping Habits
2. Consumer Attitudes
…Gen Y consumers are choosing to spend their money on experiences
(Australia: Country Pulse , 2015)
selective about what they spend money on…
Key Factors
Living Situation
2. Consumer Attitudes
Number of Households by Disposable Income
“In 2012, one-quarter of Australians aged 20 to 34 years-old continued to reside in the home of their parents”
(Consumer Lifestyles in Australia, 2013)
Key Factors
3. Business As Usual
Key Factors
Internet Connectivity
3. Business As Usual
Internet access is important for UO because of our presence on social media, our mobile app, email notifications, and website.
(Countries and Consumers, 2015)
Key Factors
Internet Connectivity
3. Business As Usual
More than 90% of the populations will be using the internet.
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(Countries and Consumers, 2015)
Key Factors
Internet Connectivity
3. Business As Usual
3/5 Australian young adults use social media
½ of the users log on everyday
(Consumer Lifestyles in Australia, 2013)
Key Factors
Employment Availability
3. Business As Usual
This number symbolizes the potential workforce that UO can employ.
(Consumer Lifestyles in Australia, 2013)
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Key Factors
Realized opportunity
3. Business As Usual
(Consumer Lifestyles in Australia, 2013)
Company Overview
Decision Making Matrix
Key Factors
Realized Threats
Launch Strategy
Overview
Realized Threats
Realized Threats
Competition
Market share held by the top 10 apparel and footwear retailers in Australia.
(Apparel and Footwear in Australia, 2014)
Retailer | Category | Similar to… |
Bonds | Unisex | Old Navy |
Country Road | Unisex | Zara |
Millers | Women’s | Laura |
Nike | Unisex | Nike |
Cotton On | Unisex | Old Navy |
addidas | Unisex | addidas |
Sussan | Women’s | Loft |
Roger David | Men’s | Topman |
Suzanne Grae | Women’s | Ann Taylor |
Ralph Lauren | Unisex | Ralph Lauren |
Realized Threats
Competition
The top 10 apparel and footwear retailers in Australia put in perspective by category and similarity to Canadian stores.
Realized Threats
Competition
$68.61USD
$49.00USD
(TOUCAN S/S SHIRT – BLACK)
(Your Neighbors Rose Floral Button-Down Shirt)
Realized Threats
Competition
$22.00USD
$11.40USD
(THE CREW)
(BDG Striped Shrunken Tee)
Realized Threats
Ability to understand the Australian shopper
Realized Threats
Logistics
Rushden, England
Reno, Nevada
for Europe operations
for Western D2C
(Annual Review, 2015)
Realized Threats
Logistics
Rushden, England
Reno, Nevada
Only plane and ship transportation can be used to bring in the products…
Company Overview
Decision Making Matrix
Key Factors
Realized Threats
Launch Strategy
Overview
Launch Strategy
Organic Growth
(Space Ninety Eight )
Launch Strategy
To achieve the largest reach, UO should open within the city of Sydney, Australia.
(Population , 2010)
Market Size
Launch Strategy
Logistics
Launch Strategy
2 minute drive
14 minute drive
Location
(Newtown Precinct) (Shopping streets) (Newtown) (Newtown to the U of NSW) (Newtown to the U of S)
Launch Strategy
Location Justification
(Garnsworthy, 31)
Launch Strategy
Logistics
(Sea Rates )
Launch Strategy
Logistics
(Sea Rates )