FinalWipe
By Vinay Balani and Melina DallaStella
What’s the Problem?
of Sewer blockages are caused by disposable wipes
Tons of trash each year globally are due to paper towels
New York spent in wipe-related equipment repairs in the last five years
The average American spends on paper products in their lifetime
Who has the Problem?
Customer Profile:
American, Millennial, Middle Class, Female, Eco-conscious, Internet Savvy, Social Media User, Researches products before making an Online Purchase
Name: Cecilia McGuinness
Address: Hoboken, NJ
Age & Gender: 24, Female
Food Preference: Vegan
Job: Marketing Assistant
Time Spent Online: 2+ hrs
Video Streaming Platforms: Youtube
Streaming Services Used: Netflix, Hulu
Social Media Platforms: Instagram, Facebook
Green Celebrities Followed: Leonardo DiCaprio
Description: Lives with eco-conscious roommates, most shopping done online, home tidiness is important, does at least one hour of research on manufacturing practices of products she purchases
What can solve their Problem?
Americans spend $5.7B/year on paper towels
Average American families spend $600/ year on cleaning supplies
Who are the competitors?
Company Name | Corporate Sales Volume Actual* |
Edgewell Personal Care Co | $2,141,000,000 |
Bro-Tex Inc | $46,520,000 |
Sealed Air Corp | $4,791,100,000 |
Nice-Pak Products Inc | $591,596,000 |
Kimberly-Clark Corp | $18,450,000,000 |
Reckitt Benckiser LLC | $5,549,297,000 |
GOJO Industries Inc | $1,932,100,000 |
Clorox Co | $6,214,000,000 |
Blueland^ | $5,500,000 |
Bambooee^ | $3,000,000 |
*Corporate Sales Volumes Actual refer to sales of all products
^Estimated Sales Volume
Large consumer goods companies currently keep a hold on a majority of the surface disinfectants market
What do the competitors look like?
Global Wet Tissue and Wipe market size is estimated to grow at CAGR of 7%
| Clorox Wipes | Blueland | Bambooee |
Product | Disposable sanitizing wipes | Just-add water disinfectant tablets (no wipes) | Reusable bamboo paper towels (not disinfectant) |
# of cleans | 105 (the amount in one pack) | 15 sprays per 0.033 fl oz. 20 oz. bottles = 9090 sprays. ~3 sprays per clean ~ 3000 cleans | 30 Towels washable up to 100 times =3000 |
Price | $5.99 | $39 starter kit refills are $2 w/ subscription | $10.99 |
Yearly Sales | ~$1.6B | ~5.5M | ~$3M |
Where can we get in?
$3.2 billion
US Disinfectant Wipes Industry
$530 million*
$13.2 billion
US Wet Tissue and Wipes Industry
SOM
SAM
TAM
*Based off of calculating purchase intent for eco-friendly products of millennials and millennial population vs overall population
Millennials are the ideal segment!
Pricing Strategy
63 percent of Millennials are willing to pay more for sustainable goods.
Package Cost | Package Name | What it includes? |
$20 | FinalWipe Travel Starter Pack | • 5-pack of FinalWipe Travel in your choice of color • 5 CleanTabs • 1 travel case |
$30 | FinalWipe Home Starter Pack | • 10-pack of FinalWipe Home in your choice of color • 5 CleanTabs • 1 counter container |
$10 | CleanTab Reload | 25 CleanTabs |
$12 | FinalWipe Travel Reload | 5-pack of FinalWipe Travel in your choice of color |
$15 | FinalWipe Home Reload | 10-pack of FinalWipe Home in your choice of color |
How do we penetrate the market?
of millennials are worried about the state of the world and feel personally responsible to make a difference
of millennials don’t trust traditional advertising
millennials are
more likely to trust experts who happen to be strangers, than advertisements and
more likely to be influenced by blogs or social networking sites
Promotional Plan
Media | Budget |
Search Engine Optimization | One time cost of $4,000 to set up website and $750/month for upkeep |
Social Media Pay per click | $1,000/month on Instagram to reach millenials, $500/month on Facebook |
Web content marketing campaign | One time creative cost of $5,000 to develop web commercial Youtube: $0.1/click= $1,000/month Hulu: $20/thousand people reached=$500/month |
Influencer Sponsorships | $2,000 one time cost for one post from Leonardo DiCaprio Myzerowaste.com: $60/1000 people= $150/month |
Reward Programs | Product Giveaway to the Influencers for Review - $100 Referral Program Giveaways - CleanTab Reload - $600/month |
Total per month expenditure | $4500/month |
Key
Month 1
Month 2
Month 3+
Sales Forecast
Subscription | October | November | December | Year 2 |
No. of Units Sold | 579^ | 610 | 1179 | 66,400 |
Price Per Unit ($)* | 10 | 10 | 10 | 10 |
Sales Revenue ($) | 5,790 | 6,100 | 11,790 | 664,000 |
Sales Expenses ($) | 839.55 | 884.50 | 1,709.55 | 96,280.00 |
Products | Production Cost per unit |
CleanTabs | |
Wipes | |
Container/Travel Case |
FinalWipe Home Pack | August (product launch) | September | October | November | December | Year 2 |
No. of Units Sold | 441 | 465 | 490 | 515 | 540 | 6780 |
Price Per Unit ($) | 30 | 30 | 30 | 30 | 30 | 30 |
Sales Revenue ($) | 13,230 | 13,950 | 14,700 | 15,450 | 16,200 | 203,400 |
Sales Expenses ($) | 5,834.43 | 6,151.95 | 6,482.70 | 6,813.45 | 7,144.20 | 89,699.40 |
FinalWipe Travel Pack | August (product launch) | September | October | November | December | Year 2 |
No. of Units Sold | 184 | 194 | 204 | 214 | 224 | 2808 |
Price Per Unit ($) | 20 | 20 | 20 | 20 | 20 | 20 |
Sales Revenue ($) | 3,680 | 3,880 | 4,080 | 4,280 | 4,480 | 56,160 |
Sales Expenses ($) | 1,900.72 | 2,004.02 | 2,107.32 | 2,210.62 | 2,313.92 | 29,006.64 |
Every 2 months refills will be delivered
Y1 (Aug-Dec) Sales Revenue: $117,610 Y2 (Jan-Dec) Sales Revenue: $923,560
Median Churn Rate for Subscriptions priced at $10 = 7.36%
^Aug Home Pack + Aug Travel Pack - 7.36% users = Oct No. of Units
Channel Validation
Summary
| Strategy | Support and Justification |
Price | Starter Pack + Refill Subscriptions | 31% of Millennials already use box subscription services. |
Product | FinalWipe Reusable Sanitizing Wipes made from bamboo, and sanitizing active ingredient tablets | Global wet tissue and wipe market is poised to grow by USD 5.75 billion during 2020-2024 |
Place | Online sales: website and Amazon | Millennials do over 60% of their shopping online. |
Promotion (first three months budget) | Youtube, Hulu ads - $1,500 per month Instagram and Facebook Ads - $1,500 per month Referral Program Rewards - $600 per month Giveaways for review - $100 Myzerowaste.com Blog - $150 per month Influencer Partnerships - $2,000 SEO Upkeep- $750 per month | Millennials are 247% more likely [than other generations] to be influenced by blogs and social networks. 84% of millennials don’t trust traditional advertising so reward programs and customer satisfaction heavy commercials are being implemented. |
Sales & Profit Forecast | Y1 Sales (Aug-Dec): $117,610 | Y1 Profits (Aug-Dec): $40,613.07 Y2 Sales (Jan-Dec): $923,560 | Y2 Profits (Jan-Dec): 654,573.96 | The sales growth is kept at 5% based on the online presence of the brand, history of going viral, the fact that brands with purpose grow faster and Nielsen report analysis shows that there is an optimistic growth of 5% for Sustainable Product Sales in US. |
Market Acquired!
Appendix