For Fashion Undiscovered we aim high but also focus on the impact side of the business. This is why, alongside the growth projection we also elaborate on the impact we want to create.
Growth projection: If we assume to have built the prototype of the app and found at least two partners (one retailer and one brand) to test it within 6 months, we could then go one step further and market the application to consumers. Within the first year we would reach around 3.000 consumers who use the app through cross channel marketing activities. Depending on the further funding we would gather, we can intensify our marketing activities and reach more consumers faster. That would be in favor of the companies as momentum gets bigger and exponentially increases awareness. Gathering further funding after receiving seed capital therefore is important.
Impact projection: Social and environmental impact will be created indirectly. As we are building the prototype and start publishing and marketing the app, this will not yet have impact on the supply chain side.
Growth projection: In the second year we will then pitch the MVP and the prototype to investors in order to gather venture capital. With an investment of at least 400.000 € we can develop the second version of the app, design a professional interface and a stable technical infrastructure. In this stage we aim to set the foundation of a white label solution which can then be easily deployed for the potential partners. In year 2 we want to cooperate with 25 medium sized fashion brands and retailers, a mix of sustainable fashion brands but also companies that are planning to operate more sustainably. Meanwhile we will start to initiate conversations with fashion chains to reach our target to cooperate with at least one big corporate fashion chain in year 3. Also, we will continue to raise money. As we aim for a „fashion revolution“, the impact needs to be scaled on a global level. At the same time, we will be able to present net revenue of around 75.000 €.
Impact projection: In this year we will cooperate with around 25 companies, a few of which are already taking action to improve their supply chain operations in terms of enforcing transparency.
From talking to experts in the field of fashion we know that enforcing transparency is a big challenge and takes time but the consequences are profound. For example: supply chain transparency can be achieved by transferring the sourcing process into a space which is under full control of the fashion company itself and thus eliminating the risk of unwanted, non-compliant subcontractors. This is an expensive and intricate process but the effect is that labour, working conditions and environmental precautions improve immensely. We help these companies to turn their efforts of enforcing transparency into real value on the consumer side. Assuming that 25 medium-sized companies each work with 100 workers (minimum) on the supply chain side, then together we can have social impact on 2.500 workers. Each having families of at 4 in average, this will amount to 10.000 people all together.
Growth projection: In year 3 we will concentrate our efforts in cooperating with more medium sized companies and push negotiations with the bigger fashion companies in order to achieve at least one successful closing by the end of year 3. This is the big goal as we believe that this company will showcase the success of the new incentive mechanism and will be send an important signal to the overall industry. As we can already provide records of revenue streams and positive feedback of bigger corporates we will use this momentum to raise further money to expand internationally and realize a broad marketing campaign in order to reach the masses. At the same time strategic partnerships will be evaluated, i.e. provenance and source map. In year 3 we aim to double the amount of partners as well as the revenue.
Impact projection: Given that we cooperate with 50 medium-sized fashion companies and one globally present fashion chain, we will have impact on ca. 160.000 workers along an environmental impact through more efficient manufacturing processes (reduced water usage, CO2 emission and less toxins during the dying process).
This projection is only outlines a detailed calculation. For more information and in case of any detailed question, please contact us.