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CompanyDescription.docxCompany Description
Company Introduction
RMNS is an apparel company that specializes in handmade shoes with unique characteristics. RMNS is the brainchild of David Virgile, a young designer from North Miami. David has combined unique elements together with classic style that is sure to capture the attention of stylists and fashionistas the world over. Inspired by his own eclectic style, David has drawn inspiration from his life and from the stories told to him from previous eras. The name RMNS (pronounced, “Remains”), is an anagram of the initials of David’s grandparents’ names (Raphaella, Maurice, Nijelle, and Santos). David lives by the credo that if you work hard in life, you can build a legacy that will remain long after you are gone. Thus the significance of the letters and the name of the brand.
Company Goals
Positioned among brands such as Berluti, Yeezy, Gucci, and Ferragamo, RMNS brings a young and fresh take on luxury shoes and slots in a casual offering that these other brands have yet approached. The limited availability of the shoes and the demand for innovation makes RMNS a prime candidate to become a new brand offering for style behemoths such as PVH, LVMH, and Kering SA, as well as top luxury brands looking to diversify in to shoes such as Swatch, Luxxotica, and Richemont.
RMNS Plans to create a buzz online and through social media by utilizing the star power of celebrity endorsers and influencers across several platforms. By releasing a limited edition of shoes at launch, RMNS looks to create a select group of owners that will have pairs of appreciating collectibles and create the aura around the brand. The publicity generated by the launch will be used primarily to grab the attention of one of the large fashion or luxury conglomerates where the owners of RMNS will seek a partnership
Logo
The typical logo of the brands that populate this segment of the market are typically simple, font based designs that don’t incorporate much symbolism. The designs of the shoes speak to the style of the company and the logo does not intend to interfere. A san-serif stencil based font adds to the imagery with its open portions while an open ended box covers the letters of the company. While the letters are not standard fonts, the logo should continue to be legible and pleasing to the eye, which is preferred by older shoppers, while the slight complexity offered by the stamp font should be more appealing to millennials
The primary colors of the logo are Emerald green and Royal purple. An accent color of metallic gold is used to adorn the logo in specific uses. The colors are intended to repre- sent an elevated level of living. The emerald is among the most valuable gem stones in the world. Purple is one of the colors associated with Royalty. For many years, gold reserves have been the standard measure of how currency is valued.
RMNS shoes are based on a classic style of shoe called a Chukka boot. Many companies such as Clarks, Versace, and Salvatore Ferragamo produce Chukka boots and the style continues to be very popular. The unique and identifying feature of the RMNS shoe is the set of chain links embedded in the sole of the shoe. The toe end of the shoe is connected to the heel by means of a set of chain links that emerge from within the sole on each side. The design of the sole also features a wide gap between the front sole and the heel. The soles are relatively taller than average Chukka boots and the spacing of the sections make the shoe easily recognizable even with the chain obscured from view.
The shoes are hand crafted by expert cobblers with deep family traditions that date back centuries. Currently, the uppers are made entirely of leather and suede. Future plans regarding the integration of other materials such as wicking fabrics and memory foam to enhance the ergonomics and comfort of the shoe are being implemented. The soles are highly engineered and developed by industrial designers to display the shoes most distinguishing characteristic: the chain link. The base sole is made from urethane rubber, but other materials such as high density foam, laminated leather, and cork are available for the customer to choose.
RMNS offers its customers the option of adding Bespoke features to their shoes allowing the customer the ability to have a truly unique, one of a kind shoe. Some of these options include various chain link metals, different fabrics and leathers, custom emblems, multicolored stitching, leather branding, and sole colors.
The shoes are packaged in a box reminiscent of a jewelry case, with a tweed wrapped outer shell identifiable by the hard emblem in front. Once open, the shoes are seated in its case with a shroud of satin, indicating the quality and the value of each pair. While RMNS shoes are relatively expensive items, ranging between $500 and $2000, they place in the middle of the segment with regards to prices. The customer can immediately recognize the quality and craftsmanship in each shoe, justifying its placement in the luxury segment. The ability to customize and individualize each pair adds value to the brand as well. After the launch of the shoe line, RMNS will look to venture into other forms of apparel to round out the lineup.
Market Analysis
The growth of luxury menswear is outpacing the growth of Womenswear. Companies such as Louis Vuitton and Balenciaga are venturing further into urban footwear as the market is becoming more modern and competitive. Young, stylish, urban men are becoming the new faces of the fashion world. Large luxury conglomerates such as Kering and LVMH are investing in innovative young designers to attract a new audience. Market research shows that men are placing a greater emphasis on their appearance, which has been triggered by the rise of social media.
Brands are beginning to realize the importance of social media and the power of influencers. Companies are expanding their audience by implementing social media ad campaigns using the star power of celebrities, athletes, and style influencers. The luxury market is growing and the new brands are attracting more attention. New entries into the luxury segment such as Ami, and Off-White, are creating the most buzz, forcing the big brands to respond in kind to keep up with the latest trends.
The latest U.S. Luxury E-commerce Report from the NPD Group shows that nearly half of money spent on luxury fashion is spent on luxury footwear. People who shop for shoes spend more money and buy more frequently. The men’s luxury shoe market has seen a steady growth of over 2% for the last 5 years. Online retail platforms are elevating the competitive landscape, attracting a more diverse customer base. The younger, multiethnic demographic that prefers purchasing designer products online is a main factor in the rise of luxury menswear, in particular footwear.
SWOT analysis
Strengths
Timeless and customizable design: The upper portion of the RMNS shoe, is based on a timeless style of shoe called a Chukka boot. The sole of the shoe has a patent pending design that incorporates a chain-link embedded in between the toe portion and the heel. The combination of classic style along with modern components, makes for a design that is timeless and offer.
Bespoke options: RMNS shoes can be customized by the customer during production to create truly one-of-a-kind shoes.
Story and symbolism: The symbolism of the chain under the shoe tells a story of stepping over the chains that are meant to contain you. The inspirational story is a key component to the vision of the company and should appeal to millennials and young buyers.
Weaknesses
RMNS is an unknown commodity: RMNS is a new and unknown player in luxury fashion which can make customers less willing to accept them as high value luxury items.
Limited production: RMNS shoes are made by hand and production is very limited which can cause issues with availability.
Less wealthy customer base: The launch will utilize social media which is dominated by millennials, whose median household wealth is roughly 25% lower than previous generations.
Heavy reliance on social media: The reliance on social media to promote the brand leaves the fate of the company subject to the opinion of relatively few, but very influential people. While the reward may be high, the risk may be just as high.
Opportunities
Customer involvement: Being so new to the market, RMNS can utilize customer feedback to improve their product and make it more appealing to potential buyers. More established brands have a style that customers accept without question. RMNS can be a brand that customers help build by providing the company with feedback to improve the product just as it hits the market.
Influencers shape modern fashion: While social media influencer can help promote brands through awareness, fashion is one aspect that influencers have a big say in. Many people rely on influencers to help them make their fashion decisions. RMNS relies on influencers to build brand recognition. The combination can help establish RMNS as a truly modern luxury brand.
New material options: Technology has advanced exponentially in recent decades as well as the push for more ecologically friendly manufacturing processes. RMNS can utilize cutting edge and eco-friendly materials, together with green manufacturing practices to create a truly advanced and sustainable product.
Threats
Competition: RMNS is a new and innovative, luxury shoe company. This is one of the fastest growing segments in modern fashion, with the likes of Yeezy, Common Projects, and Off-White, all relatively recent entries into the segment. These brands compete with more established brands such as Gucci, Versace, and Balenciaga for the attention of buyers in the same market segment. A crowded field can see some companies being forced out of existence.
Unstable economy: While RMNS shoes are manufactured in the United States, the ongoing trade war with China may have a profound affect on the cost of materials as well as increased costs in logistics. A fluctuating market can make for a reduced customer base.
Marketing Mix
Product
RMNS shoes are a new and innovative take on the classic Chukka style boot. RMNS shoes incorporate a chain link embedded in the soles. The handcrafted shoes are designed to give the customer a very comfortable experience. The shoes are unique in that they are available in standard versions and also in Bespoke editions, allowing the customer to become involved in the design of the shoe.
Place
The campaign is the initial launch of the brand. The shoes will be available online through the company website, and through a select group of boutiques, where RMNS cobblers will be on-site to help the customer build their custom shoes. The brand will primarily update the customers via social media platforms as to new accessories and options. Competitor brands have utilized the star power of celebrity influencers to gain exposure to new audi- ences. RMNS will work together with select influencers on social media to produce signa- ture versions of the shoe to offer to the followers of that influencer.
Price
The base price of the RMNS shoes are set at $500. As the materials change and options are added, the prices will go up. With all current options added, the retail cost of the shoe can add up to $2000. Some of the available options include gold chain links, a selection of premium leathers and fabrics, and gem encrusted emblems. The customer controls the pricing with the options they select. The shoes are currently sold direct to consumer, but as the company grows, it will explore other distribution channels.
Promotion
RMNS will utilize social media as the main platform to promote the brand. Fashion is a very visual product and radio promotions do not translate into sales engagements. Photo and video ads will be produced to help introduce the brand to potential customers. As a luxury item, RMNS needs to target a specific audience to draw the attention from consum- ers who are not only attracted to the shoes, but who also have the means by which to purchase them. While RMNS fall into a median price point in the luxury segment, they are still expensive items.
Social Media
When executed properly, social media marketing will help validate the brand. Social media marketing has the power to increase customer loyalty. 71% of consumers who received quick responses on social media say they would recommend the brand to others. A strong social media presence tells a company’s consumers that its brand is focused on engaging with its consumers. 63% of consumers who search for businesses online are more likely to engage those that have a substantial social media presence. Being a luxury item, RMNS must approach their social media content carefully as to not appear to be favoring a particular segment of society, while specifically targeting potential customers, meaning individuals who can afford the high costs of the shoes.
RMNS will launch the social media campaign in conjunction with the influencers, simultaneously releasing content on its own profile as well as the profiles of the influencers themselves. The ads will feature the influencers wearing the shoe and speak- ing about them. It is expected that the exposure provided by the initial launch will create a buzz that will warrant subsequent campaigns that reach out through traditional outlets.
The social media launch will include static image posts as well as video posts that allow RMNS to not only display the shoe in different moving angles, but also allow a narrator the ability to tell the audience the details that make RMNS so unique, as well as the story behnd the company and it’s founder.
The social media campaign is unique in its own right because it is launching a new luxury brand that has never reached the market, nor has it even reached a full manufacturing partner. The goal of the launch is to reach the widest amount of audi- ence that may want to purchase the shoes, but also an audience that may be interested in securing partnership deals with RMNS, or even acquisition, which RMNS is amenable to.
