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Brazil 2013
Oí Brasil… I AM
2016
Oí Brasil… I AM
Oí Brasil… I AM
Oí Brasil… I AM
2011
Oí Brasil… I AM
GAP INC.
Oí Brasil… I AM
GAP
Iconic. Inventive. American.
Oí Brasil… I AM
Global Apparel Industry
In 2014, the industry is forecast to have a value of $1,162.8 billion an increase of 12.7% in 5 years
Source: Data Monitor, 2010
Demand in Emerging Countries is Rising
Oí Brasil… I AM
Expanding to Latin America
Chile 2011Colombia 2012
Brazil 2013
Oí Brasil… I AM
Why Brazil?
Economic GrowthDemand Growth
FIFA 2014 & Olympics 2016American Culture Fit
Oí Brasil… I AM
Competitors
Oí Brasil… I AM
Target Competitors
Oí Brasil… I AM
Marketing Goal
Successfully enter the Brazilian market, thereby increasing the profitability of Gap as a global brand.
Marketing Objective
10 apparel companies in terms of market share in Brazil by 2016. September 21st 2013
Flagship store in Sao Paulo
6 month later
Rio de JaneiroBrasilia
2016
Top 10 in Brazil
Oí Brasil…. I AM
Core StrategyRule of 3: 3 stores in 3 big cities in 3 excellent locations
Sao Paulo
Sao Paulo – September 2013
Rio de Janeiro
Rio de Janeiro- March 2014
BrasiliaBrasilia- March 2014
Oí Brasil…. I AM
Strategic Alliances
Contract with Brazilian flip-flop company, Havaianas -
Havaianas by Gap
A new, younger, trendy line designed by Brazilian designer, Alexandre Herchovitch- I am Gap by Alexandre Herchovitch
Oí Brasil…. I AM
Targeting and Positioning
“Classic American style, everywhere”
Gap wants to be the premier seller of the American style while creating local ties in Brazil
Target Market: Ages 15-40, with purchasing power and an interest in the American style.Looking for a balance between quality, comfort and price
Oí Brasil… I AM
Risks
Sorry! No availability Taxes! taxes! taxes!Oh no! We are too good for you!
Action Plan…
Oí Brasil… I AM
Pricing
Oí Brasil… I AM
Product Development
The Classic American Style
Oí Brasil… I AM
Product Development…
Brazilian designer Alexandre Herchcovitch
Oí Brasil… I AM
Product Development…
Oí Brasil… I AM
Sales and Distribution Channel
Sao Paulo Rua Oscar Freire Street
Rio de Janeiro Leblon Mall
Brasilia Brasilia Shopping
Oí Brasil… I AM
“Oí Brazil... September 21, 2013”
Advertising and Promotion
Buzz campaign
Opinion LeadersJournalistBloggers
Oí Brasil… I AM
Print AddsUrban Spaces
Buzz Campaign…
Oí Brasil… I AM
Buzz Campaign…
Oí Brasil… I AM
Gap Store Launch event
Fashion Show + Cocktail Party
Oí Brasil… I AM
Oí Brasil… I AM GAP
Gap Store Launch event
Oí Brasil… I AM
Gap Store Launch event
Oí Brasil… I AM
Gap Store Launch event
Oí Brasil… I AM
Gap Store Launch event
Oí Brasil… I AM
GAP surprise bag for guests
Oí Brasil… I AM
Online campaign: Social Media and Web page
BRASIL
Oí Brasil… I AM
“MONEY WILL COME WHEN YOU ARE DOING THE RIGHT THING” – Mike Phillips
Finances
Oí Brasil… I AM
Finances: 3 year analysis
Sao PauloSeptember 2013
Brasilia and Rio de Janeiro March 2014
Oí Brasil… I AM
Revenues per square foot
2013: $381 per sq ft
2014: $383 per sq ft
2015: $385 per sq ft
Revenues Growth
75% year 1
85% year 2
100% year 3
Cost of goods sold 60% of revenues
Other expenses 26.7%Investment per store Sao Paulo: $400,000
Brasilia and Rio: $250,000
Taxes 62.25%
Finances
Oí Brasil… I AM
WE BLEND ALL THIS NUMBERS AND…
NPV: $5.7 millions
Year of repayment: 2014
Oí Brasil… I AM
Contingency Plan
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Q&A
Oí Brasil… I AM
THANK YOU!