SNAPSHOT:
#1: We make and sell high-tech "multifunctional clothing" that are functional, solve everyday health & wellness problems, and are designed to cross over from a morning workout into the office comfortably and fashionably. One super garment for everything that does more, and promotes buy less.
#2: Our business of selling clothing is a way to accomplish our core mission of reversing fast fashion damage - SHOO is a truly radical solution for sustainability. What makes SHOO unique is that it offers products + services. For instance, SHOO takes back the older version when a customer upgrades to a new model, and sells the used model at affordable prices for the mass - we know this works with tech gadgets, why not with clothing? SHOO also offers lifetime repair on its garments and compositing services. And yes, all SHOO products will be made with biodegradable fibers from nature that can decompose at the end of its life.
#3: SHOO clothing will be sold like a tech gadget. For instance, instead of launching seasonal collections with a slew of styles, SHOO launches one fully-loaded high-tech garment per year at a premium cost. The following year, the same product is offered as a 2.0 version using newer technology and other updated features.
BACKGROUND
The Need:
Most fashion industry textiles (85%) go into the dump each year, and synthetic fibers are used in 72% of those clothing which can sit in landfills for 200 years. The clothing and textile industry is the second largest polluter in the world, and the problem is getting worse because people continue to keep their clothing for half as long as they used to. But in order to solve this problem: (1) consumers need more options in clothing that are synthetic-free, of high quality and able to last longer and (2) they need services that make it easier to wear products longer, dispose of the garment properly, and maintain a circular economy.
SHOO Solution:
SHOO has an ambitious 4-Prong Solution:
(1) First and center, create value-added clothing that consumers will need as our home and work lives continue to merge, and dressing for health create demand for functional clothing. Exceptional product will be our strength. SHOO garments start with fabrics that use technology to solve health & wellness challenges, e.g. garment may convert body heat into infrared energy or detect stress levels through conductive ink. Then, thoughtful and progressive designs make SHOO truly stand out - each garment is designed to simplify busy lives by being able to move across many activities, e.g. you can wear one SHOO clothing for a morning workout to the office, then to a night out. Of course, SHOO is ideal for travel.
(2) Utilize a sustainable selling strategy that challenges traditional norms of clothing business: Make one perfect garment per technology, then update it each year with new features and newer technology. When customers update with the newer model, they have the option to trade in their older model. The older models will be sold as used clothing at affordable prices.
(3) Take action to reverse damage caused by fast fashion's escalating usage of synthetic fibers that sit in landfills. Each SHOO garment is sustainably made and uses only biodegradable fabrics derived from nature, never synthetics.
(4) Change consumer habit of discarding clothing after seasonal use by providing quality clothes that last. Then, support the customer with services that include (a) lifetime repair on SHOO products and (b) incentives to return the garments for composting after long usage. SHOO’s transformational business model combines product + service, which is an investment that will realize returns in customer loyalty.
Industry:
SHOO garments will be marketed as stylish functional clothing that go comfortably from active to office, tapping into cross-industry opportunities that include clothing industries in athleisure, workleisure, travel, functional, and health & wellness.
Target Market/Customers:
Our beachhead opportunity are women aged 35 – 55 who are super busy, often juggling parenting with a professional life, and have the disposable income to purchase higher priced health-tech clothing. This customer will be the early adopters that lead the way for wider adoption of SHOO clothing. Based on our market research, 50% of this target customer said they want to take even better care of their health after pandemic, 66% said they would lead even healthier lifestyles if they weren’t so busy and 50% said they would pay 30%+ more for sustainably made products. Currently, there is a lack of options for this high-end consumer in stylish and sustainable “everyday wear” health & wellness clothing using natural fibers.
Marketing Strategy:
(1) Generate early demand through crowdfunding: this strategy cuts launch time to 3 months from 8, sets SHOO apart as an innovation brand instead of fashion, accelerate product feedback and build brand advocates from early adopters, and minimize risky inventory projections. (2) Build community and brand trust by consistently launching innovative products on crowdfunding platforms: using crowdfunding as the main launch engine is a novel idea and SHOO has early mover advantage that will enable it to establish trust on the platform and scale up before more follow suit. (3) Capture momentum from crowdfunding to expand sales on SHOO website and other online platforms: developing and pushing creative content based on shared values, diverse product placement strategy. (4) Wholesale strategy: working, collaborating and partnering with retailers on private label and/or licensee products.
Competitive Advantage:
SHOO provides a sustainable premium product that has a unique advantage over its competitors within several spaces that include: the althleisure space led by big brands (i.e., Nike, Lululemon, etc.), niche health & wellness tech clothing sector (e.g. SKIIN), and the functional clothing segment currently dominated by big brands (Nike, Lululemon, etc.).
Management Team:
CEO (FT): Stacy Chong, a 30-year veteran of the fashion industry with extensive experience bringing successful products to market. Experience includes 10 years working for leading fashion companies, 8 years operating own fashion consulting firm, and 12 years working with the U.S. Government and non-profit organizations to help fashion and craft sector entrepreneurs of developing countries start, build and scale up sustainably through export growth. CMO (contractor): Natasha Krampf, who brings 32 years of experience from the New York fashion industry, specializing in fashion design, merchandising and production. Natasha will be instrumental in building and leading the product and production teams. Alen Poropat (contractor), lead designer and creative.
Use of Fundraising Proceeds:
$120K for 12-month runway with team expansion from 1 FTE’s to 2 FTE’s. $80k for samples and marketing costs to launch 2021 crowdfunding campaign.
Financials (USD) | 2020 | 2021 | 2022 I 2023
Revenues | $10,000 | $1,000,000 | $4,500,000 | $6,000,000
Net | $(20,000) | $ | $30,000 | $ | $900,000 | $2,654,000
Contact:
Stacy Chong
LinkedIn: https://www.linkedin.com/in/stacy-chong-7b55ab14/
Stage:
Product Prototype Development and Market Test Completed
Capital Raised to Date:
$30K
Capital Seeking:
$200,000K