HARLY JAE BRICK-AND-MORTAR PROJECT
Airica Fe Orig Allig | Arzum Sevval Demirayak | Raana Kaffashian | Ma Lauren Hope Luy | Denice
Bolivar Piloton | Kezia Kartika Sari | Sujan Sunuwar
BUSI 660-52 | JUNE 24TH 2024
HARLY JAE/
ABOUT
Canadian fashion brand from Vancouver, B.C.
Founded in 2017
Vintage-inspired women's clothing
PRODUCTS
Natural fibers, sustainability, ethical production
Avoids mass production and overstock
CURRENT PROBLEM AND SOLUTION
PROBLEM
Limited brand awareness
Difficulty attracting new customers
Only one physical store limits the visibility SOLUTION
Increase digital marketing efforts
Open new physical stores in high-income areas
Engage in community events and pop-up shops
HARLY JAE/
VISION
Enhance brand visibility and awareness
Expand physical presence and consumer engagement
Promote sustainable and ethical fashion practices
MISSION
Address limited brand awareness
Attract new customers and retain existing ones
Establish a strong presence through strategic locations
PLAN AND CAMPAIGN OBJECTIVES INCREASE BRAND AWARENESS
BRICK AND MORTAR
Physical store expansion: 2 Harly Jae Houses
In-store experience: pre-order and item try-ons
FRANCHISING
Pure-play Franchisor Model (IFA, 2021)
Kitsilano, Victoria, and West Vancouver
Brand Guidelines
Harly Jae House
EVENTS AND POP-UP BOOTHS
DIGITAL MARKETING STRATEGIES
Advertising on social networks
Content marketing
Collaboration with influencers
PR and media coverage
E-commerce optimization: SEMRush and Hubspot
PPC Plan
Email Marketing
Search Campaign:
“Sustainable fashion”
Display Campaign:
Retargeting
Socmed and SEO Campaign
In return for customers’ email: discount, exclusive information and early promos.
Jennifer Wang Jennifer Wang Kate Hutchins Kate Hutchins
Jashan Jashan (The Lifestyle Cog) (The Lifestyle Cog)
INCREASE BRAND AWARENESS
Brand Guidelines
TYPEFACE1
QUANTTROCENTO
Heading
Subheading BodyText
TYPEFACE2
DREAMAVENUE
Heading
Subheading BodyText
TYPEFACE3
DMSans(Monospaced)
Heading
Subheading
Subheading2
Subheading3
BodyText
j h j h j h j h
Ads
INCREASE BRAND AWARENESS
Ads
PLAN AND CAMPAIGN OBJECTIVES
INCREASE BRAND AWARENESS
OBJECTIVE STRATEGIES
Every brick-and-mortar store opening increases
11.6% in online sales and 37% in website traffic
Two Harly Jae Houses in the next four years
1st expansion > Q4 2025 > Kitsilano > franchise model
2nd expansion > Q2 2027 > West Vancouver > company-owned
KITSILANO
STRATEGIES + IMPLEMENTATION PHASE
Showroom (Shop)
Harly Jae-
Owned Store
Franchising
Store Design & Experience Strategy
High-selling products
Little cubbies for impulse buy
Custom and preorder booth
Marketing & Community
Engagement Strategy
Operation & Supply
Chain Strategy
Human Resource & Training Strategy
HARLEY JAE PROJECT BUDGET
OPERATING EXPENDITURE PER BRANCH
6 Months allocated budget
12 Months allocated budget
Upfront costs
Rent and Utilities:
- 3 months prior/3 months after opening
- 400 sq ft
- Kitsilano Average rent: $130/sq ft/year
- West Vancouver Average rent: $85/sq ft/year
Staff Compensation
- 1 staff per store, 5 days per week and 5 hours per day
- Average rate: $17.40 per hour
- 1 month training and 5 months after opening compensation
Marketing and Advertising
- Hubspot at $1170/month. Divided between branches.
- Events at $3000/event. 6 events per year
Legal & Professional fees
- Accountant: $450/month. 1 year allocated budget
- 3 hour business consultation from SBBC at $300
HARLEY JAE PROJECT BUDGET
CAPITAL EXPENDITURE PER BRANCH
Initial Inventory: 2 - 3 months allocated inventory
- Dress: 100 units at $250/unit
- Jeans: 75 units at $180/unit
- Shorts: 50 units at $150/unit
- Rompers: 50 units at $200/unit
- Tops: 75 units at $100/unit
Stall Renovation and Fixture Installations
- 3 months prior to opening - Ave. cost at $150/sq ft
Lighting & Electrical Upgrades
-Ave. cost $4/sq ft
TOTAL BUDGET PER BRANCH
KITSILANO (FRANCHISE MODEL)
2024 Revenue = CA$ 1,000,000 1,000,000
Green fashion market at 22.9%
CAGR (2023-2030)
COGS = 20% of revenue
Brick-and-mortar 11.6% YOY growth rate
Royalty fee = 6% monthly gross sales
One-time franchise fee =
CA$25,000
Initiative COGS = zero
Franchisor to cover basic marketing and legal fees
General federal tax rate = 15%
Provincial tax rate = 12%
WEST VANCOUVER (COMPANY-OWNED)
2024 Revenue = CA$
1,000,000 Green fashion market at 22.9% CAGR (2023-2030) (2023-2030)
COGS = 20% of revenue
Brick-and-mortar 11.6% YOY growth rate
B.C. min wage = CA$ 17.40, 5 hours/day, 5 days/week
Marketing software = CA$1,170/mo.
General federal tax rate = 15%
Provincial tax rate = 12%
PRO-FORMA INCOME STATEMENT
CONSOLIDATED (KITSILANO & WEST VANCOUVER)
PROJECT TIMELINE
Franchise Development
Q3 2024 - Q4 2025
Model Development, Legal
Agreements, Franchisee
Recruitment, and Store Setup.
Company-Owned Store
Q3 2026 - Q2 2027
Location Sourcing, Lease
Negotiations, Design and FitOut, Staff Training, and Grand Opening.
Digital Marketing Impact
Launch: Q3 2024
Goals: 11.6% sales increase, 37% web traffic boost, 10,000 impressions, 5% CTR increase.
SUCCESS MEASURE
Physical Store Rollout
Franchise Launch:
Late 2025
Company Store: Mid-2027
Focus: In-store sustainability education.
Community & Brand Engagement
Influencer partnerships and event participation. Zero-overstock policy and ethical supplier collaboration.
Franchise Management Comprehensive training, audits, compliance guidelines
RECOMMENDATION
Open two new brick-and mortar stores to improve brand awareness
First franchise: Kitsilano
Second franchise: West Vancouver
Franchisee-owned Company-owned
Both locations to be managed under the same CRM optionally different domains if desired
CONCLUSION
Targeted Expansion
Locations selected for demographic fit and highincome potential.
Digital and Physical Synergy
Enhance online presence starting Q3 2024.
Open franchise store Q4 2025 and company-owned store mid-2027
Sustainability Commitment
Uphold zero-overstock policy and strengthen local supplier partnerships
Success Metrics:
Monitor digital engagement, sales conversions, and customer retention.
