Individual Business Plan Report for Trendy Closet

Individual Business
Plan Report

INTRODUCTION
Business plan contains all the goals and targets of business which they have to achieve in
future. It includes various aspects of business such as marketing objectives, operations, financial
projections, industry standings and business targets. This document plays important role for
internal and external audience of the company (Briones Macías, 2019). It attract financial
institutions and investors so that they can invest in the company for their further growth and
expansion. It provides roadmap and guide to the employees in order to initiate their projects for
the achievement of goals in particular direction. Employees can easily work on their short term
and long term goals with the assistance of business plan. This report will contain all the business
detail of a business along with the description of its location. The overall industry analysis is
carried out and product description is also mentioned in this report. This will also include USP of
business and their competitor analysis. Risk and contingency plans, finance and funding plans,
sales and marketing strategy are also described in this report.
MAIN BODY
Business details
Mission: Trendy closet wants to deliver products according to the current market trends
in order to satisfy the needs of their targeted customers.
Vision: To include innovation and new designs in their products along with maintaining
proper balance in the environment by adopting corporate social responsibilities.
Objectives: The main objectives of Trendy closet are:
 To focus on the preferences and demands of their audience.
 To use advanced technology for the upgradation of products and services.
Trendy closet deals in wide variety of products such as clothes, accessories, footwear,
fragrances and bags. It is a startup which wants to cover large area of market by catering the
needs and wants of customers in appropriate manner (Garon, 2018). They involve different
sections in their stores which provides convenience to their customers during shopping. They are
located in London, United Kingdom and established their store in the centre of city. The
selection of appropriate location plays major role in attracting customers as it should be easily
assessable. The main aim of Trendy closet is to include new trends and arrivals in their offerings
so that they can develop the interest of their customers. Online websites and applications are also
used by them so that they can increase reachability throughout the UK in appropriate manner.
Market/industry analysis
The analysis of overall industry is important for an organisation so that they can evaluate
future opportunities and threats from their respective market. The comprehensive understanding
of marketing is highly essential for marketers so that they can formulate plans and procedures
according to that. Trendy closet uses pestle analysis in order to analyse the external environment
of their retail industry. The pestle analysis is mentioned below:
Political factors: Rules and regulations driven or formulated by government of a country
is included in political factors. Free trade disputes, corporate taxation, fiscal policy initiatives and
other regulations of government affect the operations of business. The government of London
formulate policies which support the growth of retail sector. It provides various positive factors
to Trendy closet in order to run their business in profitable manner.
Economic factors: Financial nature of an industry should be analysed by company so

that they can set their prices of products according to that. It includes inflation, interest rates,
exchange rates, employment rates, etc (Gimeno Vidal, 2018). Trendy closet focus on the income
and wage rate of their targeted customers so that they can attract them. They also ensure that
their employees get all the essential benefits during their employment so that they can maintain
appropriate productivity. They provide wages and salaries to their employees according to the
policies of government related to employment wages.
Social factors: Factors such as lifestyle trends, working conditions, demographic
considerations and consumer beliefs classified under social factors. Trendy closet focus on the
demands and requirements of their targeted audience so that they can offer products which are
highly demanded in the market. They interact with customers on regular basis in order to
understand their buying behaviour so that they can contribute efforts in maintaining their prop[er
lifestyle.
Technological factors: Technological advancements are highly essential for businesses
as it helps in improvement of their services and products. Automation, technology infrastructure,
research and development, cyber security, etc. are adopted by Trendy closet. London includes
number of opportunities related to technology which help Trendy closet in expanding their
business.
Environmental factors: The changes related to environment affect the operations and
growth of an organisation. Climate change impact, extreme weather events, carbon footprint,
transition and physical risk are included in environmental factors. Trendy closet involves
recycling and reusing for their waste material so that they can maintain positive balance towards
environment.
Legal factors: It is important for organisations to focus on all the legal regulations such
as industry regulation, protection of intellectual property, permits and licenses and many more.
Trendy closet ensures that they fulfil all the legal requirements which are mandatory for retail
organisation. It help them in commencing smooth operations without any challenges and
problems.
Segmentation targeting and positioning (STP) model
This is a modern marketing approach which assist organisations in analysing the best
appropriate segments for them (Heo, Kang and Kim, 2018). Segmenting and targeting are
required in order to utilise resources in appropriate manner so that organisation can offer
products in appropriate manner. Stp can be discussed as follows:
Segmentation: It is the first step of this model which segments the society into different
sections so that organisation can understand whom to target. Trendy closet segment society on
the basis of geographical, behavioural, demographical, psycho-graphical segments. They have
segmented upper class and upper middle-class class of London in order to offer products and
services. It can be done on the basis of buying pattern of their customers so that segmentation
can be done in appropriate manner.
Targeting: This is the next step which suggest organisation have to target audience after
segmentation so that needs and wants can be fulfilled in appropriate manner. Trendy closet
targets most profitable segment of the society which includes customers of all age group. All the
men, women and children are targeted in order to provide trendy items. Their customers are
brand conscious who willingly pay higher prices for quality products.
Positioning: This is the last step which ensures organisation offer products which are
unique and different from competitors. Trendy closet focus on maintaining attractiveness in their
products so that customers can engage themselves in the products of an organisation. Positioning

of products can be done on various basis for gaining competitive edge such as experimental
positioning, functional positioning and symbolic positioning. These three factors should be taken
into consideration in order to create best positioning of a brand.
Product/Service description
Trendy closet is a fast fashion company which majorly focus on the trendy products.
They offer various fashionable clothing items along with accessories, bags, footwear and
fragrance (Kabrelyan, 2020). All the segments includes extensive research and development
before entering to the market so that it can serve the demands of customers. Trendy closet uses
marketing mix which increase the sale of their products and services in targeted market. The 4
P's of marketing mix are discussed below:
Product: This can be termed and referred as item which is offered by organisation in
order to satisfy the requirements of their targeted audience. Trendy closet deals in various
commodities such as footwear, bags, clothes and many more. They ensures the quality of
products should be appropriate so that customers can attracted towards organisation.
Price: The amount or value which customers pay against the items, commodities and
services which they avail from organisation. It is necessary for businesses to focus on the
establishment of appropriate prices as it is responsible for revenue generation. Trendy closet
maintains the quality and standard of their products which helps them in making their customers
willing to pay demanded prices. They also evaluate the prices of their competitors, location of
customers, terms of sale and other pricing related factors.
Place: The placement of product plays essential role in attracting customers towards
products and services (Khan, 2020). It is important to adopt appropriate distribution channels so
that organisation maintain effective reachability. Trendy closet established their store at the
locations which are easily reachable by the potential and targeted audience. They also uses
online applications to sell their products which are highly convenient for customers.
Promotion: This can be referred as marketing communication process which assist
organisation in increasing their brand awareness in targeted market. All the essential benefits and
features of products and goods can be easily conveyed to the audience with the help of
promotional strategies. Trendy closet uses personal selling and social media platforms such as
Facebook, Instagram and YouTube in order to promote their products. Advertisings are highly
effective in maintaining the brand image in the market.
USP and competitor analysis
Organisation have to use factors which help them in differentiating them for their
competitors in context to products and services. Trendy closet uses raw material which is high in
quality and standard so that they can offer finished products which are unique and attractive.
They focus on offering first-ever products to their targeted audience so that it can become their
unique selling proposition (Lapasanda an et.al., 2020). The features and quality of their products
are very different from their market competitors which assist in getting various competitive
advantages. In order to carry out competitor analysis, Trendy closet uses porter's five forces
model. The weakness and strengths of overall industry can be identified with the help of this
model. It can be described as follows:
Competition in the industry: The total number of competitors in respective industry cut
the power of organisation. Increment in the number of competitors in retail segment becomes
challenge for Trendy closet. This possess high power as Trendy closet is startup which have to
establish their brand image in market. In order to overcome this power they have to maintain
loyal customer base by offering higher quality valuable products.