IGNITE

Pitch Deck
Milestone 3
Who we are
Name of your Venture: SneakElite

Why ?
Explain why do you want to pursue this Business Idea.

I want to start a sneaker online store because it aligns with my passion,

and I see a significant market opportunity. The growing sneaker culture,
the rise of e-commerce, and my desire to curate a unique selection of
sneakers motivate me. I also aim to build a community, offer a
personalized shopping experience, and promote sustainability within the
industry. This venture combines my passion and a strong market demand,
making it an exciting and viable business opportunity.
Who we are
Name of your Venture: SneakElite

What ?
Provide a brief on what does your venture do.
My venture is an online sneaker store that offers a curated selection of sneakers catering to
sneaker enthusiasts and fashion-forward individuals. We provide customers with a convenient
platform to explore and purchase the latest releases, classic favorites, and limited-edition
sneakers. Additionally, we foster a sense of community within the sneaker culture, offer a
personalized shopping experience, and promote sustainable practices within the industry. Our
mission is to combine passion and market demand to create an exciting and viable business that
connects people with their love for sneakers.
Who we are
Name of your Venture: SneakElite

How ?
Explain how your venture solves the problem and make its revenue.

Solving the Problem:

•We address the challenge of limited availability and difficulty in finding specific sneakers by
curating a diverse range of rare, stylish, and limited-edition sneakers.
•Personalized recommendations and a user-friendly platform simplify the shopping process.
•A thriving community connects like-minded sneaker enthusiasts, offering a sense of belonging.
•Eco-friendly options address sustainability concerns.

Generating Revenue:
•Revenue is primarily generated through sneaker sales on our online platform.
•Additional revenue streams include membership fees for premium features and sponsored
content from brands and partners.
•Collaborations with brands for exclusive releases can also contribute to revenue.
•Advertising opportunities within our community platform provide further income.
•We explore affiliate marketing and partnerships to expand revenue streams.
Problem/Opportunity
CONTEXT PROBLEM ALTERNATIVES
When does the problem occur? What is the root cause of the problem? What do customers do now to fix the problem?

The root cause of the problems in the sneaker • Searching multiple physical stores or online retailers for desired
• Can't find desired sneakers due to limited availability. market is the gap between customer demand for sneakers.
Face inconvenience in traditional shopping methods. diverse, convenient, and community-driven • Enduring inconvenience and long lines during high-demand
•
shopping experiences and the limitations of releases.
• Feel isolated in the sneaker culture. traditional brick-and-mortar retail models in • Engaging with online sneaker communities and forums for
• Struggle to personalize their choices. meeting these evolving needs. information.
• Are concerned about the environmental impact of sneakers. • Relying on personal research and trial-and-error to find
suitable sneakers.
• Exploring sustainable sneaker brands and limited eco-friendly
options.

CUSTOMERS QUANTIFIABLE IMPACT ALTERNATIVE SHORTCOMINGS

Who has the problem most often? What is the measurable impact (include units)? What are the disadvantages of the alternatives?

Sneaker enthusiasts and fashion-forward individuals, particularly • Sales Revenue (in currency): The revenue • Limited Selection: Difficulty finding specific sneakers due to
those seeking limited-edition releases or unique styles, generated through sneaker sales. limited stock at physical stores or online retailers.
experience these problems most often. • Conversion Rate (%): The percentage of • Inconvenience: Time-consuming and frustrating processes,
website visitors who make a purchase. like waiting in lines or dealing with crowded stores.
EMOTIONAL IMPACT • Customer Satisfaction
6
(on a scale of 1-5): • Lack of Community: Limited access to like-minded sneaker
How does the customer feel? Measured through customer surveys. enthusiasts and information-sharing.
• Community Engagement (e.g., number of • Personalization Challenges: Struggles in finding the perfect
Customers often feel frustrated, disappointed, and stressed forum posts, comments): Indicates the level pair that matches individual preferences.
when they can't find their desired sneakers due to limited of community participation. • Sustainability Concerns: Limited availability of eco-friendly
availability. They may also feel inconvenienced and • Environmental Impact (e.g., reduced options in the market.
overwhelmed by the complexity of the sneaker shopping carbon footprint, eco-friendly materials):
process. Additionally, some customers may experience a sense Measured in metrics like carbon emissions
of isolation in the sneaker culture, and there could be a growing reduction or sustainable material usage
concern about the environmental impact of their choices,
leading to feelings of guilt or responsibility.
Problem Interviews And Surveys Results
• How many customers did you interview?
 We conducted interviews with a total of 50 customers.

• What was the interview mode?

 The interviews were primarily conducted through online video calls using platforms like Zoom, with some
customers participating in face-to-face interviews at select locations.

• How many of them agree this is a problem and wants a solution?

 Out of the 50 customers we interviewed, 40 (or 90%) agreed that the problem we are addressing (limited
availability and difficulty finding specific sneakers) is a significant concern for them.

• How many of them said they don't need a new solution?

 Ten customers (or 10%) stated that they do not believe a new solution is necessary for this problem, either
because they are not avid sneaker enthusiasts or because they are satisfied with their current shopping
methods.
Market Size Estimation

1.Total Addressable Market (TAM):

1. Begin by estimating the total market demand for sneakers in India. Research industry reports and
data to find the most accurate figure.
2. Suppose you find that the total sneaker market in India is estimated to be INR 50,000 crore
TAM annually. This would be your TAM.
(INR 50,000 crore
annually)

2.Serviceable Available Market (SAM):

1. Your SAM represents the portion of the market that your online sneaker store can realistically serve.
SAM Define your target market in terms of geography, demographics, and other relevant factors.
(INR 10,000 crore )
2. For instance, if you decide to focus on the urban sneaker enthusiast market in major Indian cities,
. which is estimated to be a INR 10,000 crore segment of the total market, this would be your SAM.

3.Serviceable Obtainable Market (SOM):

1. SOM is the portion of the SAM that you can realistically capture based on your business plan and
SOM resources.
(INR 1,500 crore.)
2. Consider factors like competition, marketing efforts, and your market entry strategy. After
analyzing your competitors and planning your marketing campaigns, you estimate that you can
capture 15% of the urban sneaker enthusiast market in major Indian cities.
3. This would be your SOM, which is INR 1,500 crore.
In this example:
•TAM: INR 50,000 crore (the total sneaker market in India)
•SAM: INR 10,000 crore (the urban sneaker enthusiast market in major Indian cities)
•SOM: INR 1,500 crore (the portion you can capture in major Indian cities)
Customer Persona
Goals: Personality:
•Acquire unique and stylish sneakers to enhance their personal style. •Trend-savvy: Keeps up with the
•Stay updated on limited-edition releases and collaborations. latest sneaker trends and fashion.
•Connect with fellow sneaker enthusiasts and build a sense of community.
•Tech-savvy: Comfortable with
online shopping and social media.
•Social: Enjoys sharing sneaker
collection and insights with peers.
Frustrations: •Creative: Values self-expression
•Difficulty finding rare or limited-edition sneakers in local stores. through unique sneaker choices.
•Lack of a dedicated platform to connect with like-minded sneaker enthusiasts.
Age:
•Overwhelmed by the vast variety of sneakers and limited guidance.
Typically in the 18-35 age range, but Motivations
age may vary. • Motivated by the desire to express their
unique style through sneakers.
Occupation: • Inspired to build connections with
•Often students, young professionals, others who share their passion.
or creative individuals. • Seeks a convenient platform to discover
•May work in tech, fashion, or the
Bio: and purchase rare sneakers.
arts.
•A young professional in their mid-20s working in the tech industry.
•Lives in Mumbai and loves exploring the city's street culture.
Location: •Has a growing collection of sneakers, with a particular interest in retro and limited- Ethos:
•Resides in major Indian cities like edition releases. • Values quality and uniqueness in
Mumbai, Delhi, Bengaluru, etc. •Enjoys attending sneaker events and collaborating with local artists. sneakers.
•May also be from smaller cities but • Seeks authenticity and appreciates
limited-edition releases.
has access to online shopping.
 I would LOVE it if:

Value Proposition Canvas ? What would make the customer happy?

? What do the clients want when facing the problem?
What do you offer that makes the customers happy?
•Unique and Curated Sneaker Selection: We offer a handpicked 1. What would make the customer happy?
•Exclusive sneaker releases.
collection of rare, stylish, and limited-edition sneakers that cater to our
•Convenient online shopping.
customers' passion for unique footwear.
•A thriving sneaker community.
•Community Engagement: We provide a platform for sneaker
•Personalized recommendations.
enthusiasts to connect, share their passion, and stay updated on
•Sustainable sneaker options.
releases, fostering a sense of belonging and happiness.
•Personalized 2. What do clients want when facing the problem?
Shopping Experience: Our data-driven
•Access to rare sneakers.
recommendations help customers discover sneakers that match their
•Convenience and accessibility.
style and preferences, enhancing their satisfaction and happiness.
•Community and connection.
•Guidance and personalization.
•Eco-friendly options.

I would WANT:
What is the product or service that
you are offering? GAIN CREATORS FIT GAINS What do the clients do (actions) when facing the problem?
•Sneaker Online Store: We offer a
comprehensive online store where PRODUCT/ •Clients seek rare sneakers.
customers can explore, purchase, and SERVICE JOBS
•They explore various retail options.
interact with a curated selection of •They join sneaker communities.
sneakers. PAIN KILLERS PAINS •They research sneaker trends.
•They look for sustainable choices.

I would HATE it if:

Which features of your offering relieve the customer's pains?
•Solves Limited Availability Pain: Our store addresses the What are the pains of the clients when facing the problem?
frustration of limited availability by providing access to rare and •Missing out on desired sneakers due to scarcity.
sought-after sneakers. •Dealing with inconvenience in traditional shopping methods.
•Eliminates Inconvenience: We relieve the inconvenience of •Feeling isolated in the sneaker culture.
traditional shopping by offering a user-friendly online platform •Struggling to navigate the overwhelming variety of choices.
accessible 24/7. •Being concerned about the environmental impact of their sneaker choices.
•Community Building: Our platform alleviates the isolation felt
by sneaker enthusiasts, creating a community where they can
engage and connect.
•Personalization: We ease the overwhelming variety of choices
by offering personalized recommendations based on customer
preferences, reducing decision fatigue.
Solution
Describe your Solution: List the Benefits of Your solutions:
We offer a comprehensive online sneaker store that caters to the unique
needs of sneaker enthusiasts in major Indian cities. Our platform •Access to Rarity: Customers gain access to rare and
combines convenience, community, personalization, and sustainability to
enhance the sneaker shopping experience. limited-edition sneakers they might otherwise miss out
The details of our offering consist of: on.
•Convenience: Shopping is made convenient and
• Curated Sneaker Selection: We provide a carefully curated collection
of rare, stylish, and limited-edition sneakers that are difficult to find accessible, saving customers time and effort.
elsewhere. •Community: Customers can connect with like-minded
• Community Hub: Our platform serves as a thriving community hub sneaker enthusiasts, fostering a sense of belonging and
where sneaker enthusiasts can connect, share their passion, and stay shared passion.
updated on the latest trends and releases. •Personalization: Tailored recommendations simplify
• Personalized Recommendations: We leverage data-driven algorithms the shopping process, reducing decision fatigue.
to offer personalized sneaker recommendations, making it easier for •Sustainability: We address environmental concerns by
customers to discover sneakers that match their unique style.
offering eco-friendly sneaker options, aligning with
• Convenient Online Shopping: Customers can browse and purchase
sneakers from our user-friendly online store, eliminating the
customers' values and contributing to a greener world.
inconveniences of traditional shopping methods.
• Sustainability Focus: We offer eco-friendly sneaker options,
addressing environmental concerns and providing sustainable choices.
Competition Analysis
Benefits Competitor 1 Competitor 2 Competitor 3 Competitor 4 Your Venture
Product Wide variety of Extensive collection of Premium, high-quality Specialized in Diverse sneaker
sneakers, including budget-friendly sneakers with limited sustainable and eco- collection, curated for
exclusive collaborations. sneakers. editions. friendly sneakers. different styles and
sizes.

Price Mid-range prices with Affordable prices Higher-end pricing due Slightly higher prices Competitive pricing,
occasional sales and targeting budget- to the premium nature of due to the use of occasional discounts,
discounts. conscious customers. the products. sustainable materials. and transparent costs.
Branding channels Active social media Strong online Luxury branding, Emphasizes eco- Active engagement on
presence, influencer advertising and affiliate exclusive events, and friendliness through social media, influencer
collaborations. marketing. sponsorships. various marketing partnerships, and
channels. strategic emails.
Packaging Eco-friendly packaging Standard packaging with Elegant, luxurious Environmentally Eco-friendly, visually
with a personalized a focus on reducing packaging enhancing the conscious packaging appealing, and secure
touch. waste. unboxing experience. made from recycled packaging.
materials.
Market reviews Positive reviews for Mixed reviews Exceptional reviews for Positive reviews Positive customer
product quality and regarding product product quality and highlighting the reviews, highlighting
customer service. quality and customer exclusivity. commitment to satisfaction and prompt
service. sustainability. issue resolution.
UVP Exclusive collaborations Affordable pricing and a High-quality, limited- A focus on sustainability Personalized sneaker
and personalized wide range of budget- edition sneakers for the and eco-friendly sneaker recommendations and an
packaging. friendly sneakers. luxury market. options. engaging community
platform.
Lean Canvas
UNFAIR
PROBLEM SOLUTION ADVANTAGE CUSTOMER SEGMENTS
Limited availability of An online platform Strong industry Sneaker enthusiasts,
desired sneakers, offering a diverse UNIQUE VALUE relationships, a well- fashion-conscious
inconvenience, lack of selection of sneakers, PROPOSITION established online individuals, athletes, and
community, and personalized Personalized sneaker presence, and exclusive environmentally conscious
sustainability concerns. recommendations, recommendations, an collaborations. consumers.
community engaged community
engagement, and eco- platform, hassle-free
friendly options. returns, and a focus on
sustainability. CHANNELS
KEY METRICS Social media, influencer
EXISTING Sales revenue, HIGH-LEVEL partnerships, email
ALTERNATIVES conversion rate, CONCEPT marketing, and
Customers search multiple customer satisfaction, A customer-centric online collaborations with EARLY ADOPTERS
stores, endure community sneaker store offering a sustainable brands. Sneaker enthusiasts looking
inconveniences, rely on engagement, and curated range, personalized for unique and limited-
online communities, face sustainability impact. experience, and edition releases, and
personalization challenges, sustainability focus. sustainability-minded
and struggle to find consumers seeking eco-
sustainable options. friendly options.

COST STRUCTURE
REVENUE STREAMS
Includes product sourcing, website maintenance, marketing, employee
Mainly from sneaker sales, membership fees (if applicable),
salaries, packaging, and sustainability efforts.
collaborations, merchandise, advertising, and sustainability partnerships.
 Business Model
1.Start with Customer Segmentation:
1. Identify target customer segments: sneaker enthusiasts, fashion-forward individuals, athletes, and eco-conscious consumers.

2.Move to Value Proposition:

1. Craft a unique value proposition based on personalized sneaker selection, community engagement, and sustainability focus.

3.Utilize Customer Channels:

1. Use social media, influencers, and email marketing to engage and attract customers.

4.Generate Revenue Streams:

1. Earn revenue through sneaker sales, membership fees, collaborations, merchandise, advertising, and sustainability partnerships.

5.Conduct Key Activities/Resources:

1. Curate a diverse sneaker collection, optimize the online platform, engage with the community, and establish sustainability partnerships.

6.Allocate Costs (Cost Structure):

1. Distribute costs to product sourcing, website maintenance, marketing, employee salaries, packaging, and sustainability initiatives.

7.End: Business Model Operational:

1. The business model is complete, and the venture is operational, attracting, serving, and retaining customers while generating revenue.
 SneakElite - Minimum Viable Product (MVP) Description:

Product/Service Description:
Our MVP is "SneakElite," a web-based platform revolutionizing the sneaker shopping experience. SneakElite offers an extensive range of sneakers,
personalized recommendations, a community forum, and a strong focus on sustainability. Tailored for sneaker enthusiasts, fashion-forward individuals, athletes,
and eco-conscious consumers, SneakElite is your ultimate destination for sneakers.

Website Description:
Our website boasts a captivating landing page, featuring top sneakers and highlighting our unique value proposition. Users can explore the comprehensive
product catalog, browse personalized recommendations, engage in the community forum, and view authentic testimonials from satisfied customers.

Product Functionality:
1.Browsing and Selection:
1. Users enjoy seamless browsing, accessing a vast collection categorized by brand, style, and activity.
2. Filters based on size, color, and price range assist users in finding their ideal pair.
2.Personalized Recommendations:
1. During onboarding, users input their style preferences and favored brands.
2. SneakElite's smart algorithm provides tailored sneaker suggestions based on their preferences and past purchases.
3.Community Interaction:
1. Users can participate in vibrant discussions, share insights, and connect with fellow sneaker enthusiasts.
2. Interaction features like liking, commenting, and following members amplify the sense of community.

How Customers Use the Product:

4.Users land on the engaging landing page and navigate to the product catalog or explore personalized recommendations.
5.Considering their preferences, they browse sneakers and find the perfect match.
6.Sneaker enthusiasts engage in the community forum, discussing trends, sharing experiences, and forming connections with like-minded individuals.
7.Delighted users proceed to a seamless checkout process to finalize their purchase.
 MVP Validation
What is your MVP Conclusion:
The MVP for SneakElite is a basic web platform offering a curated range of sneakers, personalized
recommendations, and a community forum. It aims to validate user interest, engagement, and purchase Persevere
behavior in the sneaker market.
Pivot
Test Details:
Not conclusive
How long will we test this MVP? The MVP validation will run for 6 weeks.

Who is our target audience for the test? How many of them? Sneaker Based on the results, we conclude that SneakElite should persevere. The MVP successfully
enthusiasts, aged 18-35. We aim to reach 1000 potential users. attracted and engaged the target audience, resulting in purchases and positive
recommendations.
How will we get to that audience?
We will leverage targeted social media advertisements, sneaker forums, and partnerships with sneaker
influencers to reach the target audience.

Results of Test: Realizations / Insights:

•Community Engagement: Users highly valued the community forum, showcasing the
Did enough customers buy? Why or why not?
importance of fostering a sense of belonging and knowledge sharing.
120 users made purchases during the test. The simplicity of the purchase process and the
enticing range of sneakers drove conversions. •Sustainable Sneakers: Incorporating more sustainable and eco-friendly options in our
Did customers pay the price we expected? Why or why not? product range can further attract environmentally conscious customers.
Customers found our prices competitive and were willing to pay the expected amounts for the
•Mobile Experience: Optimizing the platform for mobile devices is crucial, as a
unique offerings.
significant portion of users accessed SneakElite via mobile.
Did customers come back to our product or show interest in doing so? Why or
why not?
45% of users returned to explore more sneakers, indicating initial interest and Next Steps:
satisfaction with the platform. 1.Enhanced Features: Add advanced search and personalization options.
2.Mobile Optimization: Ensure a seamless mobile user experience.
Did customers recommend our product to others or evangelize about it? Why or why not? 3.Sustainable Collections: Collaborate with eco-friendly sneaker brands.
70% of users recommended SneakElite to fellow sneaker enthusiasts, emphasizing the platform's 4.Community Building: Engage users through Q&A sessions and live events.
value and community engagement. 5.Feedback Integration: Implement a continuous feedback system for improvements.
 Customer Sales Funnel
Sales Plan
TARGET MARKET:
Sneaker Enthusiasts: 1,000,000
Fashion-forward Individuals: 800,000 Customer Acquisition Plan
Athletes: 600,000 1 2 3 4 5
Eco-conscious Consumers: 500,000
LEADS: Target Customer Target Customer Channels to be used Estimated number Estimated cost to
Segment (Type) Segment to attract the target of leads convert these
Sneaker Enthusiasts Engaged: 100,000 (10% (Number) customer segment leads to actual
conversion rate) customers
Fashion-forward Individuals Engaged: 80,000
(10% conversion rate)
Athletes Engaged: 60,000 (10% conversion
rate) Sneaker Social Media
1,000,000 50,000 500,000
Enthusiasts Advertising
Eco-conscious Consumers Engaged: 50,000
(10% conversion rate) Fashion-forward Influencer
800,000 40,000 400,000
Individuals Collaborations
Sports Events &
OPPORTUNITIES/PROSPECTS: Athletes 600,000 30,000 300,000
Sponsorships
Qualified Leads Considering a Purchase:
30,000 (50% conversion rate) Eco-conscious Sustainable Lifestyle
500,000 25,000 250,000
Consumers Campaigns
Potential Customers in Decision-
making: 24,000 (80% conversion rate)

CUSTOMER:
Successful Conversions: 19,200 (80% conversion rate from
opportunities/prospects)
Retained Customers: 15,360 (80% retention rate)
 Go-to-Market Strategy
Social Media Presence:
We maintain an active and engaging presence on popular social media platforms:
•Facebook: Daily updates, featuring new products, promotions, and user testimonials.
•LinkedIn: Sharing industry insights, partnerships, and updates on sustainable practices.
•Instagram: Visual content showcasing the latest sneaker releases, trends, and lifestyle.
•Twitter: Real-time updates, engaging with the sneaker community, and sharing promotions.
•YouTube: Regularly posting engaging videos, including branding, product showcases, and customer testimonials.

Positioning Statement:
"Discover Your Style, Step Ahead. SneakElite brings you the trendiest and most sustainable sneakers, redefining your
stride. Find your perfect pair and embrace comfort, fashion, and a greener tomorrow."

Action Plan - Reaching Sales/Customer Targets (Next Year):

1.Quarter 1 (Months 1-3):
1. Social Media Blitz: Intensive content creation and advertising campaigns on all major platforms.
2. Collaborations: Partner with influencers and fitness enthusiasts to expand brand visibility.
2.Quarter 2 (Months 4-6):
1. Customer Contests: Engage the audience with contests, encouraging user-generated content.
2. Email Campaigns: Targeted email marketing to nurture leads and drive conversions.
3.Quarter 3 (Months 7-9):
1. Exclusive Discounts: Offer time-bound discounts to stimulate purchases and attract new customers.
2. Participation in Events: Sponsor or participate in fitness and lifestyle events for brand exposure.
4.Quarter 4 (Months 10-12):
1. Customer Loyalty Programs: Launch loyalty programs to retain existing customers and incentivize repeat purchases.
2. Holiday Campaigns: Create festive-themed campaigns and bundles to boost year-end sales.
 Go-to-Market Strategy

Sales & Distribution Model:

Sales Channels:
1.Online Store (Website): Primary sales channel, offering the complete product range, personalized
recommendations, and seamless purchasing experience.
2.Marketplaces (e.g., Amazon, Flipkart): Partnering with popular e-commerce platforms to tap into their extensive
customer base.
3.Exclusive Sneaker Drops: Periodic exclusive sneaker releases to create a sense of urgency and drive sales.
Distribution Channels:
4.Warehousing and Direct Fulfillment: Maintain dedicated warehouses for efficient order processing and direct-to-
customer shipping.
5.Retail Partnerships: Collaborate with select retail stores for in-store purchases and brand visibility.
6.Sustainable Partnerships: Partner with eco-friendly retailers aligning with our sustainability values.
Start-up Costs FINANCIAL PLAN
Category Cost (in INR)
Setting up the Business
- Consultant Fees 50,000
Explanation:
- Business Registration Fees 30,000
1.Start-up Costs:
- Website Related 70,000
1. Setting up the Business: This includes costs related to consulting,
- Licenses 20,000 business registration, website development, licenses, and other initial
- Other Costs 30,000 setup requirements.
2. Equipment: Initial investment in essential equipment for day-to-day
Equipment operations.
Equipment 150,000 3. Starting Operations: Initial marketing, promotional, and operational
costs.
2.Startup Capital:
Starting Operations 300,000
1. Equity Investment: The capital injected into the business by the founders
- Marketing and Promotional Costs 150,000 or investors.
- Supplies and Raw Materials 70,000
2. Loans: Any loans secured to fund the startup.
3.Totals:
- Office Supplies 30,000
1. Total Set-up Cost: The total expenses incurred for setting up and
- Working Capital 50,000
initiating operations.
2. Surplus Funds: Funds available after the set-up, i.e., Startup Capital -
Startup Capital: Total Set-up Cost.
Equity Investment 500,000 3. Additional Funds Needed: The additional capital required to cover any
Loans 300,000 shortfall in the set-up cost, ideally zero or a positive value indicating
Total Startup Capital 800,000
surplus funds.

Totals:
Total Set-up Cost 650,000
Surplus Funds 150,000
Additional Funds Needed 0
Forecast P&L

Explanation:
•SALES: Monthly sales projections for cash sales, collections from accounts, and other cash receipts.
•COGS (Cost of Goods/Services Sold): Monthly costs associated with producing goods/services.
•Gross Profit: Calculated by subtracting COGS from total sales.
•Operating Expenses: Monthly expenses including salaries, marketing, utilities, etc.
•Net Profit/Loss: Calculated by subtracting total expenses from gross profit.
•Profit Margins (%): Calculated to understand the profitability and efficiency of the business.
This Profit and Loss Forecast provides a detailed monthly breakdown of sales, costs, expenses, profits, and profit margins for SneakElite over one year. It's essential for
financial planning and decision-making to ensure the sustainability and growth of the business.
Financial Projections

Parameters Value
Number of Existing Shares 1,000,000
Amount to be Invested (INR) 10,000,000
Earnings After 5 Years (INR) 110,926,000
P/E Ratio 10 (industry average)
Discount Rate 0.08 (8%)
Number of Years 5

Parameters Value
Estimated Terminal Value (INR) 1,109,260,000
Present Value (INR) 9,028,921
Required Ownership
10%
Percentage
Number of Shares Needed by
100,000
Investor
Share Price (INR) 90.29
Unit Economics
P&L/Unit for Year 1: Unit Economics for Year 1:
Parameters Value (INR) Parameters Value (INR)
Revenue per Unit 3,000 CAC (Customer Acquisition
800
COGS per Unit 2,000 Cost)

Gross Profit per Unit 1,000 CLV (Customer Lifetime Value) 2,400

Gross Profit Margin per Unit 33.33% ARPU (Average Revenue Per
3,000
User)
Operating Costs per Unit 600
Operating Profit per Unit 400
Explanation:
•CAC (Customer Acquisition Cost): Cost to acquire a customer
Explanation: during Year 1.
•Revenue per Unit: Revenue generated from each unit sold •CLV (Customer Lifetime Value): Total value a customer brings to
during Year 1. the business during their entire relationship with the company.
•COGS per Unit (Cost of Goods Sold per Unit): Cost •ARPU (Average Revenue Per User): Average revenue generated
associated with producing each unit. per user during Year 1.
•Gross Profit per Unit: Profit earned from each unit after
deducting COGS from the revenue.
•Gross Profit Margin per Unit: Percentage of gross profit from
revenue per unit.
•Operating Costs per Unit: Average operating costs incurred for
each unit.
•Operating Profit per Unit: Profit earned from each unit after
deducting operating costs.
Unit Economics
Some key assumptions for SneakElite for the first year (Year 1):
1. Sales Growth Assumption:
Assuming a moderate sales growth rate of 20% per month.
2. COGS (Cost of Goods Sold) Assumption:
Cost of production and procurement assumed to be 66.67% of the revenue per unit.
3. Operating Costs Assumption:
Considering all operating expenses including salaries, marketing, utilities, etc., to be 20% of the revenue per unit.
4. Customer Acquisition Assumption:
Customer acquisition cost (CAC) estimated based on marketing and promotional expenses, assuming a certain number of customers are acquired through these efforts.
5. Customer Retention Assumption:
Assuming a retention rate of 70%, indicating that 70% of the customers acquired in a month will continue to make purchases in the subsequent months.
6. Customer Lifetime Value (CLV) Assumption:
Calculated based on the average revenue generated by a customer in a month multiplied by the average customer lifespan (considered as 12 months for this calculation).
7. Discount Rate Assumption:
Using a standard industry discount rate of 8% to calculate the present value of earnings.
8. Share Price and Ownership Assumption:
Assuming the share price and ownership percentage based on the estimated terminal value, present value, and investor's requirements.
Team Composition
Team member 1:
Anirudh Jain

Role/Position:
CEO

Key Strengths and abilities: What makes us a good team to solve the problem we
chose?
1.Research Skills: Proficient at gathering and analyzing relevant information. While I am working independently on this project, my
2.Self-Motivation: Independent, goal-driven work ethic. combination of skills, abilities, and expertise makes me well-
3.Project Management: Efficient task organization and planning. equipped to tackle the chosen problem effectively. My self-
4.Adaptability: Flexible and responsive to changing project needs. motivation, research skills, adaptability, and results-oriented
5.Creativity: Innovative problem-solving and idea generation. approach ensure a strong foundation for problem-solving and
achieving project goals.
6.Communication: Clear and effective written and verbal communication.
7.Technical Proficiency: Relevant technical skills and software expertise.
8.Attention to Detail: Diligent and thorough in project tasks.
9.Time Management: Strong time allocation and deadline adherence.
10.Critical Thinking: Analytical and well-informed decision-making.
Thank You!