Paris & I - Case Study

Paris & I Case Study Lilac and Grey Campaign

 

Overview

Paris & I is a women's activewear company based in Australia.
 
The Directors of the brand approached us to assist with shaping an understanding of the financial side of their business. The primary query related to a significant portion of cash tied up in stock and a lack of clarity as to profit margins. The team required a detailed review of their entire value chain to identify where they could improve those margins, address any inefficiencies, and understand what they could afford as a marketing CPA (Average Cost of Paid Ads per Sale of a Product). 
    

Strategy

 

Phase 1 - Lite Financial Plan (4 weeks):

 

To kickstart the consultancy, we conducted a detailed analysis on existing manufacturing processes, evaluated market perception, and considered an outsourcing model. We decided to maintain an Australian-made model and negotiate improved terms with our local suppliers and amend prices accordingly. We identified and rectified marketing CPA issues, facilitating productive conversations with Paid Ad Specialists to determine effective and realistic targets.
We worked with the Directors to establish personal and business budgets to ensure consistency and growth.

 

Phase 2 - Implementation & Refinement (6 months):

 

In the midst of the consultancy, we worked on a marketing strategy to reduce stock levels and generate cash to facilitate a refinement of brand identity (one of the other packages offered by pland). Moving forward, we will be working on range planning, buying plans, ongoing design, and marketing to match the brand's price point with creative appeal to drive attraction.

 

Results

 

As a result of the Financial Consultancy and additional brand refinement, we improved the gross profit margin from 55% to 70%, before any marketing spend. There was no impact on the top line and revenue was maintained without further discounting. Phase 2 is ongoing to strengthen brand identity and ensure scalability with paid advertising.
 
We are still highly engaged by this brand to implement ongoing strategy. With the right changes and highly-committed Directors, we are confident we can scale this Australian-Made business.

 

Find Paris & I HERE.