Atroix Gifts

Product entry plan

• Submitted by:
• Group-18
• JOSEPH THOMAS KURISUNKAL (1810025)
• SURAJ ANTONY (1810049)
 • Atriox Gifts
• Mission: bridge the gap between people and highly
customizable, affordable, high-quality table top gifts
• Value proposition: high customizability
• Product is sold through the online website only
Company • Aiming to provide the product as a service
Description • Customers can subscribe to us and we will provide
gifts in their names to people
• Budding start-up aiming dynamic and healthy
environment for employees and encourage
innovation, diversity and smart work
• Make a healthy profit to generate a good return for
the investors, employees and founders
 • Increased the sales volume of personalized
decoration gifts
• Overall process of gifting made convenient
and the efficient by tech
• Photo personalized gifts and non-photo
Market personalized gifts
analysis • Market drivers in Singapore
• Growing gift giving culture, increasing
demand of seasonal decorations, variety of
population and religions and increasing
seasonal days.
 • Growth of the e-commerce sector-online
digital transformation-internet penetration-
smartphone usage
• Global gifting industry is currently estimated
to be $475 billion
Market • Corporate gifts 20% and personal gifts 80%
• Corporate sector is growing at over 200%
analysis per annum
• New age customers-emerging corporate
gifting market-seamless customer
experience- tech and data analytics-
evolution of digital marketing
 Flat structure organization

Four teams

Organization Design-innovative product designs and ideas

and
Manufacturing-manufacturing processes, plant layout,
management resource handling

Marketing-digital marketing (SMM, SEO, website

maintenance etc)

Sales-delivery operations, business development for

B2B segment
Service and product
lines

• We design, manufacture, and sell personalized

tabletop widgets, acceptable in the corporate
workspace.
• We leverage data for customization.
• We also have a product as service (PaaS) offering,
where we sell the gifting experience.
• The PaaS can be availed a la carte or on
a subscription basis.
• Buyer can subscribe to a specific number
of gifts that can be sent to different
persons for different events as per
buyers choosing within that year.
• The PaaS is further bundled with flowers
and musicians on demand by the buyer.
Production
processes
• We use 20, Original Prusa I3 MK3S
FDM 3D printers.
• We use filament splicer to join
different color filaments.
• We have over 1000 base designs.
An intersection between the utility,
base design and color, gives the
personalization.
• Lead time for splicing and molding
is 30 min give or take 5 minutes.
• Grab our delivery partner, can
deliver anywhere in Singapore within
30 minutes.
Base designs

• Living creatures(100)
• e.g., Animals; Birds; Fish…
• Universe(100)
• e.g., Earth; Sun; Moon;
Astronaut; Spaceship…
• Sports
• e.g., River rafting, Sky diving,
Polo, Golf…
• Historical Figures
• e.g., Caesar, George
Washington, Lee Kuan Yew…
Va l u e p r o p o s i t i o n
“for the hi-tech working
professionals we Atriox gifts gives
you personalized tabletop widgets
that can ensure wow effect to
gifting.”
Marketing and sales
• We use both ATL and BTL marketing to build brand and drive sales.
• To build brand awareness, product knowledge, positive brand
associations, we use mass marketing techniques via social media
platforms, TV, Radio, Print, Outdoor (billboards, banners, wraps etc),
Podcasts…
• To drive sales, and augment top line we use targeted marketing via
tailor made ads. The marketing strategies are direct email campaigns,
SEM & SEO, trade shows, Catalogs, Sponsorships etc.
• We use dual channels for selling. One is direct selling through our
online store and the other is through retail gift shops (franchises),
souvenir shops in museums, galleries, theme parks, hotels, etc.
Pricing

• We follow a skimming pricing strategy.

• the product is in the initial life cycle
• there are no direct competitors to our product/service
• we are targeting the innovators and early adopters
who are willing to pay a premium to avail this
product/service
• We choose the cost-plus technique to arrive at skimming
price
• Price per product is 9 SGD excluding tax and delivery;
margin is 50%.
• Later, through market survey we will find the
willingness to pay for different segments of the early
majority to set prices.
Market
projections
 Forecast and break-even

Description Units Variable costs

Raw materials $ 97,034.94
No of units sellable 91520 Labor used to produce product $ 3,60,000.00

Cost structure
Production facility expenses (rent+maintenance@20%) $ 7,200.00
Price (SGD) 8.5
Total variable cost $ 4,64,234.94
Revenue (SGD) 777920 Variable cost per unit $ 5.07

Cost (SGD) 5.64 Fixed costs

Expenses (SGD) 515556 Machinery cost $ 15,094.34
Strategic partnership fee (40% of Machinery cost) $ 6,037.74
Profit before tax (SGD) 262,364 Marketing expenses (200% of Machinery cost) $ 30,188.68
Total fixed costs $ 51,320.75
Start up tax exception scheme 3Y
Tax (SGD) 23352 Total cost for one year $ 5,15,555.70
Total cost per unit 5.633257191
Break even 2Y 9M Profit margin 50% 8.449885786
Considering a 20% CAGR & 17% tax
Company description
• With this large amount of SKUs, how big a problem the inventory will be?
• What will be your lead time?
• How will you make these items? Yourself, or a copacker?
• How does the customization happen?
• Is it a subscription model?
• Will it be available without subscription too?
• What is the costing structure?
• How will you market?
• Who are your competitors?
• How big is the market?