Wholesale trade of electronics,

Project description

Team

Business experience: 7 years.

The experience in this field: 1. 5 years

Strengths:

— attracting new customers;

— non-standard solution of problems;

— team building.

Business plan

Target audience:

owners of electronics stores, and radio equipment;

— purchasing managers of electronics stores, and radio equipment;

— aspiring entrepreneurs who are looking for a scope for business.

Investment required: 265 000 USD.

Net profit per month: 2 223 229рублей.

Advantages over competitors:

— constant availability of goods in stock;

fast shipping. Our record of speed of delivery of the goods to the transport company – 18 minutes of receipt of the order.

— promotional products (leaflets, banners, bags) to increase sales – for free.

— for orders of 100 000 rubles delivery is free.

married less than 1% and not have to send it back.

What we have now.

Turnover per month: 2-3 mln.

Main channel wholesale sales: website www.otsrus.ru and contextual advertising in Yandex.

Profitability: 11%.

Such low profitability obtained because of the purchase in Moscow. So we need 265 000 USD in order to buy 20,000 receivers in China (already have trusted suppliers, and this buy we've been doing, only in smaller quantities). Thus, we will have the opportunity to reduce the cost of receivers for our clients for 80 rubles (we checked that this increases wholesale sales in 1, 5 times) and increase the average margin from the sale of one receiver from 110 rubles to 210 rubles.

Our plan of action

1. To increase the number of visitors to the site to 8000 per month. This is possible by increasing the budget in Yandex and launch of contextual advertising in Google.

2. To increase conversion rates up to 7% by AB-tests.

3. By reducing prices to increase conversion to purchase from 12% to 18%.

4. To increase the average margins up to 25700 rubles through the purchase in China.