FASHLAB E-COMMERCE WEBSITE PROPOSAL PREPARED FOR FASHLAB, INC. STEVE BROWN VICE PRESIDENT OF MARKETING 180 NEW MONTGOMERY, FIFTH FLOOR SAN FRANCISCO, CA 94105 MAY 6TH, 2014
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TABLE OF CONTENTS 04 PROJECT OVERVIEW 06 UNDERSTANDING TARGET AUDIENCE 08 MARKET RESEARCH 13 COMPETITOR - ETSY 14 COMPETITOR - THREADLESS 15 COMPETITOR - DISTRICT LINES 16 COMPETITIVE MATRIX 18 PROJECT SCOPE 20 E-COMMERCE PLATFORM 26 MEASURES OF SUCCESS 28 OUR PHASES AND STEPS 34 OUR PHASES AND STEPS: SCHEDULE 36 BILLING PLAN 38 TERMS AND CONDITIONS 46 ABOUT ONE-EIGHTY 48 OUR PORTFOLIO PAGE 3
01. PROJECT OVERVIEW PAGE 4
PROJECT OVERVIEW INTRODUCTION One-Eighty is plesed nd would like to thnk FshLb for the opportunity to submit proposl for the design of FshLb s e-commerce site. Working together, we believe tht we cn crete site tht will meet the needs of FshLb. This proposl describes the technology, services, terms, nd schedule for the web site development of this project. WHAT IS FASHLAB FshLb is new strt-up business dedicted to designing, selling, nd celebrting the fusion of grphics nd fshion. It lso serves s n online community tht unites rtists nd fshion conscious people. PROJECT SUMMARY FshLb is currently looking for web design firm to ssist with their design nd development of n e-commerce website (from scrtch) tht lso includes proprietry design widget for simple customiztion of products for its users. One-Eighty is looking to build clen nd contemporry e-commerce site tht will focus on FshLb s hip nd svvy products nd lso the cretive rtwork customized by its rtists. Since FshLb is strt-up compny with no customer bse, it s importnt to build good first impression by giving users n exceptionl user experience nd lso by mking sure tht the site is fully working (with no bugs) when it s lunched. We wnt to leve good impression on customers first visit, hoping for return visits in the ner future. Also, while building n e-commerce site, it s importnt for us s designers nd developers to mke sure tht users feel secure while mking the trnsctions. PROJECT OBJECTIVES FshLb ims to be recognized s the number one online supplier of personlized pprel nd s provider of superb customer support. As n e-commerce site, FshLb s primry gol is to emphsize on sle. It is expected to hve totl sle of bout three million dollrs in the first yer. The success mesure is to be ble to estblish strong web presence, ttrct lrge numbers of users, effectively promote their products nd provide excellent nd economicl customer support. In the long run, FshLb is lso looking to develop n extensive customer bse nd spred brnd recognition. Our mission is to give FshLb professionl on-line presence by giving the users n exceptionl user experience with sophisticted interfce, intuitive nvigtion nd sclble solution to ll devices nd pltforms. PAGE 5
FASHL AB PROPOSAL BY ONE-EIGHT Y 02. UNDERSTANDING TARGET AUDIENCE PAGE 6
UNDERSTANDING TARGET AUDIENCE DEMOGRAPHIC FshLb s trget udience consists of cretive, fshion-conscious, 18 to 35-yers old, mle nd femle, who re looking for unique wys to express themselves through fshion. These women nd men re tech-svvy with expecttions of fst turnround times, high-qulity products, nd trendy designs. In the first yer, FshLb s trget udiences re primrily locted in the United Sttes. TARGET AUDIENCE: SHOPPERS The fshion-conscious people who re looking to purchse unique nd trendy clothing hve very innovtive style nd re hip nd knowledgeble bout fshion. They don t just purchse clothes just bsed on the brnd. But, they re unique individuls tht feel their style reflects their identity nd believe fshion is big prt of their everydy life. Comfort level with technology: high. TARGET AUDIENCE: ARTISTS They re the cretive individuls who re eger to design, mke, nd uplod their rtwork. They like to communicte through rt they crete nd be ble to wer the clothes they design. These rtists lso wnt to connect nd build friendship with like-minded people through this website. Comfort level with technology: high. PAGE 7
03. MARKET RESEARCH PAGE 8
MARKET RESEARCH ONLINE SHOPPING With the revolution of technology nd socil medi, people hve been spending more time on the Internet nd purchsing items online. U.S. Online Retil Forecst, 2012 to 2017 Online retil sles will grow t compound nnul rte of 10% from 2012-2017. As Forrester Reserch sys: By 2017, the web will ccount for 10% of U.S. retil sles. improving their websites nd services. This is prticulrly true of ctegories such s pprel nd jewelry, which hve integrted rich selling tools such s zoom, color swtching, nd configurtors, s well s office supply stores, which hve broder pyment options (e.g., smll business purchse orders online), nd subscription plns for their buyers. There re couple of resons why people like to shop online. For most of the buyers, online shopping is gret wy to sve money nd time. Online shopping llows users to shop from nywhere, t ny time. It sves trvel time nd gives the opportunity to shop t pece. They do not even hve to wlk or look for items in big stcks since ny clothing brnd is vilble online. Femles more engged in most top online purchse ctegories. percent of 18+ shopped online lst 30 dys Source: Forrester Reserch, sles in billions In the U.S., Forrester Reserch shows tht $291 billion online sles re expected by 2014. A compounded growth of 10% will be forecsted for the next five yers. Apprel, computers, nd consumer electronics will continue to be dominnt purchses.these three res mke up 40% of the current online sles which will not chnge in the ner future. Another report sys tht much of the growth in U.S. e-commerce sles comes from online retilers Other thn sving money nd time, they cn lso compre the rtes nd qulity of design by browsing through vrious online stores. This wy they get to buy the best clothes nd this is definitely not possible to do with retil stores. GENDER According to Nielsen, online shopping is populr mong both sexes, with lmost three-fourths of women (72%) nd more thn two-thirds of men (68%) hve shopped online in the pst 30 dys. Consumers of both sexes ge 35 to 54 hd the highest levels of online shopping ctivity (74%). Women led most online purchses ctegories except music, uctions nd computer hrdwre. Source: The Nielsen Compny, Q3 2010 PAGE 9
MARKET RESEARCH FshLb PROPOSAL BY ONE EIGHTY CUSTOMIZED APPARELS Ordering the custom-mde item hs trditionlly been n option only for bespoke nd couture customers. Creting individulized ptterns cn be time-consuming nd expensive. Some celebrities nd rich shoppers hve the luxury to hop on plne to Europe or Southest Asi to purchse custommde clothing. Although not everyone cn fford this lvishness. Technologicl dvnces hve creted nother lterntive: economicl customized pprels (cll it mss customiztion) for the middle mrket. Sizing lgorithms nd e-commerce enble compnies to offer vriety of designs nd fits t only slightly more thn similr off-the-rck prices. This wy consumers cn buy mde-to-order clothing nd shoes online. to fit ech individuls need. According to Forbes.com, The mde-to-order trend hs grown significntly in the lst decde, on ll levels of e-commerce, from solo opertions to multintionl mnufcturers. And it ppels to customers of ll ges. The prolifertion of online mde-to-order pprel suggests tht buyers re hungry for customized grments. While buying these goods online isn t likely to disrupt the retil industry, it is cler tht retil pprel compnies re busy creting new nd innovtive wys to rech beyond the trditionl brick nd mortr experience. Customized pprels re ll the rge these dys. With the convenience of Internet, we cn design our own t-shirt from scrtch nd hve it delivered stright to our door in just few dys. Customized pprel reches ll ges nd for vriety purposes, so the potentil consumer is much lrger. From sports tems to book clubs nd everything in between, everyone hs their own resons for customized pprel nd now there re compnies PAGE 10
MARKET RESEARCH THE GROWTH OF MCOMMERCE A new report from emrketer forecsts tblet spending in the U.S. to hit mighty $24 billion in 2013, before reching lmost $50 billion in 2015. Lbelling mobile devices s key component of the digitl shopping lndscpe, the study sttes tht mobile spending topped lmost $25 billion in 2012, with this representing yer-on-yer rise of 81% from 2011. emrketer is expecting this growth to continue in 2013, with mobile spending reckoned to increse by 55.7% yer-on-yer to ccount for 15% of ll retil ecommerce sles. US Retil Mcommerce Sles, 2011-2017 billions, % chnge & % of retil ecommerce sles It ppers tht this growth will lrgely be driven by tblets; however, with emrketer sying tht models like the ipd will produce the bulk of Mcommerce up until 2017. The reserchers define Mcommerce s ll purchses mde vi smrtphones, tblets, nd other mobile devices. However, this does not include trvel or events tickets sles. The firm sys tht U.S. consumers will spend $24 billion shopping on their tblets in 2013, nd expects this figure to lmost double by 2015. Such n increse will coincide with tblets ccounting for 9.4% of ll retil ecommerce sles this yer, nd for 16.9% by 2016. In conclusion, One-Eighty will give precise ttention to mobile, tblet, nd desktop experience eqully while designing nd building it. Source: emrketer PAGE 11
04. COMPETITIVE ANALYSIS PAGE 12
COMPETITIVE ANALYSIS HTTP://WWW.ETSY.COM/ ETSY Etsy is n e-commerce website focused on hndmde or vintge items, supplies, s well s unique fctory-mnufctured items. Their mission is to re-imgine commerce in wys tht build more fulfilling nd lsting world. Etsy sells vriety of hndmde items from jewellery to furniture. PROS Very clen nd professionl user interfce Attrctive nd eye-ctching interctive slideshows on homepge Good interction with socil medi Good trffic / good mount of users on the website Serch engine friendly CONS Inconsistent nvigtion br. When you re in the product pge, the ctegory nvigtion disppers. Users hve to go bck to use the top nvigtion. No distinct differences between the rtist nd the buyer. Inconsistency in product photos Lck of qulity control PAGE 13
COMPETITIVE ANALYSIS HTTP://THREADLESS.COM THREADLESS Thredless is n online community of rtists nd n e-commerce website bsed in Chicgo, Illinois. They sell t-shirts, rt prints nd iphone cses. Thredless designs re creted by nd chosen by n online community. Ech week, bout 1,000 designs re submitted online nd re put to public vote. After seven dys the stff reviews the top-scoring designs. If your design is chosen for print, you ll get pid nd the world gets to buy your rt. PROS Very good grid system Consistent product disply Distinct difference between shoppers (shop) nd rtists (prticipte) Big thumbnils showing the products Very good qulity control on the rtwork Good socil medi integrtion PAGE 14 CONS Very uncler wy of showing products on ech rtist s pge Difficult to red - no hierrchy Too mny typefces re being used on the site Not user friendly - while submitting new design, user hs to go through two pges in order to submit A lot of negtive spce on the webpge
COMPETITIVE ANALYSIS HTTP://WWW.DISTRICTLINES.COM// DISCTRICT LINES District Lines is dedicted to creting the world s most innovtive mrketplce. Their mission is to build n honest nd secure environment tht llows rtists to sell their products nd consumers to embrce their pssions. They hve vriety of products: t-shirts, wristbnds, outerwer, hedwer, CDs, posters, toys, housewres, stickers, etc etc. They lso sell items from populr Youtube strs nd Viners; they lso sell Pop-culture nd gming relted items too. PROS The uplod widget on the site is doing pretty good job Grid system on its homepge Distinct difference between shoppers ( shop ) nd rtists ( crete shirt ) CONS Lck of professionlism Distrctive bckground on ech pge The icons on its nvigtion br re very hrd to understnd nd distrcting The customized pge of ech rtist pge cn sometimes be distrction PAGE 15
FASHL AB PROPOSAL BY ONE-EIGHT Y 05. COMPETITIVE MATRIX PAGE 16
COMPETITIVE MATRIX FASHLAB ETSY THREADLESS DISTRICT LINES INTERFACE CLEAN & PROFESSIONAL GRID SYSTEM INTUITIVE NAVIGATION SLIDESHOW FEATURING PRODUCTS (We strongly recommend FshLb to hve n interctive slideshow tht fetures its ltest products on the homepge.) PRODUCTS FUNCTION PRODUCT DESCRIPTION PRODUCT CATEGORY SIZE AVAILABILITY PRODUCT COLOR OPTIONS SORT BY PRICE SHOPPING CART SOCIAL PAYMENT CUSTOMIZATION WIDGET (We will build user-friendly customiztion widget tht mkes the process of customizing rtwork esy nd pinless.) MOBILE COMMERCE (RESPONSIVE) GUEST SHOPPING ABANDONED SHOPPING CART WISH LIST LIKING / ADDING TO FAVORITE ADDING COMMENTS FOLLOWING ARTISTS BLOGGING SECURE PAYMENT ORDER TRACKING PAGE 17
06. PROJECT SCOPE PAGE 18
PROJECT SCOPE PROJECT SCOPE One-Eighty will design nd develop n e-commerce site for FshLb tht provides services such s: USABILITY DOCUMENTS Persons 1) Artists cn uplod their designs on the website for sle. 2) Users (or shoppers) cn visit the rtists works nd purchse them s needed. Ech type of user will hve different tsk flow depending on their needs throughout the website. Usbility Testing: We will conduct usbility testing fter Phse 02, Phse 03, nd Phse 04. Min Nvigtion 1) Homepge: Slideshow tht fetures new items nd specil promotions 2) Shop: Ctegorized by rtists nd products 3) Product: 1 templte for estimted 10,000 items 4) Artist: 1 templte for estimted 1,000 rtists 5) Crete / Uplod: Widget 6) Shopping Crt: Pyment & check-out 7) Account: Log-in to your ccount, trck orders 8) Blog: Updted posts by FshLb 9) Contct: Links to socil medi Estimted totl number of templtes: 12 Home, About Us, Ctegory, Product pge, Artist Profile, Uplod pge, Blog, Shopping crt, Pyment, Checkout, Register/Signup, Contct Us. SITE CONTENTS FshLb provides product s imges, corporte identity, guidelines including fonts, colors, grphic tretments, nd ll copywriting. One-Eighty reserves the right to modify the brnding, identity, nd imges. Interctive slideshow on the homepge. Artwork re generted by the rtists. DESIGN Sophisticted nd clen interfce, intuitive nvigtion, sclble solution, nd consistent interfce tht pirs the FshLb identity. TECHNICAL AND INFRASTRUCTURE Offer the most pproprite nd pplicble pltform/ web host for e-commerce. Provide sclble solutions cross ll browsers nd devices. FUNCTIONALITY/PROGRAMMING The website contins functions such s: shopping crt, shipping detils, stte sles tx inclusion, nd secure online pyment processing. User ccounts. Provide serch function cross the website. Sort products by ctegory. Emil confirmtion receipts to customers. A blogging pltform on the site for stff to post new updtes nd promotions. Approvl on uploded/personlized rtwork by FshLb stff for qulity control. Widget reference from Distric Lines Offer personliztion widget for users to personlize nd uplod products. Users will be ble to scle nd position rtwork on the widget. Options of color on products bse re lso provided. Options for users to subscribe for newsletter, or getting updtes on their fvorite rtists new uploded items. The site complies with Section 508 of the Workforce Investment Act of 1998. SEARCH ENGINE OPTIMIZATION SEO solutions nd consulttion is offered s n extr service for FshLb. SITE MAINTENANCE PLANS Short-term support for ny technicl issues during the first 30 dys fter the lunch is included. Sixteen hours trining for two key stff members is scheduled prior to lunch. WHAT S NOT INCLUDED Brnding identity & guidelines, content photogrphs, ll copywriting, nd rtwork. PAGE 19
07. E-COMMERCE PLATFORM There re severl pltforms tht meet FshLb s needs. We re compring Shopify, Mgento, nd Bigcommerce for the e-commerce pltforms, nd Bluehost nd Hostmonster for the hosting. We re, however, recommending Shopify s both the hosting & e-commerce pltform for FshLb becuse fter thorough reserch nd comprison, we found out tht Shopify hs the best fetures tht suit the needs of FshLb. Shopify lso offers unlimited hosting so it would be redundnt for FshLb to host the site on nother hosting pltform. PAGE 20
RECOMMENDED PLATFORM FOR E-COMMERCE: SHOPIFY SHOPIFY Shopify is complete e-commerce solution tht llows you to set up n online store to sell your goods. It lets you orgnize your products, customize your storefront, ccept credit crd pyments, trck nd respond to orders ll with few clicks of the mouse. RECOMMENDED PACKAGE: UNLIMITED PACKAGE $179 /month 2.25% ONLINE SWIPE + 30 CENT Estimted totl sles $3,000,000 Estimted credit crd pyment 80% ($2,400,000) Estimted credit crd trnsction fee 2,400,000*2.25% = $54,000 80,000 * 0.3 = $24,000 TOTAL = $78,000 Estimted other pyment methods 20% ($600,000) Shopify Annul Fee $2,148 Estimted totl fee $80,148 FEATURES Shopping crt Secure trnsction Free SSL certificte Fixed price / weight-bsed shipping Multiple pyment gtewys Unlimited hosting Serch engine optimiztion Trck nd nlyze product sles 24/7 customer service Blogging pltform Unlimited file storge Unlimited products Discount code engine No Trnsction fees Gift crds Abndoned crt recovery Rel-time crrier shipping Mobile commerce (responsive theme) Customer ccounts CLIENTS Shopify hs helped like-minded cretive compnies like Pop Chrt Lb, Tttly, Blck Milk Clothing, Hiut Denim, nd Hrd Grft to build their stores with very sophisticted interfces. PAYMENT Shopify hndles pyments directly, no third prty required. Mjor pyment methods like Mstercrd, Vis, Americn Express nd Pypl re vilble on Shopify. PAGE 21
RECOMMENDED PLATFORM FOR E-COMMERCE: SHOPIFY SHOPIFY SITE ANALYTICS Shopify Reports help you spend less time crunching numbers nd more time lerning how to boost your sles. Reports let you esily trck nd nlyze your product sles, orders, nd pyments. See which products re selling nd which ones ren t. Get better understnding of how your sles vry monthto-month. And esily export ny report for your spredsheets or ccountnt. CUSTOMER ACCOUNTS Encourge return shopping by enbling customer ccount cretion t checkout. Customers cn quickly log bck in for future orders. Ctegorize nd export customer lists bsed on their loction, purchse history, crt bndonment, nd more. Advnced fetures include the bility to choose s much or s little informtion s you need, crete new reports tht cn be shred with stff, nd filter your reports to find exctly wht you re looking for. DETAILED CUSTOMER PROFILES The Customer re in your shop dmin lets you lern more bout your customers nd their shopping hbits. You cn find their contct info nd order history t glnce. BLOGGING PLATFORM Shopify includes full website blogging pltform to help you get involved with your customer community. Publicize nd ctegorize rticles, crete lookbooks, encourge discussion, nd moderte comments on your Shopify blog. PAGE 22
RECOMMENDED PLATFORM FOR E-COMMERCE: SHOPIFY CONTENT DELIVERY NETWORK Shopify ws the first hosted ecommerce Web site solution to use content delivery network. A CDN is lrge network of servers plced cross the world to ensure your customers cn lod your website store quickly, no mtter where they re.our CDN is operted by Fstly, one of the most reputble CDN compnies. MULTIPLE LANGUAGES, TAXES AND CURRENCIES Choose from number of locl currencies nd Shopify will utomticlly hndle mjor country nd stte tx rtes. Shopify checkout comes in 50+ lnguges, nd you cn lwys trnslte your store s theme to suit your needs. ABANDONED CHECKOUT RECOVERY You cn choose to utomticlly send n emil to prospective customer who plced items in your store s shopping crt, but didn t complete their order. With pproximtely 1 out of 3 online orders bndoned during the checkout process, this feture cn help you drw visitors bck nd increse your sles. SEARCH ENGINE OPTIMIZATION Potentil customers must be ble to find your store using serch engines. With n SEO friendly CMS, Shopify supports best prctices like customizble H1, title nd met tgs nd SEO friendly urls. Shopify lso utomticlly genertes sitemps.xml files so new products nd site chnges re indexed nd show up on serch engines quickly. SHOPIFY MOBILE With Shopify Mobile you cn view ll vitl informtion bout your shop from your ios device. Check your sles sttistics, view products, orders, nd customer dt. PAGE 23
RECOMMENDED PLATFORM FOR E-COMMERCE E-COMMERCE PLATFORMS COMPARISON FASHLAB SHOPIFY (UNLIMITED PACKAGE) MAGENTO (ENTERPRISE PACKAGE) BIGCOMMERCE (PLATINUM PACKAGE) SHOPPING SHOPPING CART SECURE TRANSACTION SHIPPING DETAILS STATE SALES TAX ISSUES ORDER TRACKING ABANDONED CART RECOVERY STORAGE UNLIMITED FILE STORAGE UNLIMITED PRODUCTS PRODUCT DATABASE ACCOUNTS MERCHANT ACCOUNT (UNLIMITED) CUSTOMER ACCOUNT SECURE USER DATABASE OTHERS 24/7 SUPPORT SEARCH ENGINE OPTIMIZATION COMMUNITY-BUILDING MOBILE COMMERCE AUTOMATIC STATISTIC MULTI LANGUAGES PAYMENT 0% TRANSACTION FEES CREDIT CARD TRANSACTION FEES 2.25% + 30c online 2.345% (verge) 2.65% + 30c 2.15% swipe PRICE $179/MONTH $2,148/ANNUAL $15,500/ANNUAL $199.95/MONTH $2,400/ANNUAL TOTAL ESTIMATED PRICE (AFTER TRANSACTION) $80,148/ANNUAL $85,850/ANNUAL $90,000/ANNUAL PAGE 24
RECOMMENDED PLATFORM FOR E-COMMERCE HOSTING PLATFORMS COMPARISON FASHLAB SHOPIFY (UNLIMITED PACKAGE) HOSTMONSTER (ENHANCED PACKAGE) BLUEHOST (DEDICATED ENHANCED PACKAGE) SHOPPING SHOPPING CART SECURE TRANSACTION SHIPPING DETAILS STATE SALES TAX ISSUES ORDER TRACKING ABANDONED CART RECOVERY MUST INSTALL 3RD PARTY E-COMMERCE PLUGIN MUST INSTALL 3RD PARTY E-COMMERCE PLUGIN STORAGE UNLIMITED FILE STORAGE UNLIMITED PRODUCTS PRODUCT DATABASE ACCOUNTS MERCHANT ACCOUNT (UNLIMITED) CUSTOMER ACCOUNT SECURE USER DATABASE OTHERS 24/7 SUPPORT SEARCH ENGINE OPTIMIZATION COMMUNITY-BUILDING MOBILE COMMERCE AUTOMATIC STATISTIC MULTI LANGUAGES PAYMENT 0% TRANSACTION FEES CREDIT CARD TRANSACTION FEES 2.25% + 30c online DOESN T APPLY DOESN T APPLY 2.15% swipe PRICE $179/MONTH $2,148/ANNUAL $99.99/MONTH $1,200/ANNUAL $99.99/MONTH $1,200/ANNUAL TOTAL ESTIMATED PRICE (AFTER TRANSACTION) $80,148/ANNUAL (NOT APPLICABLE) (NOT APPLICABLE) PAGE 25
08. MEASURES OF SUCCESS PAGE 26
MEASURE OF SUCCESS MEASURING SUCCESS FshLb expects totl sle of bout three million dollrs in the first yer with the verge purchse being in the rnge of $25-$35. One-Eighty is ecsttic to be prt of chieving this success. To mesure the success of FshLb, One-Eighty hs decided to look t the key fctors such s: Number of unique visitors monthly Completed trnsctions Number of users registered to FshLb Abndoned crts Time users spent on the site SITE ANALYTICS With our recommended e-commerce pltform, Shopify, offers n dvnced store sttistic tht llows to keep trck of the website sles nd progress over time. Also it cretes esy to understnd reports to indicte the mesure of success. UNIQUE VISITORS FshLb s direct competitor, Etsy, hs over one million ctive online shops nd more thn 60 million unique monthly visitors, mking it n indisputble exmple of successful e-commerce pltform. We re looking to help FshLb chieve the sme level of success in the long run. FIRST YEAR We re expecting bout 500,000 unique visitors per month. COMPLETED TRANSACTIONS According to Nielsen Normn Group, during the dot-com bubble round yer 2000, e-commerce sites typiclly hd verge conversion rtes round 1%. In 2013, e-commerce sites verged round 3% conversion rtes nd we re positive tht FshLb is ble to chieve the sme. (Conversion rte: completed trnsction / number of unique visitor) NUMBER OF USERS REGISTERED TO FASHLAB ARTISTS We re expecting number of 1,000 rtists in the first yer. REGULAR USERS (possible shoppers) We re expecting number of 50,000 registered users in the first yer. ABANDONED CARTS Bymrd Institute hs compiled 24 different studies nd hs found tht the verge shopping crt bndonment is whopping 67.89%. We expect to bring down the number to 50% in the first yer. 40% of crt bndonment hppens when shoppers re informed of shipping nd hndling costs lter in the process. Including the shipping policy on ech product pge llows users to mke informed decisions before they finlize the purchse. Shipping policy on Etsy One of FshLb s direct competitors, Etsy, lists shipping costs for the products ccording to the loction, so tht shoppers from ll over the world know exctly how much they will py t the end. We strongly recommend FshLb to follow the sme method. TIME USERS SPENT ON THE SITE The verge time spent indictes how long users spend on ech pge. It lso reflects the qulity of the website. Between 2008 nd 2012, the verge mount of time spent per website online decresed by 27 seconds from 3 minutes nd 16 seconds to 2 minutes nd 49 seconds. ONE-EIGHTY mesures the success of FshLb using the 2 minutes nd 49 seconds benchmrk. PAGE 27
09. OUR PHASES AND STEPS PAGE 28
OUR PHASES AND STEPS OUR METHODOLOGY Over mny yers of industry experience, we hve developed methodology tht pplies to ll projects regrdless of size, length, nd type of service. This continuous process, nmely our methodology, begins with lerning the project objectives nd ends with gret chievement. STRATEGY PLANNING Upon receiving the request for proposl from FshLb, our tem hs spent some time studying nd ssuring tht we, s the designers nd developers, re confident tht we will be ble to deliver n outstnding outcome tht meets the objectives of FshLb. This project is divided into four phses: Structure - Gther informtion, nlysize content, crete sitemp nd wirefrmes. Design - Crete the visuls, user interfce nd site mockups. Build - Front-end nd bck-end development of the site. Mesure - Finl ssessment for lunch preprtion. Our strtegy plnning includes gthering informtion bout our client, FshLb, nlyzing current mrket trend, evluting FshLb s direct competitors, understnding the trget udiences, nd finlly originte project proposl. PAGE 29
OUR PHASES AND STEPS PHASE 1: STRUCTURE One-Eighty hs lredy done significnt mount of preprtory work nd plnning. As soon s we receive the FshLb contrct, we re ble to strt working immeditely. Phse One is where we will strt from the reserch nd content nlysis for structuring the website. During this phse, we will lern bout the trget udience for setting up user persons, which will help develop the user experience. We will lso need to work with the content writer for outlining content. PHASE 1 STEPS: 1) Reserch nd content nlysis: Gthering nd nlysing ll the content (photogrphs, texts, etc) tht re going to be used on the site from Fshlb. We will lso request for FshLb s corporte identity. Upon receiving ll of the bove, One-Eighty begins ssessing them nd mke further decisions whether or not we would recommend modifying them. 2) Outlining content: Begin to group things into ctegories nd decide which contents should go on the site. 3) Develop nvigtion: Crete preliminry nvigtion for the site bsed on the content we hve gthered. 4) User persons: Develop two persons bsed on the brief description of trget udience given by FshLb. Shoppers nd rtists. 6) Sitemp nd wirefrmes: Build sitemp nd computer-sketched wirefrmes of six min templtes: Homepge, Ctegory Pge, Product Pge, Artists Pge, Shopping Crt Pge, nd Pyment. DELIVERABLES One sitemp Two sets of wirefrmes (6 pges ech) FORMAT FOR DELIVERY Sitemp nd wirefrmes will be delivered in blck nd white JPEG formt NUMBER OF REVISIONS FshLb is llowed to request for refinement from ONE-EIGHTY up to three times. MILESTONE Phse one will be done with milestone - sitemp nd wirefrme. FshLb tem will be presented with the deliverbles nd summry bsed on our findings of which you will hve to review closely, request chnges or sk questions nd eventully sign off with n pprovl. Once you sign off with your finl pprovl, no more refinement will be done. One-Eighty will reserve the rights to chrge extr for ny chnges requested fter pprovl. TOTAL WEEKS: 4 weeks TOTAL FEE: $52,800 TOTAL EXPENSES: 0 5) Define user tsk: Crete 2-4 users scenrios bsed on the persons. PAGE 30
OUR PHASES AND STEPS PHASE 2: DESIGN Once FshLb pproved our proposed wirefrmes, we will begin building the visul elements of the website. Our first round of user testing will lso be done in this phse. PHASE 2 STEPS: 1) 1st-round user testing: We gther bout 30 people for the first round of user testing using the wirefrmes we hve developed. Pper prototype will be used for the testing. DELIVERABLES Two sets of design mockup (8 pges ech) FORMAT FOR DELIVERY Design mockup will be delivered in full colored JPEG formt NUMBER OF REVISIONS FshLb is llowed to request for refinement from ONE-EIGHTY up to six times 2) Develop concept: Develop visul concept for the site. 3) Mood bord / style guide: Develop two to three sets of different mood bords. 4) Refine current brnding: Refine FshLb s current brnding in order to mke it fit into n e-commerce site. 5) Typefce & color pllete: Suggests two to three min web fonts for the site nd three to five color pllete. MILESTONE Phse two will be done with milestone - design mockup. FshLb tem will be presented with the deliverbles nd summry bsed on our findings of which you will hve to review closely, request chnges or sk questions nd eventully sign off with n pprovl. Once you sign off with your finl pprovl, no more refinement will be done. One-Eighty will reserve the rights to chrge extr for ny chnges requested fter pprovl. TOTAL WEEKS: 6 weeks TOTAL FEE: $56,400 TOTAL EXPENSES: $3,600 6) Design/Interfce Mockup: phse two will end with design mockup of eight min templtes: Homepge, About Us, Ctegory Pge, Product Pge, Artists Pge, Contct Us, Shopping Crt Pge, nd Pyment. PAGE 31
OUR PHASES AND STEPS PHASE 3: BUILD This is where we strt building the site. Once the frmework of the website is completed nd pproved by FshLb, the next step is to focus on the initil setup of the e-commerce pltform, strt coding the pges, nd build dtbse for user ccounts. PHASE 3 STEPS: 1) 2nd-round user testing: UX testing helps us find out how people interct with this site, nd wht works for them nd wht doesn t. We will gther bout 30 people for the second round of user testing using the site mockup we hve developed. InvisionApp will be used for the testing. 2) Setup file nd directory hierchy: Setup temporry directory in our own server while buidling the site. 3) Crete HTML pges: Strt coding HTML/CSS/JS of ll pges bsed on the pproved design mockup. 4) Instll pltform: Instll e-commerce pltform nd begin modifying it. 5) Implementing light nimtion: Build interctive slideshow tht will feture top products on the homepge. 6) Building widget: Build the personliztion widget for users to personlize nd uplod products. Users will be ble to scle nd position rtwork on the widget. Options of color on products bse will lso be provided. 7) Implementing bckend scripting: Build dtbse for users ccounts, mking sure the pyment method is working. 8) Prototype / Bet site: Phse three will end with bet site. DELIVERABLE A fully working (bet) site uploded to server FORMAT FOR DELIVERY The link to the bet site NUMBER OF REVISIONS FshLb is llowed to request for refinement from ONE-EIGHTY up to three times MILESTONE Phse three will be done with milestone - bet site. FshLb tem will be presented with the deliverbles nd summry bsed on our findings of which you will hve to review closely, request chnges or sk questions nd eventully sign off with n pprovl. Once you sign off with your finl pprovl, no more refinement will be done. One-Eighty will reserve the rights to chrge extr for ny chnges requested fter pprovl. TOTAL WEEKS: 7 weeks TOTAL FEE: 67,800 TOTAL EXPENSES: $3,600 PAGE 32
OUR PHASES AND STEPS PHASE 4: MEASURE At this phse, we will complete the entire web pges design nd progrmming. This is the prt where we mke sure tht the site is fully functionl, bug-free nd the pyment system is working nd secured. After finl pprovl by FshLb, the site is redy to be lunched. PHASE 4 STEPS: 1) 3rd-round user testing: We will gther bout 30 people for the third round of user testing using the bet site we hve built. 8) Website lunch: After mking sure tht the site is bug-free nd working perfectly, FshLb is redy to lunch the site to public. DELIVERABLES The link to finl site All the HTML/CSS/JS files FORMAT FOR DELIVERY The link to the site All files burnt in DVD 2) Serch Engine Optimiztion: SEO helps to ensure tht site is ccessible to serch engine nd improves the chnces tht the site will be found by the serch engine. 3) Debugging: Mke sure the site is bug-free fter the user testing. 4) Key stff member trining: Provide up to 16 hours of trining to FshLb s two key stff members. 5) Prepre nnouncement pln: One-Eighty will work together with FshLb to prepre nnouncement pln. 6) Develop mintennce pln: Come up with mintennce pln for the site in the long run. NUMBER OF REVISIONS FshLb is llowed to request for refinement from ONE-EIGHTY up to six times MILESTONE Phse four will be done with milestone - website lunch. FshLb tem will be presented with the deliverbles nd summry bsed on our findings of which you will hve to review closely, request chnges or sk questions nd eventully sign off with n pprovl. Once you sign off with your finl pprovl, no more refinement will be done. One-Eighty will reserve the rights to chrge extr for ny chnges requested fter pprovl. TOTAL WEEKS: 8 weeks TOTAL FEE: $71,000 TOTAL EXPENSES: $6,000 7) Confirm site security: Ensure tht the site is secured nd it hs good protective system to prevent unwnted dt brech. PAGE 33
OUR PHASES AND STEPS: SCHEDULE PAGE 34
OUR PHASES AND STEPS: SCHEDULE PAGE 35
10. BILLING PLAN PAGE 36
BILLING PLAN FINANCIAL SUMMARY One-Eighty hs thoroughly nlyzed the needs of FshLb, nd we cme out the billing pln s follow. An dvnce deposit, which is 10% of the totl budget ($26,120), will be required fter contrct is signed between FshLb nd One-Eighty. The remining blnce will be pid fter the pprovl of milestone of ech phses, which is 22.5% of totl budget ($58,770). Mintennce fee nd trining fee hve been included in the contrct (under Phse 4: Mesure), but the e-commerce pltform fee will not be covered in this contrct, nd FshLb will be responsible for tht prt. BILLING PLAN PHASE PHASE SUMMARY PHASE WEEKS FEES EXPENSES TOTAL PHASE 1 4 $52,800 0 $52,800 Structure PHASE 2 6 $56,400 $3,600 $60,000 Design TOTAL Advnce Deposit: 10% $26,120 Progress Billing t the end pf Phse 1: 22.5% $58,770 Progress Billing t the end pf Phse 2: 22.5% $58,770 Progress Billing t the end pf Phse 3: 22.5% $58,770 Progress Billing t the end pf Phse 4: 22.5% $58,770 TOTAL (100%) $261,200 PHASE 3 7 $67,800 $3,600 $71,400 Build TOTAL WEEKS: 25 weeks TOTAL EXPENSES: $13,200 TOTAL FEES + EXPENSES: $261,200 PHASE 4 8 $71,000 $6,000 $77,000 Mesure TOTALS 25 $248,000 $13,200 $261,200 PAGE 37
11. TERMS AND CONDITIONS PAGE 38
TERMS AND CONDITIONS BASIC TERMS AND CONDITIONS 1. DEFINITIONS As used herein nd throughout this Agreement: 1.1 Agreement mens the entire content of this Bsic Terms nd Conditions document, the Proposl document(s), Schedule A, together with ny other Supplements designted below, together with ny exhibits, schedules or ttchments hereto. 1.2 Client Content mens ll mterils, informtion, photogrphy, writings nd other cretive content provided by Client for use in the preprtion of nd/or incorportion in the Deliverbles. 1.3 Copyrights mens the property rights in originl works of uthorship, expressed in tngible medium of expression, s defined nd enforceble under U.S. Copyright Lw. exclusively for the Project nd incorported into nd delivered s prt of the Finl Deliverbles, including nd by wy of exmple, not limittion, ny nd ll visul designs, visul elements, grphic design, illustrtion, photogrphy, nimtion, sounds, typogrphic tretments nd text, modifictions to Client Content, nd Designer s selection, rrngement nd coordintion of such elements together with Client Content nd/or Third Prty Mterils. 1.7 Finl Deliverbles mens the finl versions of Deliverbles provided by Designer nd ccepted by Client. 1.8 Preliminry Works mens ll rtwork including, but not limited to, concepts, sketches, visul presenttions, or other lternte or preliminry designs nd documents developed by Designer nd which my or my not be shown nd or delivered to Client for considertion but do not form prt of the Finl Art. Deliverbles to designte the origin or source of the goods or services of Client. 2. PROPOSAL The terms of the Proposl shll be effective for 30 dys fter presenttion to Client. In the event this Agreement is not executed by Client within the time identified, the Proposl, together with ny relted terms nd conditions nd deliverbles, my be subject to mendment, chnge or substitution. 3. FEES AND CHARGES 3.1 Fees. In considertion of the Services to be performed by Designer, Client shll py to Designer fees in the mounts nd ccording to the pyment schedule set forth in the Proposl, nd ll pplicble sles, use or vlue dded txes, even if clculted or ssessed subsequent to the pyment schedule. 1.4 Deliverbles mens the services nd work product specified in the Proposl to be delivered by Designer to Client, in the form nd medi specified in the Proposl. 1.5 Designer Tools mens ll design tools developed nd/or utilized by Designer in performing the Services, including without limittion pre-existing nd newly developed softwre including source code, Web uthoring tools, type fonts, nd ppliction tools, together with ny other softwre, or other inventions whether or not ptentble, nd generl non-copyrightble concepts such s website design, rchitecture, lyout, nvigtionl nd functionl elements. 1.6 Finl Art mens ll cretive content developed or creted by Designer, or commissioned by Designer, 1.9 Project mens the scope nd purpose of the Client s identified usge of the work product s described in the Proposl. 1.10 Services mens ll services nd the work product to be provided to Client by Designer s described nd otherwise further defined in the Proposl. 1.11 Third Prty Mterils mens proprietry third prty mterils which re incorported into the Finl Deliverbles, including without limittion stock photogrphy or illustrtion. 1.12 Trdemrks mens trde nmes, words, symbols, designs, logos or other devices or designs used in the Finl 3.2 Expenses. Client shll py Designer s expenses incurred in connection with this Agreement s follows: () incidentl nd out-of-pocket expenses including but not limited to costs for telephone clls, postge, shipping, overnight courier, service bureus, typesetting, blueprints, models, presenttion mterils, photocopies, computer expenses, prking fees nd tolls, nd txis t cost plus Designer s stndrd mrkup of twenty percent (20%), nd, if pplicble, milege reimbursement t.58 cents per mile; nd (b) trvel expenses including trnsporttion, mels, nd lodging, incurred by Designer with Client s prior pprovl. 3.3 Additionl Costs. The Project pricing includes Designer s fee only.any nd ll outside costs including, PAGE 39
TERMS AND CONDITIONS but not limited to, equipment rentl, photogrpher s costs nd fees, photogrphy nd/or rtwork licenses, prototype production costs, tlent fees, music licenses nd online ccess or hosting fees, will be billed to Client unless specificlly otherwise provided for in the Proposl. the Services, Designer shll be entitled to submit new nd seprte Proposl to Client for written pprovl. Work shll not begin on the revised services until fully signed revised Proposl nd, if required, ny dditionl retiner fees re received by Designer. in commercilly timely mnner. Any nd ll objections, corrections, chnges or mendments shll be subject to the terms nd conditions of this Agreement. In the bsence of such notice from Client, the Deliverble shll be deemed ccepted. 3.4 Invoices. All invoices re pyble within fifteen (15) dys of receipt. A monthly service chrge of 1.5 percent (or the gretest mount llowed by stte lw) is pyble on ll overdue blnces. Pyments will be credited first to lte pyment chrges nd next to the unpid blnce. Client shll be responsible for ll collection or legl fees necessitted by lteness or defult in pyment. Designer reserves the right to withhold delivery nd ny trnsfer of ownership of ny current work if ccounts re not current or overdue invoices re not pid in full. All grnts of ny license to use or trnsfer of ownership of ny intellectul property rights under this Agreement re conditioned upon receipt of pyment in full which shll be inclusive of ny nd ll outstnding Additionl Costs, Txes, Expenses, nd Fees, Chrges, or the costs of Chnges. 4. CHANGES 4.1 Generl Chnges. Unless otherwise provided in the Proposl, nd except s otherwise provided for herein, Client shll py dditionl chrges for chnges requested by Client which re outside the scope of the Services on time nd mterils bsis, t Designer s stndrd hourly rte of $100 per hour. Such chrges shll be in ddition to ll other mounts pyble under the Proposl, despite ny mximum budget, contrct price or finl price identified therein. Designer my extend or modify ny delivery schedule or dedlines in the Proposl nd Deliverbles s my be required by such Chnges. 4.2 Substntive Chnges. If Client requests or instructs Chnges tht mount to revision in or ner excess of fifty percent (50%) of the time required to produce the Deliverbles, nd or the vlue or scope of PAGE 40 4.3 Timing. Designer will prioritize performnce of the Services s my be necessry or s identified in the Proposl, nd will undertke commercilly resonble efforts to perform the Services within the time(s) identified in the Proposl. Client grees to review Deliverbles within the time identified for such reviews nd to promptly either, (i) pprove the Deliverbles in writing or (ii) provide written comments nd/or corrections sufficient to identify the Client s concerns, objections or corrections to Designer. The Designer shll be entitled to request written clrifiction of ny concern, objection or correction. Client cknowledges nd grees tht Designer s bility to meet ny nd ll schedules is entirely dependent upon Client s prompt performnce of its obligtions to provide mterils nd written pprovls nd/or instructions pursunt to the Proposl nd tht ny delys in Client s performnce or Chnges in the Services or Deliverbles requested by Client my dely delivery of the Deliverbles. Any such dely cused by Client shll not constitute brech of ny term, condition or Designer s obligtions under this Agreement. 4.4 Testing nd Acceptnce. Designer will exercise commercilly resonble efforts to test Deliverbles requiring testing nd to mke ll necessry corrections prior to providing Deliverbles to Client. Client, within five (5) business dys of receipt of ech Deliverble, shll notify Designer, in writing, of ny filure of such Deliverble to comply with the specifictions set forth in the Proposl, or of ny other objections, corrections, chnges or mendments Client wishes mde to such Deliverble. Any such written notice shll be sufficient to identify with clrity ny objection, correction or chnge or mendment, nd Designer will undertke to mke the sme 5. CLIENT RESPONSIBILITIES Client cknowledges tht it shll be responsible for performing the following in resonble nd timely mnner: () coordintion of ny decision-mking with prties other thn the Designer; (b) provision of Client Content in form suitble for reproduction or incorportion into the Deliverbles without further preprtion, unless otherwise expressly provided in the Proposl; nd (c) finl proofreding nd in the event tht Client hs pproved Deliverbles but errors, such s, by wy of exmple, not limittion, typogrphic errors or misspellings, remin in the finished product, Client shll incur the cost of correcting such errors. 6. ACCREDITATION/PROMOTIONS All displys or publictions of the Deliverbles shll ber ccredittion nd/or copyright notice in Designer s nme in the form, size nd loction s incorported by Designer in the Deliverbles, or s otherwise directed by Designer. Designer retins the right to reproduce, publish nd disply the Deliverbles in Designer s portfolios nd websites, nd in glleries, design periodicls nd other medi or exhibits for the purposes of recognition of cretive excellence or professionl dvncement, nd to be credited with uthorship of the Deliverbles in connection with such uses. Either prty, subject to the other s resonble pprovl, my describe its role in reltion to the Project nd, if pplicble, the services provided to the other prty on its website nd in other promotionl mterils, nd, if not expressly objected to, include link to the other prty s website.
TERMS AND CONDITIONS 7. CONFIDENTIAL INFORMATION Ech prty cknowledges tht in connection with this Agreement it my receive certin confidentil or proprietry technicl nd business informtion nd mterils of the other prty, including without limittion Preliminry Works ( Confidentil Informtion ). Ech prty, its gents nd employees shll hold nd mintin in strict confidence ll Confidentil Informtion, shll not disclose Confidentil Informtion to ny third prty, nd shll not use ny Confidentil Informtion except s my be necessry to perform its obligtions under the Proposl except s my be required by court or governmentl uthority. Notwithstnding the foregoing, Confidentil Informtion shll not include ny informtion tht is in the public domin or becomes publicly known through no fult of the receiving prty, or is otherwise properly received from third prty without n obligtion of confidentility. 8. RELATIONSHIP OF THE PARTIES 8.1 Independent Contrctor. Designer is n independent contrctor, not n employee of Client or ny compny ffilited with Client. Designer shll provide the Services under the generl direction of Client, but Designer shll determine, in Designer s sole discretion, the mnner nd mens by which the Services re ccomplished. This Agreement does not crete prtnership or joint venture nd neither prty is uthorized to ct s gent or bind the other prty except s expressly stted in this Agreement. Designer nd the work product or Deliverbles prepred by Designer shll not be deemed work for hire s tht term is defined under Copyright Lw. All rights, if ny, grnted to Client re contrctul in nture nd re wholly defined by the express written greement of the prties nd the vrious terms nd conditions of this Agreement. 8.2 Designer Agents. Designer shll be permitted to engge nd/or use third prty designers or other service providers s independent contrctors in connection with the Services ( Design Agents ). Notwithstnding, Designer shll remin fully responsible for such Design Agents complince with the vrious terms nd conditions of this Agreement. 8.3 No Solicittion. During the term of this Agreement, nd for period of six (6) months fter expirtion or termintion of this Agreement, Client grees not to solicit, recruit, engge or otherwise employ or retin, on full-time, prt-time, consulting, work-for-hire or ny other kind of bsis, ny Designer, employee or Design Agent of Designer, whether or not sid person hs been ssigned to perform tsks under this Agreement. In the event such employment, consulttion or work-for-hire event occurs, Client grees tht Designer shll be entitled to n gency commission to be the greter of, either () 25 percent of sid person s strting slry with Client, or (b) 25 percent of fees pid to sid person if engged by Client s n independent contrctor. In the event of () bove, pyment of the commission will be due within 30 dys of the employment strting dte. In the event of (b) bove, pyment will be due t the end of ny month during which the independent contrctor performed services for Client. Designer, in the event of nonpyment nd in connection with this section, shll be entitled to seek ll remedies under lw nd equity. 8.4 No Exclusivity. The prties expressly cknowledge tht this Agreement does not crete n exclusive reltionship between the prties. Client is free to engge others to perform services of the sme or similr nture to those provided by Designer, nd Designer shll be entitled to offer nd provide design services to others, solicit other clients nd otherwise dvertise the services offered by Designer. 9. WARRANTIES AND REPRESENTATIONS 9.1 By Client. Client represents, wrrnts nd covennts to Designer tht () Client owns ll right, title, nd interest in, or otherwise hs full right nd uthority to permit the use of the Client Content, (b) to the best of Client s knowledge, the Client Content does not infringe the rights of ny third prty, nd use of the Client Content s well s ny Trdemrks in connection with the Project does not nd will not violte the rights of ny third prties, (c) Client shll comply with the terms nd conditions of ny licensing greements which govern the use of Third Prty Mterils, nd (d) Client shll comply with ll lws nd regultions s they relte to the Services nd Deliverbles. 9.2 By Designer () Designer hereby represents, wrrnts nd covennts to Client tht Designer will provide the Services identified in the Agreement in professionl nd workmnlike mnner nd in ccordnce with ll resonble professionl stndrds for such services. (b) Designer further represents, wrrnts nd covennts to Client tht (i) except for Third Prty Mterils nd Client Content, the Finl Deliverbles shll be the originl work of Designer nd/or its independent contrctors, (ii) in the event tht the Finl Deliverbles include the work of independent contrctors commissioned for the Project by Designer, Designer shll hve secure greements from such contrctors grnting ll necessry rights, title, nd interest in nd to the Finl Deliverbles sufficient for Designer to grnt the intellectul property rights provided in this Agreement, nd (iii) to the best of Designer s knowledge, the Finl Art provided by Designer nd Designer s subcontrctors does not infringe the rights of ny prty, nd use of sme in connection with the Project will not violte the rights of ny third prties. In the event Client or third prties modify or otherwise use the Deliverbles outside of the scope or for ny purpose not identified in the Proposl or this Agreement or contrry to the terms nd conditions noted herein, ll representtions nd wrrnties of Designer shll be void. (c) EXCEPT FOR THE EXPRESS REPRESENTATIONS AND WARRANTIES STATED IN THIS AGREEMENT, DESIGNER MAKES NO WARRANTIES WHATSOEVER. DESIGNER EXPLICITLY DISCLAIMS ANY OTHER WARRANTIES OF ANY KIND, EITHER EXPRESS OR IMPLIED, INCLUDING BUT PAGE 41