Class assignment on Wildfang as a business.

1. Don't let the world tell you what to wear.
Andrew Marsha Mulia – AMM657
MGMT 581-30

2. Key Issue Analysis
Issue Hypotheses Analysis
TomBoy market is
limited
More than just TomBoy,
Wildfang brand is
feminine independence
and strength
• Additional research on TomBoy spectrum and defining customer
• Adjacent research towards non-consumer regarding brand
perception
• Compare other “strong” female brands that might use similar
keywords raw, savage, wild, bold etc.
Best business
model for its
expansion
strategy
Private label due to
Wildfang’s niche
customer segment
• Perform Key Issue Analysis, CLTV Analysis and Business Model
Canvas (BMC) to identify Pros and Cons of each model
• Analyze risks and assumptions under both model
Optimize returns
on
marketing
investment
Focus marketing efforts
on customer segment
with highest potential
for growth
• Identify customer segment with highest potential growth (either in
terms of market size or conversion rate)
• Create customer lifecycle journey to identify customer shopping
experience and potential pain points
Maximizing
customer lifetime
value of its
priority customers
Focus marketing and
sales effort on
customer with highest
AOV and retention rate
• Identify core competency of the Wildfang brand
• Create survey and analysis on price sensitivity of Wildfang core
consumers to see if there is a more lucrative higher AOV segment
• Look for cross selling/ referral programs to increase sales
Brand
sustainability
in the long run
Wildfang should
expand from fashion
retail to lifestyle brand
• Identify other branding opportunities in the furniture, decoration
and gym/ outdoor experience that supports the Wildfang brand
• Identify potential collaboration with artists outside of the nice to
further expand brand recognition from TomBoy to Strong Woman

3. Business Model Canvas – Private Label B&C
Key Partners
1. Textile Suppliers
2. Delivery Services
3. News & Media
4. Online & Social
Media Influencers
5. Investors
6. Banks and Payment
Processing Companies
7. Transportation
Partners
Key Activities
1. Designing clothes
2. Selling clothes
3. Maintaining brand
4. Maintaining supply
chain and returns
Value Propositions
1. Unique Wildfang
products that
customers will not be
able to get anywhere
else
2. Brand backing
guaranteed quality
and material
3. Design innovation is
driven by brand
rather than by
trends
Customer
Relationships
1. Direct customer
relationship
2. In-person experience
allows for customer
to feel/ see fabric
3. Personal in-store
experience for each
customer
4. Invested in store
design and journey
Customer Segments
1. Core Loyalist
2. Fashion-Engaged
Walk-in
3. Fashion-Engaged
Online
4. Wildfang Exclusives
Key Resources
1. Clothing Line
Designs
2. In-house
Designers
3. Offline
Stores
4. Online Store
5. Graphics/
Fashion
Photos
Channels
1. Offline Stores
2. Online Website
Cost Structure
1. Raw Material and Transportation Cost
2. Store Upkeep/ Infrastructure Cost
3. Employee Cost
4. IT Infrastructure Cost
5. Marketing and Advertising Cost
Revenue Streams
1. Product Sales

4. Business Model Canvas – Multisided Platform
Key Partners
1. Affiliated
brands
2. Delivery
partners
3. Offline News
& Media
4. Online News
& Social
Media
Influencers
5. Investors
6. Payment
Gateway
7. Suppliers
8. Warehouse
and Data
Centers
Key Activities
1. Product
curation
2. Website
maintenance
3. Advertising
and
promotions
4. Partnership
expansions
5. Grassroot
referral
programs
Value Propositions
1. Curated items
2. Seamless shopping
experience
3. Data tracking
creates personal
shopping experience
(price, discounts,
promotions etc.)
4. Delivery allows for
contactless shopping
experience
5. Price comparison
6. Returns
7. Sharing on social
media and online
platforms
Customer
Relationships
1. Customer has more
choices of like-
products curated by
Wildfang
2. Wildfang becomes
thematic brand
rather than just one
thing
3. Online communities
with real authentic
product reviews
Customer Segments
1. Core Loyalist
2. Fashion-Engaged
Walk-in
3. Fashion-Engaged
Online
4. Wildfang Exclusives
Key Resources
1. Website
domain name
2. Wildfang
brand
3. Blog
4. Design
Graphics and
Promotion
Photos
5. Partnerships
Channels
1. Online websites
2. Affiliated websites
Cost Structure
1. Server and IT Upkeep Cost
2. Advertising and Marketing Cost
3. Sponsored Celebrities/ Influencer Cost
4. Transportation Cost
5. Raw Material and Employee Cost
Revenue Streams
1. Advertising Revenue
2. Sponsorship Revenue
3. Royalty Fee
4. Product Sales

5. Initial Customer Value Analysis
4.000
10.000
2.000
0
6.000
8.000
Y4
Y2
Y1 Y3 Y5
Private Label Model
Multisided Model Insight #1
• Private label model has higher customer retention from a
lower churn rate due to larger core loyalist base
• This is further supported by the higher churn rate of the
multisided model (49.25%) compared to private label model
(41.50%)
Insight #2
• Private label model has higher CLV due to a higher NPV and
Cumulative Cash Flow.
• Private label model will also see a 149% CLV growth.
• Higher CLV, NPV and Cumulative Cashflow will provide
Wildfang greater financial resources for future expansions
and other investments.
Insight #3
• Despite the higher AOV for the multisided model, when
including the gross margin % and purchase frequency
difference, the multisided model only earns 8 cent more per
dollar per customers.
• This combined with a higher CAC per customer shows that
the multisided model is not as financially attractive as it
initially appears to be.
995
727
Y5
Y3
1.789
Y2
Y1 Y4
1.194
1.633
2.040
1.485
2.302
1.670
2.474
+149%
Private Label Model
Multisided Model
Private Label Model Multisided Model
Blended AOV $146 $191.80
Blended CAC $24.5 $43
Gross Margin $73 $86.31
AOV x Purchase
Frequency
$545.31 $589.50

6. Risks & Assumptions
• CLV model assumes average churn rate for both
business models are 42-49%, when fashion retail
industry in general has a higher 60-70% churn rate.
• Current multisided model does not consider additional
advertising and sponsored product revenues, which
could make it more attractive.
• Private label model does not address risks of holding
inventory raised by CEO, Emma Mcilroy. This could be
worsened with fashion trends and Wildfang hiring its
own internal designer.
Recommendation
Wildfang should go ahead and pitch the Private Label Model expansion strategy to its
investors as the model has the higher CLV and better customer retention (lower churn rate
and stronger loyal base). Given Wildfang’s limited market and core competency in strong
branding a multisided platform has the potential of diluting its brand value in the long run.