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This business proposal details the conception and development of Sage & Wilder, a Melbourne-
based brand that will design, manufacture and sell embroidered iron on patches as well as enamel
metal pins. The purpose of this proposal is to provide a detailed analysis into the products the
company will offer; a marketing plan covering products, customers and competitors; an operational
plan covering the production process, location of the business, staffing and suppliers to be used;
and lastly the management and organisation of the business, including any professional and
The main method used to conduct the research for this report was primary research, making use of
online sources such as competitors websites, industry reports, as well as manufacturers websites.
This startup business is entering the TCF industry, one that is currently saturated with other
companies offering similar products. Sage & Wilder aims to set itself apart from these other brands
by providing customers with a product offering consisting of unique designs that are of excellent
quality and affordable price. This new brand must ensure that it is aware of its direct and indirect
competitors and continually improve its operations in order to survive in this industry. The company
will also need to have a set management and organisational structure with well-trained employees,
The findings of this proposal have found that Sage & Wilder will need to ensure that the products
they offer are of the highest quality and unique designs as it has promised customers and potential
investors, as well as following a carefully constructed marketing and operational plan in order to
2
TABLE OF CONTENTS
BUSINESS NAME 4
3. MARKETING PLAN 9
3.1. PRODUCT
3.2. CUSTOMERS
3.3. COMPETITION 10
4. OPERATIONAL PLAN 11
4.1. PRODUCTION
4.1.1 PATCHES
4.1.2. PINS 12
4.2. LOCATION
4.3. STAFF 13
4.4. SUPPLIERS
REFERENCES 16
APPENDICES 18
3
SAGE & WILDER
PATCHES AND PINS
4
1. GENERAL COMPANY DESCRIPTION
Customisation and personalisation within the fashion industry is a trend that has developed
immensely over the past couple of years. Brands and designers all over the world have been seen
incorporating this trend into their designs - be it ironing on patches onto the back of a jacket, the
leg of a pair of jeans or onto the side of a bag (see Appendix A). Consumers want to be able to
personalise products not only for themselves, but as gifts or presents as well, in the most
convenient way possible. Our new brand, Sage & Wilder aims to be a facilitator of this trend. Sage
& Wilder is a Melbourne-based company that designs, produces and sells, unique embroidered
iron on patches and enamel metal pins through its online store: www.sageandwilder.com.au, as
We sell original, creative and fun designs that are ethically manufactured and we hope will inspire
our customers to develop their own style and personality. - Sage & Wilder
The companys goals and objectives are to earning a reasonable profit, as well as to expand the
business in two years time, thereby expanding its production operations. Long term objectives are
also to increase brand awareness within the market (i.e. becoming an established brand) and to
develop a strong social media following. The Sage & Wilder philosophy is to create high quality,
bespoke designs, not copied or appropriate from other artists within the industry, and also to
ensure that all products are produced under ethical conditions. The brands target market consists
of girls/women between 13 and 25 years of age, who have some disposable income, and are trend
driven when it comes to fashion, but still want to create a style/identity that is unique to themselves.
This brand will essentially operate within the Textiles, Clothing and Footwear (TCF) Retailing
industry as the patches and pins are designed to be worn on clothing, but can also be attached to
accessories or shoes. However, the main sector of the TCF industry that Sage & Wilder will be
operating in is the Clothing Retailing industry, and according to the IBISWorld Industry Report
G4251 - Clothing Retailing in Australia, this industry is still in the maturity stage of the industry life
cycle, with an annual growth rate between the years of 2012 and 2017 estimated at 4%. This
industry is seeing growth in online retailing as brands with traditional bricks and mortar stores are
5
expanding their operations through online sales channels. This move from physical stores to online
stores suits Sage & Wilders business strategy as it intends to operate through an online
distribution channel, and therefore has the potential to develop a strong online presence as well as
Lastly, Sage & Wilder will be set up as a partnership between two co-owners, XXX and YYY, who
will run the business side of the company and the creative/design side respectively. This method of
ownership has been selected as the two founders developed the idea for the company together,
and this style of ownership allows them to maximise their skills and potential as they both possess
complementary skill sets that the other may not have or may not be as strong in.
6
2. PRODUCTS & SERVICES
Sage & Wilder aims to provide the highest quality patches and pins in creative, original designs.
The designs will be inspired and influenced by trends both from within and outside the TCF
industry. For example, drawing inspiration from pop culture, celebrities and trends on social media
platforms such as Instagram, Pinterest and Tumblr. We believe that the Sage & Wilder iron on
patches and pins are of better quality and value than the majority of similar products that exist in
the market, and they are also all original designs, not appropriated from other artists. This places
Sage & Wilder at a competitive advantage over other brands offering similar products because
many companies, especially larger corporations, tend to copy the designs of smaller, independent
designers. Therefore Sage & Wilder aim to provide a unique product offering of iron on patches
and pins that are of the highest possible quality. Details of designs and product specifications are
provided below.
Sage & Wilder iron on patches will be made using the best quality polyester threads, twills and iron
on heats seals. The polyester threads being used are strong and will hold their colour for the life of
the garment they are applied to. This material is used as it will withstand tougher treatment than
other threads such as Rayon. Therefore our patches are designed to weather commercial washing
should it be necessary and also have good UV resistance if they are applied to a fabric that is
exposed to a lot of sunlight. These patches are designed mainly to be adhered to articles of
clothing, but can also be applied to other products such as bags, shoes and hats. This gives
customers to option to customise any of their personal belongings should they choose to do so.
A table for the suggested pricing of the patches is provided below, making use of economies of
scale, where customers will receive a discount when they purchase more patches in one order.
Customers are also able to choose what size they would like to order their patches in. Orders $30
and over will receive free shipping, and all orders under $30 will be charged a flat shipping rate of
$5 per order. Examples of patch designs will be attached in this document (see Appendix B).
7
SIZE QUANTITY (UNITS)
(INCHES)
1 3 5 10 15 20+
2 x 2 $10 $9 $8 $7 $6 $5
3 x 3 $11 $10 $9 $8 $7 $6
Sage & Wilder metal pins are crafted using the best quality materials at our manufacturing outlet
right here in Victoria. These badges are extremely durable and versatile, and similarly to our iron
on patches, are designed mainly to be attached to articles of clothing but can be pinned onto other
personal belongings such as shoes, hats and bags if desired. The designs of the pins are created
through having raised metal lettering and outlines, with recessed areas filled in with coloured
enamel. Each pin is then fitted with a butterfly clutch backing for easy attachment.
A table for the suggested pricing of the pins is provided below, where similarly to our patch pricing
structure customers will receive a larger discount when they purchase in larger quantities.
Customers can also choose what size the would like to order their pins in and make use of the
same shipping pricing as the patches - where orders $30 and over will receive free shipping, and
all orders under $30 will be charged a flat shipping rate of $5 per order. Examples of pin designs
1 3 5 10 15 20+
1 x 1 $10 $9 $8 $7 $6 $5
2 x 2 $11 $10 $9 $8 $7 $6
8
3. MARKETING PLAN
3.1. PRODUCT
The most important features of the Sage & Wilder iron on patches and pins are their quality and
design. The brand aims to provide an extensive product offering for customers to personalise their
belongings with at affordable prices. The physical features of the products include the composition
of both the iron on patches and metal pins as stated previously in the document. These qualities
ensure that the products are of upmost quality and durability and will last without their colours
fading or parts of them deteriorating. Consumers will not only be able to customise their clothing
and belongings but also the actual patches and pins themselves as they can select what size they
would like to order their products in. The benefits of these features are that customers receive the
satisfaction of being able to express themselves creatively as well as developing their own
personal style through the application of these patches and pins. Some after-sales benefits that
Sage & Wilder will also provide customers are a warranty policy - where customers can request a
replacement or refund for faulty products (i.e. should the backing of a pin break), as well as online
3.2. CUSTOMERS
university
Sage & Wilder will also sell to other retailers who wish to stock our patches and pins, these are
likely to be other small fashion apparel retailers or possibly clothing designers who would like to
attach our patches to their own products. These retailers may request for our products to be
shipped to them through an online order or they can collect their order from our warehouse if that is
more convenient for them. These customers will receive a larger discount for ordering in bulk.
9
3.3. COMPETITION
Sage & Wilder will be competing mainly with other small patch and pin designers online, such as
those found on Etsy. However, as many large international retailers have also incorporated patches
and pins in their product offering such as Topshop and Factorie, Sage & Wilder is now also up
against these other brands. Whilst Sage & Wilder may not be able to compete on price with these
large corporations who are able to achieve economise of scale in their manufacturing, our brand
will be able to compete on design, by creating innovative and unique designs for our patches and
pins. As iron on patches and enamel pins are not the main products that these apparel retailers
offer, they will also have a smaller range of designs available to consumers, thereby allowing Sage
& Wilder to develop a competitive advantage in this area over these larger brands.
Some indirect competitors that Sage & Wilder may face are companies that offer other methods of
personalisation and customisation of products such as The Daily Edited - offering personalised
embossing of their leather bags and accessories. Sage & Wilder must take this into consideration
as customers may opt for a different type of personalisation that Sage & Wilder is not offering,
therefore the brand might need to find a way of converting some of these customers to shop with
us instead of competitors.
10
4. OPERATIONAL PLAN
4.1. PRODUCTION
The Sage & Wilder iron on patches and enamel pins will be produced at a manufacturing factory in
Victoria, and from there the finished products will be shipped and stored at our warehouse and
distribution centre in Port Melbourne. At Sage & Wilder, we pride ourselves on quality. To maintain
this level of quality, all our products go though rigorous quality checks and any items that have
imperfections/faults are immediately removed from the rest of the patches/pins so that they are not
We will make use of the just-in-time method of production, producing patches and pins as we
receive the orders from them in order to maintain accurate levels of stock, so that we will not have
access stock sitting in our warehouse, using up resources to store them when these funds could
be further invested into the creation of new designs that will actually sell. Whilst this means not
necessarily being able to make use of economies of scale in our production process at all times,
we believe that the money we will save from always having the right amount of stock on hand at
any one time will compensate for this, as money will not be wasted on producing and storing items
Sage & Wilder will have an online chat feature for customers to communicate with our team during
business hours as well as a customer service mobile number should they have any queries, and
an email address will be provided if they wish to contact us outside of business hours. Our staff will
be trained in how to communicate with customers effectively as well as resolve any issues that
they may have with the products they have ordered of delivery processes. We aim to provide
4.1.1. PATCHES
1. The patch design is sketched by hand then digitalised through the use of Adobe Illustrator.
2. The final design is sent to production, where large sheets of polyester twill are placed within
4. The patches are then checked for loose threads or imperfections/faults - any patches found
with faults will be removed from the final stage of the production process.
5. The individual patches are cut out from their sheets and a edge is applied using a
4.1.2. PINS
1. The pins design is sketched by hand then digitalised through the use of Adobe Illustrator.
2. The final design is sent to production, where metal die lines of the design are created, in
3. The enamel is then laid in the recessed areas and baked in an oven to harden,.
4. The enamel is left to dry so that it clings to the edges of the die lines and becomes
5. An epoxy resin coating is then added to protect the enamel and create a smooth finish,
6. Lastly, a butterfly pin attachment is then glued onto the back of the pin.
7. All finished pins are then checked for any imperfections/faults before being sent to the
4.2. LOCATION
Sage & Wilder will require a small head office where designing, customer service operations, as
well as any other business administration can take place. Ideally, this location should be
somewhere close to the CBD and public transport for staff to be able to commute easily. The
building should have basic utilities such as bathrooms and a kitchen. A warehouse for storage and
distribution of products will also be required, a space in Port Melbourne has been selected. This
location could also possibly house the head office in order to have all operations in one location.
Port Melbourne has been selected as it has an industrial hub where many companies within the
TCF industry also have offices and warehouses in this area. This location is also easily accessible
for trucks transporting the finished good from the manufacturing factory to the warehouse. Sage &
Wilders business hours will be a regular 9 a.m. to 5 p.m. on weekdays and closed on weekends.
12
4.3. STAFF
The Sage & Wilder head office staff will consist of two co-owners who will be in charge of all
design, strategic and tactical operations, marketing and brand management. The brand will also
employ a design intern as well as a marketing intern to assist with these operations as well as to
contribute fresh ideas that may help improve the brand and the business. A customer service staff
member will be employed to communicate with customers and answer any queries they may have.
In the warehouse and distribution centre, two staff members will carry out quality checks and
manage inventory levels, as well as packing and sending out customers orders. These staff
members will be recruited through online employment websites such as seek.com.au, through
social media posts about the positions available, as well as through word of mouth
recommendations from people within the industry who may be able to suggest someone who
4.4. SUPPLIERS
Sage & Wilder intends to use local Australian suppliers, however the manufacturing factory to be
used to produce the patches and pins will have existing machinery to create the product with
because they will be a factory that specialises in the manufacturing of these products for other
patch and pin retailers. The thread to be used for the embroidered patches will be sourced from
Australian wholesaler such as Ebony Craft, selling 2000 metre spools of polyester thread for $2.50
each. These suppliers should be able to deliver the thread directly to the manufacturing factory to
be used for production and possibly offer a discount for ordering in larger quantities. We also
intend to research any potential suppliers that the manufacturing factory may have dealt with in the
past and might recommend for other supplied required to create the patches and pins, such as the
iron on backing for the patches or the butterfly backing attachments for the pins. It is vital that Sage
& Wilder have backup suppliers should the main supplier run into complications with fulfilling the
order or should there be issues with shipping and delivery of the supplies to the manufacturer. This
is extremely important as a late delivery or shortage of supplies will set back the manufacturing
process and deplete stock levels, meaning that Sage & Wilder may not be able to fulfil customers
orders in time.
13
5. MANAGEMENT & ORGANISATION
Sage & Wilder will be run by two co-owners. One owner will be in charge of the management of the
business at a corporate level, making decisions with regards to marketing strategies, production
and distributions strategies as well as the financial aspect of the business. The second owner will
be in charge of the designs of the products, involved in the production and manufacturing process
to ensure that products are made to their specifications, and will make organisational decisions
alongside the first owner. The co-owners may also require a team assistant to help with
Next, a staff member who is in charge of customer service operations will be required in order to
communicate with customers, resolve any problems/issues they may have, as well as
made in this area. At least two staff members will be required to run the distribution centre and
warehouse, carrying out duties such as quality checks on stock, inventory management, packing
and sending out customer orders, as well as communicating with the owners what they feel the
most efficient method of running the warehouse might be. Lastly, a marketing intern as well as a
design intern may be hired in order to assist the co-owners with their day-to-day tasks, along with
gaining experience working in this industry and also possibly bringing fresh ideas to the table that
As there are a few members who are part of the Sage & Wilder staff, should a team member
become sick or unable to work, there is likely to be someone else on the team who is able to cover
their tasks whilst they are unavailable for work. However, perhaps a backup casual staff member
should be hired or on standby just in case an unexpected emergency arises and a team member is
14
5.1. PROFESSIONAL AND ADVISORY SUPPORT
As Sage & Wilder is a small enterprise, it would not be logical to hire full time professionals such as
a company attorney or accountant who may not be required to carry out day-to-day tasks.
However, Sage & Wilder will require professionals such as these to ensure the smooth running of
the business as the two co-owners do not specialise in these areas, and therefore may need
assistance.
A company attorney may be required in order to ensure that the business is operating in line with
legal requirements and constraints, and are not in breach of any ethical or human rights policies.
An accountant would be necessary to manage and analyse the business finances and taxes, as
well as making sure that all employees are paid the wages that they are entitled to. As Sage &
Wilder is a start up company, it would be beneficial for them to have a mentor or advisor who has
experience within the industry, as well as in setting up and running their own business. This mentor
will hopefully be able to provide the owners with any tips and tricks that may assist them in
15
REFERENCES
Cichowski, H, 2017, Put a Pin in It: The Cool-Girl Guide to DIY, The Fashion Spot, viewed 27 May
2017 <http://www.thefashionspot.com/style-trends/734263-pins-patches-customized-clothing/#/
slide/1>
Messinger, K, 2016, Enamel Pins Are Taking the Internet by Storm, Vice, viewed 24 May 2017
<https://creators.vice.com/en_au/article/pins-the-internets-new-collectible-obsession>
Magner, L, 2017, IBISWorld Industry Report G4251 - Clothing Retailing in Australia, IBISWorld,
default.aspx?entid=407>
Suesz, E, 2016, MAKING LAPEL PINS USING SKETCHBOOK: STEP-BY-STEP WITH SIMONE
enamel-pins/>
Troy, M, 2016, Embroidered Patches Are Fashions Next Trend, Huffington Post, viewed 25 May
2017 <http://www.huffingtonpost.com/marcus-troy/embroidered-patches-are-f_b_11429024.html>
UNKNOWN, 2014, Embroidered Badges, Embroidered Patches, viewed 29 May 2017 <http://
www.embroidered-patches.com.au/embroidered-badges.html>
UNKNOWN, 2017, Tattoos, Iron-Ons & Magnets, Sticker You, viewed 28 May 2017 <http://
www.stickeryou.com/2/about-stickeryou/pricing-specialty>
UNKNOWN, 2017, Embroidered Cloth Badges, Action Badges, viewed 28 May 2017 <http://
www.actionbadges.com.au/products/embroided-badges/>
UNKNOWN, 2016, Individual income tax rates, Australian Taxation Office, viewed 24 May 2017
<https://www.ato.gov.au/rates/individual-income-tax-rates/>
16
UNKNOWN, 2016, How Embroidered Patches are Made, Patch Superstore, viewed 25 May 2017
<http://patchsuperstore.com/how-embroidered-patches-are-made/>
UNKNOWN, 2015, Soft Enamel vs Hard Enamel Pins, Made by Cooper, viewed 25 May 2017
<https://www.madebycooper.com/blog/soft-enamel-vs-hard-enamel-pins>
17
APPENDICES
18
APPENDIX B - EXAMPLES OF IRON ON PATCH DESIGNS
19