The I Do Foundation’s Charitable Wedding Services Venture
The I Do Foundation’s Charitable Wedding Services (CWS) venture develops powerful causerelated marketing programs for major wedding retailers that generate greater revenues for
retailers while capturing a percentage of wedding sales for charity. Intense retailer competition,
high product margins, and high couple spending in the $70 billion wedding industry create a
unique and lucrative market opportunity for CWS’s cause-related marketing programs.
CWS already has proven the potential for its cause-related marketing services through pilot
programs with major national retailers. CWS has the opportunity to expand these successful
pilots to national programs for its retail clients. Over the next three years, CWS will generate
over $18 million in charitable donations for charitable organizations across the country.
CWS helps major retailers develop Charitable Registry Programs through which stores offer to
Retail Client donate a percentage of registry spending to charity. With each gift purchase raising donations
Relationships for charity, a Charitable Registry Program creates powerful incentives for higher gift spending
and provides stores with a compelling sales tool for attracting bridal customers.
CWS has conducted successful online pilot Charitable Registry Programs with 9 major stores
(including Target, JC Penney, and Linens ‘n Things) and 500 couples. Retail clients experienced
increases of 40%-60% in spending on registries in the pilot and over half of the stores raised
their donation rates. CWS is now poised to expand to develop in-store program integrations for
retail clients and has set the following goals for 2004:
1. Close online pilot program contracts with 1-2 new retail clients (2 new clients already closed).
2. Begin first Regional Store Integrations of the Charitable Registry Program for 1-2 clients.
3. Extend CWS’s cause-related marketing services to national bridal boutiques and florists.
CLIENT PHASE 1:
Pilot Program
CWS has developed online
charitable wedding programs for
retailers through the I Do
Foundation website.
CLIENT PHASE 2:
CLIENT PHASE 3:
Regional Store Integration
National Store Integration
Retail clients choose to integrate the
charitable wedding programs into
stores in a single market region.
Retail clients expand charitable
wedding programs into all of their
stores across the country.
Market Over 2.4 million couples get married each year spending over $70 billion at their weddings. Of
couples, 91% register for gifts, generating $19 billion in gift registry spending annually.
Opportunity those
With almost $30,000 of spending at the average wedding, bridal customers represent one of the
High per couple
spending and
intense competition
in the wedding
industry create the
perfect opportunity
for CWS
Value
Proposition
Enable retailers
to increase
registry sales and
attract new bridal
customers.
most coveted market segments in the retail industry. Retailers view bridal registries as the
perfect opportunity to begin a life-long relationship with a couple.
The once-in-a-lifetime aura of weddings lowers engaged couples’ price sensitivity, allowing
vendors to garner extremely high sales margins and fueling intense competition for customers.
With retailers constantly seeking compelling sales tools for their bridal services, the wedding
industry presents the perfect opportunity for CWS’s cause-related marketing programs.



Increased Registry Purchases: Charitable Registry Programs encourage couples to inform
their guests about their registry and motivate guests to buy from the participating retailer.
Compelling Marketing and Sales Tool: Charitable Registry Programs are a powerful
customer acquisition mechanism for stores that are constantly seeking to differentiate their
registry services.
Positive Public Relations Benefits: Charitable Registry Programs create numerous
opportunities for retailers to brand themselves in the media as good corporate citizens.
Charitable Wedding Services Business Plan
1
CWS seamlessly integrates the Charitable Registry Program into retailers’ existing bridal services.
CWS provides retailers with a streamlined service package that includes:
1. Program Setup Consultation
2. Technical Systems Integration
3. Customer Support
4. Associate Support and Training Materials
5. Donation Management and Disbursement
The retail clients manage all ongoing program materials development, associate training, and
program promotion, which enables CWS to avoid costly integration and maintenance expenses.
CWS’s experienced and passionate management team has worked closely with its advisors to
develop a highly specialized product for major wedding retailers. Key competitive advantages
include a solid first-mover advantage, established nonprofit partnerships, a robust technical
infrastructure and an existing public relations platform. The most likely competitive threat to
CWS comes from the retailers developing in-house Charitable Registry programs. CWS will
capitalize upon scale advantages and growing brand legitimacy to keep retailers from
undercutting the venture.
Management
Team
Peter Murray – Executive Vice-President – Founder and former President of a Philadelphia-based
business development center with over 20 staff; Co-founder of the I Do Foundation; strong
wedding industry knowledge/contacts and a proven sales record with major retailers.
Larry Miller – Director of Technology – Former project manager for DigitalWave, CDNow, and
Aquent Consulting; has lead the Foundation’s technology team for over two and a half years.
In addition, the Foundation’s Executive Director, Bethany Robertson, and several board
members are heavily involved in leading the CWS venture. CWS will hire five additional staff
members over the next year, including a CEO and Sales Director.
Financial
Summary
CWS’s revenue structure centers on service relationships with retail clients. In addition to the
donated percentage of sales, retailers pay a 1% fee to CWS for program support and donation
management. These fees are the sole revenue stream for CWS (100% of the retailers’ donations
go directly to couples’ selected nonprofit organizations).
As a targeted and simple cause-related marketing service, CWS maintains a streamlined cost
structure – the majority of CWS’s expenses come from salaries for sales and program integration
staff and an experienced CEO. To date, CWS has raised $163,000 ($93K on hand) and requires
an additional $220,000 before becoming cash flow positive in the summer of 2005.
Summary Projections
FY 2004
FY 2005
FY 2006
Management Fee Revenue*
$68,330 $1,183,200 $1,635,075
Cost of Sales
$39,860 $1,041,515 $1,450,845
Operating Expenses
$235,058
$761,179 $1,134,882
EBIT ($ in thousands)
($195,198)
$280,336
$315,963
Operating Margin
NA
24%
19%
* Only includes the 1% management fee paid by stores, not the donations made to nonprofits
Charitable Donations Raised by CWS
FY 2003
FY 2004
FY 2005
$438,340 $7,594,050 $10,449,900
Charitable Wedding Services Business Plan
2
Business Description
I. OVERVIEW
Charitable Wedding Services (CWS) helps major wedding retailers develop cause-related marketing
programs that enable retailers to increase customer spending and attract new bridal customers while
generating resources for charities. Over the next three years, CWS aims to enable 3-5 major retailers
to develop Charitable Gift Registry Programs in stores across the country. In addition, CWS will
expand its cause-related marketing program into the floral and bridal gown markets, serving at least
one bridal boutique chain and one major florist company by 2006. Over the next three years, these
programs will raise over $18 million in charitable donations. CWS is a revenue-generating project of
the I Do Foundation, a national nonprofit organization dedicated to encouraging charitable giving
through weddings.
I Do Foundation History
The I Do Foundation is a Washington, DC-based nonprofit organization founded in 2001 to
encourage charitable giving at weddings. Working with national media sources and wedding industry
leaders, the I Do Foundation educates engaged couples about opportunities to have a sociallyconscious wedding. The Foundation has developed an online system that enables couples to select
donations in place of traditional wedding gifts and provides grant management and donor services.
Couples can also create charitable guest favors, where the couple makes a donation in honor of each
of their guests in place of traditional wedding favors.
While the Foundation’s media and online efforts have been extremely well-received, the real
opportunity for social change within the wedding industry lies in capturing a share of the $70 billion
spent on items ranging from wedding dresses to gift registries. In recognition of this opportunity,
the I Do Foundation began developing the CWS model in 2002 in an effort to apply cause-related
marketing strategies to the wedding industry.
The CWS program is closely aligned with the I Do Foundation’s mission, and the income earned
will contribute significantly to the long-term sustainability of the organization. In addition, the
program will greatly increase traffic on the I Do Foundation website, creating opportunities to
encourage couples to use the Foundation’s other charitable wedding services.
The Creation of CWS
CWS replicates the successful charitable wedding registry model pioneered by The Wedding List, a
retailer purchased by Martha Stewart in 2002 with stores in NYC, Boston, and London. During the
two years in which this program was offered, the Charitable Registry program was an enormous
success for The Wedding List, increasing registry purchases by up to 50% and creating a powerful tool
for attracting new couples to register with the store.
After Martha Stewart bought the The Wedding List at the beginning of 2002 (The Wedding List folded
soon thereafter), the I Do Foundation contacted Gregg Renfrew, The Wedding List’s former CEO, to
assess the possibility of replicating the innovative model with other major retailers. Working closely
with Ms. Renfrew and other wedding industry advisors, the I Do Foundation reached out to retailers
across the country to develop pilot Charitable Registry Programs through the I Do Foundation’s
website.
After securing donation agreements with several major retailers, the I Do Foundation created the
technical infrastructure and web interface to conduct online pilot Charitable Registry Programs for
Charitable Wedding Services Business Plan
3
each retailer. In the second half of 2003, the I Do Foundation worked with 9 retail clients to create
Charitable Gift Registries for over 500 couples. These retail clients experienced increases of 40%60% in spending on registries in the pilot, and over half of these clients have already raised their
donation rates. In the first three months of 2004, the I Do Foundation has added two new retail
clients, Marshall Fields and REI, and has created Charitable Registries for an additional 400 couples.
Building on Success: Expanding the CWS Pilot Program to Retailers’ Stores and Websites
The mission of CWS is to integrate charitable giving programs into retailers’ existing in-store and
online wedding services. In the pilot phase, the Charitable Registry Programs are run through the I
Do Foundation’s website. CWS’s growth model is predicated upon integrating Charitable Registry
Programs into retailers’ stores and websites in order to capture couples at these points of sale.
CWS has conducted online pilot programs through its website (www.idofoundation.org) for major
national retailers including Linens ‘n Things, Target, JC Penney, Ross-Simons, and Kitchen Etc.
These online pilot programs have enabled the I Do Foundation to streamline its systems for couple
services, donation management and disbursement, and store interfacing.
In the fourth quarter of 2004, CWS will build on the pilot programs to begin the first in-store
Charitable Registry Program integrations for 1-2 retailers on a regional basis (current pilot programs
are exclusively operated through the I Do Foundation’s website). Over the next three years, CWS
will develop national in-store Charitable Registry Programs for 3-5 major retailers. In addition to
helping stores set up these charitable registry programs, CWS will provide ongoing back-end
program support, including managing nonprofit selection by couples, customer service, and
donation disbursement.
Over the past nine months, CWS has begun assessing the opportunity to expand these charitable
giving programs into other segments of the wedding industry. CWS’s market outreach and analysis
have shown a strong demand for charitable programs in the bridal boutique and floral segments.
Growth Opportunities: Adding Bridal Boutiques and Florists
The I Do Foundation has received strong interest from national bridal boutiques and florists who
are eager to develop charitable programs. CWS will extend its charitable wedding services to enable
these retailers to offer prospective clients the option to have a percentage of their wedding
purchases donated to charity. This charitable program will differentiate participating boutiques and
florists from their competitors and enable them to close valuable, high-margin wedding contracts.
In the second half of 2004, CWS will begin pilot charitable giving programs with bridal boutiques
and florists with the goal of expanding these pilots into national programs in 2005. CWS will first
focus on national clients to establish a solid operations platform. Once established, CWS will open
up its services to local bridal boutiques and florists across the country. Through its streamlined
donation system, CWS will enable any store to easily create “I Do” charitable giving programs.
NOTE: Throughout the rest of this plan, the discussion focuses on the Charitable Registry
Programs because they represent more than 90% of projected revenue in the near term. The sales
and operations process for boutiques and florists is nearly identical to that of CWS’s gift registry
retail clients. For an example of a program integration proposal for these retailers see Appendix F.
The Role of CWS in the I Do Foundation
The CWS venture is a top priority for the I Do Foundation. CWS’s cause-related marketing
programs are a critical part of the I Do Foundation efforts to create lasting change in the wedding
Charitable Wedding Services Business Plan
4
industry. The Foundation is raising significant funding resources ($163,000 to date) and operational
support in the form of office space, phones, web hosting, and Internet connectivity for CWS. In
addition, several members of the Board of Directors have been heavily involved in the planning and
fundraising for the venture. In 2003, CWS’s budget represented about a third of the total I Do
Foundation budget and the venture will represent approximately 50% of the 2004 budget.1
Operational responsibilities are divided as follows:
I Do Foundation
 Receives Donations
 Screens Nonprofits
 Disburses Funds to Nonprofits
 Manages Donor Relations




CWS
Directs Sales and Marketing
Runs all Store Services
Manages Customer Service
Runs Donation Tracking
As this chart indicates, CWS will be responsible for developing and maintaining retail client
relationships. The I Do Foundation will then manage all stages of the grant-making process using
the Foundation’s existing donation management systems.
II. CHARITABLE WEDDING GIFT REGISTRY PROGRAMS DETAILS
Through a Charitable Registry Program, retailers offer to donate a percentage of gift purchases to
charity for couples who sign up for the program. Retailers offer the program to engaged couples
through their stores and websites. Charitable registry programs create powerful incentives for
attracting new bridal customers. The primary value proposition for stores, however, is the
Charitable Registry Programs’ proven increase in per registry spending. With couples registering for
gifts at an average of between two to three stores, Charitable Registry Programs give retailers an
edge over competitors as they push to get guests to purchase from their stores.
Below is an outline of CWS’s cause-related marketing model.
Engaged
Couples
  
   1.
   Stores offer couples
   the opportunity to
sign up for the
  
charitable program
  
in store or online.
  
Retailers
w/Wedding
Gift Registry
Registry
Services
Bridal
Boutiques
I Do
Charitable
Wedding Services
2.
Stores pay donations
and a 1% program
management fee to
CWS.
Customer Service
Nonprofit Selection
Donation Tracking
and Disbursement
Florists
3.
CWS Charitable Registry
Program Management
1
CWS disburses
funds to couples
chosen charities.
The Foundation’s total revenue in 2003 was $225,000 and is expected to be over $400,000 in 2004.
Charitable Wedding Services Business Plan
5
How a Charitable Registry Program Works
1. Stores Offer to Donate a Percentage of Gift Purchases
Through their stores, retailers offer engaged couples the opportunity to sign up for a charitable
wedding registry. Under the program the retailer donates a percentage of the couple’s gift registry
sales to charity. CWS consults with the retailers on the development of program information sheets
and store promotional materials. The retailer chooses the donation rate for the program. In
addition to the donation rate, retailers pay an additional 1% to CWS for managing the donations.
2. Couples Choose Charitable Options
When a couple signs up for a charitable registry program at a participating retailer’s store or website,
they automatically receive an account with the I Do Foundation that allows them to choose their
charitable organization(s). Couples have the option to select a nonprofit from a list of charitable
organizations in the store, or to view a broader range of charities later through the I Do
Foundation’s online charitable options system. Couples can access their charitable options through
the retailers’ website or directly at www.idofoundation.org. The I Do Foundation’s system enables
couples in the retailers’ charitable wedding registry program to select or change a charitable recipient
and manage their donation options online.
3. Couples Inform their Guests
Guests will hear about the registry through the usual means:
word of mouth, bridal showers, and registry enclosure cards.
Couples enrolling in the charitable wedding registry program
can send registry enclosure cards (see inset) with their
wedding or bridal shower invitations to inform guests about
their charitable gift registry. The Wedding List was able to get
almost 100% of couples to send enclosure cards. Guests
make purchases online or at a local store and a percentage of
the total amount spent on gifts is donated to charity.
Should You Wish
We have registered at:
MARSHALL FIELDS
Marshall Fields will donate 7% of your gift
registry purchase to charity.
www.fields.com
4. Donation Payments
Each month, CWS provides retail clients with statements containing the names and registry IDs for
all couples enrolled in the charitable registry program. Each partner then returns a report of registry
spending for those couples. CWS invoices the retailers for the donation percentage plus the 1%
management fee and disburses donations to couples’ selected nonprofits on a quarterly basis.
NOTE: Although retailers will offer the Charitable Registry Program to all couples in their stores
and on their website, couples will need to sign up for the program in order to raise donations. No
donations will be made on the registries of couples that have not signed up for the program in the
store or online. CWS assumes that 15% of a retailer’s bridal customers will choose to sign up for
the program, however, it is likely that many more couples will choose to participate.2
Charitable Wedding Programs for Florists and Bridal Boutiques
CWS is extending its service offerings to enable florists and bridal boutiques to create Charitable
Wedding Programs. These programs will offer retailers the same opportunity to attract customers
by offering to donate a percentage of sales. A detailed program proposal for KaBloom, one of our
potential 2004 floral clients, is included in Appendix F.
2
The Wedding List experienced 20%-25% adoption rates and some CWS retail clients are estimating over 50%.
Charitable Wedding Services Business Plan
6
III. CLIENT PROGRAM INTEGRATION ROLLOUT
Program Phase
PHASE 1
PILOT
PROGRAM
CWS creates Charitable
Registry Programs for
retailers on the I Do
Foundation website.
PHASE 2
REGIONAL
STORE
INTEGRATION
CWS helps retailers offer
Charitable Registry
Programs in stores in a
single region.
PHASE 3
NATIONAL
STORE
INTEGRATION
CWS helps retailers offer
Charitable Registry
Programs in all of their
stores across the country
Retailer Details
CWS Details
Timeline
Value Proposition: Low-risk
opportunity to test the potential
for Charitable Registry Programs
to increase registry sales rates.
Services Provided: Attracts couples
to site, provides links to client’s
registry services, manages charity
selection and donation disbursement,
provides customer service for all users
Currently,
CWS has 10
pilot clients.
New Clients:
2004: 3
2005: 2-3
2006: 2-3
Fees: Retailer sets donation rate.
Additional 1% fee paid to CWS.
Set-up Costs: Virtually no
technical or operational costs.
Value Proposition: Increased
registry sales will drive clients to
start regional store integrations.
Fees: Retailer sets donation rate.
Additional 1% fee paid to CWS.
Set-up Costs: Stores will
develop in-store program
materials, train associates, and
sign couples up in their stores.
Stores will also promote and
market the program.
Value Proposition: Continued
proof of increased registry sales
and a smooth regional store
integration process for the
Charitable Registry Program will
push clients to expand nationally.
Fees: Retailer sets donation rate.
Additional 1% fee paid to CWS.
Set-up Costs: Stores will
develop in-store program
materials, train associates, and
sign couples up in their stores.
Stores will also promote and
market the program.
Staff Requirements: Adding new
pilot clients requires no additional
staff. Currently two technical staff
and one service staff member are
easily able to manage the pilots.
Services Provided: Consult with
clients on in-store program setup,
manage charity selection and donation
disbursement, provide donationrelated customer service for couples
and guests.
Staff Requirements: Each regional
integration will require 4 months of
full-time work by 2 staff members (1
tech, 1 service). If the regional
integration is successful, then stores
will integrate nationally.
Services Provided: Consult with
clients on national expansion, manage
charity selection and donation
disbursement, provide donationrelated customer service.
Staff Requirements: Expanding the
program nationally will require 3
additional months of full-time work
by one tech and one service staff
member. Ongoing customer support
costs for the program will equal
approximately $2.60 per couple
(compared with per couple revenue of
$25.00, not including donations)
Clients
Moving from
Pilot to
Regional:
2004: 1-2
2005: 3-4
2006: 2-3
Clients
Moving from
Regional to
National:
2004: 0
2005: 2
2006: 2
Charitable Wedding Services Business Plan
7
IV. CWS PRODUCT AND SERVICE OFFERING FOR RETAILERS
CWS provides retailers with several key services for the development of charitable programs3:
1.
2.
3.
4.
5.
Program Setup Consultation: CWS will consult with each client on program planning,
store materials development, marketing integration, and staff training.
Technical Systems Integration: CWS will link client’s store systems directly to the CWS
database, so that couples can easily join the charitable program at any store.
Customer Support: Once couples have joined the charitable program through the store,
CWS provides each couple with online tools such as a nonprofit selection system,
donation tracking, wedding website creator, and online customer support.
Associate Support and Training Materials: CWS provides store associates with training
materials, as well as phone and email support for their questions about the program.
Donation Management: CWS tracks, manages, and disburses all donations raised
through the charitable programs.
The retail clients manage all ongoing program materials development, associate training, and
program promotion, which enables CWS to avoid costly integration and maintenance expenses.
Current Retail Clients
The I Do Foundation developed pilot online charitable registry programs for nine retailers in 2003.
CWS will build on this client experience to develop full-scale programs for major retailers.
3
3% donated
8% donated
5% donated
5% donated
8% donated
4% donated
4% donated
4% donated
4% donated
7% donated
Additional information about each of these services is provided in the Operations Plan section.
Charitable Wedding Services Business Plan
8
V. CWS VALUE PROPOSITION
CWS is focused on providing retail clients with a powerful tool for increasing sales. Although these
clients are interested promoting a positive corporate image, CWS’s increased customer purchases
and new marketing opportunities will drive the retailers’ participation in the program.
Who?
Gift
Registry
Retailers
Bridal
Boutiques
and
Florists
All Retail
Clients
Engaged
Couples
Benefits
Increased Gift
Registry Purchases
(see Appendix D
retailer benefit for
value analysis)
A Powerful Sales
Tool
Bridal Registry
Customer
Acquisitions
Details
-Pilot programs have created increases in average gift registry purchases of
between 40% to 60% for client retailers.
-Charitable Registry Programs encourage couples to inform their guests
about their gift registry – a key sales hurdle for retailers.
-Guests have a clear incentive to buy from the participating retailers as
opposed to other stores where the couple is registered.
-Bridal Boutiques are struggling to get brides to complete sales in their
stores as brides move towards online wholesalers.
-Florists need differentiated service offerings for couples in order to stand
out in a crowded market.
-Bridal customers are extremely high-margin customers for retailers, so
stores are always searching for sales incentives for couples.
-Unique added-value offering for engaged couples.
-Improved advertising and public relations outreach to attract new
couples to their stores.
-A key aspect of the program is that retailers do NOT make a donation to
charity for every wedding purchase. Retailers only make donations on
wedding purchases by those couples who choose to sign up for the
program and select a nonprofit recipient through the I Do Foundation.
Targeted Sales
Incentive
-This ensures that retailers only make donations when a couple is
interested enough in the program to select a charitable recipient.
-Store associates can choose to use the Charitable Registry Program with
some clients and not with others.
Customer Loyalty -Charitable giving options greatly increase customer loyalty + satisfaction.
Improved
-CWS strives to promote its corporate clients as good corporate citizens
Corporate Image and community-minded companies.
Make a Purchase; -When every dollar spent raises donations for their charity, couples have
Make a Difference the satisfaction of knowing their spending is making a difference
-Couples sign up for the program at their local store and can select their
charity there or online through the I Do Foundation.
It’s Easy; It’s Free
-CWS’s convenient services are provided at absolutely no cost.
Flexible Charity
Selection Options
Convenient
Wedding Planning
Services
-Couples can choose from the Foundation’s carefully screened nonprofit
partners or select their own local organization.
-CWS provides every couple with online planning tools and a personal
wedding website creator. These services help simplify the wedding
planning process.
Charitable Wedding Services Business Plan
9
Market Analysis
"We have observed a growing trend of couples adding a charitable focus to
their weddings. It's a meaningful way to start their married life together."
-- Millie Martini Bratten, Editor in Chief of BRIDE'S magazine
Key Industry Statistics4
Number of Couples who Marry Each Year
Total Size of Wedding Industry
Average Spending/Wedding
Potential Market for CWS cause marketing programs
Potential Spending in CWS Market
2.4M
$70B
$30,000
1.2M couples/yr
$35B+/yr
I. WHY WEDDINGS?
The I Do Foundation was created to capitalize upon the unique opportunity that weddings provide
for raising charitable donations. The wedding industry has several key characteristics that make it
the perfect industry in which to launch successful cause-related marketing programs.
Industry Size
Each year, approximately 2.4 million couples get married, feeding a steady $70 billion industry. The
constant addition of new couples intent on having the wedding of their dreams has created a nearly
“recession-proof” market.5 As an indicator of the industry’s strength, while most other magazine
markets saw significant revenue drops in 2000 and 2001, advertising revenues for major bridal
magazines actually increased by 6%-11%.6
The size and stability of the wedding industry present CWS with a lucrative target for cause-related
marketing programs. Catalyzing charitable giving trends in such a large and dense consumer market
has the potential to raise hundreds of millions, if not billions, of dollars for charity.
High per Customer Spending
With almost $30,000 of spending at the average wedding, bridal customers represent one of the
most coveted market segments in the retail industry. Replenished on an annual basis, wielding
substantial budgets and facing a firm deadline, engaged couples are hungry for information and
poised to make purchases. According to Modern Bride magazine, during the six months prior to and
the six months following a wedding the average couple will make more buying decisions and
purchase more products and services than at any other time in their lives.
High per customer spending is critical for successful cause-related marketing programs. Most causerelated marketing programs are focused on sales of a single product line or class of purchases by
partner retailers. For CWS, a single customer spends $6,000 on gift registry purchases alone, with
the opportunity for capturing double or triple that amount through other wedding services. These
high spending rates enable CWS to more easily cover program management and marketing costs.
Conde Nast Bridal Group, 2003 and The Knot, 2003
Tom Curtin, senior vice president and publisher of Bridal Guide, 2001
6 Magazine Publishers of America and the Publishers Information Bureau.
4
5
Charitable Wedding Services Business Plan
10
High Gross Margins
The once-in-a-lifetime aura of weddings lowers engaged couples’ price sensitivity, allowing vendors
to garner extremely high gross margins. Bridal boutiques enjoy extremely high sales margins – some
dress manufacturers require that vendors sell their dresses with at least a 200% mark-up7. Caterers
and florists usually charge “wedding fees,” which set their wedding package prices at 30%-50%
higher than for other products. Even gift registry retailers, who are limited by the pricing in the rest
of the store8, highly value registry customers because bridal registries represent the perfect
opportunity to begin a profitable life-long relationship with a new family.
High gross margins make cause-related marketing programs much more attractive for wedding
retailers and service providers. Increasing sales rates and attracting new couples is incredibly
valuable to wedding companies, and a 5% donation rate is relatively small in comparison to their
total gross margin.
Intense Competition for Customer Acquisition
High gross margins and enormous per customer spending rates fuel intense competition for bridal
customers. This competition is reflected by the extremely large advertising expenditures of wedding
retailers and service providers. According to Advertising Age, in 1998 the top three bridal magazines
generated an average of $191 in revenues per reader, compared to an average of $76 in revenues per
reader in the top three travel magazines and an average of $54 in revenues per reader in the top
three women's magazines. These rates reflect retailers’ constant struggle to find new avenues to
attract high-spending engaged couples.
Getting couples into the store is only the beginning of the challenge for wedding retailers. Couples
(particularly brides) do extensive comparison shopping for nearly every aspect of their wedding—
from gowns and bridesmaid dresses to flowers and caterers. In addition, most couples register for
gifts at more than two stores, which leaves retailers scrambling to attract wedding guests to buy from
their registry first.
Wedding retailers are constantly seeking tools to close wedding contracts and increase couple and
guest spending. One retail strategy is to develop gift registry incentive programs, including: registry
completion programs in which couples can buy items off of their own registry at a 10% discount;
gift card programs that reward couples with in-store credit certificates of varying amounts depending
on total registry spending; and partner rewards programs that provide registrants with discounts at
partner wedding stores. CWS is an effective and flexible variation on these incentive programs that
can serve in conjunction with other programs or as a stand-alone promotion.
The Culture of Weddings
Weddings are highly symbolic events. Couples see weddings as reflection of their relationship, and
parents often see weddings as a reflection of their family. Consequently, couples are looking for
opportunities to imbue their celebration with their values. Moreover, many couples become
overwhelmed by the extravagance and cost of their wedding, creating a critical opportunity for
CWS’s charitable wedding programs.
CWS has interviewed the I Do Foundation’s boutique advisors to obtain pricing information in the industry.
Average gross margins range from 30%-45% for most retailers in the registry market (garnered from public financial
statements from major stores including Target, Federated Dept. Stores, May Company, and Williams-Sonoma).
7
8
Charitable Wedding Services Business Plan
11
II. THE CHARITABLE WEDDING MARKET
"Now, some couples in the post 9/11, post-Iraq-war era are trying to balance the day's sweetness
and white-silk idealism with the realities of life beyond the chapel. Some are turning to charity to
give their wedding day a deeper social context."
--New York Times, June 8, 2003
As wedding spending rises, engaged couples are beginning to examine expenses more closely.
Increasingly, they are considering how to bring a charitable focus to their weddings. Shifting
demographics, coupled with a growing consumer preference for products associated with charitable
causes, point to an emerging market for charitable wedding services.
Market Size: Charitable Wedding Services
MARKET SIZE: 1.2 million couples per year
TOTAL SPENDING: $35 billion per year
CWS estimates that the potential market for charitable giving at weddings includes 1.2 million
couples each year, spending over $35 billion dollars on their weddings:
-
2.4 million couples get married each year spending $70 billion
Approximately 64% of these couples register for gifts and make wedding
purchases from the mid and upper scale retailers targeted by CWS.9
Cause-related marketing research shows that 80% of consumers would
switch brands to support a social cause.10
$70 billion
X
64%
X
80%
= $35 billion
CWS enables retailers to target socially-conscious engaged couples in this lucrative market. Sociallyfocused couples are wealthier and more educated than average. According to Cone/Roper Reports,
cause-related marketing has the strongest impact on consumers who have attended college and earn
$30,000-plus annually – by a two to one margin these consumers are more likely to have made a
cause-related marketing purchase than consumers at large.
Changing Demographics: Charitable Weddings Trend
A number of key shifts in the demographics of engaged couples have helped to fuel a general rise in
charitable giving at weddings: 11



Couples marrying later in life: In 1950 the average bride was 18 years old. In 1970 she was
20. Today the average bride is almost 29 years old and the average groom is over 30.
Couples living together before marriage: Today, almost 60% of couples live together before
getting married. Consequently, many couples have already built households and are looking
for non-traditional registry options.
Rising average incomes: The average combined household income of engaged couples is
$55,880 and over 70% of couples pay for their own weddings and honeymoons. Couples
From CWS compilation of target retailer market shares as reported by Brides Magazine, 2002
Roper Study of Today’s Bride, Greenfield Online, and Cone/Roper 2001
11 Sources: Brides Magazine, Modern Bride magazine, National Center for Health Statistics 2003, Roper Study of Today’s
Bride, PRIMEDIA Research 2000, Globe Research 2001, The Knot 2004.
9
10
Charitable Wedding Services Business Plan
12

are more independent and wealthy than ever before, creating an opening for alternative gift
options.
Rising rate of second marriages: Approximately 30% of today’s marriages are second
marriages. These couples are less likely to need traditional gifts as they are often combining
households instead of building them from scratch.
With these demographic shifts, couples are looking for alternatives to the traditional gift registry and
wedding planning process. As the Philadelphia Inquirer noted in December of 2001, “More and
more weddings are incorporating charitable giving – in imaginative ways.”
The Philadelphia Inquirer is not the only publication to highlight the charitable wedding trend.
Charitable wedding activities have received coverage in publications and websites such as: Martha
Stewart Weddings, Wedding Bells magazine, and The Knot's Wedding Pages. These articles describe a
variety of charitable activities that brides and grooms are already doing, such as:
 Making donations in place of purchasing wedding favors.
 Donating left-over food to local food banks.
 Donating flowers and decorations to retirement homes or hospitals.
 Donating wedding dresses and bridesmaid dresses.
 Doing a service project in place of a bachelor or bachelorette party.
 Using environmentally-friendly products, from the invitations to the napkins.
The rise in socially-conscious wedding planning has helped to convince retailers of the demand for
CWS’s Charitable Registry Programs.
Growth in Cause-Related Marketing
The growing interest in charitable weddings is underscored by the broader consumer trend in which
customers prefer to do business with companies associated with a good cause. A 2001 Cone/Roper
study found that over 80% of consumers are likely to switch to a brand associated with a social
cause if price and quality are equivalent. In addition, over 79% of adults surveyed said companies
have a responsibility to support charity.
U.S. corporations have responded, increasing their spending on cause-related marketing activities by
400% from 1990 to 1998, according to IEG. This increase has been driven by consistent findings
that American consumers change brands and increase spending as a result of cause-related
marketing activities. According to Ed Keller, Executive Vice President of Roper Starch Worldwide,
in today’s business climate, "Products will have to meet not only the price and quality demands of
consumers, but their personal values as well. Given that environment, cause-related marketing is a
dramatic way to build brand equity."
Charitable Wedding Services Business Plan
13
III. TARGET RETAIL MARKETS
Wedding Gift Registry Retailers
CWS’s primary targets are major retailers in the wedding gift registry market. The gift market
comprises a significant portion of the wedding industry with over $19 billion in gift sales each year.12
Over 90% of couples register for wedding gifts and average gift spending is over $6,000. An average
of 180 guests attend each wedding and most wedding gifts cost between $65-$125.13
Department stores have long dominated the wedding gift market with 67% of couples registering at
these stores. However, 37% of couples register with mass retailers and 28% with specialty stores,
giving these companies a significant market share.
The Wedding Gift Registry Market
Percentage of Couples that Register at Major Retailers
 JCPenney
30%*
 Marshall Fields
 Target
29%*
 Bed, Bath and Beyond
 Macy’s
18%
 Williams-Sonoma
 Dillards
12%
 Foleys
 Crate & Barrel
10%
 Filenes
*Current I Do Foundation clients for pilot charitable registry program.
9%*
7%
5%
3%
3%
Data from Brides Magazine, 2002
All of these stores are actively seeking additional marketing avenues to reach lucrative, new bridal
customers and increase gift registry spending. Moreover, department stores view gift registries for
engaged couples as an opportunity to acquire lifelong customers. Consequently, these stores pour
significant resources into providing the highest quality bridal registry services.
Market Segments
CWS has divided potential gift registry clients into four market segments:
1. Upper-end Retailers
Retailers serving middle and upper income
couples provide one of the most lucrative
opportunities for CWS. These stores’ gift
registries are larger (couples in this
demographic receive $6,000-$10,000 in
gifts) and individual product margins are
much higher than for other retailers.
Consequently, these retailers can more easily
afford to adopt a charitable registry program.
12
13
Retailer
Crate & Barrel
Williams-Sonoma
Pottery Barn
Bloomingdales
Restoration Hardware
# of
Stores
80
200+
150+
34
100+
Market
Share7
10%
5%
1%
3%
1%
The Knot 2004
Modern Bride magazine; Brides magazine, The Knot 2004.
Charitable Wedding Services Business Plan
14
2. Major Department Stores
The country’s major department stores
serving middle income customers are a solid
target for CWS. Federated Department
Stores (Macy’s, Burdines, and Macy’s
affiliates) dominates this market segment.
The large number of stores controlled by
each of these retailers would make any one
of these stores a major client.
3. Major Mid-Range Retailers
The largest share of couples register with
mid-range retailers. The major limitation of
these clients is their smaller average registry
size. By managing to attract middle-income
clientele, Target has become the fastest
growing gift registry provider in the
industry.
4. Niche Retailers
CWS has identified a number of smaller
retailers that have carved out niche markets
within the gift registry market. These
retailers are particularly eager to adopt tools
to better compete with major department
stores in order to increase their guest
spending percentage for each registry. The
incentive for increased guest spending
created by charitable registry programs is
particularly important for these stores.
Retailer
Federated
May Company
Dillards
Marshall Fields*
Retailer
JCPenney*
Target*
Bed, Bath & Beyond
Linens ‘n Things*
# of
Stores
431
400+
200+
64
Market
Share7
21%
9%
12%
9%
# of
Stores
1040
1107
500+
390
Market Share
30%
29%
7%
2%
Retailer
# of
Market Share
Stores
Pier One
1100
1%
Mikasa*
170
<1%
Ross-Simons*
15
<1%
Kitchen Etc.*
17
<1%
REI
66
<1%
Fortunoff
7
<1%
Michael C. Fina
100+
<1%
*Current I Do Foundation clients for pilot charitable
registry program.
CWS is NOT currently targeting two additional gift registry market segments:
1. Discount Retailers: Retailers such as Wal-mart and Kohl’s do not have the necessary
product margins to easily adopt a charitable gift registry program.
2. Luxury Retailers: This is a difficult market segment to enter because retailers such as
Tiffany’s and Neiman Marcus are skeptical about whether cause-related marketing programs
will help them attract their target customer. These stores rely on their prestige to attract
wealthy clientele who do not necessarily fit the profile of a typical CWS couple. However,
these retailers may move to join the charitable registry trend in the mid to long-term
Boutique and Floral Markets
Bridal boutiques seek to capitalize on all of the women’s wedding attire spending. Women spend an
average of $799 on the bridal gown, $735 on bridesmaid dresses, and an additional $300-$400 on
accessories (veils, garters, shoes, etc).14 High-end boutiques often sell dresses for over $5,000.
14
Conde Nast Bridal Group - 2003
Charitable Wedding Services Business Plan
15
Flowers remain an “essential” part of every wedding: the average spending on flowers is $967, but as
wedding floral consultant Lisa Long notes, most couples that hire florists spend more: “Most
couples spend an average of $1,500 on their wedding flowers… We've seen weddings for between
$10,000 and $20,000. It just depends on your budget."15
Product margins in both markets are extremely high: bridal boutiques regularly begin with a baseline
markup of 100% on the designer pricing. Some bridal gown designers require boutiques to start
with at least a 200% markup on their dresses in order to maintain brand quality. Florists also set
200+% product markups on wedding arrangements. These high product margins provide florists
and bridal boutiques with the flexibility to implement charitable wedding programs.
The bridal attire and floral markets are largely filled by small local boutiques and florists. Although
CWS aims to develop a turnkey solution that can be easily adapted to local boutiques and florists
stores, over the next three years, CWS will focus on developing charitable programs for the national
chain stores in these markets.
National Bridal Boutiques
David’s Bridal – 180 Boutiques – David’s is the largest boutique chain in the country and plans to
keep growing with over 150 new stores planned by 2005. Owned by the May Company Department
Stores, the company focuses on providing affordable gowns (all gowns cost less than $1000) and
capturing auxiliary spending (bridesmaid dresses and accessories). David’s sells gowns under its own
label as well as the Gloria Vanderbilt and Oleg Cassini lines.
Priscilla of Boston – 10 Boutiques – For over 50 years, Priscilla of Boston has been a premier name
in the bridal industry with the finest gowns available. Priscilla’s higher-end brides spend an average
of $2,500 on their gowns. Priscilla of Boston was purchased by the May Company Department
Stores in 2001.
Jessica McClintock – 43 Boutiques – Built on the company’s prestigious brand name, Jessica
McClintock’s boutiques showcase all of the designer’s clothing and fragrance lines.
Saks Fifth Avenue – 15 Boutiques – Saks has teamed up with Vera Wang to develop bridal
boutiques with the finest (and most expensive) gowns in the country.
National Florists
1-800-Flowers.com – 125 Stores – This national flower power does much more than online and
phone sales. With over a hundred 1-800-Flowers shops across the country, the company provides
thousands of couples with wedding services each year.
KaBloom – 66 Stores – KaBloom has quickly grown from its Boston roots to develop stores in 11
states. Often called “the Starbucks of Flowers,” KaBloom focuses on convenience with locations
that are strategically located in high-traffic areas and long store hours. KaBloom is trying hard to
compete more effectively in the lucrative wedding market.
15
The Arizona Republic - 2003
Charitable Wedding Services Business Plan
16
Competitive Analysis
I Do Foundation and CWS: A Unique Service Offering
The I Do Foundation is the only organization in the country that currently provides charitable gift
registry services. Although a few other organizations, such as marriedforgood.com and justgive.org,
provide information about having a socially-conscious wedding, the I Do Foundation is the only
organization that has developed relationships with major retailers and built a platform for charitable
registry management.
While it is possible that a new nonprofit or for-profit organization will enter this market and create a
charitable wedding registry platform and services structure, the more likely source of competition
for CWS comes from the retailers themselves. As charitable wedding registry programs become
more common, some retailers will begin to look for opportunities to create and operate their own
platforms for the programs.
Other Market Players’ Entry Potential
CWS has carefully examined the potential for existing companies (and nonprofits) in the wedding
industry to begin providing retailers with charitable giving program services:

Online Gift Registries: Few online registry companies have survived the bursting of the
Internet bubble. TheKnot.com and WeddingChannel.com are the primary survivors, and both
having built a steady stream of couples using their site each year (Wedding Channel serves
almost a million couples each year). Although these companies could enter this market, all of
the online registry providers have shown an aversion to getting involved in offline store
relationships, consulting, or management. Moreover, without any experience with charitable
giving or cause-related marketing, these companies are unlikely to enter this market.

Nonprofit Giving Portals: The major nonprofit online giving sites (justgive.org and
networkforgood.org) have the base level of infrastructure necessary for donation management
and nonprofit selection by couples. These portals, however, have consistently maintained a
focus on direct, credit card donation programs. They avoided the brief “charity mall”
explosion during the Internet boom and have never developed cause-related marketing
programs. Without specific industry experience or store interfacing technology, these portals
are unlikely to have the capacity to effectively enter the charitable wedding market.

Retail Consultants: There are a variety of individual consultants providing program
development support, marketing strategy, customer satisfaction evaluation, and other support
for major retailers. These consultants are extremely unlikely to take on the expense and
investment of developing the charitable giving systems necessary for entering this market.
Barriers to Entry for New Companies
Based upon CWS’s specialized product and targeted consumer market, there are a number of
barriers to entry for new companies. CWS’s competitive advantages include:

First Mover Advantage: CWS will capture significant scale and retailer relationship
advantages due to its first mover position in the charitable wedding services market.
Charitable Wedding Services Business Plan
17
Building on the I Do Foundation’s relationships with industry leaders, CWS will solidify the
I Do Foundation’s role as THE charitable registry services provider for retailers.

Established Nonprofit Partnerships: The I Do Foundation’s broad range of partnerships
with national and regional nonprofit organizations will help CWS market its services to
socially-conscious couples. In addition to its expertise in the nonprofit field, the I Do
Foundation name brings critical credibility and integrity to CWS.

Robust Technical Infrastructure: The I Do Foundation’s donation management and
disbursement system, online charity selection system, and pilot program interfacing with
existing retail partners provides a solid base for CWS’s development of charitable registry
programs.

Public Relations Platform: The I Do Foundation’s existing public relations success and
established media relationships will provide additional value to CWS’s retail partners. As the
first national nonprofit to enable couples to share a part of their wedding spending with
charity, the I Do Foundation offers a compelling story that can be used to market CWS and
its retail partners.
Most Likely Competitor for CWS: The Retailers
CWS believes that its most likely competitors are the targeted retailers themselves. Retailers may
begin to develop their own internal systems for managing their charitable programs. In the past two
years, online registry service providers have already experienced the trend of retailers shifting to
internal development. Companies such as Marcole and Wedding Channel initially secured contracts
with major retailers to develop online gift registry solutions. Within a few years, however, these
retailers moved to in-house online registries, cutting out the service providers.
CWS fully expects that some of its retail clients will do the same: start by contracting CWS to create
charitable gift registry programs for their stores before moving to an in-house management system
once the model is proven and the initial setup costs have been incurred. CWS has developed
responses to combat this competitive pressure:
Sources of CWS Advantage Over Retail In-House Systems
Scale Advantages
To continue to provide cost-effective services for retailers, CWS will
need to capitalize upon its first-mover advantage to build scale
advantages in donation management, customer service, nonprofit
partnerships, and technical operations. With a single automated
platform for serving couples and managing donations, CWS will be able
to provide retailers with high-quality, low cost services.
Service Upgrading
CWS will continue to upgrade and improve its service features for both
stores and couples. Improved donation tracking, customer service, and
online couple wedding services will enable CWS to continue to provide
added value service offering for stores.
Brand Legitimacy
CWS will work to establish the I Do Foundation brand as a sign of
legitimacy and quality in the wedding industry. This will provide
retailers with an ongoing incentive to use CWS to provide couples with
a familiar, nonprofit brand association
Charitable Wedding Services Business Plan
18
CWS Response: Model Flexibility if Retailer Seeks to Develop In-House System
Although these competitive responses may help CWS maintain its role as an active player in the
charitable wedding services market, retailers will almost certainly begin to compete with CWS by
establishing their own internal systems. As a result, CWS has developed an additional store services
model that will enable the company to continue to serve these independent retailers’ charitable
registries. Under this model, CWS will offer three complementary services to stores that want to
develop in-house program management systems:
CWS Service Offerings for Retailers Creating In-House Systems
Program Consulting
CWS will help stores design and implement their own programs. CWS
will provide clients with consulting on systems setup, program
structuring, marketing strategy, and training design.
Technology Licensing CWS will develop its existing nonprofit selection and donation
management systems into a turnkey software solution that stores can
license and integrate within their own system.
Brand Licensing
CWS will license the I Do Foundation to stores looking for the
legitimacy of the Foundation’s reputation and charitable standing. The
I Do Foundation will act as a quality control agent for consumers by
ensuring 100% of the donations are passed to the couple’s selected
charities and that selected charities pass the Foundation’s standard
financial and operational tests.
Clients will be able to purchase any combination of the above services. With a flexible service
model for retailers, CWS will effectively respond to the changing contours of the charitable wedding
services market.
Charitable Wedding Services Business Plan
19
SWOT Analysis
The following is a summary of the Strengths, Weaknesses, Opportunities and Threats of CWS as
identified in the Business Description, Market Analysis and Competitive Analysis. This analysis was
used as the basis for developing the Marketing, Management, and Operations plans.
Strengths
 Established organization feasibility through a
successful pilot program.
 Established relationships with almost a dozen
retailers including 3 of the 6 market leaders (JC
Penney, Target and Marshall Fields).
 First mover advantage.
 Only organization in the wedding industry to
provide this service.
Weaknesses
 Need for additional staff members with
strong retail operations experience and
additional wedding industry expertise.
 Need for additional cash funding to advance
the organization to the next level.
 Parent nonprofit organization is relatively
young (started in 2001) and small (6 full-time
staff plus technical consultants).
 Established technology infrastructure.
 Establish non-profit partner relationships.
 Key advisors who are leaders in the industry
and business (Gregg Renfrew, Michael
Felberbaum, Lauren Sueskind, etc).
 Solid management team with solid business,
nonprofit, and technology experience.
 Six full months of operating funds currently on
hand.
Opportunities
 Large market potential, 1.2 million couples
spending $35B per year.
 Industry trend of one major retailer starting
bridal programs and all others following suit.
Threats
 The emergence of new entrants – particularly
in-house Charitable Registry Program
development by major retailers.
 Future opportunities in the high margin
boutique and floral markets.
Charitable Wedding Services Business Plan
20
Marketing Plan
Over the next three years, CWS aims to provide national store integrations of charitable registry
programs for 3-5 retail clients. In addition, CWS will work to develop charitable registry programs
for one national bridal boutique and one major florist chain. CWS will build upon its current base
of retail clients in the pilot charitable registry program to close contracts with major wedding
retailers. In addition to these direct sales strategies, CWS will work to build brand recognition
through public relations, industry outreach, and partnership development.
I. SALES CYCLE: GRADUAL INTEGRATION
CWS’s incremental sales model enables the company to gradually build a base of solid retail clients.
For all of CWS charitable programs, clients are moved through the following progression:
PHASE 1:
PHASE 2:
PHASE 3:
Pilot Program
Integrate retailers online
through the I Do Foundation
website. Draw couples from
I Do Foundation network.
Regional Store Integration
Clients choose to integrate the
charitable wedding programs
into stores in a single market
region. CWS provides significant
setup support and consulting for
each store.
National Store Integration
Clients expand charitable
wedding programs into all of
their stores across the country.
CWS provides centralized
associate support and donation
management.
CWS will begin Regional Store Integration negotiations with the first set of pilot clients after the
completion of pilot analyses in the first quarter of 2004. The initiation of the first set of Regional
Store Integrations is scheduled for the second half of 2004. In the first quarter of 2004, CWS has
already closed new pilot contracts with Marshall Fields and REI and is in ongoing discussions with
the Federated Department Stores (Macy’s and Bloomingdales).
II. MARKETING STRATEGIES FOR TARGET CUSTOMER SEGMENTS
Retailers
 Direct Sales: Build Client Base through Existing Industry Contacts
The I Do Foundation already has a successful track record acquiring corporate clients. CWS’s
sales team is led by Executive Vice President, Peter Murray, who has successfully closed pilot
program contracts with major retailers including Target, JC Penney, Linens ‘n Things, Marshall
Fields, REI, Mikasa, Amazon.com, Ross-Simons, and Kitchen Etc. Marketing materials have
been developed to assist in acquiring new store partners, including documentation about the
program, examples of cause-related marketing received by current partners, and a cost-benefit
analysis of the program from the stores’ perspective. CWS will hire a sales director in July ‘04
and a CEO in January ‘05 who will work with the Executive Vice President to expand the
current client base.
CWS will leverage the experience gained managing these successful relationships to expand its
program to upper-end retailers16 such as Bloomingdales, Crate & Barrel, and Williams-Sonoma,
16
Note that these are not luxury retailers (Tiffany’s, etc) – CWS is not targeting luxury retailers at this time.
Charitable Wedding Services Business Plan
21
as well as major department stores such as Macy’s, the May Department Stores (Filene’s, Foley’s,
etc., and Dillards). It is critical for CWS to target these retailers for two reasons:
1) These top retailers will increase the overall brand value of the I Do Foundation and will
encourage more couples to seek and register for CWS.
2) Upper-end retailers have higher gross margins and are consequently more easily able to
afford program donations and management fee payments.
Intense competitive pressure among wedding industry leaders plays a key role in expanding
CWS sales in the wedding market. Retailers are extremely sensitive to the moves made by
competitors. CWS will capitalize on this pressure by publicizing existing partners to compel new
clients to adopt CWS programs.
CWS will promote sales to bridal boutique and florist shop chains through direct pitches to
management. CWS has already initiated discussions with each of the major bridal boutiques and
florists and has received significant interest from several stores.

Relationship Development: Expand Advisory Board and Leverage Contacts
The I Do Foundation pilot program and The Wedding List have demonstrated that a cause-related
marketing approach to gift registries provides clear financial benefits for retailers. However, as in
all business, it is relationships that ultimately close deals. The CWS team is working closely with
former The Wedding List CEO Gregg Renfrew and other advisors in the industry to expand
relationships with store partners. In addition, beginning in May 2004, CWS has budgeted
significant funds to hire an industry expert as CEO for the program in order to increase access
to key retail decision-makers.
Over the next three years, CWS will work to expand its Advisory Board to include additional
wedding industry experts who can help guide CWS through the first Regional and National
Program Integration phases of our services for retailers.

Industry Branding: Increase Media Coverage
To help lay the groundwork for the CWS program, the I Do Foundation has spent the past six
months targeting some of its public relations efforts towards the business media. To date, the
Foundation has received coverage in outlets such as CBS Marketwatch and the MarketPlace
Morning Report, as well as Fast Company Magazine, New York Times, Parade Magazine, and Boston
Globe. This coverage has been important component of I Do’s strategy to build name
recognition and credibility with future retail clients.
The I Do Foundation has also created a monthly e-newsletter entitled Charitable Wedding News,
targeted to industry experts. The email-based publication reaches over 2,000 bridal consultants,
retailers, and service providers and will help CWS build brand awareness within the industry.
Engaged Couples and Their Guests
 In-store Couple Acquisition
The primary way in which couples will hear about Charitable Registry Programs will be directly
from associates in CWS client retailers’ stores. As a fully integrated bridal registry services, the
Charitable Registry Program will be included in retailers’ in-store wedding materials and each
store will train its associates to offer the program to engaged couples. CWS will provide sample
Charitable Wedding Services Business Plan
22
in-store program promotion materials, registry enclosure cards, and program brochures for each
store to use as templates.

Marketing Integration with Retail Clients
CWS will advise its retail clients on how to integrate the CWS program into their existing
marketing campaigns. All of the stores CWS is targeting already conduct extensive marketing of
their wedding services through bridal magazines, wedding shows, direct mail, as well as through
in-store promotional activities. The CWS sales director and sales staff will work with each
partner to assess current marketing efforts and suggest ways to integrate a cause-related
marketing message. Retailers will be responsible for program marketing costs.

Guest Purchasing
Couples will use the usual means for informing their guests about their registry (registry
enclosure cards, word of mouth, bridal shower, etc). Guests will be able to access their couple’s
gift registry at their local store, on the store’s website, or through the couple’s personal wedding
website at the I Do Foundation. Guests represent a key viral marketing opportunity for retailers
with Charitable Registry Programs. There is an average of 182 guests at each wedding17 – those
guests who learn about the program by making a purchase from a Charitable Registry will help
to spread the word to other couples or use the service themselves in the future.
III. PRICING STRATEGY
Donation Rate: Clients Set Their Rates
CWS enables retail clients to set their own charitable giving rate for the program. Currently, the
average donation rate by pilot clients is just over 5%, and more than half of the clients have
increased their giving rate since beginning with CWS.18 In store integrations may include tiered
donation rates (4% for first $500 of purchases, 5% for $500-$800 in spending, etc).
Management Fee: A Flat Fee for All Clients
CWS adds a 1% management fee on all purchases through the charitable programs to the stores’
donation rate. To date, retailers in the pilot program have paid a 1%-2% management fee. The 1%
fee level gives CWS an average of $25 of revenue per couple in the charitable program. CWS
estimates that the venture can break even with per couple revenue of approximately $10-$14.
Marketing Costs
CWS maintains extremely low per customer acquisition costs by focusing on enabling retailers to
promote the Charitable Registry Programs in their own stores. Retailers pay for all in-store
materials, program advertising, and associate training. The primary marketing costs for CWS are the
salaries for sales staff who are focused on closing contracts with major retailers. CWS projects that
total sales and marketing costs will be $83,000 in 2004 and grow to $250,000 by 2006. At these
rates, CWS’s marketing budget will be equal to 15%-18% of net revenue.
CWS does some direct marketing to attract couples to its online pilot programs with retailers.
Google has given a grant to provide advertising to the I Do Foundation, and CWS has had
significant success with public relations outreach to acquire free media hits.
17
18
The Knot, 2004
5% is a common rate for cause-related marketing initiatives in the retail sector.
Charitable Wedding Services Business Plan
23
IV. SALES TIMELINE
Sales Timeline for Gift Registry
Developed
pilot
Added 3
technology;
initiated pilots new pilot
retail
with 6 retail
clients.
clients.
Jan-June
2003
July-Dec
2003
Complete
pilot
analyses for
9 clients;
Add 2-4
additional
pilot clients.
Add 2-3
additional
pilots;
Initiate CWS expand
integration
integration to
for 1-2
national
clients on
store
regional
locations for
basis.
1-3 clients.
Initiate
integrations
for 2-3
additional
clients on a
regional
basis.
Add 2-3
additional
pilots;
expand
integration
for 2-3
clients to
national
store
locations.
Initiate
CWS
integration
for 2-3
additional
clients on
regional
basis.
Jan-June
2004
July-Dec
2004
Jan-June
2005
July-Dec
2005
Jan-June
2006
July-Dec
2006
Develop pilot
technology
for bridal
and floral
clients.
Initiate
pilots with
1 florist
and 1 bridal
boutique
chain.
Monitor
pilots; make
improvements.
Begin
national
integrations
for 1 florist
and 1
boutique
chain.
Begin
technical
development
to enable
localized
charitable
program
development.
Initiate
outreach to
pilot local
boutiques
and florists
for program
development.
Sales Timeline for Bridal Boutiques and Florists
Charitable Wedding Services Business Plan
24
Management Plan
The I Do Foundation is run by staff of six full-time employees, led by Executive Director Bethany
Robertson. The I Do Foundation board of directors is chaired by Kelly Randall, former director of
the Pilot International Foundation and Tim Sibley, CTO of StreamSage Inc. A board list is included
in the attachments.
The I Do Foundation has dedicated two full-time staff members to fill key management roles for
CWS. Peter Murray is the Executive Vice President, and Lawrence Miller is the Director of
Technology. In addition, Bethany Robertson will dedicate 30% of her time to CWS. The I Do
Foundation will hire a CWS Chief Executive Officer with significant retail and bridal experience in
January of 2005. CWS’ CEO will report directly to the I Do Foundation executive director.
Additional technical staff, a sales director, and support staff will be hired in 2004, and CWS
anticipates a total of 16 CWS staff members by the end of 2006.
The CWS program will significantly increase the staff size of the I Do Foundation. The management
plan has been carefully developed to ensure that there will be appropriate staffing resources to
manage the CWS program while maintaining the quality of the I Do Foundation’s current programs.
While the CWS staff will quickly become larger than the existing I Do Foundation team, the
Foundation’s board of directors has made a strategic choice to grow in this direction. The revenue
generated by CWS will enable the Foundation to strengthen its current operations and create a longterm source of programmatic support.
In 2004, all CWS staff will work out of the I Do Foundation’s offices in Washington D.C. and
Philadelphia. In the second half of 2005, CWS will secure additional office space for the expanded
staff team. The I Do Foundation board of directors will have ultimate fiduciary responsibility for
the program.
I. CURRENT MANAGEMENT TEAM
Peter Murray –Executive Vice President (full-time) – Murray is the founder and former President of a
minority business development and entrepreneurship training organization in Philadelphia called the
Empowerment Group. Murray has extensive experience with business development and corporate
partnership development. In particular, he is experienced in the management of business
development teams, the development of business plans and market studies, and the execution of
viable business ventures. Under Murray’s leadership, the Empowerment Group grew to over 20
staff members providing business consulting and entrepreneurship training services.
As a co-founder of the I Do Foundation, Peter has led the organization’s efforts to engage retailers
and service providers in charitable giving at weddings. Peter has directed the planning and
successful implementation of the CWS pilot program. In his role as Executive Vice-President, he
designed the charitable wedding services program, led the acquisition of all of CWS’s corporate
clients, conducted extensive industry and market analyses, and developed the company's wedding
services suite. Peter has developed strong relationships with gift registry managers at nearly every
major department store in the country. For his work with the I Do Foundation, Peter has been
recognized by Fast Company magazine as one of the Fast 50 in 2002, a select group of 50
innovators from around the world making a lasting impact on their companies and industries.
Charitable Wedding Services Business Plan
25
Larry Miller – Director of Technology (full time) – Larry contributes his considerable Internet business
knowledge and programming expertise to CWS. With 8 years of experience serving as a project
leader and systems administrator at DigitalWave, CDNow, and Aquent Consulting, Larry is an
expert in web-based applications and technical systems maintenance. Larry has led the I Do
Foundation’s technical team for the past two and a half years. Over the past six months, Larry has
led the CWS technical team in the development of the pilot product version of our innovative webbased charitable giving services. For his work applying technical innovations to social issues, Larry
received an Echoing Green fellowship.
Bethany Robertson – I Do Foundation Executive Director (30% time) – At the I Do Foundation,
Bethany focuses on developing wedding industry partnerships, shaping the organization’s charitable
giving services, and raising funds for new programs. Bethany has extensive experience navigating
the interface between charitable giving, technology, and business development. Most recently,
Bethany provided strategic consulting for the Community Technology Foundation of California and
completed a report on information technology infrastructure and nonprofits organizations. Bethany
has been recognized by Fast Company magazine as one of 2002’s Fast 50, a group of 50 innovators
from around the world making a lasting impact on their companies and industries. She earned a
Masters Degree in Public Policy from UC Berkeley, and is also a current Echoing Green fellow.
II. KEY HIRES IN 2004
The Executive Vice President will continue to lead CWS until January 2005 when a CEO is hired.
Working closely with the Director of Technology, the VP will continue to focus on acquiring new
high-end gift registry retail clients and new pilot deals with national florists and bridal boutiques. As
clients are brought on, CWS will make the following hires:
July 2004:
Sales Director
September:
Technical Staff, Support Staff
January 2005: Chief Executive Officer
The I Do Foundation has already begun working with its wedding industry advisors, particularly
Gregg Renfrew, to identify potential key staff members. Gregg’s previous experience running The
Wedding List and her current role as a gift registry consultant to several New York-based retailers
provides her with terrific industry insights and connections. We will also use our network of
wedding media contacts to identify qualified applicants from the wedding industry.
Chief Executive Officer – The CEO will be responsible for the management of CWS and will
report directly to I Do Foundation Board of Directors. The I Do Foundation Board of Directors,
Executive Director, and Executive Vice-President, will lead the CEO search process. Joining the
team in January of 2005, the CEO will be positioned to prepare CWS to expand the charitable
program store integrations into retail clients’ stores across the country. The CEO will bring
significant retail management experience and industry connections to the team. Budgeted annual
salary rate is $150,000 in 2005 moving to $200,000 by 2007 (with sales based commissions). We will
be looking to hire a candidate who has the following strengths:
 Significant bridal industry connections.
 Extensive experience developing retail programs.
 Business relationships with gift registry retailers, florists, and boutiques.
 Demonstrated success in building a small business or in leading a new business unit within
a larger company.
Charitable Wedding Services Business Plan
26





A commitment to social venture enterprise and a supporter of the broader mission of the I
Do Foundation.
CEO responsibilities will include:
Lead charitable program expansion into retail clients’ national network of stores.
Develop key contacts with gift registry, florist, and bridal boutique retailers.
Manage day-to-day activities of CWS, including financial management and staff oversight.
Formulate and implement strategies for continued expansion of CWS programs.
Sales Director – The Executive Vice President and Executive Director will recruit and hire a Sales
Director in July 2004. In addition to prior B-to-B sales experience, CWS will seek candidates with
recent bridal industry experience. Budgeted salary is $80,000. Key responsibilities include:
 Develop new accounts with gift registry retailers, florists, and bridal boutiques.
 Manage existing accounts and interface between clients and technical team.
 Accurately forecast quarterly and monthly revenue streams.
 Manage personnel activities of sales staff (hiring, training, coaching, motivating).
Technical Staff – The Director of Technology will be responsible for recruiting technical staff to
assist with the implementation of store integrations. These technical staff members will function as
sales engineers. They will need to have the technical expertise to understand the I Do Foundation
website and be able to communicate with clients about integrating CWS into their retail operations.
Ideally, these staff members will possess skills in PERL programming and database management.
One technical staff member will be hired in June 04 and another hire will be made in June 05.
Budgeted salary is $40,000 in 2004.
Support Staff – The support staff member will provide assistance to retail sales associates working
directly with wedding customers and handle online service requests by couples in the program. In
addition, he/she will provide assistance as needed to the sales director. Budgeted Salary is $30,000.
III. FUTURE STAFFING GROWTH
CWS envisions its staff expansion over the next 3 years as follows: This year, the CWS will hire 5
new staff members; we will hire an additional 6 staff in Year 2; and we will hire 3 more members in
Year 3 for a total of 16 staff members at the end of Year 3.
Staffing Chart
Staffing Levels after Year 1
(Feb 2004 to Jan 2005)
Chief Executive Officer
Director of Technology
Executive Vice President
Sales Director
Support Staff #1
Programmer #1
New in Year 2
(Feb 2005 to Jan 2006)
New in Year 3
(Feb 2006 to Jan 2007)
Sales Staff #1 (February)
Director of Support (May)
Technical Staff #2 (June)
Support Leader (August)
Chief Financial Officer (December)
Human Resources Staff (January)
Admin Assistant #1 (January)
Website Designer (January)
Support Staff #2 (February)
Programmer #3 (May)
Charitable Wedding Services Business Plan
27
Advisory Board
CWS has assembled a broad group of technical and business development advisors to augment the
program's technical and business development skills. CWS’s teams taps into each advisors
experience and networks through frequent one-on-one meetings. The advisory team includes:
Gregg Renfrew – Wedding Industry Expert – The former CEO of The Wedding List, Martha Stewart’s
multi-channel wedding registry company, brings extensive wedding industry experience to the CWS
team. Furthermore, with over a year of experience implementing a donation program at The Wedding
List, Renfrew provides an insider view of the benefits of CWS’s services.
Michael Felberbaum – Business Expert – As the former Director of Marketing for Chelsea Paper
and writer for Dessy Interactive, Felberbaum brings critical wedding industry experience to the
project. Felberbaum is currently the Executive Director of the Empowerment Group.
Lauren Sueskind – Wedding Public Relations Expert – Ms. Sueskind, former Director of Public
Relations for the Conde Nast Bridal Group, has a clear sense of shifts and opportunities in the
wedding industry. Sueskind is now Director of PR for Self, another Conde Nast publication.
Tim Sibley – Technical Expert – Mr. Sibley is the Co-founder and Chief Scientist of StreamSage, Inc.,
which provides advanced software technology for managing audio-visual content for organizations
such as NPR, NASA, Harvard, and AOL. Prior to founding StreamSage, Sibley was a business
consultant at Easton Consultants and the CTO of an international scientific research organization.
Philip Gordon – IT and Business Expert – Concurrently serving as Executive Director of the Fisher
Center for Information Technology and Marketplace Transformation, and as a Haas School of
Business lecturer at UC Berkeley, Mr. Gordon’s expertise is informed by over 20 years of IT
management experience.
Denise Cante – Marketing Expert – As Vice President for DeVries Public Relations, Cante
contributes her experience leading major communications and marketing efforts for companies
including Amazon.com and Crest.
Rose Sculley – Business Expert – Currently serving as the Director of Corporate and Foundation
Development for Women’s World Banking, Sculley held the position of Finance and Administration
Manager for ten years, where she was responsible for financial management of a $9 million global
budget, cash flow, accounting, finance, budgeting, technology and administrative support.
CWS’s current staff is well positioned to move the program from its pilot stage to early
implementation. With assistance from its advisors and guidance from I Do Foundation staff, CWS
has developed an effective plan for steady staff growth based upon anticipated sales and program
expansion.
See Appendix C for staff resumes and a list of I Do Foundation Board Members.
Charitable Wedding Services Business Plan
28
Operations Plan
I. OVERVIEW
Through its pilot programs, the I Do Foundation has already developed the majority of the
operational infrastructure required to implement the CWS program.
The I Do Foundation has designed the sales and marketing materials needed to acquire new store
partners, including documentation about the program, examples of cause-related marketing received
by current partners, and a cost-benefit analysis of the program from the stores’ perspective. The
organization’s current contracts with 10 stores provide CWS with excellent leverage for obtaining
new retail client sales.
Most importantly, the I Do Foundation has already created the technical infrastructure needed to
take the CWS program to scale. Through the development and implementation of the pilot
charitable registry program, the I Do Foundation has completed a set of fully operational charitable
registry programs complete with store services, nonprofit selection, customer service, donation
receipt and disbursement, and registry tracking systems. These services complement the I Do
Foundation’s other charitable wedding services for couples, including a wedding website creator,
donation registry, and charitable favor service.
Experience running the pilot programs has provided the I Do Foundation with a clear
understanding of the costs of managing the CWS initiative. Moreover, once the CWS program is
integrated into the retailers’ existing registry services, the retailers will be responsible for the majority
of promotion and customer service costs.
Current Status
CWS is a revenue-generating project of the I Do Foundation and is based out of the I Do
Foundation’s offices in Philadelphia, PA, and Washington, DC. Since launching the pilot programs
at the beginning of 2003, the I Do Foundation has built a solid foundation for CWS’s growth:
Activities to Date
 Completed a comprehensive market and competitor analysis.
 Allocated funds for two full-time CWS staff members and 30% of the ED’s time.
 Acquired almost a dozen major wedding retailers as corporate clients.
 Proved significant gift registry sales increase through pilot charitable gift registry
programs for its first set corporate clients.
 Received news coverage in dozens of bridal magazines, newspapers, and business
magazines regarding major retailers’ adoption of the charitable registry program.
 Managed charitable registry services for almost 1000 engaged couples.
 Raised $163,000 in support of CWS expansion.
Present
CWS is currently focusing on the following objectives for the 2nd and 3rd quarters of 2004:
 Developing final 2003 program analyses for pilot clients.
 Adding 1-2 new gift registry clients to the pilot program (REI and Marshall Fields were
already added in the first quarter of 2004).
 Developing pilot charitable programs for 1 bridal boutique chain and 1 florist chain.
 Building relationships with potential foundation, corporate, and individual funders.
Charitable Wedding Services Business Plan
29

Raising an additional $100,000 by the end of the 3rd Quarter.
Next Steps
In the fourth quarter of 2004, CWS will focus on the following objectives:
 Initiating in-store program integrations on a regional basis for 1-2 gift registry retailers.
 Hiring a CEO with extensive wedding industry executive experience.
 Maintaining and improving system functionality and wedding and giving services.
 Planning for national charitable giving program store integrations for retail clients.
 Preparing to raise the final $120,000 of venture funding in the first quarter of 2005.
II. PROGRAM DEVELOPMENT
The primary operational challenge for 2004 will be preparing and implementing the in-store
integration of Charitable Registry Programs on a regional basis for 1-2 retail clients starting in the
fourth quarter. CWS will use the evidence from its pilot programs demonstrating 40%-60% registry
sales increases as the key to obtaining in-store contracts with current (or new) retail clients. CWS
will use this evidence to convince existing and new clients of the cost-effectiveness of integrating
Charitable Registry Programs into their stores and website. CWS will begin this outreach in the
summer of 2004 (when final purchases/returns on registries in the pilot will be completed).
To ensure that CWS can carefully monitor the success of the integration process and quality of the
charitable registry services, CWS will help clients initiate Charitable Registry Programs in stores in a
single region. Depending on the size and number of clients choosing to initiate in-store programs,
CWS expects to create Charitable Registry Programs in 25-35 individual stores by the end of the first
quarter of 2005. In 2005, CWS will expand these program integrations to a national level for 1-2
retail clients.
The ongoing addition of new gift registry clients to the pilot program is primarily a marketing
challenge. Once a pilot contract is closed with a new retail client, adding that store takes less than
two weeks and, with CWS’s automated customer systems, management of the pilot requires
minimum staff time and maintenance. Closing new pilot clients, however, will require significant
direct sales outreach as outlined in the Marketing Strategies section above.
CWS will repeat this cycle each year – adding new pilot clients, beginning regional in-store
integrations with pilot clients from the previous year, and expanding program integrations nationally
for current regional clients. CWS will provide these retailers with several services, as outlined below.
CWS is also working to close contracts with major bridal boutiques and florists. Appendix F
includes an outline of a charitable wedding program proposal for KaBloom, which details how the
in-store implementation would occur for these kinds of retail clients.
III. PROGRAM IMPLEMENTATION
Technical Integration
Moving from its online pilot to the in-store integration model will require CWS to spend significant
staff time enabling retail clients to develop the program in stores across the country. CWS’s current
technical infrastructure is fully prepared to support this integration. From a technical perspective,
the only difference between the online pilot and in-store integration phases is that many couples will
sign up for the program in their local store. Increased traffic will require CWS to ramp up server
Charitable Wedding Services Business Plan
30
capacity and customer service support, but, otherwise, the current technical infrastructure is
completely capable of moving into the in-store integration phase.
Enabling store associates to sign up couples for the program in the store, CWS will some additional
technical development. CWS’s technical staff will work to integrate the Charitable Registry Program
into each store’s existing customer technology. There are three levels of technical integration
possible with each store:
1. Seamless Entry: For ease of operation, the ideal scenario is full integration of the CWS
program into the store’s current customer management system. In practical terms, this
would mean that CWS will work with the client to add a check-box indicating whether the
customer wanted to participate in the charitable program to the store’s in-store computer
system. If the associate checks this box, the customer’s information will then be
automatically sent to the CWS database, which would then code that customer as a registrant
of that retailer. System Setup Time for CWS Tech Team: One Month per Store.
2. Web-based Entry: For those stores with systems that are antiquated or difficult to integrate,
CWS will set up a web-based interface through which sales associates can enter a couple’s
registration separately from their registry with the store. This will mean that the associate will
most likely collect the couple’s information on paper and then enter all new registrations as a
batch at the end of the day into the I Do Foundation system. System Setup Time for CWS Tech
Team: One Month for first store, two weeks for each additional store.
3. Fax-based Entry: Some small retailers do not have web access in their stores. Associates in
these stores will fax couples’ information to CWS, where customer service staff will enter the
couples into our database. Retail clients will pay an additional fee for this option. System
Setup Time for CWS Tech Team: One Week per Store.
CWS will provide ongoing technical support as retailers upgrade their registry systems; CWS will
also be on-call to fix any technical issues or bugs that may arise in the system.
Program Setup Consulting
CWS will help each retailer create an in-store charitable program that fits well with other wedding
services and is easily handled by store associates. CWS will support clients in several capacities:
 Program Planning: CWS staff will work closely with each client’s wedding management to
carefully plan the timing, structure, and implementation of in-store program integrations.
 Materials Development: CWS will provide sample in-store program promotion materials,
registry enclosure cards, and program brochures for each store to use as templates. Each
store will pay for the design and printing of all program materials.
 Staff Training: For each new partner, the CWS staff will develop training materials on the
CWS system for use by store associates. In addition, the CWS sales team will meet with
managers in the first 3-4 stores with program integrations in order to work out any initial
kinks with the system. After the initial training, the CWS will work with the retailer to
integrate the training materials into the retailer’s regular associate training.
 Marketing Integration: CWS will consult with and advise its retail clients on how to
integrate the CWS program into their existing marketing campaigns. All of the stores CWS is
targeting already conduct extensive marketing of their wedding services through bridal
magazines, wedding shows, direct mail, as well as through in-store promotional activities.
The CWS sales director and sales staff will work with each partner to assess current
marketing efforts and suggest ways to integrate a cause-related marketing message. Retailers
will be responsible for program marketing costs.
Charitable Wedding Services Business Plan
31

Quality Control: CWS will use several mechanisms to ensure that retail clients provide
couples with accurate Charitable Registry Program information, including:
1. Tiered Implementation: CWS will have the chance to carefully monitor each
retailer’s implementation of the program during the regional store integration phase.
2. Associate Training Oversight: CWS will work with each retailer to design training
materials and information to be integrated in the store’s regular associate training.
3. Audit Capabilities: CWS has the ability to confirm the accuracy of store reports
and payments for registries in the program. In addition, with some couples carefully
watching their donations rise, couples also serve as a natural audit of the stores.
Couple Services
The bulk of customer service needs will be managed by the retail clients’ store associates as they
work directly with couples. CWS will be responsible for customer service solely related to the
selection of charities and distributions of grants. These services will be provided primarily online
using the existing I Do Foundation infrastructure. Based upon our pilot experience, we project per
couple service costs at $2.60 vs. per couple revenue of $25.
 Nonprofit Selection: Couples can easily choose their nonprofit recipient through the I Do
Foundation’s nonprofit selection system. This system enables couples to choose from a list
of recommended organizations or nominate any charitable organization. The I Do
Foundation manages this process and completes screening of any nominated groups.
 Donation Tracking: Couples can view their current donation total and any disbursements
made to their selected charitable organization.
 Wedding Website Creator: The I Do Foundation provides each couple with an automated
process to create their own wedding website with information about their celebration,
selected nonprofit, gift registry, and travel information for guests.
 Customer Support: CWS will provide couples with email based support, online FAQs, and
general program information.
Associate Support
In addition to providing direct support for couples using the I Do Foundation site, CWS support
staff will handle service calls and emails from store associates with questions about the charitable
program. This association support will add another layer of quality control, permitting CWS to
respond immediately to questions arising about the program or any technical glitches.
Donation Management and Disbursement
Billing of clients for both program donations and the 1% management fees will occur on a monthly
basis. At the end of each billing cycle, CWS will run reports for each retailer listing the customer
identification numbers of couples who selected the charitable program. The retailers will run reports
of spending by each couple (which is automated for all stores) and then CWS will bill the retailers
based upon total couple spending. CWS has already successfully implemented this system through
its pilot program. The Vice President of Corporate Partnerships will be responsible for conducting
the financial analysis of sales and affiliate fees paid and reporting back to the retailers.
CWS will track donations for all couples for up to a year after their wedding. Donations raised from
a couple’s gift registry, bridal boutique purchases, and floral services will be aggregated with any
donations raised through the I Do Foundation’s other donation services. Donations are disbursed
on a quarterly basis to the nonprofit organizations in order to minimize the total number of checks
the Foundation is required to process for each charity.
Charitable Wedding Services Business Plan
32
Financials
By 2007, CWS expects to generate over $300,000 in annual operating profits from annual net
revenue of $1.6 million. In addition, CWS will generate over $10 million in annual donations
through the charitable wedding programs. Positioned as a value-added service provider for major
retailers and service providers in the recession-resistant wedding industry, CWS has a solid financial
model based on program management fees from major retailers.
NOTE: All of the financial projections provided below do not include any of the donations made
by stores. The 1% management fee paid by stores is the only revenue included in these projections.
I. REVENUE STREAMS
CWS will focus on building the following three revenue streams:19
Gift Registry Client Fees (94% of Projected Revenues)
Management fees from retail clients represent the largest portion of CWS’s revenue. Each month,
gift registry clients will include an additional 1% payment on all purchases from registries in the
program with their donation payment. CWS assumes that couples will have an average of $2,500 in
gift registry spending (couples have an average of $6,000 in total gifts and 2.4 registries).
Bridal Boutique Client Fees (4% of Projected Revenues)
Also a 1% fee paid on a monthly basis. CWS assumes that couples will spend an average of $1,500
on bridal boutique purchases (average of $799 spent on the bridal gown plus 70% of couples
selecting bridesmaid dresses at $735 average; 80% of couples purchase accessories at $350 average).
Florist Shop Client Fees (2% of Projected Revenues)
Also a 1% fee paid on a monthly basis. CWS assumes that couples will spend an average of $1,400
on flower purchases for their wedding (although the average floral purchase is $967, this includes
couples that do their own arrangements – most florists average closer to $1,500 on weddings).
II. GROWTH
As CWS moves from the online pilot phase to full-fledged in-store Charitable Registry programs,
revenue growth will be exponential. Although the growth rates reflected in the financial projections
are extremely rapid (from less than $100K in 2004 to over $1 million in 2005), the actual retail client
acquisition required for this expansion is quite reasonable.
The projected revenue growth requires CWS to complete national in-store integrations with just 2
retailers in 2005 and an additional 2 retailers in 2006. Moreover, these assumptions are based upon
closing contracts with smaller retailers. An in-store integration contract with just one of the largest
retailers alone (Target, JC Penney, Macy’s, May Co. Department Stores) would enable CWS to
garner over $2 million in annual revenue (and over $12 million in donations each year).
III. COSTS
Staff costs represent the primary expense for CWS (over 85%). The majority of these staff costs are
the result of hiring a CEO with significant industry experience and a dedicated sales and program
implementation team. Over the next three years, the primary focus of this staff will be integrating
19
The Knot, 2004, Conde Nast Bridal Group, 2002
Charitable Wedding Services Business Plan
33
Charitable Registry Programs into client retailers’ stores and websites. CWS estimates that the full
cycle of pilot, regional, and national program integration for 1 retail client will require 7 months of
full-time work by two staff members (1 tech, 1 service).
Rapid growth in couple traffic will create challenges for CWS in containing costs. However,
because the vast majority of the Charitable Registry Program management is automated (couple
online services, donation processing, etc.), the marginal cost of adding new couples to the program
is extremely low – CWS estimates a gross margin of almost 90%. In addition, with a tiered
implementation of Charitable Registry Programs for clients (pilot to regional to national), CWS is
able to scale integration costs in tandem with revenue growth.
The 1% program management fee gives CWS an average of $25 of revenue per couple in the
charitable registry program. Based on experience from the pilot program, CWS estimates that the
venture can break even with per couple revenue of approximately $10-$14 (depending on the total
number of customers). The services provided for couples and stores in the in-store phase are the
same as for the pilot, so CWS expects that these costs will not rise significantly.
II. FUNDING REQUIREMENTS
To date, the I Do Foundation has spent over $70,000 in grant funds and in-kind donations for the
planning, pilot development, and expansion of CWS. The I Do Foundation has also raised an
additional $93,000 in funding for CWS’s expansion (this does not include in-kind office space and
web hosting from the Foundation). CWS will need to raise $100,000 more by the end of the third
quarter of 2004 and an additional $120,000 by the first quarter of 2005, which will carry the venture
through June 2005 when CWS is expected to become cash positive. This financing will be used
primarily for hiring a CEO with extensive wedding gift registry experience and to fund the first instore integrations of charitable wedding programs for retail clients.
The success of CWS’s pilot program is enabling the I Do Foundation to reach out to potential social
venture funders for the venture. The I Do Foundation is working to leverage its funding from
existing funders such as the Echoing Green Foundation to access new foundation support to help
capitalize the CWS program. Over the summer of 2005, the I Do Foundation will be submitting
applications and making presentations to major social venture funders. In addition, the I Do
Foundation is beginning outreach to large individual donors to garner investments for the expansion
of CWS’s successful pilot. Finally, the I Do Foundation is researching potential funding from
corporate foundations that are related to the wedding industry and may be interested in becoming
sponsors of the Foundation.
Although the I Do Foundation hopes to fund CWS through donations, the Board of Directors has
discussed funding a portion of the needed $220,000 through debt instruments. With projected
profitability in 2-3 years, the Foundation has the opportunity to use debt to capitalize the project.
Sources and Uses of Funding
Source
The Empowerment Group
Corporation for National Service
Echoing Green
Google*
Additional Funding Needed
Amount
$20,000
$20,000
$17,000
$36,000
$220,000
Use
Funding towards Dir. of Tech salary and benefits
Funding towards Executive VP salary and benefits
General program costs
Free advertising of programs on Google
Hire CEO and support first store integration costs
Charitable Wedding Services Business Plan
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In addition to this direct funding, the I Do Foundation will provide office space, tech support, and
website hosting for the CWS venture in 2004.
*This funding is used to promote CWS’s online pilot programs. The Foundation hopes to receive
annual renewal of Google funding; however, these funds are not included in funding projections.
III. FINANCIAL PROJECTIONS
CWS expects to generate positive operating earnings and operating cash flows in the early summer
of 2005. Per couple revenue is projected to be an average of $25.00, and CWS expects to enable
client retailers to serve over 100,000 couples a year in Charitable Wedding Programs by 2006.
Summary Projections
FY 2004
FY 2005
FY 2006
Charitable Gift Registry Couples
2,450
42,300
60,375
Bridal Boutique Couples
120
2,550
2,550
Florist Shop Couples
360
6,000
6,000
Revenue*
$68,330
$1,183,200
$1,635,075
Cost of Sales
$28,470
$141,685
$184,230
Operating Expenses
$235,058
$761,179
$1,134,882
EBIT
($195,198)
$280,336
$315,963
Gross Margin
NA
88%
89%
Operating Margin
NA
24%
19%
*Does not include funds donated to couples' chosen charities – this is only the1% management fee paid by stores.
The projections above are based upon the following assumptions:
 Assumption #1: CWS will roll out its charitable registry program with partner retailers
according to the plan laid out in the marketing section above.
 Assumption #2: 15% of couples offered the program will choose to have a charitable gift
registry. This rate is lower than the rates of adoption by couples using The Wedding List’s
charitable registry.
 Assumption #3: Average couple spending as outlined in the revenue section above.
 Assumption #4: Stores will pay an average fee of 1% of gift purchases to CWS for
management of the programs donations and charitable options. The current average rate for
partner stores in the pilot program is just over 1%.
Funds from the operation of CWS will be used to expand the donation program and support the I
Do Foundation’s operation. Although the I Do Foundation receives independent funding through
foundations and individual donors, proceeds from CWS will enable the Foundation to improve its
infrastructure and sustainability.
Unrelated Business Income
In creating its pilot program, CWS investigated the potential UBIT implications of the donations
received from store partners. After reviewing current IRS rulings and studying other successful
nonprofits with similar models, the I Do Foundation determined that donations from cause-related
marketing programs (including any portion of the donations withheld to cover program costs) are
invariably treated as charitable donations, rather than taxable income. CWS’s financial statements
reflect those findings accordingly.
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Pro Forma Financial Statements
The attached pro forma income, cash flow, and balance sheet statements outline CWS’s expected
financial performance over the next three years. Key financial assumptions are also included.
IV. FINANCIAL ANALYSIS
A Net Present Value (NPV) calculation was used to determine the increase in value of the
organization over a five year period starting in 2004. The NPV of the organization is positive at
$1,689,476 at a 10% discount rate.20 Over the first five years, the major risk that CWS faces is
sensitivity of the net operating cash flows. The projected figures could vary depending on three
main factors: sales growth, couple program adoption, and average purchases. To assess this risk, a
sensitivity analysis was performed to show what would happen to NPV if cash flows were reduced
or increased due to the uncertainty of some of these factors. The graph below shows that even if
cash flow was 50% less than expected, the NPV would still be highly positive at $588,380.
Sensitivity Analysis of NPV to Changes in Operating
Cash Flows
$3,000,000
$2,500,000
NPV
$2,000,000
$1,500,000
$1,000,000
$500,000
$0
-50% -40% -30% -20% -10%
0%
10% 20% 30% 40% 50%
Percentage Change in Operating Cash Flows
VII. SOCIAL IMPACT
CWS’s primary social impact will be made through the donations that the program generates for
nonprofit organizations. CWS anticipates creating over $18 million in new nonprofit donations in
the first three years of operation. The funds raised through the CWS program are directed to a
nonprofit organization of the engaged couple’s choice. As a service to couples, and to increase the
impact of its donations, the I Do Foundation offers a list of more than 35 “recommended partners,”
such as Human Rights Watch and Doctors Without Borders.
CWS’s goal to raise $18 million in the first three years is within the range of other prominent cause
related marketing programs. In the first three years of a cause related marketing campaign with
American Express, Share Our Strength raised $21 million to fight hunger, with an affiliate donation
rate of just 3 cents per purchase.
20
This number does not include the value of charitable donations generated by the CWS venture.
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Summary Social Impact Projections (Pro Forma)
FY 2004
FY 2005
FY 2006
$438,340
$7,594,050
$10,449,900
These social impact projections are based upon the assumptions listed above for couple traffic and
spending, as well as the assumption that stores will set an average donation rate of 5% for their
charitable giving programs. Current store donations rates are just above 5%, and since CWS seeks to
work with higher-end retailers, 5% is likely to be a conservative estimate of the donation rate.
Under these assumptions, couples will raise an average of $94 from their store and registry
purchases. Couples in the CWS pilot program raised an average of $90 each. CWS expects this rate
to rise significantly because online registries tend to be 40%-60% smaller than in-store registries.
In addition to the donations from retail clients, couples in the CWS pilot program raised an average
of $91 in donations through the I Do Foundation’s other donation services. When couples
participate in the charitable registry program, they receive an I Do Foundation account which allows
them to raise additional donations through the I Do Foundation’s other services such as:

Donation Registry: By creating a Donation Registry, couples allow their guests to make a
direct charitable donation to the couple’s chosen nonprofit organization. Couples are
provided with a simple online registry management tool to create their personalized
donation registry. Guests can make a donation online by check or credit card. All donations
are fully tax-deductible.

Charitable Guest Favors: Traditionally, couples purchase a small “favor” for each guest
that attends their wedding. The I Do Foundation will allow engaged couples to make a
small donation to charity in honor of their guests. Couples can choose to announce these
favors through elegant favor cards provided by the I Do Foundation.
Based upon our pilot program experience, CWS expects to raise additional donations from the
couples that register through client stores. For purposes of this social impact analysis, we
conservatively project that couples will raise $33 in donations through the I Do Foundation’s other
donation tools.
Average Donations Raised per Couple
Store Donations:
$94.00
Direct Donations:
$33.00
Total:
$127.00
A more detailed explanation of the social impact is included in the SROI Analysis in Attachment B.
All donation disbursement will be handled by the I Do Foundation. Costs of donation
disbursement will be offset by interest income generated from the donations received. In order to
avoid making numerous small check payments to charities, the I Do Foundation aggregates and
disburses donations to couples’ selected nonprofits at the end of the quarter after their wedding
date. Consequently, there is an average of 4.5 months between donation receipt and payout. The
interest revenue from this float will cover the cost of sending checks to these organizations and may
provide a small revenue opportunity for the I Do Foundation.
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Risks and Contingencies
CWS’s successful market entry relies on several intersecting market and business factors. The
company has identified four primary areas of business risk:
1. Sales Growth
Risks: A slow-down in sales growth represents the most significant risk to CWS’s expansion and
success. Although CWS has built a solid base of retail clients, the company must continue to add
new clients each year. In particular, in 2004, CWS will need to close contracts with additional major
department store anchors (Macy’s, May Company, Crate & Barrel) and upper-end specialty store
(Williams-Sonoma, Restoration Hardware, Pottery Barn) in order to open up these lucrative
markets. Although CWS’s recent addition of Marshall Fields (which is both higher end and a major
department store) will be helpful in accelerating entry in these market segments, sales growth can be
unsteady and unpredictable with these retailers.
In addition, CWS’s efforts to acquire bridal boutique and florist clients creates additional risks that
companies in these markets will not adopt charitable programs over the next three years.
Response and Contingency: CWS will use a number of strategies for mitigating this risk and
responding to sales difficulties.
1. Incremental Sales Implementation: With a tiered sales strategy that moves each client
through pilot, partial store integration, and national store integration phases, CWS is able to
limit the investment risk on each client. As a result, CWS is able to maintain an adaptable
sales growth strategy that allows for varying rates of client acquisition.
2. Broad Pilot Client Base: To take into account any potential difficulties with retailers, CWS
assumes that only one in three retail clients with pilot charitable programs will actually
develop in-store integrations. In addition, CWS assumes that one in four of these clients
with in-store integrations will drop the program each year. Through the pilot program
structure, CWS has developed a broad base of clients at a low cost. This base of pilot clients
enables CWS to avoid the risks of relying on program adoption by a small set of key clients.
3. Sales Timetable Contingencies: CWS has developed several alternative sales timetables that
address the risk of slow sales growth in 2004. If CWS is unable to close regional store
integrations with 1-2 stores in 2004, CWS is prepared to put off store integration
implementation until the beginning of 2005. An additional $50,000 in funding would be
required in 2005; staff growth would be slowed; and CWS would focus on nurturing the next
group of pilot clients.
4. Gift Registry Only Contingency: The pilot programs with bridal boutiques and florists will
provide an opportunity for CWS to test this market opportunity. If these pilot programs do
not show both strong market demand and low implementation costs, CWS will not continue
to pursue these opportunities. With less than 10% of CWS’s projected revenue coming
from bridal boutique and florist client sales, CWS can operate profitably without these
programs.
2. Management
Risk: CWS must successfully attract an experienced CEO with broad wedding industry contacts and
extensive retail experience. This staff member will be critical to the company’s client development
and successful program expansion. In addition, CWS must successfully manage the venture’s staff
growth (16 employees by Year 3), while maintaining efficient operational procedures, tight financial
controls, and attracting and retaining high-quality talent.
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Response and Contingency: CWS will work closely with its advisors to identify potential
applicants for the CEO position. CWS will begin outreach in the fall with a target of hiring a new
CEO by January 2005. If CWS has not attracted top-quality applicants by December, then CWS
will renew the search process and plan to add a CEO by March. This may require the company to
shift its 2005 pilot programs to start dates in the second quarter of 2005.
CWS will rely on the organizational development experience of Executive Vice-President Peter
Murray and the new CEO to create robust structures for expanding the venture’s staff. CWS will
also continue to seek out guidance from our advisors on effective strategies for managing growth. If
CWS is confronting significant difficulty attracting and managing an expanding staff team, the
management may hire consultants in the retail industry on a contract basis.
3. Fundraising
Risk: Although the I Do Foundation has successfully built a seed funding base for CWS, an
additional $220,000 in funding must be raised to support the program’s growth.
Response and Contingency: If the I Do Foundation is unable to raise these additional funds for
CWS there are two primary options:
1. Slow Program Growth: CWS estimates that by scaling back of staffing leadership and
building upon the current set of retail clients for CWS, the project could continue to grow
with $100,000-$125,000 in additional funding. This slower growth model would require I
Do to cut back on the number of gift registry store integrations each year and delay
launching the bridal boutique and florist pilot programs until 2005.
2. Debt/Grant Mix: A portion of the $220,000 in funding could be raised through loans.
4. In-Store Integration Costs
Risk: CWS has developed pilot charitable registry programs with some of the largest companies in
the industry including J.C. Penney, Target, and Linens ‘n Things. Over the next two years, CWS
must enable stores to turn these online pilot programs into in-store charitable registry programs in
hundreds of locations across the country. As retailers implement these programs in their stores, the
costs of staff training, materials development, and program advertising could create barriers to the
expansion of the program into new stores.
Although CWS has significant experience with the costs of managing the program, CWS may find
that its own costs for supporting retailers’ in-store program integrations are higher than expected.
Response and Contingency: In order to prepare retailers for in-store integrations, the I Do
Foundation provides clients with clear outlines of the costs attendant with the creation of charitable
programs. CWS will work with retailers to integrate training and materials for the charitable
programs into the stores’ existing associate training programs. In case retailers find the costs of
integration prohibitive, CWS has developed a lower-cost program model that limits in-store
materials to I Do Foundation business cards that associates can give to couples. Couples then go
online to sign up for the charitable program, reducing the cost of materials and associate training.
If CWS finds that its own costs are higher than expected, the company will first look to renegotiate
terms of our client agreement or change future contracts. These changes may include increasing the
management fee rate and reducing CWS’s involvement in training/customer service for associates.
CWS may also switch to the lower cost program model noted in the paragraph above, which reduces
costs for both CWS and the retailers.
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II. VENTURE RISKS FOR I DO FOUNDATION
If CWS fails to become a successful and sustainable venture, there are two primary risks for the I
Do Foundation’s organizational development and integrity. Although CWS offers enormous
potential gains for the I Do Foundation, the venture’s failure is extremely unlikely to do irreparable
harm to the overall organization.
1. Fiscal Base: The I Do Foundation must carefully consider the fiscal burden that it assumes
for the CWS project. To date, the Foundation has managed to raise all funds for the project
through grants and in-kind donations. However, CWS’s failure would still create rippling
effects within the organization that could adversely affect the organization’s fiscal base.
Nonetheless, the I Do Foundation’s other program activities are sustainable without the
operation of CWS. The Foundation’s media programs, donation registry, favor service, and
online charitable wedding resources are all sustainable as stand-alone projects.
2. Industry Legitimacy: CWS failure could harm the I Do Foundation’s reputation as an
effective industry leader. The I Do Foundation will need to carefully manage the
expectations of media and clients to ensure that CWS does not overstretch and
underperform. The staged rollout of the CWS program goes a long way towards mitigating
this risk by providing frequent checks of the project’s efficiency and potential.
III. SENSITIVITY ANALYSIS
CWS has conducted sensitivity analyses on the following key parameters in our financial statements:
 Sales Growth: CWS has set out a series of sales growth goals for the next three years (see
above). CWS has run sensitivity analyses for sales levels that are only 30% and 50% of what is
projected in this plan. The results of this analysis are summarized below:
Sales Growth
30% of Assumed
50% of Assumed
100% of Assumed
Break Even Date
Mar. 2006
Dec. 2005
Apr. 2005
Capitalization Required
$330,000
$300,000
$220,000

Couple Program Adoption: CWS assumes a 15% adoption rate by retailers bridal customers.
CWS has run sensitivity analyses to assess the impact of lower adoption rates on the company’s
financial stability. The results of this analysis are summarized below:
Adoption Rate
7.5% of Assumed
10% of Assumed
15% of Assumed
Break Even Date
Feb. 2006
Nov. 2005
Apr. 2005
Capitalization Required
$325,000
$290,000
$220,000

Average Purchases: CWS assumes that couples will spend approximately the national average
on gift registry, boutique, and floral purchases. CWS has run sensitivity analyses to assess the
impact of lower than expected spending levels by couples. (CWS has also run financial models
without any bridal boutique and florist shop services. These sources represent less than 10% of
total revenue and are not necessary for CWS’s success.) These analyses are summarized below:
Average Purchases
60% of Assumed
80% of Assumed
100% of Assumed
Break Even Date
Dec. 2005
June. 2005
Apr. 2005
Capitalization Required
$325,000
$260,000
$220,000
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