SportsKits
Joshua Parker
Blake Johnson
Executive Summary
Today the sports atmosphere is wide open and majority of everyone were involved in
sports growing up. Sports are a great way to communicate with others and build friendships
along the way that last lifetimes. Today, majority of kids are involved in team sports and they
learn to love certain sports where they want to practice and get better in hopes of maybe one day
becoming a professional. Team sports helps build character, responsibility, helps people
socialize, gets the body healthy and can help children grow into future model citizens. There is a
large market for high end sports equipment.
In 2013 35 million children between the ages of 5-18 play organized sports every year
according to www.statisticbrain.com. The markets we chose were: football, baseball, golf, and
hockey. The 2 major sports we will focus on are football and baseball. These 2 sports combined
account for 64% of male adolescent that play sports according to espn.com. Our ultimate target
market is 5-18 year old children who are just beginning to play a sport. At kitsforsports.com, our
kits will provide the customer with everything they need in order to be ready when the sports
begin.
At kitsforsports.com, our kits will provide all the equipment you need for the sport you
want to participate in. There will also be add-ons in which the customer would have to pay extra
for if they would want them. The training equipment would include an instructional video on
techniques, and equipment for drills such as cones and a stopwatch.
SportsKits current market focus would be a great functional website which catches the
customer’s attention at first glance. We would also have a promotional plan which will include a
budget of five thousand dollars on advertisements such as banners, commercial ads, Facebook
ads, google ads, and build boards. We will also have social media campaigns and be very active
on Twitter, Instagram, Facebook, and Vine. By being heavily active on social media, we can
increase exposure, increase traffic, develop more customers, develop a relationship with our
loyal customers and even reduce our marketing expenses.
We believe our competitive advantage comes from fast shipping, all in one products, and
a great return policy. We plan to ship orders within 24 hours. The firms return policy is simple, if
it is not used we will take it back at any point in time, and if it gets damaged to the point of
unusable within the first month we will replace it for free.
SportsKits is looking for $100,000 to start up the company. This costs includes about 35
kits for each sport, add-ons, marketing, storage, and equipment costs. The founders have
included $50,000 dollars in private funding totaling the total start up price to $150,000. The
project is goaled to sell all kits by the first month which would create an estimated cash flow of
almost 60,000$ in the first month not including add-ons. The estimated cost for one month of
operation is $50,000, leaving a profit of 10,000 in the first month. Over the next 3-5 month we
plan to keep increasing the number of kits sold per month. Our goal is by the end of one year to
sell over 2000 kits which would result in a profit of close to $200,000. The total operating costs
for a year are estimated $50,000. After the first year Josh and Blake plan to expand their kits sets
and add-ons.
Internally we believe we have the capabilities and know how to create our product and
market it successfully. We understand the way to advertise and how to draw people into our
website to buy our product. Me and my partner work well as a team through making good
financial and marketing decisions. We are both easy going and easy to get along with allowing
us to build a lot of outside relationships that could potentially help us in the future.
We have some minor weaknesses such as: lack of knowledge with distribution, not very
knowledgeable about pricing, and hardworking but somewhat unorganized. These are clear
weaknesses but we plan to and will strengthen these areas so that we can provide our customers
with a better experience and product in the future. We are open to feedback if we do something
wrong or treat someone unfairly.
Externally there are many opportunities that we see we could take advantage of in the
future. One major opportunity would be to expand to every sport that needs multiple utilities for
you to play. Expanding our product is just one facet, another would be to expand by regions, or
even internationally. There is an obvious need for easy, accessible, and time-economical kits so
that parents or children do not have to spend hours in the store searching for what they need. We
feel there is a bounty of external opportunities in which we can grow and expand.
There are many competitors in our market but none of them offer an all-inclusive kit with
everything that one would need. Our competitors, such as Dicks Sporting Goods, Academy, and
others, offer individual products which could add up to an astronomical price that people are
forced to pay because there is no alternative in the marketplace. This is where we intend to fit in.
There are no other companies that offer a product like we do.
Our product is designed for easily accessible and time-economical sports kits. SportsKits
is a company that sells kits for sports that includes everything one would need to begin playing a
sport. We hope to include: clothing, equipment, instructional videos, and a possibility of
coaching lessons. These all-inclusive kits would be a quick and easy way to get a child started on
playing a sport. In today’s society there is a demonstrated need for time-economical events. We
believe whether our customers buy our kits online of in a store they will be happy with our
product and would feel like they weren’t wasting time. Sports these days consist of multiple
things needed to even play the game. If you were to shop for each of the products we include in
our kits individually, it would take you a substantial more amount of time. As most believe today
time is money and time wasted is money not made. Our goal at SportsKits is to create a great
product for people who don’t want to spend too much time shopping, and a product that would
create an easier passageway for kids to get active and play sports.
Our exchange market is Business to Consumer. The target market we have selected is
kids from 3-7 years of age. This is the market that is actually using the product so we also want
to appeal to adults or married adults between the ages of 25-40 who have children because these
are the people who are going to actually buy the product. We are also segmenting our market by
income. We want to attract adults with kids with an income above $50,000 a year or a joint
income for a married couple of $80,000 a year. We believe the parents above this income
standard would be able to easily afford a SportsKit. According to census.gov about 20% of the
United States is married couples with children. Also there are 24 million married couples that
make over $75,000 jointly. This creates a gigantic opportunity to succeed in the marketplace.
Our targeting strategy is to find the married or single family homes in the US who can afford to
buy our product with no financial repercussions. We want to appeal to the busy, time consumed
guardian who wants their kid, or their kid wants to play sports.
These are two personas in which we believe we are targeting:
Angie: she is a single mother who works from 8-5 every day and her job requires her to
do extra work at home sometimes, she has 2 boys named Johnson, and Kyle who are very
rambunctious and love to get in trouble. She makes $60,000 a year and is looking for an easy
way to get her kids active.
Don: He’s married and has a girl and a boy. Him and his wife combined make $120,000 a
year. Don wants his kids to get into sports but doesn’t know a lot about them. He drives a
Mercedes and is usually traveling for work across the US.
The key results we found from our survey was that people started playing sports
anywhere from the ages of 1-8. We thought there would have been more variation of age from
anywhere up to 13 years of age. 68% of the respondents said that they would rather buy an allinclusive kit rather than buy the products individually, which reassured us there was a niche in
the marketplace. A surprising result was the fact that the question “Where would you buy; online
or offline?” was split almost 50/50. This means that to have more success we cannot be just an
online company.
We plan to have a really aggressive social media campaign. We plan to use every facet of
social media we possibly can in order to increase traffic to our website. We plan to create a
Twitter, Instagram, Facebook, and Vine accounts. Each of these are going to be used similarly
but also differently. We will give updates for new products and promotions, remind people of
when sales are, and post pictures or videos showing the day to day life at SportsKits including
employees, and processes. We believe a few hashtags would benefit us in the way of giving our
target market and easy way to remember how to see our posts, and to also tell other people about
our products. An example of a hashtag we would use is #kitsforsports. Even though this hashtag
is simple and to the point but not very creative we believe it portrays exactly what we want
people to know us as. Another example could be #getoutandplay. This hashtag promotes kids to
get outside and play whether it is sports or anything. This hashtag could get the attention of the
parents also by making them realize how much their children are inside or not active.
Our competitors are using social media in multiple ways. They are using it to solve
customer service issues, advertisement, and product information. We plan to differentiate
ourselves from our competitors by showing real time production and company environment
photos. We think that this would build a better connection from our customers to our company
and make them feel more at home.
Our product is a kit that holds sports equipment for a desired sport. This is a kit that would
help beginners who have not tried a sport before and have a desired to get started and be
provided with everything they need. Provided in our sports kits will be equipment, gear, and
clothes. There will also be add-ons that the customer can pay for which will include athletic
wear, training equipment, and an instructional video on the desired sport, the rules of the sport,
and techniques.
Our product is different from other products because we give the customer everything they
need as a whole. If they don’t know what all they need when beginning a sport, our sport kits
would be very helpful to them. Usually, one would have to go out and buy things individually,
and if they don’t have knowledge on the things they need when starting a sport, they would be
behind already. With our kits, the customer is all set and ready. When plan to buy our products
from brand companies. We buy wholesale products and sell them at retail prices (kits).
Our return policy is a simple one. We have a 2 week return policy if the customer isn’t
satisfied. This goes for equipment, the add-on training equipment, and videos. For the clothing
and athletic wear, these are only returnable if they have not been worn. Our customers our sports
active so we can’t accept these items if worn. At SportsKits, we are serious about our shipping
time. When a customer places an order online, we do not wait. We package your kit
immediately, the same day if possible. (Shipping Costs)(Shipping Costs) – Shipping costs will
be determined by estimating how much each package would weigh. Then we would calculate
the time it would take to get there.
We plan on positioning our company to be the front runner in providing everything needed in
sports today. Today the sports atmosphere is wide open and majority of everyone were involved
in sports growing up. This is a highly profitable market and we plan to make SportsKits to be
the face of that market. We are going to position ourselves using advertising, social media, and
beating out our competitors. Our competitors would be sports stores and retailers such as
Hibbett Sports, Dick’s Sporting Goods, Champs Sports, The Finish Line, Foot Locker and even
Wal Mart. Wal-Mart is ranked #1.
Our pricing strategy is Dynamic pricing. It will offer different pricing on the kits depending
on the age and size of the customer. We can tell from our survey that it is best for our pricing
strategy to be Dynamic and base prices off the age of the customer. Also, we plan to be highly
flexible with our prices to compete with our competitors.
Our goal is to be the face of sports equipment provider around the world. We want our
customers to be the first place they go when looking to buy equipment for starting a new sport.
Once you make one customer happy, then they can tell other people about it by word of mouth or
even on a social networking site. It’s very important for us to have an excellent business to
customer relationship. To make a profit, there must be sales of a product or service. To make a
profit, there must be sales of a product or service. We will not have coupons for our business but
we will randomly choose a couple months out the year in which we will have a deal with the
customers. This will include one free add-on of their choice with the purchase of a SportsKits.
These add-ons choices will include athletic wear, sweatbands, training equipment, and an
instructional video. Customers will get a chance to pick any one of these for free with the
purchase of a kit.
Financially, our goal by the end of one year to sell over 2000 kits, which would result in a
profit of close to $200,000. The total operating costs for a year are estimated $50,000. After the
first year Josh and Blake plan to expand their kits sets and add-ons. For Customer Relationship
Management (CRM) we plan to have a great relationship with our customers. We plan on doing
this with social media and customer support. We are going to be very active with Twitter,
Facebook, and Instagram. With these social media handles, we are going to give the customers
feedback 24/7 and be able to answer as many of their questions as possible. We also will have a
Support (Help) tab on our website for the customers if they feel lost our confused. We will
provide different scenarios in which they have trouble with and answers to these problems if they
want to solve the problems they are having on their own. Or, we will have a support number
where they can call our support line if they want to talk to customer support personally.
Our goals business to business is to have great relationships with our suppliers. Our
suppliers would be the brand companies and wholesalers to us the retailers. Relationships are
required with suppliers and stakeholders to create a successful product or when developing a
service. We want a successfully managed and fully operated business. To complete this, we as
company leaders and our managers must build a relationship with people with are working with
based on trust, respect and understanding. Product Quality is a very important goal for us as well.
We will have the best expectations for our quality of kits possible. Anything less than our best is
failing because then, we would be failing the customer. Our standards are at the most high and
the highest is only acceptable from us. We want to make sure the customer is always satisfied
with our product. Also for shipping, we want to have a collection of methods and techniques for
ensuring that our product or service is produced and delivered according to given requirements.
We will also track our product while it’s shipping to the customer to make sure it is on track with
the right time limit and maintain control of this process.
We plan on achieving every goal by hard work and enthusiasm. This product is a dream
itself for us so we plan on doing everything possible to achieve all goals. Marketing is very
important for achieving these goals. This will be done with advertisements and social media.
Social Media is free so will be spending a lot of time on Facebook, Twitter, Instagram, and any
new social media site that is on the rise. We plan to spend 5000$ of startup money on
advertisements. These advertisements will include banner ads, newsletters, blogs, and television
commercials, make a viral video, a saying or jingle (Something creative and catchy), pop-ups
and pop-under, and ads on other websites.
We have a strategic marketing plan including 3 Google AdWord campaigns, 1 Facebook ad,
and 2 TV commercials, each of which will receive $1000 of funding. Out of all of these
campaigns we predict we will receive 70-80 total customers out of the 3,000+ clicks and views
of our website. This puts our customer acquisition cost at $67 per customer. Considering that our
products are priced around $425 the acquisition cost is fairly low. We will always be improving
on the ways to market our products over the internet and are constantly looking for better
information to help us conduct our business.
Business Model

Business Goal
To be the number one sports
retailer in the country.
Partners






Nike
Adidas
Oakley
Reebok
Russell Brands
Wilson Sporting Goods
Distribution
How do we reach our customers?
How do we communicate with our
customers?
 Through advertisements such as
 Through social media outlets such
banner ads, newsletters,
as Facebook, Instagram, Twitter.
commercials, and advertisements
 SportsKitsSupport
on other websites.
 Hold conferences with the
customers for feedback

Customers
Who are our customers?
What job do we solve for our customers?
Anybody looking to start a new
 Helps them get an advantage when
sport. Majority kids and young
starting a sport.
adults between the ages of 5-18
 Customers are more prepared and
who are looking to partake in team
get a head start when starting a
sports.
new sport besides being behind
everyone else.
Benefits
What benefits do we create for our
customers?
 Competitive advantage in the sport
of their choice.
 Won’t feel left out from everyone
else.
What benefits do we create with our
partners?
 We put their product out there.
 If customers like our products,
then they will also love the
wholesaler’s products.
Revenue
How does our company earn revenue?

Customers buy products online.
Relationships
What type of relationship do we want with What type of relationship do we want with
our customers?
our partners?
 We plan to have a great
 . Our suppliers would be the
relationship with our customers.
brand companies and wholesalers
to us the retailers.
 We plan on doing this with social
media and customer support. We
 Relationships are required with
are going to be very active with
suppliers and stakeholders to
Twitter, Facebook, and Instagram.
create a successful product or
With these social media handles,
when developing a service.
we are going to give the customers
 We want a successfully managed
feedback 24/7 and be able to
and fully operated business. To
answer as many of their questions
complete this, we as company
as possible.
leaders and our managers must
build a relationship with people
with are working with based on
trust, respect and understanding.
Sources:
http://espn.go.com/espn/story/_/id/9469252/hidden-demographics-youth-sports-espn-magazine
http://www.statisticbrain.com/youth-sports-statistics/
https://www.census.gov/prod/2013pubs/p20-570.pdf
Gantt Chart
Gantt Chart Template © 2015 by Vertex42.com.
KitsforSports.com
Project Lead:
Project Start Date:
Display Week:
WBS
1
1.1
1.2
1.3
1.4
1.5
1.6
Task
[Task Category]
#Getoutandplay
Spring Time Kit Time
Kits For Kids
Facebook Ad
Commercial 1
Commerial 2
[ Joshua Parker ]
4/21/2015 (Tuesday)
3 Month Period
Lead
Start
[Name]
Start Day
Joshua April 12th
March15th
Blake
May 1st
Joshua
March 21st
Blake
Joshua
Balke
Cal. Days
15
15
14
3
## ##
March
1 / 0 / 00
April
5 / 20 / 15
## ## ##
May
6 / 20 / 15
1 2 3 4 1 2 3 4 1 2 3 4
Marketing Budget:
5000$
Google Ad Words: 3000$
1st: #Getoutandplay Campaign: 1000$
Estimated total clicks: 547
2nd: Spring Time Kit Time: 1000$
Estimated total clicks: 671
3rd: Kits For Kids: 1000$
Estimated total clicks: 755
Cost Per Click:
1st: $1.82
2nd:$1.49
3rd:$1.32
Customer Acquisition Cost (Assuming a 1% conversion rate):
1st: $182.82/customer (5.47 customers)
2nd:$149.03/customer (6.71 customers)
3rd: $132.45/customer (7.55 customers)
Life Time Value (assuming .5% are returning customers)
1st:
2nd:
3rd:
Facebook Ad: 1000$
Somewhat targeted to certain cities (Atlanta)
93 cents per click
1075 Total clicks
Assuming a 2% conversion rate:
CAC= $46.51/customer (21.5 customers)
LTV:
Local Commercials: 1000$
Commercial 1 (Atlanta): 500$
Commercial 2(Chicago): 500$
I have proof-read and agree with everything in the paper above:
X
Joshua Parker
X
Blake Johnson
This is an official document stating that Joshua Parker and Blake Johnson assume equal
responsibility and success of the company SportsKits.
The ownership of the company is:
Joshua Parker 50%
Blake Johnson 50%
X
Joshua Parker
X
Blake Johnson