Kasi Kicks Business Plan — Appendix B: Allocation, Size Curve and Store Schedules
Detailed allocation, size curve and store rollout schedules underpinning the pairs and revenue build.
Appendix B: Allocation, Size Curve and Store Schedules
Jump to section
- Overview & contents
- i. Important Notice and Basis of Preparation
- 1. Allocation: What You Are Allowed to Sell
- 2. Executive Summary
- 3. The Size Curve: Where Footwear Margin Is Lost
- 4. The Store and the Channel
- 5. SWOT and Competitive Position
- 6. Organisation and Compliance
- 7. Financial Plan
- 8. Break-Even and Debt Service
- 9. Investment Analysis
- 10. Sensitivity and Scenario Analysis
- 11. Risk Analysis
- 12. Implementation Roadmap
- 13. Key Performance Indicators
- 14. Key Assumptions
- 15. Conclusion and Recommendation
- A. Appendix A: Consolidated Financial Summary
- B. Appendix B: Allocation, Size Curve and Store Schedules
- C. Appendix C: Funding, Debt and Stock Schedules
- D. Appendix D: Risk Register
- E. Appendix E: Glossary
- B.1 Allocation tiers
- B.2 The size curve on 1 000 units
- B.3 The markdown cascade
- B.4 Store economics and break-even
B.1 Allocation tiers
|
Tier |
Share of units |
List price |
Full price |
Realised price |
Gross profit |
|---|---|---|---|---|---|
|
Tier-zero and limited releases |
4% |
R2 950 |
98% |
R2 925 |
R1 391 |
|
Premium general release |
26% |
R1 890 |
78% |
R1 715 |
R812 |
|
Core general release |
44% |
R1 290 |
72% |
R1 138 |
R535 |
|
Carryover and clearance lines |
16% |
R820 |
56% |
R668 |
R257 |
|
Accessories, apparel and care |
10% |
R520 |
84% |
R485 |
R278 |
|
Blended |
100% |
R1 360 |
73% |
R1 219 |
R571 |
B.2 The size curve on 1 000 units
|
Size |
True demand |
Flat buy |
Weighted buy |
Residual on a flat buy |
|---|---|---|---|---|
|
UK 5 |
3.0% |
11.1% |
4.5% |
81 |
|
UK 6 |
6.8% |
11.1% |
7.6% |
43 |
|
UK 7 |
13.5% |
11.1% |
13.1% |
0 |
|
UK 8 |
19.6% |
11.1% |
18.1% |
0 |
|
UK 9 |
20.5% |
11.1% |
18.8% |
0 |
|
UK 10 |
17.0% |
11.1% |
15.9% |
0 |
|
UK 11 |
10.8% |
11.1% |
10.9% |
3 |
|
UK 12 |
6.1% |
11.1% |
7.0% |
50 |
|
UK 13 |
2.7% |
11.1% |
4.2% |
84 |
|
Total |
100.0% |
100.0% |
100.0% |
262 |
|
On 1 000 units of one style |
Flat buy |
Weighted buy |
Difference |
|---|---|---|---|
|
Sold at full price |
738 |
953 |
+215 |
|
Marked down at 40% |
262 |
48 |
(214) |
|
Revenue |
R1 217 472 |
R1 335 248 |
+R117 776 |
|
Cost of goods |
R648 000 |
R648 000 |
— |
|
Gross profit |
R569 472 |
R687 248 |
+R117 776 |
|
Gross margin |
46.8% |
51.5% |
+4.7 points |
B.3 The markdown cascade
|
Stage |
Discount |
Selling price |
Gross profit |
Gross margin |
|---|---|---|---|---|
|
Full price |
0% |
R1 360 |
R712 |
52.4% |
|
First markdown |
20% |
R1 088 |
R440 |
40.4% |
|
Second markdown |
40% |
R816 |
R168 |
20.6% |
|
Clearance |
55% |
R612 |
(R36) |
-5.9% |
|
Terminal |
70% |
R408 |
(R240) |
-58.8% |
|
Gross profit reaches zero |
52.4% |
R648 |
R0 |
0.0% |
B.4 Store economics and break-even
|
Per store |
Value |
Note |
|---|---|---|
|
Trading area |
185 m² |
|
|
Gross profit a pair |
R571 |
46.8% gross margin |
|
Variable cost a pair |
R101 |
|
|
Contribution a pair |
R470 |
38.6% of the realised price |
|
Store fixed costs |
R2 381 560 |
R12 873 per m² |
|
Break-even volume |
5 067 pairs |
14 a day; R33 387 per m² |
|
Mature volume |
9 800 pairs |
27 a day; R64 574 per m² at Year 1 prices |
|
Margin of safety |
48.3% |
|
Store fixed cost |
Annual |
Share |
|---|---|---|
|
Store payroll |
1 130 860 |
47.5% |
|
Rent |
854 700 |
35.9% |
|
Utilities, security and cleaning |
158 000 |
6.6% |
|
Store marketing and visual merchandising |
98 000 |
4.1% |
|
Point of sale, connectivity and systems |
72 000 |
3.0% |
|
Repairs, maintenance and sundry |
68 000 |
2.9% |
|
Total |
2 381 560 |
100.0% |