HerbaCure - A Clinically
Proven Herbal Supplement
with Multiple Benefits
Iris Hoag
Julee Jenkins
Dewi Prasetia
Evelyn Yang
About NaturaCure and HerbaCure
5Cs Summary
Market Concentration Decisions
4 Ps
Why Invest in us
Metrics
Company: NaturaCure
Mission Statement - To improve peoples lives through nature.
New company dedicated to the “green revolution”
Single product focus
Imported from Indonesia
Multiple benefits
Clinically proven
Sachet package
5 Cs (cont.)
Customer: Health conscious, looking for a natural cure
Context: Increasing demand for natural and green products
Competition: No other company offers same benefit bundle
Main direct competitor: Nature’s Way
Collaborator: Production Company – exclusive contract
Retailers (health foods stores and airport stores)
High retail profit margins (46% and 54%)
Build strong relationships/”Push”
Receive priority placement
SWOT Analysis
Strengths:
Increasing interest
in herbal products
Multiple benefits
Unique product
Low price
TSA approved
Weaknesses:
New brand
Low control over the
production
Low trust for herbal
products
Opportunities:
Product
Extensions
Moderate entry
barriers
Innovative sachet
package
Threats:
Competition from new
companies
FDA regulations could
change
Market concentration decisions
Health food retail shopper
19-35
Health-conscious
Educated
Urban
Affluent
Female
Long distance travelers
Travel related illness
TSA approved packaging
4Ps
Segment 1: 19-35 healthconscious, educated, urban,
affluent, female
Segment 2: Long
distance travelers
Product
Unique product made from Indonesian herbs, clinically
proven, multiple benefits, TSA approved packaging
Price
Retails at $9.50 (35% profit
margin)
Free samples, print ads,
website, online marketing
Promotion
and coupon, PR, POP
displays
Place
Health food stores such as
Whole Foods and Sprouts,
Priority shelf placement
Retails at $12.00 (40%
profit margin)
Skymall Magazine print
ad, online marketing,
POP displays
Convenience stores at
airports (LAX, SFO, SAN)
Why Invest in Us?
HerbaCure Appeal to Investors
High profit margins (35% and 40%)
Unique product, no direct competition
High growth industry
Large potential customer base, 85% retention
Minimal governmental regulations
Inelastic demand for product
High retail profit margins will create “push”
Growth in the Herbal Dietary Supplement Industry
6,000
5,000
Sales
($ in million)
4,000
3,000
2,000
1,000
0
2004 2005 2006 2007 2008 2009 2010 2011 2012
Source: HerbalGram
Projected Profit for the Next Five Year
2014
Health Food
Retail Shoppers
$ (165,285)
2015
$ (61,055)
2016
$ 69,562
Long Distance
Travelers
$
$ 918,394 $ 1,245,294
1,662,091
Total
Profitability
$ 753,109 $ 1,184,239
2017
$ 237,375
2018
$ 433,337
$
$ 2,871,067
2,193,509
$
$ 2,430,883 $ 3,304,404
1,731,654
Any questions?
Thank you!