Fashion Brand Pitch Deck

Objective of this Service:

This would be about showcasing the viability of a fashion business idea to potential investors. Pitch deck is seen as the first approach to initiating discussions (mostly funding-related) with investors where the crux of the idea is present to the target audience.

What is a Pitch Deck?

This is a collection of slides or a presentation that is used to pitch a business idea of a fashion startup to potential business audiences or investors. It is carried out to elicit positive responses from the investors that can pave the way for seed funding for the fashion business.

A standard fashion brand pitch deck would consist of – the gist of the business, the marketing and sales strategy, and financial projections. In most cases, the entrepreneur is interested in taking the investors to the next round of discussions through the fashion pitch deck. Acquiring funds for a fashion brand start-up is a multi-stage process and requires long-term engagement.

Components of an “Investor Pitch Deck” for Fashion Business:

Having understood the need for a pitch deck, let’s turn our attention to the essential components of fashion business pitch deck, here it is:

1. Business Niche: This pertains to the customer segment the business seeks to serve. It can be women’s apparel, men’s clothing, or kids wear. Within these, there can be subcategories like women’s ethnic wear, women’s active wear, and women’s sportswear.  The same holds good for men too. And within the children’s clothing line there can be separate categories for boys and girls which are then separated age-wise. The fashion deck will clearly spell out the category and niche.
2. Sales Channel: The entrepreneur in their pitch deck for the clothing brand would have to articulate whether they will have a physical store, online store, or combination of both – an Omni channel strategy.
3. Unique Value Proposition (UVP): This is the unique value the business is going to provide its end customers. The UVP can be anything from designer clothing to hand-woven material to handicrafts to traditionally made attire. Anything which would attract the customer to pay a visit to the physical store or online store.
4. Revenue Model: Now that you seek to establish the business, you also will be required to explain how you are going to generate consistent revenue from the business model. Investors require the financial viability of the business model in terms of the cash flow.
5. Procurement Plan: A business is not expected to lose out on sales due to the lack of stock. This calls for the business to spell out a robust procurement plan that will ensure there is constant inflow and replenishment of stock as per the emerging and ongoing sales pattern.
6. Purchase & Sales Projection: The entrepreneur is required to showcase sales projections going forward and also show how capital is going to be reinvested to sustain the business in the long term.
   Inventory Management: The fashion business consists of dealing with a multitude of clothing items and having a close eye on stock level is of paramount importance. The entrepreneur must spell out how inventory management is going to be done on a daily or real-time basis without losing out on a single customer.
7. Marketing Strategies: A fashion pitch deck needs to enumerate how it plans to launch and run its marketing strategies to get the word around about the brand. Depending on the sales channel, the entrepreneur is required to spell out online or offline marketing strategies that will help bring in the prospects to the brand.
   Inventory Turnover Ratio: This is a metric that defines the number of times inventory is sold or used in a given period. A good ratio between 4-6 indicates that the business will neither run out of products nor have excessive stock filling storage space. It can help a business make better decisions on marketing, purchase of new inventory, pricing, and manufacturing.
8. Customer Activation Cost (CAC): The CAC is a metric that is arrived upon by adding sales and marketing costs divided by the number of customers for a given period. This will give CAC for 1 customer, ideally, the CAC has to be on the lower side if the business seeks to break even at an early stage. A pitch deck must have a slide outlining the CAC and all steps the business seeks to undertake to keep it under control.

Why DFX as your partner to develop a Fashion Pitch Deck?

DFX or Digital Finance Experts is one of the leading investor pitch consultants globally with the pedigree of having served several retail services and businesses. We come with pitch deck experts with hands-on experience in creating quality pitch decks or best investor presentations especially for startups in the fashion arena. They come with an inherent understanding of the content and the various nuances associated with the pitch deck or best investor pitch. Ultimately, partnering with DFX improves your chances of attracting investment by a large margin.

Investor Pitch Deck

• Industry problem Highlights (i.e. Problem Statement)
• Secondary research (Market size, customer segment, and other demographics)
• Explaining solution which is simple to understand and it can be correlated with problem.
• Solution in terms of product or service which is addressing the problem.
• Value proposition and highlighting key features.

• Competitive advantage – Quadrant axis map
• Other players in the market Segment of Competition
• Customer acquisition strategies
• Strategy differentiators
• Scope within the funding projection

• Team behind the project
• Important phases of your venture journey (past, present and future), which may also include details about Proof of concept, existing customer testimonials (if available), etc

Information Memorandum

• Describing the Company
• Opportunities and challenges
• Describing the products, moat and execution strategy
• SWOT analysis

• Describing the team, principles and culture
• Highlighting their relevant achievements in professional, educational, and social space
• Mention founders and core team – all important teams managing major functions in the company

• Competition & market share analysis,
• Volumes and margins growth,
• Profit & Loss statement, Cash Flow statement,
• ROCE, CAGR, EBIDTA

• Business Valuation Strategy
• Income Based (DCF Approach)
• Net Asset Based Approach (Income Tax v/s Market Depreciation Methods)
• Market Based (Recent Deals Comparison & Listed Deals Comparison)

• Investor rights and duties
• Terms of payment
• Details of ownership transfer
• Investor exit clause
• Agreement Termination clause