Wedecorhomes is a local Canadian company that provides a whole range of home décor product categories
We have further broken our goals down into short and long-term goals and identified critical steps along our path.
Going by the Ibis World market research report regarding home furnishings stores in Canada, the total market size in Canada is CAD 4 billion. And there are 4,389 businesses involved in this industry. While there are fewer big stores, most businesses are niche-focused and relatively small in size.
As the industry is driven by social media and influencers who highlight the latest and upcoming trends, we believe it is the right place for us to start building our brand. As the company hits the volume target of about USD 0.1 million, we intend to focus on social media channels.
The focus will remain on building brand reputation, awareness campaigns and, create brand recall value. We want to highlight the Canadian origins of the brand and the brand philosophy it inherits from the Canadian culture of diversity and acceptance. We intend to use our social media marketing budget uniformly throughout the year. Our social media campaigns plan to target communities and get introduced to them through social media influencers and other relevant marketing modes.
The year 2020 has brought about a radical change in the way marketers reach out to audiences. We wish to leverage our insights about this phenomenon and ride the social media wave to achieve our global expansion goals. The business has Canadian descent, and the same will be highlighted as we take the brand beyond Canadian borders.
Our initial expansion into foreign markets will be carried out slowly. This will provide us time to run experimental pilot campaigns and gather meaningful insights from their results. As we learn about consumer behavior in different geographies, we shall use various social media marketing avenues to become leaders in the target communities.
While Twitter and Facebook (including Instagram) will remain our mainstay for expansion, we shall not shy away from experimenting with locally popular platforms. As soon as business volumes achieve $ 0.25 million USD, we intend to spend our initial budget in the first 3 months for pilot projects. We shall ramp up the campaigns for different target geographies as per the initial responses received.
We are in the process of setting up a local factory outlet in Ontario, Canada. This brick-and-mortar setup will allow customers to touch and feel the products they buy and get their favorite home décor products the same day.
Although our marketing efforts focus on social media, we strongly believe that physical presence helps us reach the grassroots level. At the current stage of brand evolution, the physical outlet will provide us with some of the best one-on-one customer feedback that we may not get online.
We also intend to use the learnings from operating a factory outlet into our future warehouse setup, which will definitely help reduce holding costs as our business volumes grow.
We do not wish to delay Inc or LLP incorporation beyond the business volume of USD 1 million. And incorporated business presents a professional image to customers, suppliers, and investors. We shall be eligible for certain tax advantages and perhaps gain from Limited Liability protection.
Our business founders team intends to establish their business interests and incorporate the best step towards the same. As the business grows, an incorporated entity can easily add partners and co-owners too.
This element is going to be the heart and soul of our business in the future. It will enable us to quickly scale up the business and enhance its reach and capacities.
Our multi-vendor platform will swing into full-fledged operation once a business volume of USD 1.5 million is achieved. The platform will provide a common integrated place for vendors, suppliers, and home décor products traders to sell their products with ease. The seamless interface and real-time amalgamation on our user-friendly platform will ease out the bottlenecks in conventional settings.
The platform makes it easy for anyone with bright home décor ideas to start a profit-sharing business almost immediately. Such an inorganic growth in earnings is certainly predictable as start-ups try to keep pace with the fast-growing industry.
Our learnings from our experience of operating a factory outlet will help us set up and manage a physical showroom outlet. An added advantage will be our experience interacting with customers over social media channels. The learnings from social media campaigns will help us select the relevant inventories. We believe in-store purchases are certainly not a thing of the past, and both online, as well as in-store retail, can coexist.
We also understand that retail real estate business is typically a psychological one by virtue of our professional experience. We need to balance the real estate cost to the location viability. We already have a few locations in mind. We will initiate on-site surveys in order to crystallize on a particular location.
Depending on the customer response, we can experiment with pop-up stores at different locations within Ontario. Pop-up shops will provide a certain mobility to our business and offer a physical location for us to attract new customers.
As we accumulate learnings and build up an experience repository internally, we believe revenues of USD 5 million are sufficient to start franchising. We shall explore the market to find people who can share our beliefs in our business philosophy.
A kind of league of dreamers, just like us, who envision the business to grow by leaps and bounds.
As business volumes hit USD 10 million, we shall continue our impetus on social media and other online marketing avenues. Continue to gain mindshare and wallet share of our customers. Marketing activities provide support to existing and creating new loyal customers.