ECO
LOGISCA
GMBH
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Eco
Logisca
GmbH
 

Teaser
 
 






Confidential



 August
2008


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 Notice

The purpose of this Note is to gather preliminary interest from a limited number of potential investors regarding the possibility to invest into Eco Logisca GmbH (hereinafter referred to as the Venture or the Firm) based private company engaged in the logistics and online community of information and nourishments.

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 Executive
Summary



 The
Offering
and
Mission

The venture’s purpose is to promote and distribute safe and affordable locally grown organic products in Austria while endorsing safe and sustainable agricultural practices throughout Europe and advancing energy sustainability while harnessing the power of open-source collaboration. Management is seeking seed capital needed to finance the start, on-going beta and operations of the firm. The venture will devise an informative consumer oriented platform, a support group that wants to maintain their food conscious lifestyle within an inflationary market, where Austrian suppliers and the group collaboratively work to build enduring relations in enabling vendors to market, confer and showcase their products directly to the consumer, to help the group informatively choose the right products through participatory media with other users/customers (decentralization) and in the process, allowing the venture to become an intermediary in facilitating the delivery of those goods to the group, while armed with an incisive gradient operational strategy targeting both food conscious families with an active lifestyle and students within the city. In this sense, the firm is not an e-commerce company, rather a hybrid of the new online economy of our times,

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addressing the rising cost of food, due to increasing demand and the expanding food conscious community. Management’s goal is to capture in the process a share from the market’s dominant player in the country’s retail grocery super- and small markets, where the top three firms control 78% of the 55 billion euro heavily brand concentrated market, the more than 800 million Euros1 a year of the direct marketing and online advertising sector within Austria and the current organic food industry’s 590 million euro market, with the competitive edge of a community/consumer oriented platform, collectively defined suppliers and farmers, on time, quality delivery of fresh organic perishable goods from local farmers and though the conception of the firm’s ground-breaking business model.2

Model
and
Risk
Through the firm’s revolutionary utilization of the new socioeconomic contracts of our time, in which, through participatory media, users’ interactive gestures will become a kind of medium of exchange, a currency where our customers’ attention gestures will be of economic value and of which will result to the depreciative costs effects of our services. This concept will enable the firm to gradually and perpetually discount the costs to supply our products to the group. Additionally, rather than the usual banner ad or Adsense words that are so currently beloved and where the employment of contextual targeting is falsely deemed to be
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the best method of attracting consumers to a given ad, the firm would concentrate on and realize the industry’s long desire and overdue for the implementation and localization of conducting direct and personal marketing campaigns towards the end consumer, drawing rather upon our customers implicit and explicit connections for efficient ad targeting augmentation and relevancy. Possible through management’s recognition of the inherent potential of niche social media, our operational strategy will enable us to charge nothing for delivery and require minimal minimum delivery order charges. The possibility also exists to distribute our products to the group equal to or below the cost of procurement and still allow the firm to sustain profitability. Achievable through a revolutionary concept that management has fashioned, the firm will ultimately position itself to be a global leader in food distribution and logistics of local scale (local living economy) and which will enable the firm to optimally harness the localization and targeting of direct personal advertising campaigns. Management recognizes that there are several internal and external risks inherent in the venture’s concept. Attraction of consumers to the firm’s platforms will play a major role in determining the firm’s supplier partners’ and producers’ participation on Brand B’s platform. Management has however crafted a model to determine to what extent the firm can introduce its services to the market and has taking all externalities into consideration.

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A strong marketing and operational strategy, customer interaction, quality of service, vendor attraction and careful screening of employees and service providers will mitigate these risks.

Operational
Growth


Our
Brands


The venture is creating early growth under Brand A with the on set concept of delivering leading recognized brands of pre-packed goods, prepared meals, beverages and snack like items at night. It will primarily function as the venture’s secondary brand, which will diversify the venture’s exposure and which will be marketed to a target market of students and adults living in the city of Vienna during the after hours of when most other procurement localities have ceased their daily operations. At this time, a limited number of firms exist. Other competitions are in the form of nightly food stands that operate in the popular nightly areas of the city. Brand A’s growth will derive from the firm’s estimation of 4,000 exchange students that arrive annually in the city and the total 130,000 of students attending the main colleges and universities. These numbers exclude the students who attend the private universities, language and other programs within the city and whose institutions also receive incoming exchange students.3
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Planned product offerings will improve and stay within the realm of student living and concluding with breakfast related grocery items, such as fruits, bread and dairy products. Brand B will be implemented to include organic perishables, such as fresh fruits, vegetables, dairy and bread, in addition to organic meat and canned items from Austrian local suppliers. The brand will serve to efficiently target and create an online community for the food conscious families with an active busy lifestyle. All suppliers and vendors of Brand B are ultimately screened and chosen by the group through participatory media. Brand B’s target market and suppliers will be invited to actively participate in the open platform, whereby the group will rate, search, recommend, discussed specific suppliers’ and/or farmers’ products through gestures of attention and where farmers will in effect compete to provide and promote quality, fresh and reasonably priced natural organic goods and obtain a new distribution channel to effectively market those goods. The firm will operate as a distribution channel and marketing platform for the producers of those goods in a declining direct-marketing market for the farmers of Austria. The farmers market and yard sales are both markets of which that have recorded a decline of 22% in the past five years.4 Competition in this market (Brand B) exists and do pose a threat to early growth for the venture. Management has
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carefully evaluated those threats and has strategically carved out competitive advantages to mitigate those threats. Along with management’s awareness and confidence of the opportunity that exists within Vienna’s city limits and surroundings of 1 million5 households, Austria’s current and growing 20,200 organic farmers6 and Austria’s position as number one consumer and producer of organic goods to generate growth for the venture, other metropolitan areas of the country will in the future also be targeted and ultimately lead to favorable market conditions due to inevitable future market consolidations for the sustainability of efficiency within this market.7
The firm’s operational strategy includes the planning and implementation of strategic complementary brands that will serve to fulfill the venture’s short and long term growth and expansion; • Brand C will serve to target the growing organic farmers of Austria, currently composed of 14% of all farms within Austria, and • Brand D’s democratization of distribution will serve to eventually target all major cities in Europe and North America.

Management forecasts above 100 million Euros in revenue under five years when all proposed brands have been executed. Details of our conjectures, of our model and of our neutral assumptions will be included in an Info Memo.
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Investment
Highlights

Management has crafted a pioneering business model, which is posed to diversify the firm’s risk exposure and to competitively execute a market-leading role for the firm and which will revolutionize the logistics of tangible goods industry as a whole.

Pioneering Business Model

Driven from the demand of food conscious consumers, the Austrian organic food industry, rated number one in Europe, as a Market Attraction
 whole has persistently outperformed comparable industries and the growing preprepared food delivery segment ascertains the firm’s growth sustainability.
 Operationally, the firm has instituted a strategy to effectively market its services, reach and penetrate its target markets and which will enable the firm to optimally harness the localization and targeting of direct advertising campaigns. 
 Governmentally endorsed and guaranteed, the Austrian organic food industry will maintain its distinguishable growth for the next decade and along with an European exposure, the firm and its investors will indisputably profit and attain a foothold as a pioneer within this heavily EU subsidized and supported industry. 


Innovative Strategy



Market Sustainability & European Exposure


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Contact
Details

Mr. Jerry Nicolas Kollingasse 10/6 Wien A-1090 Tel. 43 (0) 664 386 4216 Jerry.nicolas@gmail.com

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