V. Competitive Analysis
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Direct & Indirect Competitors
The following e-commerce sites are expected to be the key competitors for [Company Name] due to their current brand and resources:
Diapers.com was founded in 2005 and is currently the largest online specialty retailer for baby products. Initially founded as 1800 DIAPERS, the company set out delivering consumables, such as diapers, wipes and formula, to parents with free 1-2 day shipping and a focus on customer service. In late 2008, Diapers.com expanded its selection into far-reaching baby categories, including clothes, car seats, strollers, and toys. Today, Diapers.com is the largest online retailer for everything baby.
Sister site Soap.com was started in July 2010; BeautyBar.com in October 2010; Wag.com in July 2011; Yoyo.com in September 2011. Amazon.com acquired Quidsi, Inc., which operates Diapers.com and Soap.com for $550 million on November 8, 2010. However, it will continue to operate independently.
Babies “R” Us.com
Babies “R” Us is owned and operated by Toys”R”Us. Founded in 1948, as a toy and juvenile-products retailer, the company expanded into baby care products in 1996 with the launch of the first Babies “R” Us location. Babies“R”Us operates as a specialty baby products retailer and has grown to approximately 260 locations across the country since its first store opened. The stores offers new and expectant parents a broad assortment of products for newborns and infants, including cribs and furniture, car seats, strollers, formula, diapers, bedding, clothing and toys. Over 11 million moms have utilized the popular Babies“R”Us Registry.
Last year, Toys“R”Us, Inc. reported that its Internet sales grew 29.9% year-over-year to $782 million from $602 million, and the company announced plans to open a dedicated e-commerce fulfillment center in McCarran, NV.
[Company Name] enjoys several advantages over its competitors. These advantages include:
- Niche Market Focus: By serving the niche market of eco-conscious products, [Company Name] will be able to focus its products on the needs of these customers more so than larger, entrenched competitors.
- Relationships: [Founder’s Name] and the technology director know many of the best programmers and web development companies. As such, it will be relatively easy for us to build the website’s functionality.
- Community: By developing a community of moms and online shoppers, [Company Name] will strengthen its brand loyalty