THE

KOMMON
GOODS -
TEAM 4
The Localization Strategy in developing Asia market at a glance…

Towards 2030, how can The Kommon Goods further scale up its B2B business while creating more
impactful eco-friendly plastic-free movement for change among end-consumers?
Objective

How to deliver a clear message of

How to create a more impactful
What is the potential market to leverage societal & environmental value to
plastic-free movement by engaging new
the impact of TKG? persuade consumer (B2C) that TKG’s
& current B2B clients?
products are appropriate at that price?
Question

Developing Asia is the potential market for Tap on new channels to communicate with
customers, also to keep-update and do Cultural theme kit from local artisan
TKG to capture
engagement activities

B2B2C business model: the ultimate integration to solve the high logistic cost of B2C model
Strategy
Sourcing from local producers, artisans to add-on vale of creativity and relevance of brand towards consumers

Executive Summary Analysis Recommendation Implementation Impact …

Upscale the enterprises’ social impact is its top priority, followed by ensuring financial
sustainability

“In the beginning, our vision was much wider. It was “What is something that we can create that
can make people change their behavior and inspire people to be better citizens?” Later on, we
picked a niche, which was a plastic-free movement”. Li - Founder of The Kommon Goods

Society value is integrated into almost every stage TKG aims to be a one-stop shop for a range of eco-friendly
of the value chain products

Vision of TKG: to change consumers’ behavior not

to over-rely on plastic use • Eco-friendly
• Plastic-free
• Sustainable/recyclable
Packaging: eco-friendly
Small items (utensils,
toothbrush, travel kits,
Supplier: FSC certification etc.)
Donation to other SDG objective

Executive Summary Analysis Recommendation Implementation Impact …

However, the commitment to be plastic-free keeps challenging the company itself

Learned from HongKong market lesson, clear Kommon Goods current supply chain prevents them to
communication of value add-on and engagement are the completely control the quality
key factors in B2C & B2B pool

1) B2C issue 2) B2B issue

Not only tough competition prevents

Kommon Goods to succeed in B2C, there TKG is still relying heavily on One-source supply from Alibaba harms the flexibility and independence of the
still remains the gap of vague value word-of-mouth marketing to enterprise. Moreover, currently the company and its source are the
provided to customer when compared to communicate these values out relationships between buyers and sellers, not partnership
the company’s high-standard positioning

Implication

Optimize other channel to

Deliver concise & clear value add-on Partner directly with producer to be able to in charge in quality
activate more engagement
management more
activities

Executive Summary Analysis Recommendation Implementation Impact …

Market assessment reveals that developing Asia market is the ideal focus for The Kommon
Goods in the near and medium-term future to capture both B2C and B2B pool

US-UK Developing Asia Developed Asia

Logistics cost Low

(Producer from South East High Low
Asia)

Threat of competitors High Low Medium

Plastic pollution High Medium Medium

Social impact High High Medium

Behavior gap of
consumers (opportunity to Medium High Low
capture B2C market)

Executive Summary Analysis Recommendation Implementation Impact …

Our strategy with an objective of developing a comprehensive set of solutions for entry new
markets

How to deliver a clear message of societal &

How to create a more impactful plastic-free movement by
environmental value to persuade consumer (B2C)
engaging new & current B2B clients?
that TKG’s products are appropriate at that price?

Tap on new channel to communicate with customers, also to

Cultural theme kit from local aritsan
keep-update and do engagement activities

B2B2C business model: the ultimate integration to solve the high logistic cost of B2C model

Sourcing from local producers, artisans to add-on vale of creativity and relevance of brand towards consumers

Executive Summary Analysis Recommendation Implementation Impact …

To entry new market, approach business customer is the building block of the strategy

Utilize the wide network of the multifunctional companies Tap in other potential channel to engage business
in customer base - fundamental stage to entry customer

Email Marketing

• Update on TGK’s current positive environmental projects

with quantifiable impacts
Gift Merchandise • Lead on how TKM can help create specific
environmental-friendly alternatives and achieve business
goals

Owned website

- Emphasize TGK’s SDG Commitment and High-standard

products via infographics illustrating:
• Metrics of the high standards and commitments that TKG
is following
•Story about past projects and clients

Executive Summary Analysis Recommendation Implementation Impact …

Cultural Theme Box: utilize the local artisans to win over customers’ heart

Cultural theme kit

- Utilize the creativity and the experience of local artisans

- Sourcing the new material (bamboo,...) in new market will drive new product
- Developing Asia has cultural & traditional aspects (increase relevance) to enhance value in the product

Do Good - Feel Good on cultural product The website will then display…

1) Quantifiable positive environmental impact

Goal: inspire end-consumers to think about their day-to-day purchases and
choices
Initiative: launch the “Do Good - Feel Good” feature on the website and
packaging:
- Add a “Do Good - Feel Good” QR code on the eco-packaging
- By scanning the QR code, end-consumers will be directed to TKG’s
website
By using TKG’s steel bottle, you have saved 2
litters of water and 1.2 kilograms of CO2.
2) Small actions the end-consumer can do today
to engage with the plastic-free movement and
their impacts

Keep a small tote bag with you wherever you go

to prevent approx. 18 plastic bags ended up in the
sea each month

Executive Summary Analysis Recommendation Implementation Impact …

Finally, B2B2C business model will solve the problem of logistics cost and more convenient to
capture end-consumers

Use business customer channel to sell non-customized

product:
• Increase awareness by visibility
• This model will solve the burden of high logistic costs when
operating B2C model:
- Deliver in bulk
- Using the inventory of business customer

Suggestion: On-trade channel like coffee

chains, horeca, …

Executive Summary Analysis Recommendation Implementation Impact …