LUMI is growing fast. Organic growth has taken us to a yearly turnover of €1,5M. The forecast for 2020 is €5M. We are now raising funds to accelerate and consolidate the global retail position by opening a new flagship store in the heart of Stockholm, Sweden. Minimum investment is only €100. Be a part of LUMI’s coming growth and expansion and at the same time become a part of the LUMI family and receive exclusive benefits:
- Become LUMI brand ambassador and promote sustainable fashion
- Receive shareholder LUMI product gift
- Receive 25% shareholder discount on purchases made at LUMI stores
The problem this product solves
The handbag and accessories market is filled with brands and styles that are either overly pretentious and ‘bling’ or very generic and forgettable. The current accessories market is also very saturated with brands from Italy and France with no true competitors from the Nordic countries. Curiously, while the Nordics have produced successful clothing brands, the handbags and accessories niche has yet to be truly represented.
The market is also lacking sustainable representatives: most leather accessories and designer handbags, close to 90%, are made with chrome-tanned leather, a production process that uses harmful chemicals, which by no means is sustainable.
How the product solves it
LUMI products feature a directional and easily recognizable design aesthetic, which has created a loyal customer base that appreciates a Nordic sensibility, one that emphasizes ‘bling’ free and lasting design. More specifically, LUMI product design is based on a distinctly Finnish design heritage, drawing on clean lines and functionality.
LUMI products are sustainable with over 60% of the products made of vegetable-tanned leather
. These production methods also include working with long-term manufacturing partners and small factory units, where handcrafting has been perfected from one generation to the next. Lumi is also an active partner with the NICE organization, since 2009.
- Unique, recognizable design
- Made for everyday use
- Functional details: interchangeable snaps, multiple pockets in bags, unique splint basket (pärekori) and glass packaging for scent line products, which avoids the use of any plastic or artificial packaging materials
- Sustainable materials and supply chain
- Design and inspiration found throughout a rich Finnish cultural and natural heritage
Product use cases
When you carry a LUMI bag, you are really carrying a kind of functional intelligence in a bag form. To take only one example, LUMI’s iconic Supermarket Bag
shopper features interchangeable straps, which allow you to switch from cross-body position to shoulder position with a simple snap button. This functional intelligence has made the Supermarket Bag our bestseller, which has sold over 50,000 pieces globally since its creation.
Likewise, LUMI’s premium lifestyle category items, such as scented candles or scented bath products, are ideal gift items, which have received special praise for their splint basket packaging.
LUMI products appeal to aesthetically aware people who appreciate unique design, sustainable quality, and a Nordic, minimalist look. This customer niche is truly global.
LUMI bags and accessories are already carried by stockists in over 20 countries, as well as in LUMI’s own retail stores
in Finland, Germany and Japan.
With our LUMI scent line, the target market has expanded, to include premiere lifestyle stockists, especially in UK and France. The scents market is a fast growing industry and has tremendous potential to expand, not only to lifestyle concept stores, but also accross the luxury hotels around the world.
The designer handbag and accessories market is highly competitive and over-crowded. Despite the crowd, the market still does not have a brand quite like LUMI, with its directional and sustainable leather designs and Nordic origins. To know leather and to be Nordic is our competitive edge.
Current competitors include fellow Nordic accessories brands, Mismo and Sandqvist, the Swiss utilitarian and sustainable brand Freitag, and the UK-based leather bags brand Ally Cappellino.
Unique differentiator from competitors
- Unique, recognizable and directional design
- Lifestyle products in vegetable-tanned leather
- Functional products suitable for everyday use
- Our use of colors is bold
- Our ways of working, our product materials and our supply chain are sustainable
- Our design and inspiration are found throughout a rich Finnish cultural and natural heritage
- Our customer loyalty is superior
Company revenue streams
- LUMI retail shops, both online and offline / B2C sales (50%)
- Wholesale / B2B sales (30%), through agents, distributors, participation at the best trade shows of the industry in Paris, New York, Milan, Copenhagen, among others
- Design projects for corporate customers and co-branding (10%)
- Fashion sales events producing (Fashion Stock Sales locally in Finland) (10%)
LUMI has been successfully running its own retail stores since 2007 in Finland, Germany and Japan.
In addition, LUMI bags are stocked in over 20 countries through a network of selected retailers, including Merci, Conran Shop, Baycrews, and Le Bon Marche, to only name a few.
We cooperate industry leading sales agents, who are typically assigned per country/market. Every season, we also participate in the best professional trade shows around the globe, in Paris, New York, Milan and Copenhagen, where we meet and greet new B2B customers and other brand ambassadors.
- In 2015, Lumi branched out into scents, with its own line of candles, bath oils, and soaps, which were immediately picked up by premiere lifestyle stockists around the World
- Lumi has been ranked among the TOP 5 fashion brands from Finland by several actors fromElle Magazine and “http://culturetrip.com”
- In 2015, LUMI brand video was selected to be played on all Finnair flights across the globe, reaching over 700 000 viewers
- In 2015, Lumi successfully completed the pioneer programme Creating Finnish Luxury Cluster for Finland’s top executives, which focuses on strengthening capabilities of the luxury and premium sector businesses
Next key objectives
- Expanding global sales and increasing overall brand awareness
- Recognition as the premiere leather accessories business in the Nordics
- Opening LUMI retail store in the heart of Stockholm, planned for Spring 2017
- Strengthening of the complete sales and distribution network in Sweden through 2017
- Open LUMI retail store in New York City by 2019
- Expansion of the sales and distribution network in the US market by 2020
Until this point, LUMI has been growing organically through sole funding of its founders, Sanna Kantola and Bruno Beaugrand, with no external investors. It is time to initiate a more robust global expansion, which requires external investment.
LUMI is partnering with international bloggers and taste-makers, such as Hilda Sandström
from Sweden and the singer Tess Henley
from the United States, through carefully considered product placement. These brand ambassadors spread awareness of LUMI’s brand image globally.
LUMI has a large number of B2B partnerships within design, fashion and the gaming industry and has been asked to create co-branded products for various companies such as Supercell
LUMI partners also include top PR, graphic design, photography and modeling agencies, to produce high quality campaigns, such as the campaign for Financial Times How to Spend It
magazine, Fall 2015.
LUMI is proud to have received the Kultainen Vaatepuu (Golden Hanger) Fashion award in 2011. We are the first fashion accessories brand to receive this award in Finland.
Use of Funds
Use of funds: Global expansion of the LUMI brand and opening of LUMI retail store in Stockholm, Spring 2017.
Exit possibilities: we plan to make an exit in the next five years.
Investor proposal wrap up / call to action: Participate in LUMI’s growth and recognition as thepremiere leather accessories business in the Nordics, leading the way to make fashion sustainable.