Assortment Planning
& Shopping List
The fight for the customer has recently been greatly intensified within retail industry. In order to respond to the growing customer expectations, the companies are being forced to constantly change the store collections and to follow the hottest fashion trends. To maintain the increasing pace it is necessary to shorten the production cycle and plan appropriate order quantities with accurate introduction. These requirements, in conjunction with long production development cycle and lead-time from Far East, mean that many companies have serious troubles with appropriate assortment planning. Ineffective management in this area causes the significant margin loss due to extensive clearance actions or frozen capital in remaining heavy positions of end-of-season inventory.
Gains:
1 - 2%
20 - 40%
1 - 3%
Benefits:
- Improved Financial Results:
- Increased gross margin thanks to reduced markdown
- Reduced end-of-season inventory
- More Effective Assortment Management:
- Faster response to the market behavior
- Shortened development cycle from design to store shelf
- Positive Impact on Cash Flow:
- Shortened warehouse storage (Just—In-Time model)
- Freed capital for other innovation
