Buying seasons

and their
significance in
product planning
 Timing of the Purchase
Traditional Retailers with “fashion- first” Orientation

They try to have latest merchandise in the

beginning of the year.
They go for early purchase to ensure early
delivery.
This requires purchasing as early as six months in
case of domestic markets and one year in case
of overseas purchases.
This early purchasing goes with the risk of
vagaries of fashion cycles and whims of fashion
consuming public.
 Timing The Purchase
Traditional Retailers not with fashion orientation
• They do not need to buy early.
• This reduces the risks associated with early
buying.
Off Price Retailers :
• They do not plan the timings of purchase.
• They scout the market just about everyday
looking for bargains and close-outs.
 Seasonal Factors
• New ranges are introduced at certain time of the year
assuming that weather will be as normal.
• Clothing producers have often found that their
merchandise is subject to vagaries of nature.
Summer/winter have either arrived too early or lasted
longer or even appear not to have arrived at all.
• This leads to loss of profits either due to shortage of
stock or heavy discounting to get rid of left over “end
of season” stock.
• It is necessary to look at several years together to
avoid the extreme vagaries of nature.
 Seasonal Factors
• Different part of year are suitable for different
type of merchandise. For e.g.
• October/November for clothing
• April/may for school clothing
• October-December for Gifts
• Marriage season for Jewellery
• May June for holiday merchandise
 Regional Factors

This annual cycle of merchandising differs

between countries and even within them,
particularly relating to cultural customs like
holidays, and seasonal issues like climate and
local sporting and recreation.
 Regional Factors
Merchandising also varies within retail chains,
where stores in places like Kashmir might
carry snow blowers, while stores in Goa,
Kerala and Pondicherry might instead carry
beach clothing and barbecue grills all year.
Coastal-area stores might carry water skiing
equipment, while ones near mountain ranges
like Auli in Garhwal would likely have snow
skiing and snowboarding gear if there are ski
areas nearby
 Example of a typical retail cycle
(Seasons)
In the United States for example, the basic retail cycle
begins in early January with merchandise for
Valentine's Day, which is not until mid-February.
Following this, Easter is the major holiday, while
springtime clothing and garden-related merchandise is
already arriving at stores, often as early as mid-winter.
Mothers Day and Fathers Day are next, with
graduation gifts (typically small consumer electronics
like digital cameras) often being marketed as "dads and
grads" in June (though most semesters end in May).
 Example of a typical retail cycle
(Seasons)
Summer merchandise is next, including patriotic-
themed products with the American flag, out by
Memorial Day in preparation for Independence Day
(with Flag Day in between).
By July, back-to-school is on the shelves and autumn
merchandise is already arriving, and at some arts and
crafts stores, Christmas decorations.
By September, the summer merchandise is on final
closeout and overstock of school supplies is marked-
down some as well, and Halloween (and often even
more of the Christmas) merchandise is appearing.
Example of a typical retail cycle
(Seasons)
As the Halloween decorations and costumes
dwindle in October, Christmas is already being
pushed on consumers, and by the day
afterward retailers are going full-force with
advertising, although the "official" season
does not start until the day after Thanksgiving.
Christmas clearance sales now begin even
before Christmas at most retailers, and
continue on to as little as New Year's Day or as
long as February.
 Seasons

• Autumn/Winter or Fall / Winter

• Spring/Summer

• Monsoon

• Mid-season ranges
Retail Buying Sequence-An Example
(Autumn and winter Season)
Early September : Analysis of last year’s
range, to identify good and bad sellers based
on performance and average weeks' cover.
Average week’ cover is an
indication of the rate at which a merchandise
is selling and the number of weeks it would
take to sell out completely at this rate.
The analysis will be by
style, fabric, colour and price points.
 Retail Buying Sequence
(Autumn and winter Season)
Early September : Supplier’s performance will be
analysed by line(rate of sale, prices, profitability),
quality and reliability.
Forward trends in terms of
new ideas, colours, fabrics etc. are analysed with
the help of in house design studio staff and
colour and fashion forecasters.
The actual plan will be built up
around improvements in existing range, addition
to existing product lines and incorporation of new
products into the range.
 Retail Buying Sequence
(Autumn and winter Season)
Late September :
• Initial presentations of range ideas for basic
approval.
• Alteration cycle begins.
• Further research for concept development.
• Initial buyer-supplier meetings to exchange
ideas and determine direction
• Sampling & alteration process begins.
 Retail Buying Sequence
(Autumn and winter Season)
October :

Second stage screening is conducted.

Product development continues.

Visits are made to fabric fairs

Supplier development continues

 Retail Buying Sequence
(Autumn and winter Season)
November to the end of January :
• Product development is finalised.
• Test marketing of proposed new range is planned.
• Sampling, negotiations with suppliers culminating in
agreement on prices.
• Range meetings with top management for approval of
final ranges.
• Sealed samples are taken.
• Work begins on accurate buying figures and phasing of
deliveries.
 Retail Buying Sequence
(Autumn and winter Season)
November to the end of January :
• Since range plan at this stage will feature
certain styles as experiments or test lines,
they may carry more risk.
• Flexibility should therefore be built into range
plan to purchase more of them if they prove
to be successful .
 Retail Buying Sequence
(Autumn and winter Season)
February :

• Prices are finalised.

• Liaison on contract preparation begins

• Development of in-store and other

promotional ideas.
 Retail Buying Sequence
(Autumn and winter Season)
April-May-June :
• Chasing Production
• Quality checks
• Monitoring progress

Feedback from above is used in continual

review process.
 Retail Buying Sequence
(Autumn and winter Season)
July-August :

• The first phase of range is launched in stores.

• Phases of delivery according to preplanning is

set (Usually at every six to eight weeks)
 Preplanning Checklist

• Sales History
• Emerging Trends
• Pricing
• Competitors
• Balance, cohesion and synchronisation
 Retail Calendar
• Numbers of Saturdays and Sundays which
contribute increasingly large percentage of
sales, vary from month to month and also year
to year in Normal calendar .
• Therefore a calendar that maintained the
same number of weekends in comparable
months was desired.
 Retail Calendar
• The 4-5-4 calendar was developed during an
informal inter-industry discussion in the
1930’s.
• The 4-5-4 calendar is based on 4 weeks – 5
weeks – 4 weeks format and enables sales
comparability.
 Retail Calendar
• The layout of the 4-5-4 calendar (52 weeks x 7
days = 364 days), results in one remaining day
each year, and clubbed with the occurrence of
leap year, it becomes necessary to add a 53rd
week to the end of the calendar for sales
reporting purposes. This occurs approximately
every five to six years.
• If, after laying out the entire 52-week calendar for
any given year, there are four or more days left
during the 53rd week, then a 53rd week is added.
 Retail Calendar
• The 4-5-4 calendar starts in February (4 wks),
March has 5 weeks, and April has 4 weeks and
so on...
• The 4-4-5 calendar's fiscal year starts in
January.
• The 4-4-5 calendar is used by the retailers
where seasonal or inventory fluctuations are
not witnessed.