MERCHANDISING

Apparel Manufacturing: Sewn

Product Analysis, 4/E
By Ruth E., Glock
Grace I Kunz
 Mechandising
• Introduction.
• Dimensions of product change.
• Nature and timing of
merchandising responsibilities –
• Line planning
• Line development
• Product development
• Line presentation
 INTRODUCTION
Merchandising and Marketing
• Often both terms are used interchangably
 Apparel Merchandising
• The performance of all activities to supply the apparel
needs and wants of potential customers at time and
place needed, in right qualities and quantities and a
• Fashion merchandising refers to the planning required
to have the right fashion oriented merchandise at the
right time in the right quantities and at the right prices
for the target groups of customers prices that are
satisfactory to them.
 Terms in Merchandising
• Product Line
• Manufacturer Merchandiser • Merchandise Mix
• Retail Merchandiser • Assortment
• Merchandising Cycle • Design
• Merchandising Calendar • Style
• Selling Period • Lead Time
• Merchandisable group
– Separates,
coordinates,
multispecie style
 Dimensions of product change
Perceptual Map of product Change
• Fashion/Seasonal Continuum
• Basic / Seasonal Continuum
• Fashion/ Basic Continuum
• Basic / Basic Continuum

• Uses of perceptual map

Perceptual Map
 Nature and timing of merchandising
responsibilities – Merchandising
Taxonomy
• Line planning –defines and limits a line
• Line development – identify merchandise
that implements a line plan
• Line presentation – This results in
evaluation and sale of the product offering
 Line Planning
• Evaluate Merchandise Mix
• Forecast Merchandise offerings
• Plan Merchandise budgets
• Analyze and Update Merchandise Plans
 Line Planning
• Evaluate Merchandise Mix
– Past sales analysis –category wise, class,
subclass wise
– Brainstorming sessions
• Planning Merchandise budgets
 Planning Merchandise Budget
Sunder Textiles, an apparel manufacturer produces teenager’s
garments at good value. Size ranges offered includes school
students, boys and girls. Their last year annual sale was
Rs.2,50,00,000. This year they expect a 10% increase in sales. The
major categories offered and their merchandise mix is as follows:
Women’s dressy tops (60% of sales), T-shirts (30% of sales) and
embroidered kurtha (10% of sales). Girl’s tops are 55% of tops
sales. The merchandising cycle is divided into four selling periods
for girl’s tops. The selling periods are approximately equal in length,
about 10 weeks each in the 52-week merchandising cycle. The
distribution of sales for girl's tops for the last was as follows: spring
(15 %), summer (10 %) winter (60%) and autumn (15 %). The
average list price for tops is Rs.200 and a wholesale price of
Rs.100. Sunder textiles plans a 25% gross margin on wholesale.
Plan the merchandise budget for Sunder Textiles for girls tops for
summer season this year along with calculation for each component
 Calculate
• Total Planned Sales next year
• Women’s dressy tops sales,
• T-shirts sales
• embroidered kurtha sales
• Discounts and reductions
• Gross margin
• No of units
• Season wise sales
 Line Planning
• Planning Merchandise Assortment
• Analuse and update merchnadise plan
• Using Assortment plans
 Line Development
• Line Concept
• Creative Design
• Line Adoption
• Technical Design
 Line Development
• Line Concept
– Synthesize current trends
and issues
– Describe fasion trends
– Establish line direction
– Descibe materials
– Identify group concepts
– Analyse current line
• Creative Design
– Develop Designs
– Create design prototypes
– Review prototypes
– Review prototypes
– Revise patters until perfect
• Line Adoption
– Determine styles in line
– Assign style/size/colour
– Balance Assortments
– Produce photo/sales/catalog
samples
• Technical Design
– Perfect styling and fit
– Test materials
– Develop style sample
– Detailed costing
– Grade samples
 Line Presentation
Internal Retail
• Review for Adoption • Types of outlet- speciality,
• Line concept department, discount, off
• Image strategy price, manufacturer
• Groups and designs outlet, television, internet
• Pricing strategy • Power of appeal – display
space, fiztures, lighting,
• Visual merchandising
signage, label, ticket,
pricing strategy, customer
service, inventory mngt
 Line Presentation - wholesale
Line Preview Line/Style release
• Line concept • Fashion shows
• Image strategy • Wholesale markets
• Assortment strategy • Sales reps
• Style appeal • Trunk shows
• Marketing strategy
• Pricing strategy Customer service
• Visual merchandising