Merchandise Flashcards
Merchandising in fashion retailing and working as a merchandiser.
Merchandising definition
The term “merchandising” in fashion retailing refers to the total process of stock planning, management and control
Merchandising in fashion retailing and working as a merchandiser:
Merchandising Process
It is the process of planning, developing
and presenting product lines for identical target markets.
It is the process of planning, developing
and presenting product lines for identical target markets:
Merchandiser’s overall responsibility
The overall responsibility of the merchandiser is the maximising of profit of a department,
working within the normally accepted conventions of the business.
It is the process of planning, developing
and presenting product lines for identical target markets:
Merchandising focus
Merchandising focuses on analysis and planning, that leads to forward planning of the
department. Merchandisers must understand customer demands, analyse sales trends and
present saleable products.
Six main responsibilities for the merchandiser.
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To estimate sales and plan stock levels to achieve the planned sales and margin for a specific garment type.
Provide regular analysis and progress reports referring to stock levels, sales performance and stock purchases to senior management.
To work with buyer on range planning to maximise commercial opportunities for products.
To manage intake and commitment to accommodate the stock requirements of the business at any given time and the open to buy requirements of the garment type.
To manage stock distributions to stores optimising customer demand, available selling space and seasonal selling opportunities.
To effectively manage and develop the merchandising/distribution team.
Key merchandising competencies
Personal characteristics awareness Data Awareness Comercial awareness Planning Action
Personal Characteristics
Logical, Rational Multi-tasking / Flexible IT- Orientated Numerate Analytical Detail Conscious (aware of bigger picture) Assertive Retentive Memory
Awareness
Awareness is split into Data Awareness adn Commercial Awareness
Data Awareness
Specific data awareness, reflecting the significance of computer-based information on the job
Commercial Awareness
commercial awareness, highlighting the need to place analysis in a commercial or business context.
Planning
Effective Planning of the garment type finances, sales, stock levels and critical path timing lies at the heart of successful merchandising.
Action
Combines analysis of information with experience in the management of risk.
Adjusts forward stock commitment according to sales performances.
Times new deliveries and repeat orders to optimise sales opportunities and profits.
Negotiates appropriate discounts ( from cost price) in response to late or incorrect deliveries.
The merchandise handling process
This includes all the activities related to the processing of incoming merchandise. These
activities include receiving, checking, marking and stocking merchandise.
Receiving and Checking the merchandise
Stock control starts when the merchandise is received. The merchandise MUST be inspected to ensure that it is the correct order. Only when the receiver of the merchandised goods are satisfied with the received goods must he or she sign for shipment.
Every detail such as address, sizes, colours etc should be inspected against what the supplier has shown on the invoice.
Discrepancies should be reported and acted on immediately.
The retailer can make three checks to ensure that he or she has received the order:
Invoice Check
Quantity Check
Quality Check