1 / 14

Merchandise planning

Merchandise planning. Unit assortment planning. Merchandise planning process. Formulation of objectives Establishment of policies Implementation of policies to carry out department or store objectives Dollar planning – budgets Unit planning – basic stock list and model stock plan.

aleron
Download Presentation

Merchandise planning

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Merchandise planning Unit assortment planning

  2. Merchandise planning process • Formulation of objectives • Establishment of policies • Implementation of policies to carry out department or store objectives • Dollar planning – budgets • Unit planning – basic stock list and model stock plan

  3. Considerations in unit planning • Merchandise quality. • Price range • Choice of national brands or private brands • Good taste • Proper timing/product life cycle • Variety of product lines (product mix) • Assortment strategy

  4. Factors affecting Unit planning • Type of retail institution • Past sales records • Determination of consumer wants • Type of goods offered • Elimination of merchandise

  5. Type of Retail Institution • Consistency • Availability of capital resources • Particular trading area served by the store • Nature of goods carried • Competition in the trading area

  6. Past Sales Records • Considerations: • weather • economic trends • labor strikes • supply conditions • market opportunities • anything that affected sales activity in a period

  7. Determination of consumer wants

  8. Types of Goods Offered • Fashion goods • Soft goods • Hard goods • Seasonal goods • Convenience goods • Staple • Impulse • Shopping goods • Specialty goods • Elimination of merchandise lines

  9. Avoiding MistakesKnowing when to eliminate products • Pay attention to stock turnover and rate of sales for each item • Does a substitute that offer better merchandising opportunities? • Have merchandising efforts have failed to improve the sale of goods? • Does it contributes to the sales of other products?

  10. Planning a basic stock list • Planning a basic stock list • Homogeneous and heterogeneous staples • Seasonal and non-seasonal staples

  11. Planning a Model Stock Plan • Classification • Price • Size • Materials • Color

  12. Quantity to Purchase • Period for which purchasing is done • Estimated sales for the period • Merchandise on-hand and on-order • Desired merchandise at the end of the period.

  13. Period for which the purchasing is done • Open-to-buy • Hand-to-mouth buying • Speculative buying • Quantity discount

  14. Desired merchandise at the end of the period • Sales trends • Popularity of fashion • Stage in the product life cycle • Price fluctuations in the marketplace • Availability of supplies and materials • Types of goods remaining in stock • Type of retail institution • Supply conditions • Discounts • Is it a new item?

More Related