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43 Cards in this Set
- Front
- Back
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Branded Merchandise
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identified by a name and/or symbol associated by certain product characteristics
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National Brand
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a product that is available nationally but is not associated with a specific retailer
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The types of brands sold at a prestige or boutique store
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Designer Lines
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Brands sold at a specialty store
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Bridge/Diffusion lines
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Brands sold at a department store
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Better and moderate lines
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Brands sold at a discount store
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Budget/mass-market lines
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Brand Extension
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involves adding related products to an existing line of branded products or developing a new product with the same brand identity
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Private Label (i.e. Gap, Abercrombie)
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a name used exclusively by the retailer
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Exclusive line
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created exclusively for a retailer with a brand or designer label that is not considered to be a private label
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Store brand products
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exclusive merchandise of private labels, manufactured by the retailer i.e. Gap, Old Navy
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Planning and Forecasting
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Planning- involves establishing goals and strategies to achieve them
Forecasting- attempt to predict trends or outcomes |
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Long and Short-range plans
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Long- covers a 3-5 year period, is more strategic in nature
Short- covers a period of less than a year, is more day-to-day in nature |
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Sources of Planning Information (CTTFRC)
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Consumer Publications, Trade Publications, Trade Associations, Forecasting Services, Reporting Services, COnsultants.
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Top-down and bottom-up plans
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Top-down- starts at the upper levels of a business where objectives are defined, then other division plans follow.
Bottom-up- PLans start at department level and work their way up |
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4-5-4 Calendar
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an accounting calendar that structures a fiscal year. Each month has 4 weeks (28 days) or 5 weeks (35 days. Makes comparisons of retail sales more consistent.
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Six month plan
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2 seasons: Fall (August-January) and Spring (February-July). More sales in Fall.
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Components of the six month plan
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1- Planned Sales
2- Planned Stock 3- Markdowns 4- Planned Purchases |
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External and internal influences of planned sales
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External- Season, Economy, Weather, Fashion trends
Internal- past sales, promotional events expansion or closure of branches |
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Planning and Forecasting
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Planning- involves establishing goals and strategies to achieve them
Forecasting- attempt to predict trends or outcomes |
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|
Long and Short-range plans
|
Long- covers a 3-5 year period, is more strategic in nature
Short- covers a period of less than a year, is more day-to-day in nature |
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Sources of Planning Information (CTTFRC)
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Consumer Publications, Trade Publications, Trade Associations, Forecasting Services, Reporting Services, COnsultants.
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Top-down and bottom-up plans
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Top-down- starts at the upper levels of a business where objectives are defined, then other division plans follow.
Bottom-up- PLans start at department level and work their way up |
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4-5-4 Calendar
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an accounting calendar that structures a fiscal year. Each month has 4 weeks (28 days) or 5 weeks (35 days. Makes comparisons of retail sales more consistent.
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Six month plan
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2 seasons: Fall (August-January) and Spring (February-July). More sales in Fall.
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Components of the six month plan
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1- Planned Sales
2- Planned Stock 3- Markdowns 4- Planned Purchases |
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External and internal influences of planned sales
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External- Season, Economy, Weather, Fashion trends
Internal- past sales, promotional events expansion or closure of branches |
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Divisions (i.e. menswear, intimate apparel, juniors)
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Highest level of merchandising- coordinates groups of similar products
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Departments (i.e. men's tailored)
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merchandise is more narrowly focused, buyer is the administrative head
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Classifications (i.e. men's shirts, trousers)
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merchandise with similar characteristics
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Subclasses (i.e. long sleeve, knit, pullovers)
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Merchandise is even more narrowly focused
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Assortment Planning
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the prices, styles, brands, sizes, fabrics, and colors that make up the merchandise created to mee customer demand
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Planning stock
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always planned for the beginning of the month, BOM, which is also last month's EOM
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Productivity
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a measure of the number of units of output produced produces per unit of input
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Turnover/stockturn
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the number of times that an average inventory is sold within a time period
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Average inventory/stock
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the average amount of stock on hand within a time period
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High turnover
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High- is generally more desirable retailers want to generate more sales on less inventory
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Stock to Sales ratio
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the proportionate relationship between sales and BOM stock
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Micromerchandising
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the concept of managing individual brands or categories of merchandise as units of the business
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Cost
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paid to the supplier (wholesale cost or price)
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Markup (markon)
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amount added to the cost to est. retail price
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Initial Markup
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first price an item has been sold at
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Cumulative Markup
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markup for a group of varied price goods
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Maintained markup
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difference between the cost of the merchandise and the actual retail selling price
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