final project

Running Head: RETAIL MERCHANDISE MANAGEMENT PLAN ! 1

Overview

Merchandise management plan helps a business to plan for its inventory, pricing, and

store display management so that the store has what the customer needs as opposed to filling the

store (Yadav, 2020). A new strategy that has proven to be successful for leading apparel

companies is the use of data to identify the needs of potential customers. Other strategies, such as

profiling the target market, strategic pricing and categorizing of merchandize have also proven to

be effective (Yadav, 2020). This paper outlines a detailed merchandise store plan for an apparel

store for the fall/winter collection.

The apparel business will apply two retail formats to help it serve its clients. The

company will have three chain department stores that display the collections. Department stores

cater to walk-in clients. They also allow the customers to first interact with the product since the

collection is new to the market (Yadav, 2020). The online retail format will also be applied to

cater to clients who prefer shopping online. Through the website of the business and social media

sites, the company can market the fall/winter collection and reach out to the online market. The

clients will have an option of placing their orders online then picking them up from the stores; or

having their orders delivered to their doorsteps (Benoit and Teller, 2019). The online retail

format is among the strategies used by businesses to have a competitive advantage in the

technologically dynamic business market. The location of the store will be in a busy fashion mall

that is easily accessible.

Target market profile

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The fall/winter collection is meant to serve women and men between the ages of 21-50.

The collection is also high-end fashion with a mix of simplicity for the working-class men and

women. Since the collection is cost-friendly, it fits clients across all income levels that need a

simple touch of class.

Merchandise categories

Office men’s wear

This category will be serving men who work in offices across all professions. The

collection will comprise tailored suits with warm cotton fabrics, sweaters, men's woolen scarves,

classy gloves, and socks. The collection will also have a range of office-appropriate footwear.

Office men’s wears are always on the demand due to the daily demanding duties of the work

environment.

Office women’s wear

This category is meant to serve the office women who want to remain classy and still

adorn beautiful outfits. The collection comprises trench coats, tailored dresses, skirts, shirts, and

trousers. The collection also has a collection of footwear comprising of knee-high boots, flat

perms, and heels. The increasing number of woman who is pursuing their careers has created a

unique market of women’s official wear. The market has not been fully optimized by many

fashion companies. This market gap provides a perfect opportunity for utilizing the needs of

career women.

Classy men’s wear

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For men who would like to maintain a decent look out of office, this collection caters to

them. It comprises of casual wear including shirts, trousers, jeans, sweatpants, and a collection of

canvas footwear. Modern office trend has provided an opportunity for employees to ditch the

weekday uptight looking by opting for a simple classy wear for weekend commitments. For

instance, a simple khaki trouser that is accompanied by a polo-shirt is totally acceptable as an

office look for the weekend.

Classy women’s wear

For edgy women, who would like to be stylish out of the office, this collection comprises

casual shirts and jeans, dresses, statement t-shirts, and sweaters. The same case of trendy

weekend fashion also applies for the ladies. Combining an outfit that is classy but not too

shouting in terms of its color combination would be a perfect pick a career lady who wishes to

step into the weekend in style.

Accessories

This category includes belts, jewelry, bags, and hats both for men and women in the

target group. The leather bags and belts are particularly a good choice for the fall/ winter season.

Leather attires don’t sale well during summer, and thus it would be very important to maximize

on their turnover for the coming two seasons.

Pricing strategy

The collection in the business is meant to be a classy, high-end looking fashion that is

affordable. The business will work with an apparel manufacturing company to actualize their

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fashion ideas. The company will then stock the clothes in their stores where consumers will

finally access their products (Liu and Ke, 2019). The business will apply penetration pricing

strategy since the collection is for the fall/winter season and to curb already existing competition

(Liu and Ke, 2019). The collection aims at making beautiful apparel affordable for the target

group. The penetration pricing strategy will also be convenient for online shoppers who will be

able to assess and compare prices from different competitors. The clients who walk into the

stores also incur the delivery costs which would otherwise be footed by the company. Locating

the business among its competitors gives it the upper hand with its affordable prices.

Marketing strategies for the Business

This business will also adopt the use of social media networks for digital marketing

(Patruitiu-Baltes, 2016). Consumer behavior has changed the way businesses approach the

market and how they satisfy the ever-growing customer needs. Using online platforms for

marketing is less costly and effective. The business will also invest in social media influencers to

brand their collection. The fashion industry has successfully promoted their brands by using

social media influencers to showcase their outfits (Koski and Juntunen, 2020. The business can

also adopt print media marketing by using billboards to showcase their collections.

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References

Benoit, S., Evanschitzky, H., & Teller, C. (2019). Retail format selection in on-the-go shopping

situations. Journal of Business Research, 100, 268-278.

Koski, J., & Juntunen, M. (2020). Sustainable brand identity communications in social media

influencing consumers’ intention to behave sustainably. world, 131, 12.

Liu, J., & Ke, H. (2019). Firms’ pricing strategies under different decision sequences in dual-

format online retailing. Soft Computing, 1-16.

Patrutiu-Baltes, L. (2016). Inbound Marketing-the most important digital marketing

strategy. Bulletin of the Transilvania University of Brasov. Economic Sciences. Series

V, 9(2), 61.

Yadav, R. R., & Avhad, S. M. (2020). MERCHANDISE MANAGEMENT.

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