Retail networks operating in the industry of clothing/footwear/accessories/interior furnishings.
The look at the process of collection preparation as an element of the supply chain.
The evaluation of the current process paying special attention to the efficiency and novelty as well as the costs and stock.
In consequence an offer of the planning, preparing and ordering the collection model (of calendar) is consistent with the brand concept and the customer’s expectations . The calendar is extended and includes the budgeting process and the stages of delivering the subsequent analitical targets concerning the range plan.
The integral part of the calendar is the package of procedures.
While fast fashion is heaven for its target consumers, it can be hell for traditional retailers. Quickly shifting trends have slashed the shelf life of many garments from months to weeks, or even days. In the autumn of 2006, demand for a one-shouldered cocktail dress exploded, and retailers rushed to stock
up on the hot item. A few weeks later, the same dress was passé and unsold stock filled the remainders racks. The message for traditional mass merchandisers and specialty clothing retailers is clear: they must refresh their inventory more frequently if they hope to capture the fast fashion crowd. A study by Bain & Co. estimated the industry average markdown ratio at approximately 50 per cent, a>nd also found that fast fashion retailers sold only 15 per cent on sale.
For retailers that get fast fashion right, however, the benefits can be enormous. Fast fashion chains have grown faster than the industry as a whole and seized market share from traditional rivals. In a challenging European retail climate, these companies are expanding their sales and profits over 20 per cent per year. Their share of the domestic apparel market (measured by sales value at retail) has grown from virtually nothing in the 1980s to over 20 per cent in Spain and 5–10 per cent in the United Kingdom, Germany and France. Fast fashion leaders typically earn higher profit margins than their oldguard competitors, averaging 16 per cent, versus 7 per cent for the typical specialty-apparel retailer.
Donald Sull, Stefano Turconi
„Fast fashion lessons”