Strategies to Improve Retail Clothing Product Range

As well as leading range reviews for my own categories in my 10 years as a Buyer, I've led or been involved in over 50 range reviews from the supply side. Here are my top 5 tips for how to plan for the big day…. 1.  START EARLY - Deep dive the Retailer’s category performance AT LEAST 6 MONTHS OUT to understand what’s working / what’s not & what that means for your brand/s. - Build the outline story now : What insights & marketing assets do you have… & what are the gaps you need to fill? - Quality Range Reviews take a lot of work - so make a realistic resource plan now to deliver it & avoid the usual last minute rush. 2.  JOINT BUSINESS PLANNING - Meet with the Buyer early to understand their plans & strategy in detail… & start to share yours. - Are there any big initiatives or ideas that need an early discussion to test the water?  Or that can be pre-sold early so both sides can move on to focus on quality execution rather than whether its even happening? - What Opportunities & Risks does the Buyer see for your brand/s?  Get them out on the table as early as you can & make a plan to do something about them. 3.  BE STRATEGIC - Look at your range from the Buyer's perspective – if your SKU is not driving TOTAL CATEGORY sales & profitability why should they support? - If you have products in the tail, is it better to sacrifice one or two & have a chance to recycle your distribution to another SKU?  - Don’t fight a losing battle trying to save something that cannot be saved, as you could lose credibility doing so (and lose the SKUs anyway). 4.  WARGAME - What are the potential Buyer concerns or challenges to your proposals? - What might your competitors be doing with the same eg Nielsen or Kantar data that you have? - Look at potential risks & plan a response to each to stay on the front foot. 5.  STAY CLOSE - Critical paths for Retailer range reviews are long, very long.  Once all Suppliers have presented their proposals they may then have 6-8 weeks of detailed range work before making final decisions. - Some may actively avoid Supplier discussions in this time, but do what you can to stay close. - If you can understand some of the trade offs, or get an early warning that something is at risk, you may also have time to do something about it. SUMMARY - Range reviews take a lot of time, a lot of thinking & a lot of co-ordination. - And they should – they are one of your BIGGEST, IF NOT THE BIGGEST CHANCE to drive your brand’s sales all year. - Start Early & Resource up - the ROI can be HUGE if you get it right. At Optima Retail we are Category Management experts who specialise in range review support. So if you need any advice, or just want a quick chat to explore options for how to address a particular challenge please do get in touch. ♻️ And if you enjoyed this post, please consider liking it & sharing it to your network too. Thanks for reading.

One shift I think more apparel brands need to act on right now: rise of “smart value” is breaking a lot of old pricing logic. Customers are not just looking for the lowest price. They are asking a more practical question: “Is this worth it for what I’m getting?” That matters a lot for mid-market apparel brands. Because if demand gets softer and costs stay high, the answer cannot just be: • raise prices, • discount more, • or hope the brand carries it. A more useful approach is to make “smart value” operational. 1. Re-rank SKUs every week, not just every season Look at each important SKU through 3 lenses: • price perception • trend relevance • quality / repeat-purchase confidence If a SKU is weak on 2 of the 3, it probably does not deserve the same pricing or buy depth. 2. Split SKUs into 3 buckets - Protect, keep price disciplined, support top sellers with strong full-price sell-through - Watch, reduce risk, tighten buys on SKUs with mixed signals - Move, clear faster on SKUs losing relevance or value perception 3. Price with inventory risk in mind If a SKU has high stock risk and weak value perception, do not wait too long to react. If a SKU has strong sell-through and still feels worth it to the customer, protect margin. 4. Use markdowns more selectively Not all markdowns should do the same job. Use markdowns to: • clear weak inventory • protect the broader assortment • avoid letting one bad SKU distort future buys 5. Review “value” at the size and channel level Sometimes the product is fine, but: • core sizes are missing • one channel is overexposed • the wrong stores have the inventory That can make a good Product look weaker than it really is. 📸: Circular Library

Indian customer are spending more on their wardrobes than ever before. Numbers support that - Rising incomes drove per capita apparel expenditure from ₹3,900 in 2018 to an estimated ₹6,400 by 2023, according to a recent report by Wazir Advisors. This generation demands more than just clothes; they want clothes that reflect their identity, values, and aspirations. The real question is 𝐰𝐡𝐞𝐭𝐡𝐞𝐫 𝐛𝐫𝐚𝐧𝐝𝐬 𝐚𝐫𝐞 𝐫𝐞𝐚𝐝𝐲 𝐭𝐨 𝐦𝐞𝐞𝐭 𝐭𝐡𝐞𝐦 𝐰𝐡𝐞𝐫𝐞 𝐭𝐡𝐞𝐲 𝐚𝐫𝐞. Having spent years helping brands navigate retail transformation, I’ve seen these trends unfold firsthand. Trust me, this is just the beginning of the disruption. Here’s how you can prepare for this seismic shift: 1️⃣ 𝐒𝐩𝐞𝐞𝐝 𝐖𝐢𝐧𝐬 The Gen Z shopper has no patience for slow trends. Fast-fashion giants thrive because they understand one rule: “Fashion is fleeting; timing is everything.” 👉 Rethink your supply chain. Use data to forecast trends and go to market faster. 2️⃣ 𝐒𝐩𝐞𝐚𝐤 𝐓𝐡𝐞𝐢𝐫 𝐋𝐚𝐧𝐠𝐮𝐚𝐠𝐞 Content is king. If your brand isn’t on Instagram or TikTok, you’re invisible to your future customer. 👉 Invest in authentic storytelling. Partner with influencers who understand your audience. 3️⃣ 𝐓𝐡𝐢𝐧𝐤 𝐁𝐞𝐲𝐨𝐧𝐝 𝐁𝐢𝐠 𝐂𝐢𝐭𝐢𝐞𝐬 Tier 2 and Tier 3 cities are where the action is. They’re home to India’s fastest-growing middle class, with rising disposable incomes. 👉 Craft localised strategies that resonate with cultural nuances. 4️⃣ 𝐒𝐮𝐬𝐭𝐚𝐢𝐧𝐚𝐛𝐢𝐥𝐢𝐭𝐲 𝐈𝐬 𝐚 𝐍𝐨𝐧-𝐍𝐞𝐠𝐨𝐭𝐢𝐚𝐛𝐥𝐞 Today's Indian consumer care about the planet—and their purchases reflect that. 👉 Adopt eco-friendly practices and communicate your efforts clearly. 5️⃣ 𝐈𝐧𝐝𝐢𝐚𝐧 𝐒𝐨𝐮𝐫𝐜𝐢𝐧𝐠 𝐒𝐩𝐞𝐜𝐢𝐚𝐥𝐭𝐢𝐞𝐬 Indian sourcing can be clearly defined in terms of speciality for each cluster: 👉🏼 Ludhiana for knits (polyesters and blends) and winterwear. 👉🏼 Tirupur for cotton-based knits. 👉🏼 Mumbai and Ahmedabad for wovens. 👉🏼 Delhi and Mumbai for denims. 👉🏼 Kolkata for kidswear. Suppliers now have design facilities where young designers research and create for the new generation’s requirements. Turnaround times are faster. 6️⃣ 𝐄𝐧𝐠𝐚𝐠𝐢𝐧𝐠 𝐆𝐞𝐧 𝐙 In addition to the above points, to successfully engage Gen Z, brands must: 👉 Prioritize Authenticity: Communicate their values, processes, and environmental impact to build trust. 👉 Leverage Technology: Digital tools like AI, VR & AR can enhance the shopping experience, offering virtual try-ons and interactive experiences. 👉 Offer Unique and Affordable Choices: Brands that offer personalized, unique, and second-hand options have a competitive edge. 👉 Build a Purpose-Driven Brand: Aligning with Gen Z's values through purpose-driven initiatives is crucial for building strong brand loyalty. Brands that evolve into lifestyle partners, not just retailers, will win. #FashionTrends #GenZConsumer #Sustainability

Top-line growth through expansion areas is often the go-to but prioritising assortment optimisation can yield far greater benefits for long-term success. Attaining new top-line growth may seem simple—launching new categories or stores can quickly boost year-over-year revenue. However, without focusing on your business's current inventory health, such actions can lead to long-term complications and a less sustainable business. True merchandisers 🤓 find great satisfaction in revitalising and optimising struggling categories, locking in reliable and sustainable growth in a dynamic retail landscape. To safeguard profits, drive revenue, and enhance sell-through rates, all while maximising your product's potential, consider the following strategies: 💡 Leverage Inventory Health Check Metrics Gain a deep understanding and competitive edge when you have clarity on both driving factors and hindrances to business performance. Favourites include: Newness %, Sizing Availability, Core Line Out-of-Stock Rate, Markdown: Velocity & Depth of Discount, GMROI at all levels. 💡 Ensure Comprehensive Product Attribution Enrich product data with great attribution to accurately gauge customer demand by any product facet. This is invaluable insights for decision-making. 💡 Optimise Price Points Identify and capitalise on the pricing sweet spot, not only the sweet spot that’s acquiring you customers but also the sweet spot which is upselling and retaining customers for you. Invest and build on these and adapt as the market or customer base changes. 💡 Identify Core and NOOS Lines Prioritise Core and Never Out of Stock items to maintain consistency and meet ongoing demand. These items usually have higher margins and should have great stock turn due to predictable demand. 💡 Focus on Top-Performing Products Apply the 80/20 rule, concentrating efforts on the top 20% of products contributing to 80% of sales, while streamlining the long tail. The goal is to continually adapt and meet the customer where they’re at in terms of their demand for product. Focusing on key metrics that matter empowers teams to drive sustainable growth and adapt to the evolving market dynamics effectively.

Last week, I spoke with a VP of Merchandising from a large brand. They shared their struggle with increasing average transaction value 💰 Their strategy: Daily sales report analysis to craft promotions and bundles. The goal? Boost transaction value. The result: Smaller purchases, no significant progress 😮 My advice: Dive deeper. Beyond conventional tactics, explore seasonal patterns, basket analysis. Differentiate. Here's the reality 👇 - 2023 has shifted consumer spending habits - Overused discounts are losing impact - Traditional strategies are outdated - Promotions matter, but they're not the complete answer It's time for a new playbook in fashion retail 📕 1. Get Smart with Stock: Look at what sells best in combinations with other articles. Ensure your stores carry these gems in sizes that combine well with other assortment. This way, you are not just selling single items, you are increasing overall transaction value. 2. Match Winners with Demand: Focus on the combos and sizes people love the most. Plan these assortment mixes according to the stores’ demand. Your goal is to have these ready and waiting in the stores that need them. 3. Fill the Gaps Creatively: If some stores are missing combos, get creative. Introduce combinations that not only fill the space but also make you more money where there's a real want for them. We're talking high-margin, demand-driven combinations. Pro Tip When customers can't find what they're looking for within their budget, let's turn that moment into an opportunity. Offer them an exclusive, one-time discount on a higher-priced combo. This strategy not only moves our overstocked, high-margin items but also keeps our profit margin healthy. It's a win-win: customers feel valued with a deal just for them, and we increase the sale's value. Manual methods can't keep pace with today's demands, but the right technology can transform challenges into opportunities. Leverage data, automation, and customer insights for a real change.

If you believe coming up with a new product will solve your retail problems, I've got bad news for you! Most brands don’t lack product innovation IDEAS. They struggle with effective EXECUTION. You have access to untapped opportunities. - Consumer feedback and market research - Competitive insights and industry trends - Concepts from brainstorming sessions But, without a structured approach, these ideas remain ideas. The fix? → A 3-step innovation process tailored for consumer products. Here’s how to transform raw ideas into successful products: Step 1: Gather and prioritize ideas Hold a dedicated session with your team. Ask: → What consumer needs are currently unmet? → What category trends are emerging? → What innovations can enhance our packaging? List at least 15 promising ideas and rank them based on impact and feasibility. Step 2: Develop a clear action plan An idea needs a roadmap. A plan turns it into a reality. Instead of “Launch a new snack flavor” → “Introduce a spicy snack variant targeting millennials to increase market share by 15%” Instead of “Revamp packaging” → “Redesign packaging to be eco-friendly and reduce material costs by 20%” A clear plan removes ambiguity. When it’s time to execute, you know exactly what steps to take. Step 3: Test, iterate, and implement With that plan, move quickly into consumer testing and market testing. No endless deliberation. Just action. Why this works: - Strategic execution → clear goals and measurable outcomes - Faster innovation → from concept to shelf in record time - No idea overload → focus on what truly matters Successful brands don’t wait for innovation to happen. They gather insights, plan strategically, and execute relentlessly. Bookmark this. Then initiate your first 3-step innovation process this quarter. __________________________________________ Hi! I’m Jenica…former head of innovation turned strategic partner to growth-stage consumer product executives. Connect with me to help accelerate your retail growth plan.

Don't fight over breadcrumbs - bake a pie. Today I spend a lot of time with retail and collapsing performance marketing. Retail was never easy, but now a lot of actors find themselves way up shit creek without a paddle. How do you get back to black? Most retail strategy mistakes start in myopia, overlooking the importance of steering people toward the underlying needs. We chase “share” and cheaper offers, assuming growth is a zero-sum fight. The evidence says otherwise. Ehrenberg-Bass work across hundreds of categories is blunt. Growth comes from more buyers entering the category, not from squeezing a few loyalists a bit harder. If the category is flat, your “share wins” are pyrrhic. True retail successes show the same pattern as we see elsewhere - if the retailer somehow combines the demand points they serve in such a way that people perceive a unique constellation, they succeed beyond any stale category market share shuffle. How do you build that story? Well, it is a combination of the retail brand and the brands that you choose to sell, for starters. Meza & Sudhir (2010) showed that high-equity national brands pull traffic. People search for brands, not the store. That is the starting point. Ailawadi & Keller (2004) documented that the brands you stock shape how your store itself is perceived. Arnett et al. (2010) found that when the retailer and the brand actually fit, stated visit and purchase intent rise significantly. Roßmann et al. (2023) reminded us that if you sell many brands, your store needs its own clear identity. You cannot hide behind suppliers. Assortment is a signal, not filler. But the story must be yours. Private labels are not a shortcut to this uniqueness, but can be part of it. Alan, Kurtuluş & Wang (2019) demonstrated that store brands can lift margins and bargaining power, but only when managed as part of a portfolio that acknowledges spillovers from national brands. So the job is not to out-discount the shop across town. It is to make more people want what you sell, and to make them choose you when they do. Practical start points: Identify which brands actually pull first-time or infrequent buyers into your category. Use search data, first-click paths and new-customer attribution. Curate a portfolio. Let a few must-have brands earn space to drive traffic, then surround them with margin builders and image enhancers that fit your positioning. Own the experience. If the brand gets them in, your service, advice, bundling and storytelling must make staying (and returning) about you. Build the category. Run events, education and joint campaigns that expand the pool of buyers instead of fighting over the same ones. Measure what matters. Track how your assortment shifts perceptions of your store, not only SKU margins. You must build a Demand Point Constellation. In the end, you must be building a market worth having a share of, not just fighting over deck chairs on the Titanic.

Category Management: In Retail Market In retail, category management is the process of managing product categories as individual business units to optimize sales, profitability, and customer satisfaction. It involves strategic decisions about product assortment, pricing, shelf placement, and promotions to meet customer needs and business goals. Let's see the measurement, Evaluation, Controlling and Next Action elements of category management :- 📈 Measurement: Key performance indicators (KPIs) for category management in retail include: a) Sales Metrics: Total sales, revenue growth, and sales per square foot. b)Profitability Metrics: Gross margin, category contribution to profit, and profit per product. c) Customer Metrics: Customer basket size, category penetration, and repeat purchases. d) Operational Metrics: Stock turnover rates, on-shelf availability, and inventory levels. 🔍 Evaluation: a) Compare Performance vs. Targets: Assess revenue, profit margins, and customer engagement metrics against goals. b) Market Trends: Analyze consumer behavior, competitor pricing, and seasonal trends. C). Customer Feedback: Collect insights on preferences, product satisfaction, and shopping experiences. d) Product Lifecycle Analysis: Evaluate product relevance, identifying items in the growth, maturity, or decline stages. 🛠️ Controlling: a) Adjust Product Assortment: Remove underperforming items and introduce trending or high-demand products. b) Optimize Inventory: Balance stock levels to avoid shortages or overstocking, ensuring on-shelf availability. c) Pricing and Promotions: Implement dynamic pricing and targeted promotions to boost category sales. d)Supplier Partnerships: Collaborate with suppliers to streamline supply chains, reduce costs, and improve product quality. 🤝 ➡️ Next Steps: a) Category Innovation: Identify emerging trends and introduce new, in-demand products to attract customers. b) Omnichannel Strategies: Integrate category management across physical stores, e-commerce, and mobile apps to create a seamless customer experience. c) Advanced Analytics: Use retail analytics tools to consumer buying patterns and predictive planning. d) Visual Merchandising: Design attractive in-store displays to maximize category visibility and encourage purchases. e) Employee Training: Train retail staff to effectively implement category strategies and enhance customer service. Focusing on these strategies, retailers can improve operational efficiency, boost profitability, and create a better shopping experience for their customers.

The average fashion brand has over £150,000 tied up in unsold stock. In fact, studies show 12% of brands inventory is unsellable and Around 30% of clothing produced is never sold at full price. Most of this could have been avoided. Dead stock isn’t just a marketing problem - it’s a development problem. Here are 5 ways to reduce it (without killing creativity): 1) Develop with your margins in mind, not after. Too many brands pick fabrics, trims and finishes before knowing if they can afford them. If you need a 4x markup to hit retail, work backwards from that at the design stage. 2) Stop launching colourways that haven’t been validated. Aesthetic variation isn’t the same as customer demand. If it didn’t sell in black, it probably won’t sell in forest green or dusty lilac either. Use pre-orders, waitlists or even polls to test traction early. 3) Streamline your size curve. Most brands think they need 6 sizes but only sell through 3. Review sell-through data and adjust your curve. You can still serve a range of bodies without holding excess units in low-converting sizes. 4) Build ranges around core–not campaign. If every drop is a one-time moment, you’re always under pressure to clear. Balance seasonal capsules with evergreen SKUs you can restock and optimise. It’s the fastest way to reduce dead inventory over time. 5) Work with product developers who think like merchandisers. You don’t just need great design. You need someone who’ll challenge you on MOQ, cost, demand, and sell-through strategy before you’ve even sketched a line. If your designer isn't doing that - they’re costing you far more than you think. -- P.S. If you’re doing £500k+ and want to scale with less waste, we offer a fully outsourced product development and production function. 💬 Message me “INFO” and I’ll send the deck.

SKU Rationalize aka sku rat: “Review each sku (style-color-size) in your assortment and determine based on sales, profitability and strategy if you should keep or let it go” It sounds simple. Numbers don’t lie but we try to defend things we love or feel we need. Removing emotion is step one. The Reebok Princess in 1999 was the ultimate loss leader. I had to have it in my assortment - it was the Princess! BUT we were losing $1 every time we sold a pair. If you cannot negotiate or create a strategy to be profitable - time to let it go. Selection is important for retailers and is one of Amazon’s top KPIs .   Just because Amazon wants full selection does not mean brands have to give it them.   Managing selection is essential to a profitable business. Having too large of a selection puts a strain on resources and margin. Focusing resources on the items driving 80% of your business yields higher profit. Such as: ·      Time ·      Content and asset creation ·      Maintaining catalog and PDPs ·      Building, shipping, holding inventory ·      Advertising costs ·      Promotional spend To name a few…   How many items can you maintain at a high level and be profitable? Which styles are draining your resources and bottom line? If you are not sure, you are overdue for a sku rat.   Here are the steps I recommend:   1.    Remove emotion. Review the data.   2.    Align on brand strategy. Who is the target customer? What is the pricing model? What is the margin goal?   3.    Review the 80/20 - what is the 20% of styles that are driving 80% of the business?   4.    Review profitability at the sku level – are you making money? If not, why and can you fix that? If not - let it go.   5.    Of that 80/20 are there any emerging styles that are aligned with the strategy? Are there any in the top 80% that are declining and will fall out of the top based on current trend?   6.    What new items are coming into the assortment and where do they fit into overall assortment and strategy?   7.    Repeat process ideally monthly but at minimum quarterly to stay ahead of buying cycle. How often do you review your assortment/catalog? What steps would you add? #retail #amazon #amazonfba