Master Performance Review with Data
The fashion landscape has seen drastic changes over the past few years.
Evidently, any fashion brand born in the 2000s’ will now have to brave not just stiff competition, but also new competition emerging from the high penetration of e-commerce brands. A Malaysian apparel brand was one of them – and they had two glaring issues that were hindering their brand from growth.
Problem #1: Trapped in an Overstocking Cycle
Being in the industry for 11 years, the brand constantly found itself in an overstocking cycle. Brand K typically launches a collection, re-stock, and then launches another without doing any form of performance review.
Problem #2: Gut-feel Markdowns
When the brand does markdowns, it was always a guessing game. The discounts varied, without justification based on performance. This not only hurt sales but led to a greater contribution to Problem #1.
With a massive overstocking issue, Brand K soon found itself cash tight while uncertain about producing new collections. This affected the newness launch, which in turn negatively impacted business traffic and branding.
To combat this, it turned to Omnilytics.
The Solution: Prioritising Performance Review
The brand knows it needs to clear aged and off-season stocks. To do so, the Operations team uses the Omnilytics Ageing Analysis to not only understand the brand’s ageing stocks but also to plan promotion and markdown strategies.
Brand K realised that most of their SKUs were within the 91-120 days range
The slow-movers from Brand K
With clear insights into its inventory levels broken down to standard aged-day ranges, the brand established a proper markdown strategy. It is now able to quickly identify slow-movers to act upon while in-season, decide when to launch thematic promotions and analyse how to group off-season stocks for a sale activation. Most importantly, it learned how to manage its inventory at an optimum level.
Like to see more of this? Sign up to receive the latest industry insights, news, and weekly updates delivered straight to your inbox.
Spot Trends, Not Fads
Specialising in signature-cut clothing suitable for corporate and social meetings, Brand D’s aesthetic is classic style with a modern twist, perfect for women with an understated yet sophisticated fashion sense. The Challenge: Keeping Up With Seasonality Even though its main customers are mostly middle-aged women in corporate professions, Brand D needs to stay up-to-date with […]
Innovating Through Technology with Strategy and Focus
This Malaysian fashion brand first opened its doors to the public in 2008, promising an array of assortments for the youth market to experiment and develop their own style. However, after 11 years, Brand K soon realised that it has digressed from its original brand promise. The Problem: Failing to Innovate The internal teams have […]
Meet Demand with Market Insights and Analytics
Brand C is a womenswear plus-size brand that specialises in both contemporary and classic styles. The brand first started as a blog shop that catered to the masses, but quickly saw an opportunity for the plus-sized market and shifted its business strategy. However, Brand C soon found that its business decisions failed to lead the […]
Craft an Effective Markdown Strategy
Retailer E is the official distributor of an eco-friendly footwear brand in Singapore and Malaysia. The company functions in a typical push-based supply chain model, where it has little control over product design, intake or price. The Problem: Lack of Know-How in Markdowns Retailer E does have full control over its markdown executions including promotions […]