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Export merchandising

b.n.malar selvi

assoc. prof. fms

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Session 1

Introduction to Export merchandising

Meaning

Definition

Export merchandising

ManufacturingRole of a merchandiser

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FASHION

Excitement

Glamour

Change

Art

High stakes business

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Fashion Business requires

Talented executives

Keen sense of market place

Finely honed management skills

Critical decision making

Keep the profit

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Buying and selling commodities

Merchandising

Retail Merchandising

Selling products to the end customers for profit

Manufacturing Merchandising

ConceptualizationDevelopment

Procurement of raw materials

S i ( f d idi h d h

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Pre world war II

Only two seasons

Spring./ summer

Fall/ winter

Minimal changes in style

Raw materials like cotton, natural fiber, linen, silk

No risk of obsolescence

Apparel Industry Growth

1960 2000

Dramatic changes

Major public owned apparel producers - US

Sara leeCalvin Klein

VF corporation

Jones apparel group

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Apparel Industry Growth

Generalized structure

Marketing specialists

Product development specialists

Manufacturing specialist

Larger the business

More complex business requirements

Highly trained executive professional

Sophisticated apparel chain supply chain

\

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Five sectors

Fiber sector -

Textile sector

Finding sector

Apparel sector

Retail sector

Apparel Supply Chain

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Structural Changes in theApparel Industry

Stage 1

President

ManufacturingSales

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Fashion Buying

Stage 2

President

MarketingSales Manufacturing Finance &

administration

Advertising

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Fashion Merchandising

Stage 3

President /CEO

Marketing

Sales

Manufacturing Finance &

administration

Advertising Merchandising

Design

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Fashion Merchandising

Stage 4

President /CEO

Marketing

Sales

Manufacturing Finance &

administration

Advertising Design

Merchandising

Sourcing

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Fashion Merchandising

Stage 5

President /CEO

Marketing

Sales

Manufacturing Finance &

administration

Advertising Creative Design

Merchandising Sourcing

Technical Design Product Managers

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Private Label

Wal Mart

Targets

Sears

Kmart

JC Penny

FederatedKohls

Gap

Nordstrom

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Merchandising

The process of planning, developing and presenting

product lines for identified target market is called

merchandising

It is a necessary business process for most types of

products

Merchandising is the analysis and response to the

changes (transformations) and processes ( advances)

which occur in the planning, negotiation, acquisition and

selling of products/ services from their inception to their

reception and use by the target customers

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Merchandising

Andrew Kahn Chairman

Kahn Lucas Lancaster

Merchandisers are technicians rather than mere creators

Needs to a world player

Right style at the right time

Merchandising

Andrea Engel

President Eagles EyeMerchandisers should be responsible for design

Understand what the buyer wantsProduction sourcing

Good organizer

Excellent communication

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Merchandising

Bryan Eshelman

Kurt SalmonAssociates

Merchandisers should focus on product development

Speed to market

Replenishing verses constant change

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Profile of Todays

merchandiser

IntuitiveVerbal

AnalyticalCreative

Merchandiser

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Responsibilities of the Merchandiser

MERCHANDISER

Market Knowledge

Planning & ControlProductDevelopment

ProductAuthorization

Interface & Sales

MaterialManagement

Interface with

manufacturing

Sourcing

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Introduction to

Management

ProductManager

Market Knowledge

Planning & ControlProductDevelopment

ProductAuthorization

Interface & SalesInterface withmanufacturing

Sourcing

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Role of a Merchandiser

Market research

Planning and control

Line development

Costing and pricing strategy

Quality assurance

Supply chain management

Sourcing

Computing and advancement in

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