Commodity oversaturation of markets leads to the fact that the younger generation begins to individualize. The prospect of the future retail is an individual approach to the client, understanding the personality of the buyer and exclusive clothes for him. For the buyer, the mission and DNA of the brand will become especially important; you will not surprise anyone with products as such. Patterned mass-market clothing will be a thing of the past. Stimulation of sales will be the connection of the brand with the buyer.
The most promising retail clothing format in the world is the brand store. Stores that fully reflect the concept and mission of the brand, up to the design of the store incorporate colors, their own smell, music, branded hangers.
How to choose partner stores?
Before you start working with a wholesaler, evaluate his business on a number of parameters, including:
1. Stock balance. Ask the wholesaler about their turnover and the average number of unsold items at the end of each season. If the wholesaler knows they can return your items, they won’t care about sales. You yourself must stimulate sales through trade and marketing activities.
2. Trade marketing (trade-marketing) – a set of measures aimed at stimulating sales in the trading network and among resellers.
3. Territory and area of the store. Assess the location of the store and pedestrian traffic. Do not give clothes for sale to wholesalers who are located next to each other.
4. Number of years in business. Find out from a wholesale client how many stores he had initially and what has become by today. This will help draw conclusions about its goals and development plans.
5. Number of staff.
6. Target audience.
7. The amount of the average check. Having received this information, you will be able to understand the solvency of the audience.
Options for cooperation with wholesale partners
It must be taken into account that wholesale customers work according to different schemes. Three of the most characteristic of them can be singled out:
1. They buy out the goods in full and resell them in their stores with a markup.
2. They take goods for commission or sale.
3. They make an advance payment, the designer of the brand produces products, and the wholesaler makes the remaining payment and sells in his stores.
How do build mutually beneficial cooperation with the store?
When working with wholesale clients, one must strive for a win-win cooperation model that is beneficial for both parties, which includes:
Analysis of the wholesaler’s assortment portfolio
1. Analysis of the wholesaler’s assortment portfolio, i.e. analysis of competitors of the outlet.
First, analyze prices. The difference in price between your product and the competitor’s product should be no more than 20%.
Secondly, study the trade assortment (assortment matrix). Products that differentiate your brand from the competition should be on display.
Thirdly, check that the size ranges of your and competing brands are approximately in the same range.
And finally, so that the design of the products of other brands is not the opposite of yours (if you create classic clothes, then in the same store there should not be clothes for rock musicians or metalheads).
Analysis of the wholesaler’s development strategy
2. Analysis of the wholesaler’s development strategy – find out from the wholesale buyer about his development plans, and draw up a joint work plan for the near future.
3. Development of an individual commercial offer – work with each of your wholesale clients according to an individually developed scheme, taking into account the characteristics of each of the wholesalers.
4. Development of an individual loyalty program for the wholesaler’s buyers – these can be discounts, special offers, and bonus privileges for customers.
5. Development of an individual program for the wholesaler’s sales staff – motivate the sellers of the outlet (for example, pay them an additional percentage of sales).
6. Supply of post materials – printing of flyers, banners, and brochures and placing them in the store (for example, ask the seller to put a discount leaflet for your product in the package with the customer’s purchase).
7. Education of the wholesaler’s sales staff – Tell the wholesaler’s sales staff about your collection so that the salespeople know your products and can tell the customers about them.
8. Forming friendships with wholesalers – communicate with your wholesale customers, congratulate them on the holidays, and find common hobbies and topics for conversation.