1. Three Part Semester Project
By:
Brandi Walker
~
~~Fashion Merchandising Buying and Planning
Kent State University
The Fashion School
December 2, 2014
2. Table of Contents
♥ Page 1: Objective
♥ Page 2: Introduction
♥ Page 3: Company History
♥ Page 4: White Space Opportunity
♥ Page 5: Target Customer Profile
♥ Page 6: Trend Report
♥ Page 7: Mood Board
♥ Page 8: Color Board
♥ Page 9: Marketing and Promotion Strategy
♥ Page 10: Pricing Strategy
♥ Page 11: 6 Month Plan
♥ Page 12: Justification for 5% Increase
♥ Page 13-20: Assortment Mix
♥ Page 21: Financial Information
♥ Page 22: Justification for Finances
3. Objective
Identify a “White Space” opportunity within your assigned retail store
brand. Build an assortment plan for this classification and develop a 6
month plan including a marketing and promotional strategy.
♥ Part One: Company Overview and Identification of Growth
Opportunity- Gain a more in-depth perspective of the retail
environment by researching, analyzing and describing current
strategies within today’s competitive landscape.
♥ Part Two: Develop a Six Month Plan and Promotional Strategy-
Gain an understanding of the business decisions made in
developing a 6 month plan. Apply the knowledge by creating a 6
month plan through the evaluation of key variables.
♥ Part Three: Classification and Assortment Planning- Demonstrate
your understanding of building an assortment plan using the
concepts of OTB dollars.
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5. Company History
Victoria's Secret was founded by Tufts University and Stanford Graduate
School of Business alumnus Roy Raymond, and his wife Gaye in San
Francisco, California in 1977. Eight years prior to finding Victoria's
Secret, Raymond was embarrassed when purchasing lingerie for his wife at
a department store. Newsweek reported him looking back on the incident
from the vantage of 1981: "When I tried to buy lingerie for my wife," he
recalls, "I was faced with racks of terry-cloth robes and ugly floral-print
nylon nightgowns, and I always had the feeling the department-store
saleswomen thought I was an unwelcome intruder. As a result, Victoria’s
Secret has become the largest subsidiary of L Brands (almost 50% of sales)
is also North America's #1 specialty retailer of women's intimate apparel,
operating over 1,000 mostly mall-based Victoria's Secret and Victoria's
Secret Pink shops throughout the US, Canada, and now the UK. Bras,
panties, hosiery, swimwear, and fragrances are sold under the Victoria's
Secret brand and grouped in collections such as Angel and Very Sexy.
Many Victoria's Secret lingerie stores also sell beauty products. The chain's
youth-oriented PINK brand targets teens and younger women with less-
racy bras and panties, as well as sweats and hoodies and beauty products.
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6. White Space Opportunity
♥ Victoria's Secret can benefit greatly from adding maternity lingerie to
its collection, due to increasing rate in pregnancies.
♥ Pregnant women often fall from one extreme to another… such as
struggling with self-esteem, confidence, and other insecurities .
However, Victoria’s Secret can cater to this mood.
♥ For the insecure pregnant woman a gorgeous piece of lingerie will make
her feel powerful and beautiful while adding a sexy little twist.
♥ These head turning pieces can also be the perfect thing to take
pregnancy photos in.
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7. Target Customer Profile
For this collection I have identified two potential market segments:
♥ Parents - This segment is primarily the expecting mother, and also includes the
father.
Ages 24-34, median age 32.
Household income above $80,000.
Go out to eat 2.3 times a week.
89% have an undergraduate degree.
39% have a graduate degree.
Spend $500 a month on clothing for themselves.
♥ Family & Friends - This segment is buying gifts for the new parents .They are
looking for something upscale, something they would really enjoy.
Ages 25-57.
Household income greater than $83,000.
Go out to eat 2.1 times a week.
83% have an undergraduate degree.
23% have a graduate degree.
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8. Trend Report
♥ Fabrics: Chiffon, mesh, tulle, silk, lace, & satin. Industrial skills
are celebrated in the openwork raschel lace, tulle and jacquard
silk touch weaves. These elegant pieces will have refined
finishing's and trims.
♥ Patterns: Embellishments, embroidery, cross-stitch with toile de
Jouy lace.
♥ Colors: Sherbet tone colors such as light pinks, blues, purples, and
greens.
♥ Silhouettes: Pleating and gathering; corsetry, bustiers and
camisoles in silk and satin are combined with cotton slip dresses
and skirts. Elements of traditional bloomers can be seen in smock
details and lace-trimmed cotton, but it ‘s the sexy designs that
really makes this collection unique.
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11. Marketing and Promotion Strategy
♥ To promote The Sweet as Sugar Maternity Collection there will be a
two part launch.
♥ Part one of the launch will be a party at the largest Victoria’s Secret
store in the country which is located in New York. This will be large
scale event, including a candy land inspired theme, exclusive coupons, a
candy buffet, a fashion show, gift bags, and even a live performance by
Katy Perry!
♥ As soon as the guests walk into the launch party they will be given a
swirl lollipop, and the inside of the wrapper will contain a exclusive
coupon ranging from 10-30% off their first purchase in-store or online.
♥ The coupon will expire the day after the launch party. By making the
coupon a limited time offer, the hope is that the guests will be enticed
to buy a piece from the collection right away.
♥ Part two of the launch will take place two hours into the launch party
which will be an online launch.
♥ They will be a jumbo screen at the party with a live countdown to the
release of the collection online, and once the countdown hits zero there
will be a candy and confetti drop!
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12. Pricing Strategy
♥ Price points will range from $50.50- $250.50 depending on
what is being purchased.
♥ Competitors include retailers such as, Nordstrom, Rosie Pope,
and Liz Lange Maternity.
♥ These retailers offer a wide variety of maternity wear ranging
from lounge/sleepwear, lingerie, nursing tops and nursing bras.
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13. 6 Month Plan
Plan - This Year 2015
Plan Aug Sept Oct Nov Dec Jan Total Actual Markdown
Beg.Month Stock $159.6 $209.4 $290.5 $ 314.1 $148.6 $126.2
$1,248.
4 $ 191 31.9%
Sales $68.2 $89.1 $108.8 $104.7 $190.2 $68.2 $598.0
Sales Change
+5.0%
Sales % Total 11.4 14.9 18.2 17.5 31.8 11.4 100.0 Average Stock
Markdowns $10.5 $12.6 $10.5 $52.5 $63.0 $42.0 $191.0 PLN 208.1
Markdown %
Total 5.5% 6.6% 5.5% 27.5% 33.0% 22.0% Turnover
Purchases 129 183 142.9 -8.3 230.8 119 PLN 2.87
End Month Stock $209.4 $290.5 $314.1 $148.6 $126.2 $135
MONTHLY STS 2.34 2.35 2.67 3.00 .78 1.85 Mark-Up
*Monthly sales and markdown remained the same
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14. Justification for 5% Increase
♥ Maternity is a growing market as population is rapidly
increasing with over 4 million babies being born yearly
according to the census.
♥ “The intimate apparel industry as a whole is on a rise according
to Marshal Cohen, Chief Industry analyst at the NPD group
♥ Intimate apparel grew over 5.3% year to year representing 10.7
billion in sales in 2009
♥ The lingerie market in 2012 was worth $29.23 billion, and is
predicted to be increasing up to $30.55 billion during the next
five years.
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15. The Sweet Sugar Maternity Lingerie
Collection Assortment Mix
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16. Garment 1
Mint Crème Cake Bra & High Waist Short Set
♥ Sizes: XS-L
♥ Sale Price: Set- $75.60
♥ Fabric: Satin
♥ Color: Mint Chip
♥ Item Description: Unwind in sexy satin,
with pretty Chantilly lace on this pj set
and a flirty deep v-back on the cami.
♥ Available in 3 colors: Mint, Cotton
Candy, & Blackberry
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17. Garment 2
Pink Pastry Push-up Garter Slip
♥ Sizes: XS-L
♥ Sale Price: $98.00
♥ Fabric: Silk & Mesh
♥ Color: Pink Crème
♥ Item Description: Go for glamour in a silk
and mesh garter slip with a peplum shape
at the sides.
♥ Available in 2 colors: Pink Crème & Kiwi
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18. Garment 3
Blueberry Cheesecake Teddy
♥ Sizes: XS-L
♥ Sale Price: $100.50
♥ Fabric: Lace & Mesh
♥ Color: Blueberry
♥ Item Description: Where lacy meets racy,
with a mesh back and a bikini bottom.
♥ Available in 2 colors: Blueberry & Red
Velvet
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19. Garment 4
Red Velvet Cake Sheer Bra & Thong Set
♥ Sizes: XS-L
♥ Sale Price: Set- $97.50
♥ Fabric: Chiffon & Mesh
♥ Color: Red Velvet
♥ Item Description: Designed for private
engagements with your lover, this barely-
there thong tempts with mesh, with this
ultimate lift-loving push-up
♥ Available in 2 colors: Red Velvet &
Blackberry
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20. Garment 5
Raspberry Sorbet Lace Teddy & Thong Set
♥ Sizes: XS-L
♥ Sale Price: $250.50
♥ Fabric: Lace
♥ Color: Raspberry
♥ Item Description: This teddy dares to bare
in allover lace with a plunging front, and a
lace-up v-string thong.
♥ Available in 1 color: Raspberry
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21. Garment 6
Fruit Tart Ruffled Bustier & Short Set
♥ Sizes: XS-L
♥ Sale Price: Set- $100.50
♥ Fabric: Chiffon
♥ Color: Cherry
♥ Item Description: Unwind in sexy
chiffon, with pretty floral
embellishments on this lingerie set and
a flirty push-up bra top adorn with
ruffles.
♥ Available in 1 color: Cherry
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22. Garment 7
Kiwi Popsicle Tulle Bra & Panty Set
♥ Sizes: XS-L
♥ Sale Price: $220.50
♥ Fabric: Chiffon & Tulle
♥ Color: Kiwi
♥ Item Description: Drift off to sleep in a
soft and sexy lingerie set, with a flirty
tulle bra and matching panty with tulle
puffs.
♥ Available in 1 color: Kiwi
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23. Financial Information
OTB: $70,000
Description Units Cost Retail Total Cost Total Retail MU%
Bra w/Short 160 $16.37 $65.50 $2,624.20 $10,500.00 75%
Pushup Garter Slip 86 $24.50 $98.00 $2,100.00 $8,400.00 75%
Blue Teddy 153 $24.37 $78.00 $3,717.99 $11,900.00 69%
Sheer Bra w/Thong 43 $24.37 $97.50 $1,049.78 $4,200.00 75%
Lace Teddy w/Thong 88 $22.00 $88.00 $1,925.00 $7,700.00 75%
Purple Bra w/Panty 108 $19.50 $78.00 $2,100.00 $8,400.00 75%
Bustier w/Short 125 $25.12 $100.50 $3,149.37 $12,600.00 75%
Tulle Bra w/Panty 64 $24.50 $98.00 $1,575.00 $6,300.00 75%
Total 827 $180.73 $703.50 $18,241.34 $70,000.00 74%
Description % Of Buy
Bra w/Short 15%
Pushup Garter Slip 12%
Blue Teddy 17%
Sheer Bra w/Thong 6%
Lace Teddy w/Thong 11%
Purple Bra w/Panty 12%
Bustier w/Short 18%
Tulle Bra w/Panty 9%
Total 100%
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24. Justification for Finances
♥ The Sweet as Sugar Maternity Lingerie Collection has many style choices that
will flatter expecting mothers from the time they start showing through to the
late stages of pregnancy.
♥ The largest part of the budge, 60%, was dedicated to the styles that show the
most flexibility as far as the size of the mother’s belly.
♥ The fabrics chosen are cool, lightweight and can move easily with the body.
♥ Maternity pictures have also become very popular so there are pieces in the
collection that will make for appropriate photos as well as helping the
expecting mother to feel more secure in what she is wearing. Since these pieces
will be more geared toward special occasions, like the above mentioned photos,
only 40% of the budget was used to cover these pieces.
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