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2. Agenda
To show Market Insights of the Retail Industry
To analyse Global Trends in Retailing
To review Key Activities
To evaluate Financial Performance
2
4. Introduction
Types of Retail Formats Key drivers for Retail growth
Key Statistics
Building & sustaining
relationships
4
5. Types of Retail Formats
Retail Formats
Non-Store BasedStore Based
Ownership Based
Merchandise Based
› Independent retailers
› Chain stores
› Franchises
› Co-operative stores
› Convenience
stores
› Supermarkets
› Hypermarkets
› Specialty stores
› Departmental
stores
› Factory outlets
› Catalogue
› showrooms
› Direct sales
› Email orders
› Postal orders
› Telemarketing
› Automated vending
Service Based
› Various service providers
› Banks
› Car rentals
› Service contracts
5
6. Key drivers for Retail Growth
Product Mix Service MarginLocationBranding
› Stronger, more
familiar brands
› Results in
higher footfall &
conversion
through
enhanced trust
of quality &
value
› Relocation of
retail units &
improvement in
visibility &
seating
› Results in
increased dwell
time in airside
retail areas
› Widen product
range through
reducing
duplication to
meet the needs
of more
passengers
› Improve
penetration
through service
&
merchandising
› Strong
partnership &
supply chain
negotiation &
efficiency
› Leverage
margins across
all locations
6
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7. Key Statistics
TOP 300
Retailers with
foreign operations
Composite Net
Profit Margin
Average
size of top 150
Retail
revenue
Aggregate Retail
Revenue of
TOP
300
FY
Composite Compound
Annual Growth Rate in Retail revenue
2010 - 2017
7
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8. Building & Sustaining Relationships
Loyalty Schemes
› Your Text Here
› Your Text Here
In – Store Local Offers
› Your Text Here
› Your Text Here
Repair/ Check-up Services
› Your Text Here
› Your Text Here
Online Price Matching
› Your Text Here
› Your Text Here
Trade- in Services
› Your Text Here
› Your Text Here
Exclusives
› Your Text Here
› Your Text Here
Private Label
› Your Text Here
› Your Text Here
Consumer - Retailer
Credit Facilities
› Your Text Here
› Your Text Here
8
Retailer - Supplier
9. Global, Environmental & Market Trends
Global Retail Trends Comparing
Online & Non-online sales
Retail Trends Shaping In Future
Environmental Trends: Role Of
Information technology In retail
Environmental Trends: Types
of Retail Applications
Retail Market Trends
Understanding Retail
Customers
Future Trends in Multi-channel
Retailing
Retail Competition
9
10. Retail Global Trends comparing Online & Non-online Sales
10
Global online sales account for 19% of total Retail Sales
Online Sales Non – online Sales
$0.45
Trillion
$3.5
Trillion
$10.55
Trillion
$17.5
Trillion
$11
Trillion
$21
Trillion
Japan
$0.22 Trillion
18%
China
$1.50 Trillion
25%
Germany
$0.38 Trillion
30%
United Kingdom
$0.30 Trillion
45%
United States
$1.85 Trillion
60%
This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
11. Retail Trends Shaping In Future
Customer experience will be of vital
importance for retail success
Machine Learning and AI will boom the
online retail industry
Customer will be much more aware &
conscious in choosing a product
Omnichannel retailing will be a key driver
of sales
11
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12. Environmental Trends: Role of Information Technology in Retail
Demand
Planning
Master
Planning
Inventory
Optimization
Assortment
Planning
Replenishment
Planning
Markdown
Optimization
Store
Development
Content
Management
Back- Office
Integration
Item
Management
Data
Synchronization
Partner
Collaboration
Supply Chain
Tracking
RFID Website
Analytics
Business Intelligence
Retail E- CommerceManufacturing
12
13. Environmental Trends: Types of Retail Applications
Supply Chain
System
Enterprise Retail
System
Store Operation
System
POS Inventory
Management
Perishable
Management
Store-level
Demand
Workforce
Management
13
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14. Retail Market Trends
Consumer
Connect
Next
Gen IT
Research & Product
Development
Procurement Manufacturing
Integrated
Supply Chain
Trade &
Marketing
› Consumer
Promotion
Optimization
› Coupon
Effectiveness
Analytics &
Optimization
› POS Data
Analytics
› Digital
Transformation
› Internet of Things
(IOT)
› CPG analytics,
Advanced analytics
& Big Data
› PLM
implementations
› Product Quality &
Factory
Compliance
› NPI Optimization
› Purchase order
processing
› Trading platforms –
Commodity &
Currency
› Supplier Risk
Management
› Throughput
improvement
› Capacity
augmentation
analysis
› Production
inventory tracking
› Throughput
improvement
› Capacity
augmentation
analysis
› Production
inventory tracking
› Trade promotion
optimization
› Outlet
segmentation &
retail order
recommendation
› Sales- force
effectiveness
14
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16. >78 %
Future trends in Multi-channel Retailing
The Rise of Social Media
>78 %
of consumers trust peer
recommendations
Multi-Channel – The New Norm
>50 %
of customers make multi-
channel purchases
Online Shopping
Growth over last year
Mobile Commerce
>38 %
of smartphone users
have made a purchase
using a smartphone
16
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17. Retail Competition
Our Business
Competitor - 1
Competitor - 2
Competitor - 3
Competitor - 4
Competitor - 5
Competitor - 6
66
76
84
67
62
70
57
71
85
69
72
83
67
61
90
95
63
88
51
62
77
84
89
55
73
52
78
86
76
64
72
58
69
87
44
50
54
52
77
93
81
98
0-59 60-69 70-79 80-89 90-100
Customer Service Shipping SpeedProduct Quality Product Fidelity After Sales Service Price
17
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18. Trends In Retail Management
Target Audience Classification
In Retail
Retail Sales By Product
Category
Which Pricing Strategy To Adopt
Stages of product
distribution In Retail
18
19. Target Audience Classification in Retail
19
Early Childhood (Preschool -
Kindergarten), 25%
Early Elementary (Grades 1-3), 12%
Upper Elementary (Grades 4-6), 8%Teachers, 5%
Parents, 5%
Families, 45%
This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
20. Retail Sales by Product Category
$25B
$42B
$17B
$58B
$15B
$20B
$5B
$45B
$20B
$8B
Auto & Parts Apparels Books, Music,
Video
Consumer
Electronics
Food &
Beverages
Furniture Office
Equipment
Other Personal
Health
Toys & Hobby
20
This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
21. Which Pricing Strategy to Adopt
Pricing at a Premium
Pricing for Market Penetration
Economy Pricing
Price Skimming
Psychology Pricing
Bundle Pricing
21
22. Stages of Product Distribution in Retail
22
Producer
Consumers
Producer
Consumers
Producer
Consumers
Producer
Consumers
Agent/ Broker
Wholesaler/ Distributor
Retailer
Wholesaler/ Distributor
RetailerRetailer
Direct
Channel
Wholesale
Channel
Retail
Channel
Agent
Channel
23. Retailing Strategy
Retail Market Strategy
Global Market Segmentation
Strategy
Retail Financial Strategy
Retail Location Analysis
Strategy
Human Resource Management:
Division Of Retail Activities
Human Resource
Management: Retail Store
Organizational Structure
Information System & Supply
Chain Management
23
25. Global Market Segmentation Strategy
Global Markets
Niche Marketing
One-to-One Marketing
Microtargeting
Targeted (Differentiated)
Marketing
Mass (Undifferentiated)
Marketing
Multi segment
Marketing
Concentrated
Marketing
25
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26. Retail Location Analysis Strategy
Site
Selection
Customer
profile index
Ideal
sites
Trade
areas
Marketing
campaigns
Merchandising efforts
Site & market priority
Competitors
Socio- economics Customer Profiles
Demographics
Gravity models Trade areas
Stock market share
Real Estate
Planning
Profiles of
Trade areas
Segmentation
& ranking
26
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27. Human Resource Management: Division of Retail Activities
Floor
Staff
› Arranging merchandise
› Gift wrapping
› Guide to customer
› Add text here
› Add text here
Inventory
Staff
› Receiving inventory
› Quality checking
› Keeping record of issue and receipt
› Add text here
› Add text here
Cashier
› Ledger maintenance
› Bills issuance
› Providing carry bags
› Add text here
› Add text here
Customer
care Staff
› Inventory repairs
› Attending queries
› Complaint handling
› Add text here
› Add text here
HR
Staff
› Recruitment
› Budgeting
› Coordinating activities
› Add text here
› Add text here
Performer
Tasks
27
28. Human Resource Management: Retail Store Organizational Structure
CEO
Company
President
Accounts Billing
Operations &
Recruitment
Staff
Development
Customer
Service
Store
Managers
Associates
Purchasing Receiving &
Inspection
Reputation/
Image
Marketing Advertising Research &
Development
Product
Placement
Shipping Waste
Management
Vice President -
Finance
Regional
Managers
Merchandising
Public
Relations
Vice President -
Distribution
Vice President -
HR
28
29. Information System & Supply Chain Management
Supplier ShopperDistributor
RetailerManufacturer
Product Information Finances
Product Information Finances
29
30. Operations, Promotion, & Marketing Communications
Retail Sales Promotional
Mix Elements
Tools Used For Sales
Promotion In Retail
Customer Loyalty
Programm Options
Need For Customer Loyalty
Programs In Retail
Integrated Marketing
Communications in Retailing
30
31. Retail Sales Promotional Mix Elements
› Publicity › Word of Mouth
› Personal Selling
› E-Mail
› Marketing
Paid
Unpaid
Impersonal Personal
› Advertising
› Sales Promotion
› Store Atmosphere
› Digital Marketing
31
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32. Tools used for Sales Promotion in Retail
SALE
Coupons
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Contests
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Demos
› This slide is 100% editable. Adapt it to your needs and capture your audience's attention.
Samples
› This slide is 100% editable. Adapt it to your needs and capture your audience's attention.
Frequent Shopper
› This slide is 100% editable. Adapt it to your needs and capture your audience's attention.
POP/ POS
› This slide is 100% editable. Adapt it to your needs and capture your audience's attention.
Prizes
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Referral Gifts
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2 for the price of 1
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32
33. Customer Loyalty Programme Options
Earn points & redeem
for rewards
Immediate discount for
presenting card
Reward spend
over time
Earn points & redeem for
rewards plus tiers of privilege
› Offers control
› Customer understands
› Lower cost
› Easy & instant
› No liability
› Easy to manage
› Privileges lead to loyalty
› Offers control
› Customer understands
› Points cost are knowledge
› Accrued liability
› Discount has to be large
(+10%)
› No control
› Little control
› Easy to copy e.g. stamp card
› Little emotional connection
› Low spend customer disillusion
› Competitors can match
Points Discount Rebate Privilege
Good
Bad
33
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34. Need for Customer Loyalty Programs in Retail
82%
74%
74%
82%
70%
75%
24%
59%
48%
32%
53%
44%
46%
41%
42%
34%
45%
42%
25%
30%
34%
22%
41%
33%
North America
Latin America
Middle East/ Africa
Europe
Asia - Pacific
Global Average
Discounted or Free Products Enhanced Customer Service Free Shipping Exclusive Products or Events
34
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35. Integrated Marketing Communications in Retailing
Advertising
(Traditional & Digital)
Public Relations
(Text Here)
Direct Marketing
(Traditional & Digital)
Sales Promotion
(In store & Online)
Personal Selling
(Face to Face)
BRANDING Great for brand building
Helps brand awareness,
credibility
Branding, Awareness,
Immediate purchase
Encourages immediate
action
Strong relationship built
with customers
REACH Large reach Large reach Reach limited
Short term tactic, not
sustainable long term
Reach limited
TARGETING Targeting limited Targeting limited
Customer level
personalization
Results easily
measurable
Precise targeting
possible
PRICE Expensive Free or inexpensive Expensive Very expensive Expensive
35
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37. Managing Merchandise Assortments
Style
Round
Neck
Round
Neck
Round
Neck
Round
Neck
Collared
Basic
White Tee
Price
Levels
$20 $14 $10 $25 $30 $7
Size
Available
Small,
Medium,
Large, XL
Small,
Medium,
Large, XL
Small,
Medium,
Large, XL
Small,
Medium,
Large, XL
Small,
Medium,
Large, XL
Small,
Medium,
Large, XL
Colors
Available
Turquoise Lilac Black White, Pink
Purple,
Navy, Black
White
Product
Details
Half sleeve,
Slim fit
3/4th sleeve Full sleeve
Full sleeve,
Slim fit
Half sleeve
Half sleeve,
Regular fit
Women’s Apparel
T Shirts
Benetton
37
38. Merchandise Buying Decision Process
When to Buy?
Estimated sales
Open to Buy
From whom to Buy?
Suppliers
What to Buy?
Store Image
Satisfy customer wants
Type of Merchandise
How much to Buy?
Financial Objective
Mdse. budget
Control systems
Merchandise Policies
Sales
Reductions
Inventories
Purchases
Shortages
Beginning Inventory
Ending Inventory
The market
Negotiations
Unit
Price
Terms
38
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39. Merchandise Buying 6 Month Plan
Feb Mar Apr May Jun Jul Total Actual Markdown
Beg. Month
Stock
Last Year $500 $1150 $700 $850 $750 $350 $4300 $ %
Current Year $550 $1300 $750 $900 $1000 $550 $4500
STS Ratio
Last Year 3 2.5 2.2 2.7 3.2 2.8 2.6 457 18.7
Current Year 2.5 3.1 2.8 2.2 2.6 3.2 2.4 563 15.2
Sales
Last Year $165 $400 $375 $300 $450 $275 $1965 Sales change %
Current Year $215 $450 $500 $275 $300 $325 $2065
Sales % Total
Last Year 18.6 24.3 4.3 12 25.6 15.2 100
Current Year 12.2 18.6 15 4.3 24.3 25.6 100 5.6%
Markdowns
Last Year $65 $49 $97 $53 $147 $87 $498 Average Stock
Current Year $70 $56 $106 $50 $130 $167 $579 Average Stock
Markdown %
total
Last Year 9.9 15.3 22.4 11.3 24.3 16.8 100 ACT
Current Year 22.4 16.8 24.3 9.9 15.3 11.3 100 PLN
Purchases
Last Year $865 $225 $430 $612 $173 $935 $3240 $735
Current Year $1167 $777 $2490 $403 $848 $2443 $8128 $931
End Month
Stock
Last Year $1143 $757 $827 $659 $1450 $535 $5371 Turnover
Current Year $738 $980 $1027 $965 $4024 $111 $7845 Turnover
Future Sales
Last Year $575 - - - - - 2.3
Current Year $760 - - - - - PLN 2.4
STS Ratio
Last Year 4.2 - - - - - Markup % 3.3
Current Year 4.2 - - - - - Markup %
Sales Change
%7.3
Last Year $135 $685.7 $523.1 $283.3 $248.4 $450 $2325.5
Current Year $180.4 $736.8 $357 $333 $324.4 $497 $2428.6
39
40. Merchandise Allocations Table
Rank A B C D E Total
Volume Ranks &
Number of stores
# of stores in each rank 7 16 8 19 6 56
% each rank receives 2.0% 3.7% 4.2% 3.4% 2.5%
Total Purchase
Purchase Quantity 2000
Units per volume rank 35 40 55 20 45
Total units to stores 255 243 403 248 375
Total units allocated 1500
Balance in warehouse 65
Size Small
Purchase Quantity 500
Units per volume rank 20 27 32 25 15
Total units to stores 85 143 93 118 65
Total units allocated 424
Balance in warehouse 22
Size Medium
Purchase Quantity 1200
Units per volume rank 25 33 40 22 30
Total units to stores 132 200 225 159 100
Total units allocated 888
Balance in warehouse 42
Size Large
Purchase Quantity 900
Units per volume rank 15 21 20 8 14
Total units to stores 62 145 193 114 77
Total units allocated 300
Balance in warehouse 15
TotalPurchasebySize
40
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41. Retail Price Management Goals
5 ways to manage Retail Pricing
Enterprise – Wide
Price Transparency
Price Monitoring
& Analysis
System –
wide Security
Real time
Performance Metrics
Control & Track
campaigns
› As all data is
automatically stored
in central database,
pricing variables can
be seen by
authentic users
› Easily analyze and
monitor price
change decisions as
all data is stored in
a central database.
Past data can be
compare with real-
time data
› Retailers have the
authority to decide
who can make
pricing decisions
and who can apply
them. Thus
restricting access to
only authorized
personnel
› Having a central
collection of data
means information
can be analyzed
anytime and can be
compared with
previous results
› Make pricing
strategy based on
geographical
location & customer
preferences.
Promotional
campaigns can be
easily applied at the
point of sale
41
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42. Retail Pricing Strategy
Determine minimum price you’re
willing to sell your product for
› Your Text Here
› Your Text Here
› Your Text Here
Determine 5 exact prices within the
minimum & maximum price range
› Your Text Here
› Your Text Here
› Your Text Here
Determine the maximum price
› Your Text Here
› Your Text Here
› Your Text Here
Arrive at the optimized price
for value
› Your Text Here
› Your Text Here
› Your Text Here
Use Google Consumer Surveys
to test 5 prices for your product
› Your Text Here
› Your Text Here
› Your Text Here
Input results from Google Consumer
Surveys into Pricing Spreadsheet
› Your Text Here
› Your Text Here
› Your Text Here
42
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43. Inventory Management & Control
Inventory Management System
Inventory Management
Framework
Inventory Control Sheet
43
44. Inventory Management System
Receiving & Put Away
Wi-Fi & Barcode System
Location Management Picking & Packing
Reporting Management
Inventory Management
44
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45. Inventory Management Framework
Item arrival
overviewInbound
Operations
Quality
Assurance
Inventory
Operations
Outbound
Operations
Inventory
Control
Enable Quality
management
Nonconformance
management
Quarantine
orders
Inventory
blocking
Outbound
process
Reserve inventory
quantities
Reserve the same batch for
a sales order
Define cost
structure
Define price
calculations
Close inventory Adjust inventory
Recalculate
inventory
Use inventory journals
to post transactions
Set up inventory
locations
Inventory
statuses
Check stock
availability
Transfer physical
inventory
Count
inventory
Set up
consignment
Create consignment
replenishment order
Change consignment
ownership
Trace items &
raw materials
Merge inventory
batches
Correct inventory
tracking information
Check inventory
status using mobile
workplace
45
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46. Inventory Control Sheet
Grid Key
Discounted Reorder
Reorder
(Auto-fill)
Item No Name Manufacturer Description
Cost per
Item
Stock
Quantity
Inventory
Value
Reorder
Level
Days per
Reorder
Item Reorder
Quantity
Item
Discontinued?
Ok A123 Item A Cole Item A Description $10.0 23 $3,000.00 80 12 90 Yes
Ok B123 Item B Cole Item B Description $30.0 52 $3,000.00 80 32 20
Ok C123 Item C Cole Item C Description $40.0 85 $1,800.00 80 15 45
Reorder D123 Item D Cole Item D Description $50.0 46 $200.00 80 3 14
Ok E123 Item E Cole Item E Description $80.0 52 $400.00 80 15 50
Ok F123 Item F Cole Item F Description $60.0 12 $600.00 80 40 22
Ok G123 Item G Cole Item G Description $70.0 30 $800.00 80 23 80 Yes
Reorder H123 Item H Cole Item H Description $200.0 25 $900.00 80 12 30
Ok $0.00
Ok $0.00
Ok $0.00
Ok $0.00
Ok $0.00
Ok $0.00
Ok $0.00
Ok $0.00
46
47. Retail Management Challenges
Lack of trained workforce
Efficiency of supply chain management
Infrastructural bottlenecks
Regulatory Implications
Cultural disparities
Rise in fuel prices
Low adoption & use of technology
47
49. Retail KPI metrics showing Average Sales & Sell through Rate
Average Transaction Size
Average sales review per hour
Sell-through rate
Customer Retention
$25000
$105
48%
21%
49
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50. Retail KPI metrics showing Average Purchase Value & Online Sales
Sales per square foot
$390
Average Purchase Value
$67
Customers Satisfied
64%
Online Sales
$21,000
50
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51. Retail KPI Dashboard showing Revenue vs Units sold
0
5
10
15
20
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec
Revenue Vs Units Sold
Revenue Units Sold
0 10 20 30 40 50
45+
25 - 45
18 - 24
0 - 18
Top 3 Product Categories by Revenue & Age
Desktops Laptops TV
20034$
56300$
13644$
0$
10000$
20000$
30000$
40000$
50000$
60000$
Desktop Laptops TV
Revenue by Product Category
15K
25K 30K
20K
8K
15K
25K
10K
0-18 18-24 25-45 45+
Units sold by Age
Male Female
51
This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
52. Retail KPI Dashboard showing Total Sales per Labor hour sales by Unit area
143.24$
124.43$
134.24$
110$ 120$ 130$ 140$ 150$
Downtown
Midtown
Uptown
Sales by Location for Children
424.3$
304.92$
243.9$
0$
100$
200$
300$
400$
500$
Downtown Midtown Uptown
Sales per Labor Hour by Location
465.05$
532.37$
373.13$
0$
100$
200$
300$
400$
500$
600$
Downtown Midtown Uptown
Sales by Unit Area
$ 300.40
Total Sales per
Labor Hour
$ 24.3M
Total Sales for
all Departments
$ 4.03
Average Sales
per Unit Area
$ 244.3
Average Sales
Revenue per hour
52
This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
53. Retail KPI Dashboard showing Sales Revenue, Customers & Out of stock items
$ 300.40M
Sales Revenue
2.44M
Customers
$ 300.40M
Average
Transaction Price
$ 300.40M
Avg Units per
Customers
0
5
Total Customers & Visitors
Visitors Transactions
90K
78K
65K
50K
30K
0K
20K
40K
60K
80K
100K
Pipet
Jeans
Millie
Boots
Trevor
Shirt
Daisy
Jumper
Lily Dress
Top 5 Articles by sold items
143.24$
95$
66.43$
0$ 50$ 100$ 150$ 200$
Women
Men
Kids
Sales by Division
(In Millions)
0%
5%
10%
Out of Stock Items
Sales by City
Chicago – 25%
New York – 45%
Dallas – 20%
Los Angeles – 35%
Seattle – 38%
0$
20$
40$
60$
80$
100$
2
2.04
2.08
2.12
2.16
Avg Price & Units per Transaction
Units per Transaction Price per Transaction
53
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55. Our Mission
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Vision
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Mission
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Goal
56. About Us
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Target Audiences
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Preferred by Many
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Values Client
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57. Our Team
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Mary Parker
CEO & Founder
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Robin Clark
Designer
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Jess Leo
Finance Manager
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Peter Tucker
Accountant
59. First feature
Second feature
Third feature
Fourth feature
Financial
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$130
$150
First feature
Second feature
Third feature
Fourth feature
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Silver
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Gold
60. Lego
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04
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02
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61. Thank You
Address
# street number, city, state
Contact Numbers
0123456789
Email Address
emailaddress123@gmail.com
61