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Merchandise solution &
Management Tanzania
Meaning of Merchandise solution-
Any activity that aids in the sale of goods to a retail customer is known as merchandising. In a
retail setting, merchandising is the process of creatively exhibiting objects that are for sale in
order to persuade buyers to buy additional items or products.
Visual display merchandising in retail refers to the sale of goods through product selection,
design, pricing, packaging, and display that encourages consumers to spend more. Disciplines
and discounts, product displays and physical presentation, as well as decisions regarding which
products to present to whom clients when, are all included in this. Creatively tying in
complementary items or accessories is frequently a wonderful approach to get customers to buy
more in a retail scenario.
Types of merchandise-
There are two type types of merchandise
1- Staple merchandise
2- Fashion merchandise
Staple merchandise -
1- It has predictable demand
2- History of past sales is available
3- it provides relatively accurate forecast
Fashion merchandise -
1-It has unpredictable demand
2-limited past sales history is available
3-It is difficult to forecast sales
Factors Influencing Merchandising
The following factors influence retail merchandising:
Dimensions of the Retail Business-
This contains details like the size of the retail industry. Local, national, or global? What is the
demographic scope of business? What is the range of operations: telephone, television, online
with multiple language options, and direct? How much space is there for storage? What is the
minimum daily client requirement for the company?
Operational stores-
Today’s customers have various shopping channels such as in-store, via electronic media such
as Internet, television, or telephone, catalog reference, to name a few. Every option demands
different sets of merchandising tasks and experts.
Divergence of Portfolios-
Depending on the size of the retail business, there are workforces for handling each
stage of merchandising from planning, buying, and selling the product or service. The
small retailers might employ a couple of persons to execute all duties of
merchandising.
A merchandising manager's duties
1-Control the merchandising group.
2-Assure a timely and efficient merchandising procedure.
3-Work together and communicate with vendors.
4-Participate in budget creation, goal-setting, and achievement.
5-the team's employees through training.
Planning for Merchandise-
Planning your inventory strategically will help you make more money . This includes defining
long term objective for stocks margins and sales.
1-Define the merchandise policy-
Get a bird’s eye view of your target market ,current and potential customer, the images of your
store ,the standard of your products and services , your marketing strategy,and your intended
sales and profits.
2-Assemble historical data-
Assemble information on sales ,total merchandise purchase ,and any carry over inventory
3- list the element of planning -
Customers-Loyal customer, their purchasing habits,and their purchasing power.
Departments- what divisions and subclasses of departments exists in the retail
industry?
Vendor- who among the vendors made the proper goods on schedule ? who offered
promotions? Overall effectiveness of the vendor with the company.
Current trends- Gathering information on current trends from a variety of sources,
including as industry journals, suppliers of goods, rival retailers, stores in other
countries, and personal experience.
Advertising -Combining buying and advertising operations, having a concept of recent
successful promotions, and allocating money for ads are all examples of advertising.
Make a long-term strategy- Make a long-term plan, say for the next six months, by
analyzing past data, predicting sales, and creating a long-term plan.
Conclusion-
Product planning is a crucial step for each merchandiser in any type of business
because it enables you to maximize your inventory's potential for sales while preventing
under- or overstocking.
merchandise article.pdf

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merchandise article.pdf

  • 1. Merchandise solution & Management Tanzania Meaning of Merchandise solution- Any activity that aids in the sale of goods to a retail customer is known as merchandising. In a retail setting, merchandising is the process of creatively exhibiting objects that are for sale in order to persuade buyers to buy additional items or products. Visual display merchandising in retail refers to the sale of goods through product selection, design, pricing, packaging, and display that encourages consumers to spend more. Disciplines and discounts, product displays and physical presentation, as well as decisions regarding which products to present to whom clients when, are all included in this. Creatively tying in complementary items or accessories is frequently a wonderful approach to get customers to buy more in a retail scenario. Types of merchandise- There are two type types of merchandise 1- Staple merchandise 2- Fashion merchandise Staple merchandise - 1- It has predictable demand 2- History of past sales is available 3- it provides relatively accurate forecast Fashion merchandise - 1-It has unpredictable demand 2-limited past sales history is available 3-It is difficult to forecast sales Factors Influencing Merchandising The following factors influence retail merchandising:
  • 2. Dimensions of the Retail Business- This contains details like the size of the retail industry. Local, national, or global? What is the demographic scope of business? What is the range of operations: telephone, television, online with multiple language options, and direct? How much space is there for storage? What is the minimum daily client requirement for the company? Operational stores- Today’s customers have various shopping channels such as in-store, via electronic media such as Internet, television, or telephone, catalog reference, to name a few. Every option demands different sets of merchandising tasks and experts. Divergence of Portfolios- Depending on the size of the retail business, there are workforces for handling each stage of merchandising from planning, buying, and selling the product or service. The small retailers might employ a couple of persons to execute all duties of merchandising. A merchandising manager's duties 1-Control the merchandising group. 2-Assure a timely and efficient merchandising procedure. 3-Work together and communicate with vendors. 4-Participate in budget creation, goal-setting, and achievement. 5-the team's employees through training. Planning for Merchandise- Planning your inventory strategically will help you make more money . This includes defining long term objective for stocks margins and sales. 1-Define the merchandise policy-
  • 3. Get a bird’s eye view of your target market ,current and potential customer, the images of your store ,the standard of your products and services , your marketing strategy,and your intended sales and profits. 2-Assemble historical data- Assemble information on sales ,total merchandise purchase ,and any carry over inventory 3- list the element of planning - Customers-Loyal customer, their purchasing habits,and their purchasing power. Departments- what divisions and subclasses of departments exists in the retail industry? Vendor- who among the vendors made the proper goods on schedule ? who offered promotions? Overall effectiveness of the vendor with the company. Current trends- Gathering information on current trends from a variety of sources, including as industry journals, suppliers of goods, rival retailers, stores in other countries, and personal experience. Advertising -Combining buying and advertising operations, having a concept of recent successful promotions, and allocating money for ads are all examples of advertising. Make a long-term strategy- Make a long-term plan, say for the next six months, by analyzing past data, predicting sales, and creating a long-term plan. Conclusion- Product planning is a crucial step for each merchandiser in any type of business because it enables you to maximize your inventory's potential for sales while preventing under- or overstocking.