Merchandising
What is merchandising???
Merchandising is a process of buying and selling of goods; in the
case of garment industry, the goods are textiles, garments and
related trims and accessories. In other words, merchandising
denotes all the planned activities to make the merchandise
available taking into consideration the 5Rs:
· Right Place: the merchandise should be at the right place where it
is intended to be.
· Right Quality: It should be complaint with the quality standards.
· Right Quantity: To dispatch right quantity of product what
buyer/customer ordered.
· Right Cost: the cost of the merchandise should be such that the
buyer/customer is willing to pay for.
· Right Time: No one wants to wait. Keeping delivery schedule on
time is very mandatory.
Flow chart of merchandising???
Merchandiser
↓
Negotiation with buyer & collect order
↓
Costing
↓
Sample making (according to buyer requirement)
↓
Get approval &Placement of order
↓
Getting started (In-house preparation of accessories)
↓
Line balancing
↓
Commencing production
↓
Production Monitoring
↓
Inspection
↓
Buyer’s Inspection (After Finishing)
↓
Preparation of banking & documentation
↓
Shipment/delivery
What are the Roles of Merchandising???
Merchandising department is a linking device of all. The job of a
merchandiser is to co-ordinate with the entire department in the
office as well as the customers. The merchandiser is the one who
creates a good relationship in between the supplier & buyer. The
Merchandiser usually works with all departments in a company---
management, design, sourcing, production and sales to make sure
the finished product is executed correctly and on time. The
merchandiser should have enough knowledge for determining the
target population, researching the market for current trends and
predicting future trends. Merchandisers work with management
and sales department to develop a line plan and makes sales
projections for each season. The merchandising department also
supervises the creation of salesman samples, swatch booklets,
colourcards etc. In few companies the Merchandiser is required to
give presentations to the sales force to familiarize them with the
concepts of the line to help them pitch to retailers. In a large
company a merchandiser or design director will head up this area
with the help of one or more assistants. In a small company, the
owner or designer will see to these responsibilities.
Daily duties of the merchandiser as:
i. Vendor management-Vendor relationship building and
maintenance are considered one of the most important firm
activities because vendors or suppliers are a critical element of
a firm’s profitability
ii. Product development -The knowledge of product
development and its role in global sourcing seemed to be
important for merchandisers. The responsibility could be as
small as acquiring materials for product development,
extending to dynamic work relationships with product
developers. Merchandisers must understand the product
development process and international sourcing. Also a time
and action calendar, to communicate the significance of timely
follow-ups in sourcing is a pre requisite.
iii. Production management- The study data showed that
merchandisers are responsible for managing entire
production or manufacturing processes . In overseeing
production, merchandisers are responsible for three
major production factors – cost, on-time delivery and
quality. To achieve the objectives of cost, delivery, and
quality, merchandisers are responsible for resolving
production issues and problems with vendors. They must
know different objectives of costing and quality
assurance. Other responsibilities, such as scheduling,
vendor performance tracking, and quality evaluation
may help achieve cost, delivery, and quality objectives.
iv. Internal collaboration- Collaboration helps to foster
internal relationships between colleagues with whom
individuals can consult about work related matters that
internal interactions among different constituencies to
negotiate and resolve various conflicts may occur during
planning, managing, and executing processes.
Generally, following are the responsibilities of
merchandisers in garment industry;
Internal & external communication
Sampling
Lab dips
Accessories & trims
Preparing internal order sheets
Preparing purchase orders
Advising and assisting production
Advising quality department about quality level
Mediating production and quality departments
Giving shipping instructions and following shipping
Helping documentation department
Taking responsibility for inspections
Following shipment

Types of Merchandisers
 Fashion Merchandiser
 Production/ Export Merchandiser
 Retail Merchandiser
Fashion Merchandiser: Fashion merchandiser is the person
who is responsible for the promotion of apparel sales and
involves in all of the tasks necessary to deliver the clothing
requests and meet the needs of potential customers and
designers. Fashion merchandising involves developing
campaigns, displays and advertisements, directing
manufacturing and marketing as well as creating sales
strategies for the fashion industry or the retail environment.
Production/Export Merchandiser: Apparel export merchandising may
be defined as all the planning & activities involved right from the buyer
communication & order receiving till the execution or shipment of the
order by fulfilling the following factors (Six Rights) :
 Right Merchandise: Retailers must fill their shelves with the
merchandise that customer wants.
 Right Place: the merchandise should be in its right place when
the customer needs it.
 Right Time: Much merchandise is seasonal in nature and must be
on hand when it is most needed.
 Right Quantity: A profitable balance between volume of sales and
amount of inventory is the desired goal.
 Right Price: Merchandise must arrive at a price that is high
enough to give the store profit and yet low enough to meet the
competition and customers’ expectations and for which the
customer is willing to pay.
 Right Promotion: Right balance between the investment and the
appeal created for the customers.
The successful execution of any garment export order depends on the
work performance of a merchandiser. Merchandiser is the person who
plans and coordinates all the activities right from the order procuring till
the shipment of the order. A merchandiser should have the comprehensive
knowledge of his work procedures and responsibilities so that he could
perform his job efficiently and effectively.
Retail Merchandiser: Retail merchandising is the process
used in order to conduct retail sales. As part of the process,
the merchandiser pays close attention to the types of
products offered for sale, how to best present those products
to consumers, and determining what a reasonable retail price
is for each unit sold.
Responsibilities of Senior Merchandiser???
1.Sample development
2.Price negotiation
3.Order confirmation
4.L/C opening
5.Opening summery
6.Sourcing
7.Material collection
8.Production planning
9.Production monitoring
10. Quality assurance
11. Arrange final inspection
12. Arrange shipment
Merchandiserand Interdepartment Relation???
MerchandiserVs Designer Vs Product development.
MerchandiserVs Work Study Department.
MerchandiserVs ProductionPlanningDepartment.
MerchandiserVs Sample Management.
MerchandiserVs Store.
MerchandiserVs Cutting Room.
MerchandiserVs Sewing Floor.
MerchandiserVs Finishing Room
MerchandiserVs Quality Management.
MerchandiserVs Commercial.
MerchandiserVs Shipping Department.

Merchandising

  • 1.
    Merchandising What is merchandising??? Merchandisingis a process of buying and selling of goods; in the case of garment industry, the goods are textiles, garments and related trims and accessories. In other words, merchandising denotes all the planned activities to make the merchandise available taking into consideration the 5Rs: · Right Place: the merchandise should be at the right place where it is intended to be. · Right Quality: It should be complaint with the quality standards. · Right Quantity: To dispatch right quantity of product what buyer/customer ordered. · Right Cost: the cost of the merchandise should be such that the buyer/customer is willing to pay for. · Right Time: No one wants to wait. Keeping delivery schedule on time is very mandatory. Flow chart of merchandising??? Merchandiser ↓ Negotiation with buyer & collect order ↓ Costing ↓ Sample making (according to buyer requirement) ↓ Get approval &Placement of order ↓ Getting started (In-house preparation of accessories)
  • 2.
    ↓ Line balancing ↓ Commencing production ↓ ProductionMonitoring ↓ Inspection ↓ Buyer’s Inspection (After Finishing) ↓ Preparation of banking & documentation ↓ Shipment/delivery What are the Roles of Merchandising??? Merchandising department is a linking device of all. The job of a merchandiser is to co-ordinate with the entire department in the office as well as the customers. The merchandiser is the one who creates a good relationship in between the supplier & buyer. The Merchandiser usually works with all departments in a company--- management, design, sourcing, production and sales to make sure the finished product is executed correctly and on time. The merchandiser should have enough knowledge for determining the target population, researching the market for current trends and predicting future trends. Merchandisers work with management and sales department to develop a line plan and makes sales projections for each season. The merchandising department also supervises the creation of salesman samples, swatch booklets, colourcards etc. In few companies the Merchandiser is required to give presentations to the sales force to familiarize them with the concepts of the line to help them pitch to retailers. In a large
  • 3.
    company a merchandiseror design director will head up this area with the help of one or more assistants. In a small company, the owner or designer will see to these responsibilities. Daily duties of the merchandiser as: i. Vendor management-Vendor relationship building and maintenance are considered one of the most important firm activities because vendors or suppliers are a critical element of a firm’s profitability ii. Product development -The knowledge of product development and its role in global sourcing seemed to be important for merchandisers. The responsibility could be as small as acquiring materials for product development, extending to dynamic work relationships with product developers. Merchandisers must understand the product development process and international sourcing. Also a time and action calendar, to communicate the significance of timely follow-ups in sourcing is a pre requisite. iii. Production management- The study data showed that merchandisers are responsible for managing entire production or manufacturing processes . In overseeing production, merchandisers are responsible for three major production factors – cost, on-time delivery and quality. To achieve the objectives of cost, delivery, and quality, merchandisers are responsible for resolving production issues and problems with vendors. They must know different objectives of costing and quality assurance. Other responsibilities, such as scheduling, vendor performance tracking, and quality evaluation may help achieve cost, delivery, and quality objectives.
  • 4.
    iv. Internal collaboration-Collaboration helps to foster internal relationships between colleagues with whom individuals can consult about work related matters that internal interactions among different constituencies to negotiate and resolve various conflicts may occur during planning, managing, and executing processes. Generally, following are the responsibilities of merchandisers in garment industry; Internal & external communication Sampling Lab dips Accessories & trims Preparing internal order sheets Preparing purchase orders Advising and assisting production Advising quality department about quality level Mediating production and quality departments Giving shipping instructions and following shipping Helping documentation department Taking responsibility for inspections Following shipment  Types of Merchandisers  Fashion Merchandiser  Production/ Export Merchandiser  Retail Merchandiser
  • 5.
    Fashion Merchandiser: Fashionmerchandiser is the person who is responsible for the promotion of apparel sales and involves in all of the tasks necessary to deliver the clothing requests and meet the needs of potential customers and designers. Fashion merchandising involves developing campaigns, displays and advertisements, directing manufacturing and marketing as well as creating sales strategies for the fashion industry or the retail environment. Production/Export Merchandiser: Apparel export merchandising may be defined as all the planning & activities involved right from the buyer communication & order receiving till the execution or shipment of the order by fulfilling the following factors (Six Rights) :  Right Merchandise: Retailers must fill their shelves with the merchandise that customer wants.  Right Place: the merchandise should be in its right place when the customer needs it.  Right Time: Much merchandise is seasonal in nature and must be on hand when it is most needed.  Right Quantity: A profitable balance between volume of sales and amount of inventory is the desired goal.  Right Price: Merchandise must arrive at a price that is high enough to give the store profit and yet low enough to meet the competition and customers’ expectations and for which the customer is willing to pay.  Right Promotion: Right balance between the investment and the appeal created for the customers. The successful execution of any garment export order depends on the work performance of a merchandiser. Merchandiser is the person who plans and coordinates all the activities right from the order procuring till the shipment of the order. A merchandiser should have the comprehensive
  • 6.
    knowledge of hiswork procedures and responsibilities so that he could perform his job efficiently and effectively. Retail Merchandiser: Retail merchandising is the process used in order to conduct retail sales. As part of the process, the merchandiser pays close attention to the types of products offered for sale, how to best present those products to consumers, and determining what a reasonable retail price is for each unit sold. Responsibilities of Senior Merchandiser??? 1.Sample development 2.Price negotiation 3.Order confirmation 4.L/C opening 5.Opening summery 6.Sourcing 7.Material collection 8.Production planning 9.Production monitoring 10. Quality assurance 11. Arrange final inspection 12. Arrange shipment
  • 7.
    Merchandiserand Interdepartment Relation??? MerchandiserVsDesigner Vs Product development. MerchandiserVs Work Study Department. MerchandiserVs ProductionPlanningDepartment. MerchandiserVs Sample Management. MerchandiserVs Store. MerchandiserVs Cutting Room. MerchandiserVs Sewing Floor. MerchandiserVs Finishing Room MerchandiserVs Quality Management. MerchandiserVs Commercial. MerchandiserVs Shipping Department.