Infor

Step off the high-volume,
low-price treadmill

Reduce your unplanned markdowns

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7 ways to maintain your margins by aligning supply and demand

Browse through any online store or shopping mall and you’ll see it everywhere. Massive savings! Reduced to clear! Priced to go! And although this may be good news for consumers seeking a bargain, the cost of these markdowns is the single most important factor affecting retail fashion profitability.

In looking at ways to address this ubiquitous trend, it’s important to acknowledge that planned markdowns have been part of the retail landscape for years, with annual or seasonal sales being infrequent and highly anticipated events.

However, with the growth of low cost manufacturing, many retailers have increasingly focused on price as an ongoing strategic point of difference—relying on lower margins to drive greater volumes.

In this “pile it high and sell it cheap” environment, aligning supply with shifting demand becomes almost impossible. With excess stock taking up valuable space and tying up precious capital, frequent permanent markdowns become the option of last resort. Slashing prices and eroding profits just to rescue any percentage of cost.

Download our eBook “7 Ways to Maintain Your Margins

In this e-book, we show you how to step off the high-volume, low-price treadmill and minimize the need for costly markdowns. By delivering the right products to the right people at the right time—and in the right quantity—successful fashion companies like yours can effectively reduce waste, maintain margins, and increase profits.

Download our free eBook.