Buying House Merchandising Posted on October on October 22, 2010 by 2010 by vasantkothari vasantkothari
Buying House Merchandising
Buying house work as intermediateries the buyer & the vendor
60 -70 wor!d wide buying routes through the buying houses
"hese are situated #redominan #redominant!y t!y at the sourcing !ocations
$orks on #ro%it #ro%it #ercentages commissio commissions ns e'#ense coverage coverage
Role of Merchandiser (Buying House)
Bridges the ga# between buyer & vendor (na!ysis o% market market vendor order #rocessing #rocessing )( *rou# buying $ho!esa!e activities activities
+nit contro! services
Private brand #rogrammes
oreign buying
a!es #romotion . buyer vendor & deve!o#ment o% cata!ogues
ashion divisions o%%ices
Role of Merchandiser Posted on October on October 1/, 2010 by 2010 by vasantkothari vasantkothari
erchandising erchandis ing deve!o#ment based on buyers obective
"o interact with the Buyer
"o interact with the various de#artments o% manu%acturing unit
"o do the costing o% *arments
"o send the sam#!es to buyers
3eve!o#ment o% !ab-di# desk !ooms
"o take the a##rova! %rom buyers
Procurement o% abrics"rims
"o carry out the %ina! 4ns#ection
"o make sure that shi#ment goes on time
Traits of Merchandisers Posted on October 17, 2010 by vasantkothari
4n todays high tech, com#etitive, g!oba! a##are! industry, a merchandiser must #osses a rare b!end o% traits, ski!!s and e'#erience erchandiser must be #art55
3esigner
ngineer
om#uter '#ert
arketer
ntre#reneur
( merchandiser is invo!ved in every stage o% the #rocess %rom design to sa!es888 they
advise designer on market trends,
co!!ect s#eci%ications %rom buyers,
get the sam#!es a##roved
and a!so negotiate the #rice5
even res#onsib!e %or ensuring that consignments are de!ivered to the customers in time
Knowledge Base Requirement Posted on October 29, 2010 by vasantkothari
"rend and %ashion movement: orecast inter#retation and range deve!o#ment
Product deve!o#ment and %easibi!ity
abric or !eather and other in#ut a##reciation
Processing and %inishing
arket know!edge: ustomer #ro%i!e and behaviora! change
ost and #rice: )ua!ity assurance and contro!
3e!ivery #rocedure: u##!y chain and !ogistics management:
*overnment #o!icy, #rocedures and o#erations ;%or '#ort and 4m#ort<
Buyer coordination, communication and %eedback
ashion erchandising= 3o >ou ?ave $hat 4t "akes@ By= Aames *o!dstein ( career in %ashion merchandising is cha!!enging and rewarding5 ( %ashion erchandiser is the #erson who makes a!! the %ina! #re#arations to get new %ashions on the market5 "hey not on!y !ook around %or the best %ashions, but hand!e a!! o% the media means %or advertising these %ashions5 "hey are the %ina! word in #utting %ashion co!!ections together, seeing to the #roduction, advertising and sa!es o% the %ashions5 "hey need to be business minded as we!! as an e'#ert on %ashion trends5
One o% the most needed ski!!s to be a ashion erchandiser is the abi!ity to stay u# with the trends5 "rends seem to come and go, and some return in a !itt!e di%%erent way5 ( ashion erchandiser needs to be ab!e to know what is on the horion %or the ne't %ashion trend5 "hey wi!! not on!y attend %ashion shows, ta!k to designers, !ook through a!! the !atest magaines, or watch a!! the %ashion news, but may we!! end u# trave!ing to other countries to see what the #eo#!e are buying and wearing there5
ashion merchandising reCuires an abi!ity to #redict or %orecast u# and coming %ashion trends5 By giving consumers a #review o% a sty!e or co!!ection, the more
the consumer wi!! antici#ate the re!ease and !aunch o% the new %ashion !ine5 4t is one reason %ashion weeks across the wor!d, in !ocations such as Dondon, D(, i!an, Paris, and E> are so im#ortant5 "hey give us a #review and showcase o% the sty!es %ashionistas and consumers are sure to !ove5
( ashion erchandiser wi!! a!so need a sense o% sty!e, know about %abrics, know about re#eating %ashion trends and know what the consumer wants, needs and can a%%ord5 "hey watch the %inancia! news, and know when the country may have a %inancia! downturn, and they wi!! seek out %ashions that are #o#u!ar, but within the budgets o% the everyday #erson5 "hese are essentia! ski!!s that can be obtained at a %ashion graduate schoo!5
"here are many ski!!s that are needed to be a ashion erchandiser5 ommunication with buyers, designers and su##!iers is a!ways necessary, so good communication ski!!s are needed5 ( ashion erchandiser must a!so be business savvy, as they wi!! have business dea!ing with many di%%erent ty#es o% businesses and #eo#!e5 "hey a!so need to know about %abrics, designs, co!ors and accessories5
"he ashion wor!d is a very busy #!ace5 4t takes ski!!s, energy and ambition to earn a graduate %ashion education and make a career in the %ashion wor!d5 4t takes twice the amount o% a!! o% these and a !ot o% work to become an e'#ert ashion erchandiser5 4n addition to an advanced education in %ashion retai!, merchandising, or advertising, e'#erience in the %ashion wor!d wi!! on!y he!# an as#iring %ashion merchandiser5 ( %ashion merchandiser takes a sketch %rom the designer, and turns it into an a%%ordab!e and marketab!e rea!ity5
arah has written numerous artic!es about art and %ashion5 (ttending a %ashion design schoo! %or your %ashion degree is the best way to begin your %ashion merchandising career5
Flow of Orders Posted on October 21, 2010 by vasantkothari
Buyer
( Buyer is a Brand
or e'am#!e= *(P, E4F, (didas etc are brands as we!! as buyers
ost o% the brands in the wor!d go %or the outsourcing o% their merchandise
(!! these buyers work through their !oca! o%%ice known as Diaison O%%ice urther, a!! the Diaison O%%ices works under the ?ead O%%ice o% the BuyerBrand
Role of Merchandiser (Buyer)
"o se!ect the vendor %or the garment manu%acturing
"o work in between the ?ead O%%ice and actory
"o take the sam#!es on time
"o give a!! the a##rova!s on time
P!anning o% merchandise
Gendor management
On time shi#ment
"o visit the %actory time to time to check a!! the detai!s regarding #roduct, Cua!ity, com#!iances as s#eci%ied in the anua!5
Buyer From Wikipedia, the free encyclopedia Jump to: navigation, search For a name, see Bayer or Beyer or Beyers. For the occupation in the fashion industry, see Buyer (fashion).
A buyer is any person who contracts to acquire an asset in return for some form of consideration. When someone gets characterized by their role as buyer of certain assets, the term "buyer" gets new meaning: A "buyer" or merchandiser is a person who purchases finished goods, typically for resale, for a firm, government, or organization. (A person who purchases material used to mae goods is sometimes called a purchasing agent.! n product management, buyer is the entity that decides to obtain the product. A buyer#s primary responsibility is obtaining the highest quality goods at the lowest cost. $his usually requires research, writing requests for bids, proposals or quotes, and evaluation information received.
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Whats is the meaning of liasoning office.? Best Answer - Chosen by Voters A liaison oce also known as a representative oce!, "y de#nition, acts as a representative oce$communication channel "etween the parent company and the suppliers$customers in the country the liaison oce is situated in% and it is not permitted to carry out any commercial activity per se& 'f it carries on commercial activity "uy and sell goods!, it is ta(a"le like a company& 'n short, a liaison oce acts as a post"o( only&
The Buyer Role and Responsibilities in Merchandising by % & 'ama 'ao on ebruary ), *++ -uyers play an important role in the retail industry. $hey select and order merchandise to be sold. $he sill within which they do this directly affects the sales volume of their store and its share of the total retail maret. -uyers may be responsible for buying for a department, an entire store or a chain of stores. t is important that buyers maintain a balanced inventory and a budget agreed upon between themselves and the store or merchandising manager. Although computers help maintain inventory records and analyze customer purchasing preferences and trends, buyers still have to mae ey decisions concerning style, taste and customer motivations. entral -uyers wor for chain stores and mail order houses. $hey may be located in divisional headquarters, the parent store of a chain, or in offices in wholesale maret areas. Associate or /unior -uyers usually buy specific items for a department or d ivision of a firm which is too large to be served by one buyer. $he associate or /unior -uyer assumes responsibility for the specified item purchases but coordinates with the 0ead -u yer. Assistant -uyers are responsible for routine aspects of the wor. $hey coordinate stores or departments, supervise personnel and maintain sales and inventory records. $he responsibilities of a buyer are listed below: ! 1eveloping the merchandising strategies for the product line, store or organization that he 2 she is responsible for. *! 3lanning and selecting merchandise assortments. $his requires a een u nderstanding of the current maret trends and economic developments. At the same time, it requires an understanding of the needs and wants of the target consumers and locating a product to suit these needs. 4! %endor selection, development and management. 5egotiations with vendors for favorable terms and services are a delicate issue handled by the buyers. )! 3ricing the merchandise to achieve the required targets in terms of gross margins. 6! nventory management 7 allocation of merchandise to the various retail stores is also an integral part of the functions of the buyer. 0ence, a buyer needs to control inventory, which includes not only procurement but also providing the goods as per the needs of the stores, so that under ideal circumstances, there is never a situation when the product is not available in the retail store. n case there is merchandise which is slow moving then mar downs or moving the merchandise to other locations also needs to be finished. $he structure of the merchandise department largely depends on the organizations structure adopted by that particular retail organization.
8any organizations may also have a position nown as a 3urchase Agent. 3urchase agents and buyers commonly focus on routine purchasing tass, often specializing in a commodity or a group of related commodities such as steel, cotton, grains, fabricated metal products or petroleum products. 3urchase agents usually trac maret conditions, price trends or futures marets. While 9ob in merchandising or buying is very eciting, the woring conditions are often strenuous. $raveling frequently, to visit branch stores and domestic and sometimes foreign maret areas is often required. An awareness of the general economic conditions is also required, which will enable anticipation of consumer buying patterns. Anticipating consumer preferences and ensuring that goods are in stoc when they are needed requires resourcefulness, good 9udgment and self confidence. -uyers must be able to mae quic decisions and tae riss. 8areting sills and the ab ility to identify products that will sell are also very important. n addition, they must eep abreast of style and manufacturing trends, read fashion and trade magazines, follows ads in newspapers and other media, and chec retail competitor;s sales activities. $he 9ob of buying and merchandising can often call for long hours and tremendous pressure to achieve targets. 7
Profit improvement through Merchandise planning by % & 'ama 'ao on ebruary , *++ $he primary ob9ective of merchandise planning is profit improvement. As the buyer plans the buying for each department, a better overview of the profitability is available for the retail organization that it will be able to achieve. As the function of merchandising deals with the actual procurement of products for the retailer, it has implications on other areas of the business. $he entire process of merchandise planning helps the buyer arrive at the quantities of the products that need to be bought. t therefore has the following implications on other departments: inance: At the end of the merchandise planning process, when the 3urchase
$he mareting department needs to be aware of the products that are being purchased as they may want to create campaigns for advertising the products or for sales promotions. Warehousing and >ogistics: n many retail organizations, these functions may be hand led by one department. When orders are placed for new merchandise this department n eeds to now as it is the one that will actually receive the products and do the physical verification of the same. $he quantities mentioned in the 3urchase
evel.
The Merchandiser Role and Responsibilities by % & 'ama 'ao on ebruary 6, *++ $he merchandiser is responsible for particular lines of merchandise. or eample, in a department store, there may be merchandisers for menswear, women;s wear, children;s wear etc. the basic duties of the merchandiser can be divided into four areas: planning, directing, coB coordinating and controlling. 3lanning: $hough the merchandisers may not be directly involved in the actual purchase of merchandise, they formulate the policies for the areas in which they are responsible. orecasting sales for the forthcoming budget period is required and this involves estimating consumer demand and the impact of changes in the retail environment. $he sales forecasts are then translated into budgets to help the buyers wor within the financial guidelines. 1irecting: Cuiding and training buyers as and when the need arises is also function of the merchandiser. 8any a times, the buyers have to be guided to tae additional mardowns for products which may not be doing to well in the stores. nspiring commitment and performance in the p art of the buyers is necessary. oordinating: sually, merchandise managers supervise the wor of more than one buyer, hence they need to coordinate the buying effort in terms of how well it fits in with the store image and with the other products being bought by other buyers. ontrolling: Assessing not only the merchandise performance, but also the buyer;s performance is part of the merchandise manager;s 9ob. -uying performance may be e valuated on the basis of net sales maintained mar up percentages, mar down percentages, gross margin percentages and stoc turn. $his is necessary to provide control and maintain high performance results. As a ey aspect of merchandising involves selection of merchandise or products to be sold in the retail store, the 9ob of the merchandiser also involves v isits to suppliers or manufacturers of select goods. $his is liely to involve woring closely with retail buyers. $hey negotiate a price,
order the goods, agree on a delivery date, complete all the necessary paperwor, and eep in touch with suppliers to mae sure that the goods arrive on time. 8erchandisers wor closely with the visual display staff and department managers to decide how goods should be displayed to best attract customers; attention. $his might involve planning and setting up sales promotions and advertising campaign. n some organizations, this is a separate role carried out by a visual merchandiser. 8erchandiser may also travel to different stores to actually chec the response to various items in the merchandise. $o en9oy woring as a merchandiser, it is essential that the individual has a mathematical ability to wor out budgets and understand sales figures. 0e2she should be able to understand what the customer wants and translate that into specific products. $he ability to wor in a team is also essential, as the merchandiser would have a team of buyers reporting to him 2 her. 8any retail organizations also have a 1ivisional 8erchandise 8anager (188! or similar position, wherein the person would be responsible for merchandising activities for particular liens of merchandise. or eample, the children;s wear 188 supervises those buyers who purchase merchandise such as baby clothes, clothes for new born, clothes for boys, clothes for girls and accessories. $ypically, the role of a divisional merchandise manager, immaterial of the size of the retail organization, would involve the following functions: ! orecasting sales for the forthcoming budget period: $his involves estimating consumer demand and the impact of changes in the retail environment. *! $ranslating the sales forecast into inventory levels in terms of rupees. $o do this effectively, the 188 needs to understands and provide for the inventory levels that would be needed to achieve of sales 4! nspiring commitment and performance on the part of the merchandisers and buyers: $ypically, as divisional merchandise managers are senior within the organization, it is believed that they can guide the merchandisers in terms of vendor selection, merchandise lines that can be developed and future trends. )! Assessing not only the merchandise performance but also the buyer;s performance in order to provide control and maintain high performance results. $he 188 may not get involved in many day to day merchandise management problems and is more liely to be involved with quarterly, seasonal or annual planning, budgeting and controlling of merchandising activities.
Merchandising: A lucrative business in textile sector
Nazmut Tarek: Merchandising is a lucrative business today. In garment and textile industry it is known as a 'white-collar' ob. The !ield o! merchandising is now ex"anding with the ex"ansion o! textile and garment sectors in #angladesh. $orld renowned buyers are now more interested in #angladesh then in any other garment ex"orting countries. %ue to "olitical violence in &akistan and Ne"al wage hike o! workers in (ietnam and increased "roduction costs in )hina and Turkey* the international buyers are losing interest with those countries. These develo"ments have "aved the way !or creating sco"e !or merchandisers in #angladesh. +erman brand ,ugo #oss and didas is e x"ected to begin buying !rom #angladesh !rom next year. number o! world class buyers a re now closing business with )hina and turning to the buyers in #angladesh. uro"ean and merican world class brands are now ex"anding their business in #angladesh. #esides* uro"e and merica* /a"an will be a big market !or #angladesh within a !ew years time. ll this good news will create a huge o""ortunity !or the merchandisers. $hat is merchandising0 The term a""lies to "eo"le involved in buying and selling goods in garment trade. +arment merchandising conce"ts com"lies with all "rocedures to execute and dis"atch the shi"ment on time* considering 1uality* cost and time. Merchandisers are really im"ortant in the success o! any garment retail business. They are the one that "lan* design and make merchandising "rocess work. They "rovide the right "roducts at the right time* enabling a com"any to match with the latest market trends and meet the market demands. In the merchandising conce"t* time management is o! crucial im"ortance !or !ocusing on value addition actions. Merchandising is a mix o! everything-!un* "ride* challenge* acting dumb* and stress. 2It is a ob !ull o! stress and res"onsibilities* but at the same time it is exciting and enoyable. The "er!ormance o! a garment ! actory de"ends on the merchandiser's creativity and e!!iciency. merchandiser must be creative to handle any situation. The tasks o! a merchandiser starts with order collection and ends a!ter the com"letion o! shi"ment*2 says a senior merchandiser. Merchandising can be !rom various "ositions - #uyer* #uying ,ouse* Trading ,ouse and 3actory. 4ome common tasks o! the merchandiser are: i5 costing ii5 determination o! !abric re1uirements iii5 determination o! accessories re1uirements iv5 sourcing o! !abrics v5 sourcing o! accessories vi5 "robable dates o! the arrival o! !abrics and accessories in the garment !actory vii5 garment "roduction "lanning and viii5 ins"ection schedule. &rocurement o! ex"ort orders: The most critical ob o! a merchandiser is "rocurement o! garment ex"ort orders. Normally* ex"ort orders are available with garment buyers. )onvincing the buyers o! on time "roduction* 1uality* costing and delivery6shi"ment on schedule* a merchandiser can get ex"ort orders. (isiting the buyer's overseas o!!ices with "roduct sam"les* com"any "ro!iles and inviting buyers to visit "roduction !acilities at home can also hel" raise buyers' con!idence in our garment ex"ort abilities. xecution o! ex"ort orders: $hen an ex"ort order come !rom buyer !or certain amount o! garment items* the "ersonnel in merchandising section re"ly by !ax6e-mail
messages on the same day. !ter receiving the in1uiry* !irst they check the sketch* details sheet* delivery date and sam"le i! any. They work out "rice o! these and then o!!er and con!irm the "rice to the buyers soon. !ter con!irmation o! "rice and delivery* they re1uest buyers to issue "urchase order sheet with !ull o rder details. !ter receiving and reviewing the "urchase orders* they re1uest the buyers to o"en 76)s. !ter receiving the 76)s* they trans!er it to the related !actories. !ter the !actories receive the ex"ort 76)s* they ask the !actories to o"en back to back 76)s !or !abrics and accessories. The merchandisers monitor the !abrics and accessories !rom booking* "roduction and shi"ment to the !actories. They take all the necessary a""roval o ! !abrics* accessories* and garment sam"le !rom the buyers. !ter receiving the !abrics* accessories* they make "re-"roduction and size set sam"les !or a""roval to start "roduction. !ter the "roduction starts they go !or ins"ection to ensure 1uality* and a!ter the !inal ins"ection they shi" the goods. They !ollow u" vessel booking* ex"ected arrival and de"arture dates* and u"date the buyer accordingly. They !ollowu" shi""ing documents !rom !actories submitted to the banks on time* so that the buyers can receive the documents in time and "re"are clearing !ormalities o! the goods. 8uality control and ins"ection: t !irst the team leader o! a merchandising unit hands over the order to two o! their merchandisers and two 8) "eo"le. This team is res"onsible !or executing the order. very morning* they discuss their status in the daily meeting with the )9. +arment consum"tion calculation: The 1uantity o! !abric which is re1uired to "roduce a garment is called consum"tion. ,ow much !abric is re1uired to "roduce garment* can be determined through marker "lanning and mathematical calculations. Marker "lanning system is mostly used in our country. In this system six "ieces o! six sizes can be sorted out !rom size range - 4* 4* M7* 7* and 7. )ost estimation: #e!ore execution o! order* costing is a very im"ortant task !or a merchandiser. ,e or she must know the cost o! di!!erent "rocesses and "roducts. !ter calculating the cost o! di!!erent "rocesses* the merchandiser can negotiate with the buyer !or the best "ossible "rices. There are two ty"es o! costs - direct cost6material cost and indirect cost6overhead cost: %irect cost: 3abric cost ;yarn* knit and dyeing cost5* accessories cost* "rint6embroidery6washing cost* )M ;cost o! making5 76). Indirect cost: 4alary* wages* rent* trans"ortation* machine de"reciation* sam"le cost and utilities. )osting or "ricing o! a sam"le garment is made by adding- direct* indirect costs and "ro!it. This cost estimation can be done easily by "rogramming in excel sheet. 4watch card making: $hen all items are attached to a card !or a "articular style o! garment* then the card is known as swatch card. It may contain di!!erent colour !abric sam"le* sewing threads* buttons* di!!erent ty"es o! labels* tags* stickers* linings* interlinings etc. The merchandiser make swatch card !or sending to the buyer !or a""roval* i! the !abric and accessories are not su""lied by the buyer. )om"aring with the main swatch card o r sam"le* a""roval is given by 1uality manager6general manager or related buying house. Then "roduction starts. 4watch card is hung in !ront o! the "roduction line during "rocess o! "roduction. I! it is used* then there is less "ossibility o! making mistakes by workers !or selecting inventories. 4cheduling: It is the "lanning regarding time to !ul!il the target as "er buyer
re1uirements6deadlines. 3or a merchandiser scheduling is very im"ortant !or shi""ing goods within a !ixed time. #e!ore "roduction* senior merchandiser* "roduction manager* 8) manager and unior merchandiser meet to set-u" a target. Then the unior merchandiser su""ly o rder sli"s to individual "roduction units. They monitor "roduction and re"ort to the senior merchandiser. Inventory re"ort: Merchandiser in store section makes inventory re"ort !or a garment !actory. $hen the buyer gives a""roval to a " roduct* then the merchandiser determines the re1uired 1uantity o! !abrics* accessories ;button* elastic* zi""er etc.5 and yarn !or "roduction. They collect those raw materials !rom su""liers or im"orters. !ter* buying or collecting those raw materials* inventory re"ort insures 1uantity o! raw materials individually in the store section as "er order and received 1uantity. 8uality o! a good merchandiser: merchandiser must "ossess the !ollowing 1ualities: i5 +ood command over nglish and ade1uate knowledge o! technical terms !or accurate and e!!icient communication ii5 good knowledge o! !ibre* yarn* !abric* dyeing* "rinting* !inishing* dyes* colour!astness* garment "roduction* etc iii5 clear conce"tion o! the usual "otential 1uality "roblems in the garment manu!acturing iv5 good knowledge o! the usual raw materials ins"ection systems and garment ins"ection systems v5 knowledge o! the 1uota system used in each o! the "roducing countries* duty rates* customs regulations* shi""ing and banking documentations etc. merchandiser is he6she who builds u" relationshi" with the buyers and acts as a seller. [email protected]
