The Client:

An international retailer and wholesaler of upscale accessories

The Issue:

Develop a market and merchandising strategy to revitalize the Company’s core business after a period of severe decline due to aging consumer and international economic recession.

Capture the “youth” market for accessories as part of the market strategy.

The Approach:

Interviewed corporate, divisional, merchandising, and store management at multiple levels to gain internal view of the business and its issues.

Assessed market, consumer, and competitive trends, including many store checks, and revealed consumer attitudes and behavior towards the brand and stores through qualitative and quantitative consumer research.

Conducted a trade assessment with key accounts / prospects in important wholesale distribution channels, meeting with senior retail executives as well as buyers.

Identified and evaluated strategic alternatives for growth: core business internal expansion; new store concepts; category expansion; acquisition; etc.

Worked with management to develop key elements of market and merchandising strategy: Company mission and business strategy, brand target audience, frame of reference, core positioning, ‘fashion’ point of view, product assortments and priorities, pricing strategy, distribution channel strategy, marketing communications, etc.

The Result:

Business stabilized and grew dramatically from $550 million to $3 billion over 10 years, fueled by a younger consumer segment. Company went public in 2000 and enjoyed 25x share price appreciation.