CUSP by jenna weisberg

J E N N A

SPRING 2013

BUYING PLAN

W E I S B E R G

TABLE OF CONTENTS

ABOUT US:

STORE PROFILES:

CUSTOMER PROFILES:

SIX-MONTH BUSINESS PLAN:

STOCK ASSORTMENT PLAN:

MARKET PURCHASES AND JUSTIFICATIONS:

SIX-MONTH MARKETING PLAN:

Enabling you to experience fashion with an, “I MUST have it!” reaction is CUSP’s vision. If you look at a garment and feel that you need it, rather than just want it, or you think that it is stunning, rather than simply stylish, that’s CUSP. Sensing this desire for a more contemporary shopping environment, Neiman Marcus founded CUSP—its “edgy little sister,”—in the fall of 2006. With a balance of classicism and modernity, CUSP projects a chic and elegant ambiance that is captivating to a girl who is enthusiastic about what’s prevalent in fashion. A CUSP girl maintains this balance between refinement and progression, always keeping her style on the cusp. Whether dressing for work or play, CUSP provides the latest trends in apparel, handbags, accessories and shoes from a large selection of designer labels. Such designers include Alice + Olivia, Diane von Furstenberg, Free People, French Connection, Halston Heritage, J Brand Jeans, Joie, Marc Jacobs, Michael Kors and Vince.

STORE PROFILES Tysons Corner Center Westfield Century City Northbrook Court

LOCATIONS

TYSONS CORNER CENTER 1961 Chain Bridge Rd. Tysons Corner, VA 22102 (703) 847-7300

WESTFIELD CENTURY CITY 10250 Santa Monica Boulevard Los Angeles, CA 90067 (310) 277-3898

NORTHBROOK COURT 2171 Northbrook Court Northbrook, IL 60062 (847) 277-3898

TYSONS CORNER CENTER RETAIL INFLUENCE: Consisting of renowned department stores such as Bloomingdale’s, Nordstrom, Lord & Taylor, and Macy’s, as well as over 300 specialty shops and restaurants, Tysons Corner Center provides a shopping and dining experience with a vibrant spirit. With this alluring mix, Tysons has an impressive retail reputation for offering the newest concepts and the latest names. Close to everything in Fairfax County, and just 13 miles from the nation’s capital, Tysons is a favorite for locals, and is a retail monument that draws visitors from all over the world. CUSP: Opened on September 27, 2006

TYSONS CORNER CENTER GENERAL INFORMATION: POPULATION: HOUSING UNITS: LAND AREA: WATER AREA: MEDIAN HOUSEHOLD INCOME:

18,607 9,126 10.73 Sq. Mi. 0.03 Sq. Mi. $82,405

ECONOMIC INDICATORS: HOUSEHOLD INCOME < $10,000

3.9%

$10,000 - $14,999

1.6%

$15,000 - $24,999

4.4%

$25,000 - $34,999

4.3%

$35,000 - $49,999

10.7%

$50,000 - $74,999

20.5%

$75,000 - $99,999

14.7%

$100,000 - $149,999

16.5%

$150,000 - $199,999

7.9%

$200,000+

15.5%

*The majority of the population’s household income is somewhere between $50,000 and $149,00, or $200,000+.

OCCUPATION

(Among Employed Persons Over 16) Mgt./Professional

72.6%

Service

6.8%

Sales/Office

17.7%

Farm/Fishing/Forestry

0.2%

Construction/Extraction/Maint. 1.3% Production/Transportation

1.4%

UNEMPLOYED/POVERTY Unemployed

1.4%

Below Poverty Line

4.7%

*A vast majority of the population has a management/professional occupation, and about one-sixth of the population has a sales/office occupation. 7

TYSONS CORNER CENTER DEMOGRAPHICS: RACE 0.2%

0.1% 3.9%

5.4%

Hispanic/Latino White

15.7%

Black

2.7%

Asian Hawaiian/Pacific Islander Multiracial 71.8%

Other

*A vast majority of the population is White, and about one-sixth of the population is Asian.

AGE BY GENDER MALE Age (Years)

% of Males

FEMALE % of All

% of Females

% of All

0-9

10.7%

5.1%

9.3%

4.8%

10-19

11.5%

5.6%

10.6%

5.5%

20-29

16.2%

7.8%

16.1%

8.3%

30-39

16%

7.7%

16.1%

8.3%

40-49

15.9%

7.7%

16.4%

8.5%

50-59

14.4%

14.9%

7.7%

60-69

8.2%

3.9%

4.2%

70-79

5.3%

2.5%

6.4%

3.3%

80+

1.9%

0.9%

2.2%

1.2%

All Ages

48.2%

51.8%

Median Ages

37.1 yrs.

38.8 yrs.

*The population’s genders are just about 50/50 male and female. A majority of the females are between the ages of 20 and 49.

STORE PROFILE COMPARISONS

POPULATION 40,392"

50,000"

*Northbrook, IL has the highest population and, therefore, that location will carry more merchandise than the other two.

40,000" 30,000"

18,607"

20,000"

2,524"

10,000" 0" Tysons" Corner,"VA"

Los"Angeles," Northbrook," CA" IL"

HOUSEHOLD INCOME 25.0%$ 20.0%$ 15.0%$ 10.0%$ 5.0%$

br oo

k,$ IL

CA $

s$A ng el es ,$

No rth

Ty so

or ne r,$ V

0.0%$

*Los Angeles, CA has the highest percentage of a household income of $200,000+. Therefore, that location will carry more of the higher priced dresses than the $50,000=$74,000$ other two. $100,000=$149,000$ *Northbrook, IL has the widest $200,000+$ range of household income and, therefore, that location will carry dresses with a wider range of price points than the other two. *Tysons Corner, VA has the highest percentage of a household income of $50,000-$74,000 and, therefore, that location will carry more of the lower priced dresses than the other two.

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STORE PROFILE COMPARISONS

OCCUPATION 80.0%$ 60.0%$ 40.0%$

Mgt./Professional$ Sales/Oﬃce$

20.0%$

Ty so

or ne r,$ V

A$ s$A ng el es ,$C A$ No rth br oo k,$ IL$

0.0%$

RACE 71.8%$

85.5%$

83.8%$

White$ Asian$

$ k,$ IL ro o

No rth b

s$A ng el es ,$

or ne r,$ V $C ns Ty so

CA $

Hispanic/LaIno$

90.0%$ 80.0%$ 70.0%$ 60.0%$ 50.0%$ 40.0%$ 30.0%$ 20.0%$ 10.0%$ 0.0%$

*Tysons Corner, VA has the highest percentage of mgt./professional occupations and the lowest percentage of sales/office occupations. Therefore, that location will carry more of the classic and sophisticated work dresses, and less of the trendier work dresses than the other two. *Los Angeles, CA and Northbrook, IL have similar percentages of mgt./professional and sales/office occupations. Therefore, they will have a wider range of work dresses.

*The populations of all three locations have similar high percentages of Whites. Therefore, they will all carry dresses that are mostly basic colors. *All three locations have a small, yet prevalent, percentage of Asians. Therefore, they will all carry a select amount of dresses in brighter tones. *All three locations also have a small percentage of Hispanics/Latinos. Therefore, they will all carry a select amount of dresses in jewel tones.

CUSTOMER PROFILES Tysons Corner, Virginia Los Angeles, California Northbrook, Illinois

TYSONS CORNER, VIRGINIA PSYCHOGRAPHICS As one of the United States original 13 colonies, the birthplace of eight U.S. presidents, a former member of the Confederacy, and the occupant of Washington D.C., the state of Virginia both encumbers and embraces a rich cultural and political history. While Virginia was once a largely rural, politically Southern and conservative state, the modern era has seen it shift into a more urbanized, pluralistic, and politically moderate environment. This environment is noteworthy for having an educational system that consistently ranks in the top ten states on the U.S. Department of Education’s National Assessment of Educational Progress, with students outperforming the average in all subject areas and grade levels tested. With such prevalence in education and culture, CUSP recognizes the intelligence and sophistication of the Tysons Corner customer. This girl is more composed and cares about fitness. She enjoys tranquil activities such as reading and yoga. She goes horseback riding and whitewater-rafting during the summertime, and ice skates in the wintertime. And, of course, this girl enjoys shopping with her girlfriends year round.

The Tysons Corner CUSP location provides this particular customer with items that suit her serene lifestyle. When she isn’t in workout clothes, a wetsuit, or horseback riding gear, this girl is clad in trendy but refined attire. She likes to show off her figure, but does so in a modest manner. Her style is comprised of monochromatic garments, simple prints, and basic skinny jeans. However, she likes to mix it up a bit when going out on a date, or out for girls’ night, but she still keeps it classy.

TYSONS CORNER, VIRGINIA DEMOGRAPHICS GEOGRAPHIC: REGION: East Coast CITY SIZE: 18,607 POPULATION DENSITY: 1,733.85 CLIMATE: Temperate DEMOGRAPHIC: AGE: 20-29 GENDER: Female HOUSEHOLD SIZE: 2-3 HOUSEHOLD INCOME: $50,000-$120,000 OCCUPATION: Management/Professional, Sales/Office EDUCATION: College Student or College Graduate SOCIOCULTURAL: CULTURE: American RELIGION: Predominantly Christian and Protestant NATIONAL ORIGIN: Predominantly German, English, Irish, American, and Sub-Saharan African RACE: Predominantly White, or Asian SOCIAL CLASS: Middle-Class, Upper Middle-Class, or Upper Class MARITAL STATUS: Single or Married

LOS ANGELES, CALIFORNIA PSYCHOGRAPHICS With significant diversity in geography and culture, America’s third most extensive state, California, is occupied with an assortment of scenic landscapes—both natural and manmade—and residents—both famous and not famous. This juxtaposition of authentic and artificial, and legendary and ordinary, has long been a subject of interest to those that reside beyond the Golden State’s boundaries. California’s paradise ambiance exudes a laid-back image that contradicts the hubbub of its Hollywood counterpart, yet both are enticing for their portrayal of different aspects of glamor. As a result, this contradictory—yet alluring—environment causes it to be a source of artistic inspiration and creative expression. The state’s most populous city, Los Angeles, is generally considered to be the “Creative Capital of the World,” due to the fact that one in every six of its residents works in a creative industry. CUSP celebrates this ingenious lifestyle of the Los Angeles customer. CUSP’s Los Angeles girl is carefree and outgoing. She tends to be the life of the party when socializing at events or enjoying the city’s nightlife. Her dream is to work in public relations

for a fashion label. During her down time, this girl flips through her fashion magazines while soaking up the sun at the beach. When she isnâ&#x20AC;&#x2122;t spending her money at the mall, this girl likes to visit art museums and check out independent films. The Los Angeles CUSP location provides items that suit her exciting lifestyle. You will never find this girl is something plain. She prefers printed tops and trendy bottoms. Bright colors in spring/summer, and jewel tones in fall/winter essentially make up the color pallet of her wardrobe. She will only wear black if it has embellishments, leather details, or some other contrasting element. Either way, this girl likes to make a statement.

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LOS ANGELES, CALIFORNIA DEMOGRAPHICS GEOGRAPHIC: REGION: West Coast CITY SIZE: 2,524 POPULATION DENSITY: 8,283.75 CLIMATE: Hot or Temperate DEMOGRAPHIC: AGE: 20-29 GENDER: Female HOUSEHOLD SIZE: 3-4 HOUSEHOLD INCOME: $100,000-$149,000 or 200,000+ OCCUPATION: Management/Professional, Sales/Office EDUCATION: College Student or College Graduate SOCIOCULTURAL: CULTURE: American RELIGION: Predominantly Catholic and Protestant NATIONAL ORIGIN: Predominantly Mexican, German, Irish, English, and Italian RACE: Predominantly White, Asian, and Hispanic/Latino SOCIAL CLASS: Upper Middle-Class or Upper-Class MARITAL STATUS: Single or Married

NORTHBROOK, ILLINOIS PSYCHOGRAPHICS Often noted as a microcosm of the entire country, Illinois displays a broad economic base with Chicago in the northeast, small industrial cities and great agricultural productivity in central and northern areas, as well as natural resources such as coal, timber and petroleum in the south. Coupled with that is Illinois’s recognition as a national Amtrak and transportation center. Nearly ever North American railway meets at Chicago, making it the largest and most active hub in the country. Similarly, O’Hare International Airport has been ranked as one of the world’s busiest airports, with destinations to over 100 locations. As a result, Illinois has long had a reputation for being a bellwether in social, cultural, and political terms. Illinois’s economic and travel-based attributes are displayed in the state’s northern suburb, Northbrook. The village’s local mall, Northbrook Court, is its seventh top employer. Northbrook has a very affluent population whose residents enjoy travelling, fine dining, and shopping. CUSP’s Northbrook location provides suitable garments that fit the luxurious needs of its particular customer base.

The Northbrook CUSP girl is privileged with a significant disposable income, but is still humbled by her advantages. She never takes things for granted, and likes to live life to the fullest. This girl enjoys travelling the world and being exposed to different cultures. Other than shopping, her favorite extracurricular activity is dancing. She likes to dabble in different genres, and displays a well-rounded character. She doesn’t have one set style. Rather, she chooses her clothes based on what makes her feel her best on a given day. She likes a wide range of colors, from light to dark, and bright to muted. Pairing an intricate top with basic jeans is her goto look if she can’t decide what to wear.

NORTHBROOK COURT DEMOGRAPHICS GEOGRAPHIC: REGION: Midwest CITY SIZE: 40,392 POPULATION DENSITY: 2,217.93 CLIMATE: Seasonal Warm/Cold DEMOGRAPHIC: AGE: 16-25 GENDER: Female HOUSEHOLD SIZE: 2-5 HOUSEHOLD INCOME: $75,000-$200,000+ OCCUPATION: Unemployed, Management/Professional, or Sales/Office EDUCATION: High School, College, or College Graduate SOCIOCULTURAL: CULTURE: American RELIGION: Predominantly Catholic or Jewish NATIONAL ORIGIN: Italian, Irish, Russian, Chinese, or Japanese RACE: Predominantly White or Asian SOCIAL CLASS: Upper Middle-Class, Upper-Class MARITAL STATUS: Single or Married

SIX-MONTH BUSINESS PLAN

STOCK ASSORTMENT PLAN

STOCK ASSORTMENT PLAN CLASSIFICANT PERCENT BREAKDOWN CLASS

FEB

Daytime(Dress Little(Black(Dress Maxi(Dress Party(Dress Work(Dress (((Total

MAR

2% 28% 2% 42% 26% 100%

APR

2% 30% 3% 45% 20% 100%

MAY

3% 23% 5% 32% 37% 100%

JUNE

20% 8% 20% 16% 36% 100%

26% 2% 25% 15% 32% 100%

JUNE

JULY

40% 2% 30% 15% 13% 100%

Plan - This Year Plan

DAYTIME DRESSES FEB

Beg.Month*Stock Sales Purchases **10%*Reserve **Amount*To*Spend End*Month*Stock

MAR

APR

2.8 1.1 4.2 0.42 3.8 5.552

5.6 2.1 0.6 0.06 0.6 3.27

MAY

4.9 1.8 2.9 0.29 2.6 5.454

36.4 13.5 21.8 2.18 19.7 34.44

44.8 16.6 14.4 1.44 13.0 35.802

Total

55.1 1.0 7.9 0.79 7.1 39.84

149.5 36.0 51.9 5.19 46.7 124.358

LITTLE BLACK DRESSES Plan - This Year Plan

Beg.Month*Stock Sales Purchases **10%*Reserve **Amount*To*Spend End*Month*Stock

FEB

MAR

APR

39.8 14.7 58.7 5.87 52.85 77.7

83.3 30.8 9.5 0.95 8.58 49.1

MAY

37.6 13.9 22.5 2.25 20.25 41.8

JUNE

14.5 5.4 8.7 0.87 7.86 13.8

JULY

3.4 1.3 1.1 0.11 1.00 2.8

Total

2.8 1.0 0.4 0.04 0.36 2.0

181.4 67.2 101.0 10.1 90.9 187.1

MAXI DRESSES Plan - This Year Plan

FEB

Beg.Month*Stock Sales Purchases **10%*Reserve **Amount*To*Spend End*Month*Stock

MAR

APR

2.8 1.1 4.2 0.42 3.77 5.6

8.3 3.1 1.0 0.10 0.86 4.9

MAY

8.2 3.0 4.9 0.49 4.40 9.1

JUNE

36.4 13.5 21.8 2.18 19.65 34.4

JULY

43.0 15.9 13.8 1.38 12.46 34.4

Total

41.3 15.3 5.9 0.59 5.34 29.9

140.1 51.9 51.7 5.2 46.5 118.3

PARTY DRESSES Plan - This Year Plan

FEB

Beg.Month*Stock Sales Purchases **10%*Reserve **Amount*To*Spend End*Month*Stock

MAR

APR

59.7 22.1 88.1 8.81 79.27 116.6

124.9 46.3 14.3 1.43 12.87 73.6

MAY

52.3 19.4 31.3 3.13 28.18 58.2

JUNE

29.1 10.8 17.5 1.75 15.72 27.6

JULY

25.8 9.6 8.3 0.83 7.48 20.7

Total

20.7 7.7 3.0 0.30 2.67 14.9

312.5 115.7 162.4 16.2 146.2 311.5

WORK DRESSES Plan - This Year Plan

FEB

Beg.Month*Stock Sales Purchases **10%*Reserve **Amount*To*Spend End*Month*Stock

MAR

APR

36.9 13.7 54.5 5.45 49.07 72.2

55.5 20.6 6.4 0.64 5.72 32.7

MAY

60.5 22.4 36.2 3.62 32.58 67.3

JUNE

65.5 24.2 39.3 3.93 35.37 62.0

JULY

55.1 20.4 17.7 1.77 15.95 44.1

Total

17.9 6.6 2.6 0.26 2.31 12.9

291.4 107.9 156.7 15.7 141.0 291.1

PURCHASE RESULTS

FEB

Amount'to'Spend Amount'Spent ''Net

MAR

APR

188.8 188.3 0.5

28.6 27.9 0.7

MAY

88.0 88.4 80.4

JUNE

98.3 97.8 0.5

JULY

49.9 49.9 0.0

Total

17.8 17.4 0.4

471.4 469.7 1.7

MARKET PURCHASE JUSTIFICATIONS

MARKET PURCHASE JUSTIFICATIONS FEBRUARY

With the cold weather, dresses with longer sleeves or heavier fabrics were purchased. Some dresses have shorter sleeves, but heavier fabrics, so that they can be layered. There are mainly darker colors, but there are a few neutral tones and lighter shades to provide a well-rounded color palette that corresponds with the winter season. Some have embellishments or textured fabrics to add to the simplicity of their shapes. The purchases are predominantly party dresses, work dresses, and little black dresses. There are minimal daytime and maxi dresses, due to the cold weather, but are still purchased for in case they are needed for travelling.

MARCH As the winter season begins to come to an end, dresses with shorter sleeves and slightly lighter fabrics are necessary. There are still some heavier fabrics for the colder days of the month. The color pallet is still predominantly darker shades, but there are also a few neutral tones and a splash of brights. The silhouettes are less simplistic and are more edgy. The purchases are still predominantly party dresses, work dresses, and little black dresses. Again, there are minimal daytime and maxi dresses, due to the cold weather, but are still purchased for in case they are needed for travelling.

APRIL With warmer weather approaching, the dresses are more colorful. Pastels, brights, and muted shades either stand alone, are colorblocked, or are combined in prints. The dresses are in either light-weight fabric or heavy fabric to accommodate the transitioning seasons. The purchases again

are predominantly party dresses, work dresses, and little black dresses. There are still minimal daytime and maxi dresses, for those warmer days.

MAY Now that warm weather has officially arrived, more brights and colorful prints are purchased. There is also some dresses that have natural or muted tones to provide a variety. Fabrics are even lighter and are loose-fitting. Sleeves are short and hems are raised. Purchases are now predominantly daytime and maxi dresses. There are also a lot of party dresses now that it is nice out.

JUNE As the warm weather reaches a peak, the dresses are even lighter in fabric. More brights and floral prints are seen. The silhouettes are still flowy and the hems and sleeves are still short. Strapless dress and skinny straps are seen as well. Purchases are still predominantly daytime and maxi dresses. There are also a lot of party dresses now that it is nice out. Work dresses are also prevalent for those that are applying for jobs in the fall.

JULY Brights, muted tones, light fabrics, and loose-fitting dresses are purchased to continue accommodating the warm weather. Similarly, there are more daytime and maxi dresses. Purchases are still predominantly daytime and maxi dresses. There are also a lot of party dresses now that it is nice out. Work dresses are also prevalent for those that are applying for jobs in the fall.

SIX-MONTH MARKETING PLAN

MONTH

OBJECTIVE

STRATEGY

TACTICS

FEBRUARY:

Increase store traffic during the week, and increase sales of winter merchandise before the season ends.

Host sales of up to 40% off

Winter Wonderland Sale February 18th

MARCH:

Promote spring/ summer merchandise

Host a trunk show

Spring Trunk Show Event

APRIL:

Focus on team training for summer merchandise

Hold a team meeting after store hours

Provide a prize for winner of activities

MAY:

Increase sales of daytime and maxi dresses

Host a sales

Summer Fun Sale May 20th

JUNE:

Increase store traffic

Host an event

In-Store Event

JULY:

Focus on team training

Hold a team meeting after store hours

Provide a prize for winner of activities

FEBRUARY Winter Wonderland Sale: To increase store traffic during the weekdays, and to increase sales of winter merchandise before the winter season ends, there will be a weeklong sale. From Monday, February 18th until Friday the 22nd, there will be a sale on winter merchandise of up to 40% off.

MARCH

Spring/Summer Trunk Show: To promote the upcoming spring/summer merchandise, there will be a weekend trunk show on Saturday, March 16th and Sunday the 17th. Those that come will get a 20% gift card to use once the dresses come into the store.

APRIL Team Training: To get the employees familiar with the new merchandise, as well as to touch base on store policies, employee progress and sales, and team building, there will be a team meeting of all employees after store hours on Sunday, April 7th. There will be activities for familiarizing with the merchandise. The winner will get a 50% discount on her dress of choice from the new merchandise.

MAY Summer Fun Sale: To increase sales of daytime and maxi dresses for summer, there will be a buy one/get one 30% off sale. This will take place from Monday, May 27th to Friday the 31st.

JUNE In-‐Store Event: To increase store traffic there will be an in-‐store event with makeovers, styling tips, and a gift with purchase of $300 or more. This will take place on Friday, June 21st.

JULY

Team Training: To plan the store layout and update progress reports of employees, there will be a team meeting held after store hours on Monday, July 8th. There will be activities for setting up the store’s windows. Whoever has the best set-‐up will get a 50% discount on any of store item.