6-MONTH BUYING PLAN JACQUELINE MILLER - ARIEL CHANG - GAGE DAUGHDRILL - JIAMIN YAN
UNIQLO. MADE FOR ALL It doesn’t matter who you are or where you live, UNIQLO makes clothes that transcend all categories and social groups. Our clothes are made for all, going beyond age, gender, occupation, ethnicity and all the other ways that define people. Our Clothes are simple and essential yet universal, so people can freely combine them with their own unique styles, in any way they choose, every day of the year. Everything we do is rooted deeply in our Japanese origin, always aspiring to excellence in quality, design, and technology. However, we will always ensure that our clothes are affordable and accessible to everyone. UNIQLO is a way of thinking that’s about constant change, diversity, and challenging conventional wisdom. At UNIQLO, we believe that everyone can benefit from simple, well-designed clothes. Because if all people can look and feel better every day, then maybe the world can be a little better too.
Uniqlo is a unisex retail environment for the person starting their lasting wardrobe. They provide endless options of timeless, comfortable, and quality basics at an affordable price that will never go out of style. Uniqlo is a lifestyle brand that provides the necessities of life or “lifewear�. Clothes that speak your mind, now for the US customer.
UNIQLO STORY In 1984, Fast Retailing, headed by Tadashi Yanai, opened the first Uniqlo store in Hiroshima, Japan. Since then, the brand has evolved from a chain of roadside stores to an international leader in style, quality, and fun. It doesn’t matter who you are or where you live, Uniqlo makes clothes that transcend all categories and social groups. Our clothes are made for all, going beyond age, gender, occupation, ethnicity, and all other ways that define people. Our clothes are simple and essential yet universal, so people can freely combine them in their own unique style. As our founder says, “Uniqlo clothes are MADE FOR ALL–highly finished elements of style in clothes that suit your values wherever you live. This unique concept of clothes sets us apart from apparel companies whose sole purpose is the pursuit of fashion trends.”
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Can clothing change the world? Uniqlo not only believes it can. We’re already doing it.
U.S. OUTREACH Uniqlo first expanded into the United States in 2005 with three small stores in New Jersey. In 2006 they opened their first ever flagship store in SoHo of New York City and then expanded into San Francisco with the opening of its first West Coast flagship store in 2012. With 21 locations already in the US and over 18 more expecting to open by the end of 2014, the company has invested large amounts of money into their US expansion and is planning to generate $10 billion in annual sales from 200 stores by 2020.
5th Avenue Flagship, New York City
SoHo Flagship, New York City
San Francisco Flagship, California
WORLDWIDE BRANDING Uniqlo is a multi million dollar business operating more than 1,400 stores in 16 countries worldwide (majority in Japan with 99 in Tokyo). Uniqlo is an in-house business including their own global manufacturing and retail locations. Sales in 2014 reported to be around 12.4 billion. Through international marketing and branding techniques and store expansion, Uniqlo plans to see international sales almost double that of sales in their home stores in Japan. One strategy that the company plans to utilize is marketing the functionality of their products. While their brand awareness is 100% in Japan and growing in other countries, informing customers on the high functionality and top quality of their clothing is what they hope to achieve to set an everlasting relationship with their customers and to set them apart from their competitors.
PRIMARY DEMOGRAPHIC Gender/Race: Male/Female, all races Age: 18-24 Education: Undergraduate and above Occupation: College student or new to workforce Income: $10,000-$24,000 VALS: Strivers, Makers, and Believers Our primary demographic has a desire for basic, staple pieces that are classic, stylish, and versatile. They are beginning to enter their professional lives and need sophisticated pieces that are timeless and comfortable yet affordable. This demographic has a youthful, passionate attitude towards life and needs a wardrobe to fit their lifestyle.
SECONDARY DEMOGRAPHIC Gender/Race: Male/Female, all races Age: 25-35 Education: Undergraduate and above Income: $25,000-$60,000 VALS: Thinkers, Achievers, and Experiencers Our secondary demographic has a desire for well-designed, high quality casual wear that creates a sophisticated look and cosmopolitan feel. They have professional careers and live busy, active lifestyles. This demographic pays attention to current trends in fashion but does not feel the need to follow these trends. They look for stylish, versatile pieces that can be easily incorporated into their wardrobes and are appropriate for both their professional and social lives. They also look for quality fabrics and comfortable basics.
COMPETITORS H&M has very similar price points and on-hand stock. Zara’s quality and sleek, professional basics are similar to Uniqlo. Gap has similar price points, fabric quality, and aesthetic. These competitors are all established brands in the United States with prominent brand recognition which Uniqlo is in the process of striving towards as they continue to grow in the US.
SIMILAR PRICE RANGE
QUALITY
PRODUCT RANGE WOMENS, MENS, CHILDREN, ACCESSORIES
OFFERS BASICS
SIMILAR DESIGN AESTHETIC
STRENGTHS Uniqlo is a worldwide brand spanning to 16 countries with thousands of stores, including their recent expansion to the United States. Their “Made For All” marketing tool appeals to anyone and everyone due to their variety in color, sizing, and styles. The retailer’s constant inventory is comprised of classic silhouettes that provide the essentials in starting a wardrobe.
STRENGTHS Lower price point for the “up-and-comer� Their price point is low enough for the person new to the work force and trying to look professional Not trendy, but classic Services The welcoming environment keeps customers inside the store longer Quality fabric Their clothes are made at quality manufacturers and with quality fabrics. Extremely sellable items Technology App for phones, helpful and innovative for the Uniqlo lifestyle Collaborations They have collaborations with up-and-coming designers to serve the customer willing to take fashion risks
SIMPLY UNIQLO UNIQLO’S BEST BASICS
EXTRA FINE MERINO CREW NECK CARDIGAN & SWEATER
ULTRA LIGHT DOWN VEST
FLUFFY FLEECE LONG SLEEVE FULL ZIP JACKET
OXFORD LONG SLEEVE SHIRT
LEGGINGS PANTS
ANKLE LENGTH PANTS
MADE FOR ALL VARIETY OF FIT & SELECTION
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It doesn’t matter who you are or where you live, Uniqlo makes clothes that transcend all categories and social groups. Our clothes are made for all, going beyond age, gender, occupation, ethnicity, and all other ways that define people.
UNIQLO TECHNOLOGY ENHANCED FABRICS
INCREDIBLY LIGHT AND WARM
HEAT OF ADSORPTION Heattech absorbs body moisture then retains heat to keep you warm.
HEAT RETENTION Air pockets retain body warmth and heat generated through moisture absorption.
STRETCHABLE COMFORT We developed a knitted fabric with enhanced stretch for increased comfort.
ANTI-STATIC Because of the moisture retention feature, the fabric reduces static electricity.
SOFT TEXTURE Camellia oil, often used in cosmetics, is woven into the fabrics for a softer feeling on the skin.
ODOR CONTROL Heattech fabric minimizes odor from perspiration.
TEXTURE Ultra-fine fibers feel soft and smooth on your skin.
SHAPE MAINTAINING Highly resilient and durable, Heattech maintains its shape even after repeated washing.
COLLABORATIONS INES DE LA FRESSANGE
FALL/WINTER 2014 COLLECTION
FLANNEL PRINTED LONG SLEEVE SHIRT
TRENCH COAT
EXTRA FINE MERINO STRIPED SWEATER
DENIM LONG SLEEVE DRESS
STRAIGHT PANTS
SUPIMA COTTON LONG SLEEVE BOAT NECK T-SHIRT
WOOL SCARF
COLLABORATIONS
“URBAN SWEATS” BY ALEXANDRE PLOKHOV
WOMEN URBAN SWEAT PONCHO
WOMEN URBAN SWEAT HIGH NECK LONG SLEEVE PULLOVER
WOMEN URBAN SWEAT LONG SLEEVE PULLOVER
WOMEN URBAN SWEAT LONG SLEEVE BLOUSON
WOMEN URBAN SWEAT PANTS
MEN URBAN SWEAT FULLZIP JACKET
MEN URBAN SWEAT FULLZIP JACKET
MEN URBAN SWEAT PULLOVER HOODIE
MEN URBAN SWEAT SHIRT
WOMEN URBAN SWEAT LONG SLEEVE DRESS
COLLABORATIONS PURE BLUE JAPAN PROJECT
WOMEN PURE BLUE JAPAN WOMEN PURE BLUE JAPAN DENIM STRIPE LONG SLEEVE DENIM CROPPED LONG LONG SHIRT SLEEVE SHIRT
MEN PURE BLUE JAPAN INDIGO CHECK LONG SLEEVE SHIRT
MEN PURE BLUE JAPAN INDIGO DIP DYED LONG SLEEVE SHIRT
WOMEN PURE BLUE JAPAN WASHED CREW NECK HALF SLEEVE CROPPED T
WOMEN PURE BLUE JAPAN STRIPE CREW NECK 3/4 SLEEVE LENGTH T
WOMEN PURE BLUE JAPAN RELAXED SKINNY FIT TAPERED JEANS
MEN SLUB STRIPED CREW NECK SHORT SLEEVE T-SHIRT 2
MEN SLUB STRIPED CREW NECK SHORT SLEEVE T-SHIRT
MEN PURE BLUE JAPAN LOOSE FIT TAPERED JEANS
UNIQLO LIFE TOOLS MOBILE APPLICATIONS
UNIQLO X ACTIVEWEAR
CULTURAL TRENDS FITNESS TECH ACCESSORIES
RUNWAY TRENDS FITNESS IN FASHION
PACO ROBANNE
TOPSHOP UNIQUE
CARVEN
ALEXANDER WANG
JEAN PAUL GAULTIER
YOUTH MOVEMENT HEALTHY LIFESTYLE
Leading an active and healthy lifestyle has become a trend with the rise of fitness gadgets, fitness-tracking apps, fashionable activewear, popular diets and healthy food products such as juice cleanses, coconut products, and nutritional grains and seeds (flax, chia, etc.). This health movement influences our target customer to lead a healthier, active lifestyle, therefore leading to larger sales in activewear. With Uniqlo’s Heattech and Airism technologies, higher quality products, and affordable price points, our health conscious customer will find what they need at Uniqlo to fit their active lifestyle.
TARGET CUSTOMER THE MILLENNIAL
Age: 18-24 years old Activewear provides the flexibility and convenience, along with style and comfort that the Millennial are accustomed to, in order to make living a healthier lifestyle easier.
SPECIFIC COMPETITORS Gapfit is a competitor because it is a subsidiary of one of Uniqlo’s major competitors, Gap. They have very similar price points, material quality, and demographic with a strong online and brick-and-mortar presence. But they have a very weak brand identity. Athleta has a range of activewear from gear for yoga to snowboarding and even carries fashion dresses, shoes, and accessories. They have a very large product category with somewhat of a higher price point than Uniqlo and has a strong online presence as well as over 80 brick-and-mortar locations. Athleta also has a fairly strong brand identity and communicates with their customers through their strong blog presence. Under Armour is a very established brand that serves an extremely broad range of sports from basketball, yoga, and snowboarding to hunting, golf, and military. They have a very strong brand identity being one of the top athleticwear companies, and has a great retail environment aesthetic. Their price points are slightly higher than Uniqlo but has a very similar demographic.
Lululemon Athletica has a popular brand identity for being known for their comfortable, flattering activewear. They have a wide range of products for both men and women that are great quality and have a higher price point than Uniqlo. Overall they have a very strong brand identity and strong presence online as well as their brick-and-mortar locations. Nike is the strongest activewear competitor overall with their extremely established brand and global recognition. They cater to all sports and activities and are constantly developing new, innovative products. They have a similar price point as Uniqlo as well as product variety and innovative textile technology. Nike is a huge competitor overall.
UNIQLO OPPORTUNITY Activewear has become a significant fashion trend in society in correlation with the youth movement and is continuing to grow within the industy. This addition would fit very well into the Uniqlo brand with their “Made For All” philosophy making “clothes that transcend all categories and social groups”. Uniqlo has a competitive advantage of offering a vast selection of styles, fits, and colors while maintaining a low and affordable price point. They differentiate themselves from other retailers in the market by not following trends and take pride in the fact that they offer timeless pieces and basic items suited for everyone. By incorporating activewear into their product mix, they can offer a wide variety of styles, fits, and colors at a lower price point than their competitors, as well as integrate their popular Heattech and Airism textile technology. Therefore, Uniqlo would greatly benefit with this buy and is an opportunity for them to enhance their United States expansion.
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At UNIQLO, we believe that everyone can benefit from simple, well-designed clothes. Because if all people can look and feel better every day, then maybe the world can be a little better too.
PRODUCT CATEGORIES UNIQLO ACTIVEWEAR
PRODUCT DEVELOPMENT PROTOTYPE
INTRODUCING! UNIQLO ACTIVEWEAR SPRING 2015
CORPORATE 6-MONTH BUYING PLAN WOMEN’S ACTIVEWEAR - SPRING 2015
PLAN. NET SALES, SPRING 2015 EST. NET SALES, SPRING 2015 PLAN % LAST YEAR AVERAGE STOCK, RETAIL INVENTORY TURNOVER
7,000.0 0 n/a 3090.3 2.27
PLANNED REDUCTIONS, $
1120.0
REDUCTION % SALES
16.00%
PLAN IMU %
60.00%
FEBRUARY
MARCH
APRIL
MAY
JUNE
JULY
SPRING 2015
NET SALES
1050.0
1260.0
1190.0
1190.0
1260.0
1050.0
7000.0
% SPRING
15.00%
18.00%
17.00%
17.00%
18.00%
15.00%
100.00%
PLAN BOM STOCK
2940.0
3276.0
3213.0
3213.0
3150.0
2940.0
3090.3
2.8
2.6
2.7
2.7
2.5
2.8
PLAN EOM STOCK
3276.0
3213.0
3213.0
3150.0
2940.0
2900.0
PLAN REDUCTIONS
156.8
179.2
168.0
224.0
224.0
168.0
1120.0
% SPRING
14.00%
16.00%
15.00%
20.00%
20.00%
15.00%
100.00%
PURCHASES, RETAIL
1542.8
1376.2
1358.0
1351.0
1274.0
1178.0
8080.0
PURCHASES, COST
617.1
550.5
543.2
540.4
509.6
471.2
3232.0
STOCK/SALES RATIO
PLAN. NET SALES, SPRING 2015 EST. NET SALES, SPRING 2015 PLAN % LAST YEAR
LOCATION FOCUS
AVERAGE STOCK, RETAIL INVENTORY TURNOVER
HILLSDALE SHOPPING CENTER SAN MATEO, CA
FEBRUARY
PLANNED REDUCTIONS, $
250.0 0 n/a 125.8 1.99 40
REDUCTION % SALES
16.00%
PLAN IMU %
60.00%
MARCH
APRIL
MAY
JUNE
JULY
SPRING 2015
NET SALES
37.5
45.0
42.5
42.5
45.0
37.5
250.0
% SPRING
15.00%
18.00%
17.00%
17.00%
18.00%
15.00%
100.00%
116.3
126.0
127.5
131.8
135.0
123.8
125.8
3.1
2.8
3.0
3.1
3
3.3
PLAN EOM STOCK
126.0
127.5
131.8
135.0
123.8
120.0
PLAN REDUCTIONS
5.6
6.4
6
8
8
6
40.0
14.00%
16.00%
15.00%
20.00%
20.00%
15.00%
100.00%
PURCHASES, RETAIL
52.9
52.9
52.8
53.8
41.8
39.8
293.8
PURCHASES, COST
21.14
21.16
21.1
21.5
16.7
15.9
117.5
PLAN BOM STOCK STOCK/SALES RATIO
% SPRING
PLAN. NET SALES, SPRING 2015 EST. NET SALES, SPRING 2015 PLAN % LAST YEAR AVERAGE STOCK, RETAIL
1400.0 0 n/a
LOCATION FOCUS
553.8
INVENTORY TURNOVER
2.53
PLANNED REDUCTIONS, $
224
REDUCTION % SALES
16.00%
PLAN IMU %
60.00%
FEBRUARY
5TH AVENUE FLAGSHIP, NEW YORK CITY
MARCH
APRIL
MAY
JUNE
JULY
SPRING 2015
NET SALES
210.0
252.0
238.0
238.0
252.0
210.0
1400.0
% SPRING
15.00%
18.00%
17.00%
17.00%
18.00%
15.00%
100.00%
525.0
579.0
571.2
571.2
579.6
525.0
553.8
2.5
2.3
2.4
2.4
2.3
2.5
PLAN EOM STOCK
579.0
571.2
571.2
579.6
525.0
525.0
PLAN REDUCTIONS
31.4
35.8
33.6
44.8
44.8
33.6
224.0
14.00%
16.00%
15.00%
20.00%
20.00%
15.00%
100.00%
PURCHASES, RETAIL
296.0
279.4
271.6
291.2
242.2
243.6
1624.0
PURCHASES, COST
118.38
111.78
108.64
116.48
96.88
97.44
649.6
PLAN BOM STOCK STOCK/SALES RATIO
% SPRING
ASSORTMENT PLAN WOMEN’S ACTIVEWEAR
PLANNED PURCHASES, RETAIL AVERAGE RETAIL PRICE SIZES
$8,080,000 $43
TOTAL %
PURCHASES $
CLASSIFICATION TOTAL %
PURCHASES $
XS
8%
$646,400
BOTTOMS
22%
$1,777,600
S
22%
$1,777,600
BRAS
15%
$1,212,000
M
27%
$2,181,600
TOPS
23%
$1,858,400
L
20%
$1,616,000
OUTERWEAR
15%
$1,212,000
XL
15%
$1,212,000
ACCESSORIES
10%
$808,000
XXL
8%
$646,400
DOWN JACKETS
15%
$1,212,000
100%
$8,808,000
100%
$8,080,000