Fleur de Lune Promotional Plan Project by Laura Schneider

Fleur de Lune

Laura Schneider

Danae Rittmann

Laura Hockemeyer

R315 Spring 2012 Final Project

Table of Contents About Fleur de Lune………………………………………… ....3 Merchandise……………………….……………………………4 The Fleur de Lune Customer……………………………………6 Retail Business Trends………………………….………….……7 Professional Input………………………………………………9 Sales Plan………………………………………………………15 Scheduling…………………………………………...…………21 Promotional Plan ……………………………….…...…………29 Human Resource Plan……………………….…………………34 Summary…………………………………….……………….....38 Works Cited……………………………………………………39

About Fleur de Lune Our Mission Fleur de Lune’s aim is to both create an atmosphere that encourages women to embrace their femininity, and to provide products that inspire intimacy and set a new standard for the quality and fit of lingerie.

About Us “Fleur de Lune” is the French translation for the English word “Moon Flower” - a beautiful, simple, and elegant flower that blooms as the moon lights the sky. Much like this flower, our designs are beautiful, soft, and feminine. During the most intimate setting of the night, Fleur de Lune’s creations encourage women to fully embrace their sensual side. Fleur de Lune is a luxury lingerie brand aimed at providing high quality products with an accent of intimacy. Our designs are tastefully seductive and exude femininity with a soft French flair. With a vast amount of product designs, Fleur de Lune closes the gap between great fit and great style.

Location The

Fleur

Lune

boutique

strategically located on Oak Street in Chicago, Illinois. More than seventy exclusive boutiques and salons, featuring the latest fashions from Paris, London and Milan, line Oak Street, which is located just off of the Magnificent Mile. A study led by the research team at University of California at Irvine found that residents of “traditionally designed” areas, with a downtownstyle shopping district, were three times more likely to travel on foot than those who live in newer, suburban-style neighborhoods with shops located along car-centric roadways (Schmitt, 2012). This is the ideal location for the boutique because of the constant flow of tourists as well as upper class women with a desire for luxury goods.

Merchandise Merchandise Line Fleur de Lune embraces consumersâ&#x20AC;&#x2122; ever-changing moods and styles to provide products that offer inspiration for creating the perfect sensual moment. Our lingerie encompasses beautiful designs, modern materials, and comfort, proving that glamour can permeate every aspect of life, even the most intimate. Our artisans use only the finest fabrics to construct the lingerie we offer, and our strong customer service guarantees a great experience. Our product prices range anywhere from $50 to $250 depending on the category and construction of the item. The line of lingerie includes bras, panties, slips/robes, garters/corsets, and hosiery. Our lingerie is organized by style into five different collections, which appeal to different tastes and moods. The collections include bridal, basics, and three new arrival fashions. Bras

Panties

Slips/Robes

Garters/Corsets

4 Â

Store Elements Fleur de Luneâ&#x20AC;&#x2122;s focus on intimacy and femininity are translated into every aspect of our boutique. Its soft colors, warm lighting, and French inspired

furnishings come

together

form

comfortable environment where ever woman can feel luxurious. The arrangement of merchandise within the store is organized according to the different categories and collections. Those categories include new arrivals, bridal, basics, hosiery, and bath and body products. Any remaining merchandise that has not been sold by the time new products are brought in are then moved to the table displays located at the back of the store.

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The Fleur de Lune Customer Target Market Fleur de Lune targets women in the Chicago area who are in their mid-twenties to midforties. They live an affluent lifestyle with an income greater than $60,000 per year, and enjoy spending money on luxuries and appearances.

A Typical Customer Kate Howard is a thirty-two year old magazine

editor

living

the

Gold

Coast

neighborhood of Chicago, Illinois. Kate is married with a two-year old daughter and, her husband, John, is a successful lawyer in the city. Since Kate has a full-time job as an editor for an important magazine, she maintains her appearance to keep up with the current trends that interest her. She is conscious of what constitutes “good style,” and frequently shops, dines out with the girls, and works out at the gym. Since Kate spends a considerable amount of time maintaining her look, she likes to feel pampered and beautiful when it comes to her lingerie selections. She prefers to have items that are sensual and functional, with emphasis on great fit and style. Fleur de Lune is a place that Kate would love to visit, not only for aesthetic beauty, but also for the excellent service and fit that our personal tailors provide

Retail Business Trends Spring 2012 Business Trends Trends in the economy, as well as in the retail industry in 2012 are the increasing popularity of shopping at local shops and small businesses, the demand for niche markets, and the increasing importance of creating a unique and personalized shopping experience. According to The Post and Courier, more and more people are shopping at nearby boutiques instead of well-known department stores. Todd Nixon, a resident of Charleston, South Carolina emphasized to reporters that he “always goes local” not only because it supports local businesses who may be struggling, but also because it gives him a more one-on-one shopping experience. “I support local businesses and I can get everything I want right here, without even crossing a river", said Nixon. Retailers are noticing this trend, as well. Marshall Simon, the owner of Gwynn's of Mount Pleasant, said locals have helped the boutique, which employs twenty-one people full-time, to have its best year in its forty-five year history (Quick, 2011). Niche markets are also becoming increasingly in demand, as IBIS World notes. At a bare minimum, niche markets and improved spending will spur moderate growth (IBIS World, 2012). Additionally, retailers are noticing and emphasizing the importance of delivering exceptional customer service to their customers. “Our research shows that people still want to experience the sensory and social aspects of shopping in-store,” says AMPCSC senior marketing manager, Desiree Clark. “These results present an opportunity for retailers to focus on providing an exceptional instore experience” (Underhill, 2012). These trends in the economy, as well as in the retail industry, give us the insight necessary to fully understand what our store needs to offer in order to be competitive and successful. The lingerie market is expected to continue to grow, according to the Key Note Market Report, which examines the lingerie market in the United Kingdom. They note that the marketplace remains fairly overcrowded, particularly among the higher-end retailers, with further competition predicted, as many companies and brands enter the industry (Key Note Limited, 2012). The reason for this predicted increase is because new innovations and consumers’ desire to achieve idealistic body shapes through the use of shape-wear encourage sales. Other factors, such as the media’s interest in women’s bodies and new trends towards achieving the hourglass figure, have all helped boost sales within the sector. According to this report, changes in fashion will continue to drive the market as lingerie becomes regarded as just as essential as outerwear. Trends including wearing underwear as outerwear, as well as innovations in hosiery, will boost the industry. A focus on underwear and shape-wear products that can help with desired looks, from correct brassieres to

tummy-clinching briefs, will also help to develop the market. (Key Note Limited, 2012). This research implies that we should plan an increase in our sales goals for the Spring 2012 period.

Spring 2012 Style Trends Color is one of the main focuses of the Spring 2012 lingerie trends. “Coral, tangerine, plum, teal, and some lime green” are going to be the “color mood booster in this grime economy” (Exhibitors Daily, 2012). This spring, customers will be wearing items with “fabulous vivid color, as well as soft neutrals” (Squidoo, 2012). Prints are also taking over the buying tradeshows. “Floral print, leopard print, and even a few kitschy, vintage-inspired prints” are hot for Spring 2012 (Exhibitors Daily, 2012). Additionally, sheer and lace materials are set to take over the runways and be worn as more than just lingerie. Customizing outfits to show some parts of lingerie is going to be a major hit for trends this spring. Stylists are beginning to match more traditional and conservative clothing with sheer laces for a sexy, yet classy look. Not only is lingerie about the look, but it is about the feel as well. According to blogger Real Supermum, “The days of corsets, girdles, and uncomfortable bras are over. The lingerie of 2012 is sensual, comfortable and ecofriendly”. Designs are geared more toward being wearable and durable, “yet with sensuality and eye appeal in mind, this trend capitalizes on the best of both worlds” (Supermum, 2012). A Glamour Fashion journalist spent time in multiple lingerie stores throughout the London area and found that “women’s lingerie was much more appreciated and available. Some department stores devote three whole floors to lingerie, unlike here in the States, where lacy things are often relegated to one teeny corner” (Glamour Fashion, 2012). Many local boutiques, as well as well-known retailers, are on a mission to create lingerie for every occasion and provide comfortable and wearable items that are easy to incorporate into a customer’s daily wardrobe. Spring trends, as well as the future of lingerie, are trending towards precision and matching a balance between value, design, and sensuality. These trends will be implemented into our collections to enable our store to be competitive and successful as a lingerie boutique.

Professional Input Interview 1: Mary Larson The first retail professional interviewed was Mary Larson. She is the store manager of a local retail chain, located in Indianapolis, called Delaney’s Shoppe. Delaney’s targets young, trendy women looking for fashionable items at all prices, and strives be known as the best place to shop for the trendiest clothing, jewelry and accessories. Laura Hockemeyer contacted Mary over spring break. 1.

Given your knowledge of sales trends, how did you prepare the store to remain competitive this spring? Spring is an exciting time for Delaney’s. The store takes on a whole new personality as the merchandise is replenished. Our customers return knowing that we always provide them with great selections every seasonal turn. Our customers are upbeat, trendy, and excited to shop. I attend buying shows in Atlanta and Los Angeles and buy what I find to be best fitting for all store locations, while still keeping the wide variety of customers in mind.

How do you determine the number of hours to schedule based on business fluctuations? Employee hours are not scheduled based on sales because they vary every day. Typically, Fridays and Saturdays have the highest sales volume, and we make sure we have our local store manager working the majority of those days. Most of the time, there are two employees working each store and sometimes three when shifts overlap. Usually, only one employee works the store on Sundays as well as weekday evenings. Although we would like to have a minimum of two girls on the floor at all times, our budget doesn’t allow for it. Our girls work very flexible schedules, and the girls typically switch shifts around if they want to work more hours.

What are you strategies to draw customers into your store? Our main marketing strategy is word of mouth. We get new customers everyday and usually a conversation is sparked about how they heard about the store through a friend. We do our best to provide these customers with the best first time experience possible to make sure that they, too, become a positive spokesperson for the store. We run ads in the local Geist magazine, but don’t solely rely on those types of customer reached. The stores are located close to housing developments and each store has its own loyal customer base. We go out of our way to make sure these customers are taken care of and enjoy their shopping

experiences. I have taught my girls that the number one rule is, “The customer is always right.” 4.

What do you find are the best ways to motivate your staff members? I like to think that my employees are always looking out for the best interest of the store. Turnover is very low and our employees usually stay with the store for a few years. My relationships with my employees are positive and we work as a team to keep the store growing each day. Each month, an employee is awarded $100 for the high sale of the month. It has become sort of game between the four locations as each store tries to beat the other in sales.

What methods do you use to maximize business? Delaney’s is known for its wide selection of items. We want a customer to be able to walk into the store and be able to shop for any girl and any occasion. We have unique gifts including home décor, candles, fine art, kitchen gear, and body care. We don’t want customers to come into the store one time and leave feeling that the store just isn’t for them. Although we keep many items in stock, the inventory is constantly being refreshed and moved around. We hope that the customer feels that they are walking into a new store each time and are willing to spend time with our employees and have a good time shopping.

Learning Experience Mary was very insightful in how generating excitement throughout the store is key to drawing customers back into the store. Delaney’s seems to spend a great deal of time developing long-lasting relationships with customers. I learned that not all hours are based off of predicted sales. Since Delaney’s is a smaller store and sales vary on a daily basis, smaller stores need to make sure that there are multiple employees during busy days. I also learned that not every retail store has to have large marketing budgets to be successful. Many smaller, local stores are able to attract new customers through having a good reputation. Also, stores offering a much larger selection of items help generate a larger, more diverse customer base. From speaking with Mary, it seems that Delaney’s has utilized these ideas to create a competitive advantage.

Interview 2: Sarah Toothe Sarah Toothe is a sales associate at Nordstrom at Towson Town Center, located in Baltimore, and currently works in the Women’s Lingerie department. She interned at Nordstrom two summers ago, and has been working there ever since. Over Spring Break, Laura Schneider had the opportunity to visit the store and gather some information regarding recent business trends and store operations at Nordstrom. 1.

Given your knowledge of sales trends, how did you prepare the store to remain competitive this spring? Staying competitive and on top in the industry is very important to us. We worked especially hard to ensure that our merchandise meets the fashion trends that are popular right now. We also made sure to have the proper sizes and shapes in our collection. Without the proper products, we wouldn’t be able to remain as competitive. We also make sure to uphold our mission to have the best possible customer service. The Nordstrom experience is unique in that we treat the customers with extra attention and assistance so that they leave the store satisfied. That is what helps us to stay competitive.

How do you determine the number of hours to schedule based on business fluctuations? Our hours are determined based on the sales peaks throughout the day. We have more associates working during the weekends than during the weekday, since many of our customers work during the week and have a limited amount of time to shop. We make sure we have enough staff to properly assist customers during the busiest times, and we tend to have fewer customers working during the slower periods. Paying attention to the busiest and slowest periods is vital to properly schedule hours for our associates.

What are your strategies to draw customers into your store? All Nordstrom locations are located on the edge of malls, meaning that it is very likely that shoppers will have no choice but to pass through Nordstrom in order to get to the main mall area. This really draws in new customers, especially because they might notice a welldesigned display, or a piece of clothing might catch their eye, and then they feel enticed to shop here. Our displays are one of our biggest ways we draw customers in. We always have the trendiest and most popular products on the mannequins and in the windows. Our displays inspire customers to try new looks and thus, they shop here. There are other ways in which we bring in customers, such as through the Nordstrom rewards points that cardholders receive in the mail, and through our major sales such as the Half-Yearly Sale, which is coming up this July.

What do you find are the best ways to motivate your staff members? As sales associates, we are all paid based on commission, which is how much we sell. This motivates us to do our best; otherwise we won’t make as much money. I think it also helps that my associates and I are all very close, and even though we are slightly competitive to make sales, we are always encouraging each other and maintaining a positive attitude. We also have frequent visits from our regional manager, so that definitely helps to keep us on our toes.

What methods do you use to maximize business? The most important method we use is having exceptional customer service. We make sure that each customer gets helped, whether it’s finding a particular product, retrieving different sizes for those trying on merchandise in the fitting rooms, or ensuring a quick and easy checkout, we want our customers to feel that they received the proper attention and that they leave the store happy and satisfied. We also make sure that we are carrying the best merchandise in terms of quality, brand variety, and style. Our buyers are constantly figuring out what will be the most popular so that our merchandise is exactly what our customers are seeking. Lastly, I would say that we really try to develop relationships with our customers, meaning we give out business cards with our information so that they can reach us anytime with questions, we ask them how they’re doing, and, as I mentioned, we offer the very best in customer service.

Learning Experience Through interviewing Sarah, I learned just how important customer service truly is to a company. Sarah emphasized the importance of customer service in remaining competitive and in promoting customer loyalty. This interview enabled me to realize that great customer service is vital and necessary to company success. We will be enforcing exceptional customer service in our store. Another idea that Sarah gave our group was the idea of a rewards program. We will be utilizing this idea for our store as a strategy to gain customer loyalty at Fleur de Lune. I am appreciative for the experience to learn more about business trends and store practices through speaking with Sarah.

Interview 3: Emily Rebholz Emily Rebholz is a sales associate at Victoria’s Secret in Carmel, Indiana and has worked there for almost two years in the Victoria’s Secret PINK section. Through a family-friend, Danae Rittmann had the opportunity to call Emily and ask her a few questions regarding business at Victoria’s Secret, as well as some of their strategies for maximizing profits. 1.

Given your knowledge of sales trends, how did you prepare the store to remain competitive this spring? We predicted that there would be a sales increase from last year to this year and so we made sure that we had the right merchandise in terms of what items are the most popular. We are also utilizing our “free panty” promotion more frequently to entice customers to come into our store and hopefully buy something they like.

How do you determine the number of hours to schedule based on business fluctuations? The manager determines our hours based on when the store is busiest. We are scheduled more often when there are more customers in our store who need to be assisted. On slower days, only a few people will work.

What are your strategies to draw customers into your store? We definitely utilize our “free panty” coupon that comes in the mail, online, and in various teen magazines such as Seventeen and Cosmopolitan. Everyone likes free stuff, and in this economy, it definitely comes in handy. It brings customers in to get their free underwear, but many times the customer will also buy other items, which definitely drives our business.

What do you find are the best ways to motivate your staff members? Our managers do a great job at motivating us. They are constantly encouraging us to become better sales people everyday. We also receive bonuses when we exceed sales goals, so that’s also a plus.

What methods do you use to maximize business We always make sure to greet the customer when they enter the store and to say goodbye and thank you when they exit. Treating the customers well makes them more loyal to our store. We also have the “free panty” coupon as well as other deals such as the 2 for $32 bras and the 5 for $26 underwear deal. These methods entice the to keep coming back for great service and great deals.

Learning Experience Through speaking with Emily, I learned that incentives to save are very important to Victoriaâ&#x20AC;&#x2122;s Secret business. When customers feel like they are getting a deal, such as a free item, they feel more enticed to shop at that store because of the perks that they are receiving. This opportunity helped me to realize that sales are great incentives for customers to buy and that good customer service can really help to drive sales.

Thank You Notes

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Sales Plan Spring 2012 Sales Plan

Predicted Season Growth Through our intensive research, we have predicted that sales for Spring 2012 will increase 6.0% from last year to this year. According to the National Retail Federation, the industry is regaining much of the momentum that the economic downturn might have sapped, and with stronger balance sheets companies are now in a position to reinvest in growth (Grannis, 2012). In light of the competitive environment, players will increasingly focus on niche products to boost demand. Nevertheless, a return to spending will support modest growth, as consumers begin to purchase industry products again, including wedding dresses and lingerie. Over the next ten years, industry value added, which measures the industry's contribution to GDP, is estimated to increase at an average annual rate of 0.2%. This growth rate indicates that the industry is expected to grow slower than the U.S. economy, which is projected to increase by 1.9% annually over the same period (IBIS World, 2012). Sales increases for our store are depicted during each month from last year to this year.

February Sales February sales projections resulted in an overall 7.7% increase for the month. This increase in sales resulted from the 2012 Valentine’s Day Sale. Although no additional days were added to the sale this season, the sale was refocused to include a fashion show that will showcase our items in advance, as well as sweepstakes and flower delivery services. These additional gestures accompanied by the original percent discounts will increase customer awareness around Valentine’s Day. The details of the Valentine’s Day sale are elaborated on further in the promotion analysis. Valentine’s Day fell on the third week of the month and resulted in a 21.3% increase in sales. This high percentage is the reason that the month of February did so well relative to last season. However, February is still the lowest month in sales dollars for the whole spring season. Fleur de Lune’s business model treats February as a transition month. Valentine’s Day is a prime holiday to sell the last of the fall items, which embody a dark and mysterious look. Spring inventory, which includes the light colors and floral patterns, will be introduced early March.

March Sales Plan

March Sales March sales held the lowest relative increase of 1.4%. The Spring Sale was moved up one week to increase customer flow earlier on in the month. Given that this is the introduction period for our new spring lines, it is important to take full advantage of this month. Last year, March sales more than doubled February sales, proving that customers are excited about the new spring inventory. Moving the Spring Sale up one week will give us more time to reorder high-selling spring inventory. This ensures that the store has popular inventory on the floor throughout the entire season. The Spring Sale was moved from Week IV of last year to Week III of this year. This change resulted in a 49.1% increase for Week III followed by a 30.3% decrease in Week IV. Overall, the

Spring Sale resulted in an 18.8% increase relative to last year. We believe this to be a realistic increase given the increasing preference for lingerie items that compliment daily wear. According to a wellknown lingerie blog, Real Supermum, “the lingerie consumer of 2012 is searching for pieces that are not obviously matched, yet create a new look when worn together” (Real Supermum, 2012). Therefore, our Spring Sale will focus on items that are coordinated and matched to create an original look with pieces that complement one another, while making a unique statement at the same time.

April Sales Plan

April Sales April sales are projected to increase by 9.0% comparable to last year. This increase is a direct result of the shifts in our promotional plans. Given that Easter fell much earlier this year, the 30Hour Sale was moved back three weeks and resulted in a $3500 difference in sales. Easter sales were projected to be roughly the same as last year, but trending slightly down. The Easter Sale shift increased spending by 23.6% in Week I and decreased spending by 17.6% in Week III. This year, sales will get a boost earlier on from holiday-related shopping. Moving the 30-Hour Sale to the end of the month is beneficial because we will have enough time to refocus our promotions away from Easter and towards the 30-Hour Sale. The Easter Sale consists of placing a 10% discount on various spring colors each day. We chose a 10% discount because the Easter Sale runs longer than other sales, and we want to protect our sales revenue. Closing the store on Easter Sunday resulted in 12.4% decrease in sales for Week II. Sales further decreased throughout Week III because the Easter Sale was moved to the previous week. Sales are projected to quickly jump by 50.1% in Week IV because we gained an additional Sunday this season, and we are heavily promoting the 30-Hour Sale.

May Sales Plan

May Sales May sales projections resulted in an overall increase of 9.6%. Week I decreased by 11.7% because the Mothers Day Sale was pushed back to Week II. Week II was therefore a positive month for the store, as it increased sales by 29.1%. The Mother’s Day Sale generated $28,826 in sales dollars last year and $30,270 this year. This created a 5% increase, which is realistic given we are running similar Mother’s Day promotions as last year. We decided to add one extra day to the Memorial Day Sale to make it last for the duration of the weekend. This year’s sale runs from Friday to Sunday, whereas last year’s sale only ran from Saturday to Sunday. The Memorial Day Sale resulted in a 15.5% increase for Week IV. Memorial Day falls towards the end of spring, and therefore, it is a convenient time to clear out as much leftover inventory from the previous months as possible. This is a good time to analyze inventory and reorder those top-selling items for the final two months of spring. The season is almost over by the end of May, and it is critical that the store analyzes the inventory for the end of the season. If analysis is not done properly, the store could be left with more inventory than planned and will have to sell more items at heavily reduced prices. Extending the Memorial Day Sale by another day will give customers more time to take advantage of the sale.

June/July Sales June sales promotions remained similar as last year’s and resulted in an increase of 2.8%. These promotions include the end of the Memorial Day Sale, the Father’s Day Summer Sale, and the Fourth of July Clearance Sales Event. This month is dedicated to clearing out the remaining inventory, as well as to selling the popular, newer items. July is similar to June, except that sales are increased in order to clear out the very last of the spring inventory. Customers are looking forward for the fall collections, and are shopping for discounted spring-wear. Thus, July is filled with heavier promotions, including After Inventory Sales and additional 50% off of certain items. These two sales were moved forward one week in order to rid the older inventory sooner. This will enable more room to be available for the inventory coming into the store. Sales for the month of July increased an overall 6.2% because we had a larger amount inventory left over from the season.

Scheduling Base Schedule

The base schedule was created using a 6% selling cost goal, and after manipulating the numbers, we closely reached the goal with 6.049%. The week with the highest projected sales was allocated the most work hours, whereas the week with the lowest projected sales were given the least work hours. It is critical to have available hours for the weeks where demand is high to fulfill our sales expectations. Therefore, April Week I was given 215 hours while February Week I was given 115 hours. Payroll was then rolled out based on a $14 manager wage, $12 assistant manager wage, $8.50 for full time employees, and $7.50 for part-time employees, resulting in an overall $43,701 payroll. Selling cost was then projected based on these numbers. The selling cost was a highest at 12.4% because it still takes a minimum of 115 hours to run the store even on lowest sales week. Selling cost was still able to drop to a low of 4.5% on higher sales weeks even though many more hours were scheduled.

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Work Schedule: May Week 3

May Week III work hours were allocated based on a 175-hour workweek and a $1,805 payroll. These numbers were pulled directly from the base schedule mentioned previously. Saturday had the highest sales projection of $8,201, thus it had the highest percent sales by day. Monday had the lowest sales projection of $3,012, which amounted to percent sales by day of 8.3%. Total hours by day ranged from a minimum of 21 to a maximum of 33.5, relative to the amount of daily sales dollars. Monday through Wednesday had the lowest sales, so it was allocated the least amount of hours. As the sales increased Thursday through Sunday, the amount of hours worked continually increased. The sales peak during these days were due to the higher amount of weekend traffic flow and Sunday’s Mother’s Day Sale. Normally, a sale day would take the highest % sales by day but due the fact that Sunday is a holiday, the amount of shoppers is likely to be far less than normal. A majority of the sales dollars from the Mother’s Day Sales occurred on the Friday and Saturday prior to the holiday. Full time workers were assigned 40-hour workweeks, whereas part time workers ranged from 10 to 15 hours. We created the schedule so that there would always be either a manager or assistant manager present during peak hours.

Friday Work Schedule

We set up the schedule so that an employee would be present thirty minutes prior to the stores opening and thirty minutes after close. During these times, the employees will organize inventory and prepare the store for either opening or for the next day. The number of employees working increases with the amount of transactions. The majority of workers are scheduled between the peak hours of 12:30 pm to 3:30 pm. The full-time employees are scheduled a thirty minute lunch break between 11:30 and 12:30. The schedule ensures that there are enough employees on the floor at all times. Inventory and stock replenishment will be done periodically throughout the day. Although organizing and restocking is assigned every three hours, employees will work on these tasks when the store is empty. Floor duties include assisting customers, fitting rooms, and check out. Floor duties

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represent multiple responsibilities because employees will be working on many tasks with a single customer. Customers will always be greeted at the door and assisted throughout the entire process. Below are the charts, which compare the number of employees on the floor to the number of sales transactions for each half hour of the day.

Friday Hourly Schedules

Friday Hourly Sales

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Saturday Work Schedule

Saturday has the highest sales of the week, and therefore has the highest number of employees scheduled. The most transactions occur between the hours of 1:00 pm to 4:00 pm, so there will be four employees present on the floor during this time period. Sarah and Cindy’s lunch breaks are scheduled prior to peak hours to ensure that they will be available. Lauren is also scheduled a thirty minute break because she is scheduled for a full-time eight-hour day. Organizing and restocking is assigned periodically throughout the day as well as opening and closing duties. Below are the charts comparing the number of employees on the floor to the number of sales transactions for each half hour of the day.

Saturday Hourly Schedule

Saturday Hourly Sales

Sunday Work Schedule

Sunday has the second-largest sales dollars for the week, and like Saturday, will have five employees working throughout the day. Today is also the Mother’s Day Sale, which will increase the demand for customer service. There will be an increase in the amount of male shoppers that will be purchasing gifts for their mothers, wives, and girlfriends. As a result, there will need to be more employees on the floor answering questions and assisting customers. The peak sales hours are between 2:00 pm to 4:30 pm. During these hours, there will be a minimum of four employees present, including the manager and assistant manager. Sarah and Cindy’s lunch break occurs prior to peak hours. Below are the charts comparing the number of employees on the floor to the number of sales transactions for each half hour of the day.

Sunday Hourly Schedule

Sunday Hourly Sales

Promotional Plan Valentine’s Day Sale Our company will have a two-day Valentine’s Day Sale on February 12th and 13th. We will strive to bring new customers to our store through hosting events such as a Valentine’s Day Lingerie Fashion Show that will take place on Saturday, February 4th, to give our target market a preview of what will be offered during the Valentine’s Day Sale, and to give them a glimpse of who we are and what we offer as a company. In addition to this promotional event, we will be offering a 10% coupon code to www.1800flowers.com, the nation’s largest rose and flower delivery service. This will give men who are shopping for their wives or girlfriends an extra incentive to shop at our store. We will also have a sweepstakes in which customers that spend $100 or more will be entered into a drawing for the chance to win a romantic weekend getaway. At checkout, the customer will also receive a small complimentary gift to show our appreciation and to thank them for shopping at our store. These offers will entice customers, old and new, to shop and to experience the uniqueness of our store and products. This promotion will cost our company approximately $300.00 to cover the costs of the Fashion Show and the complimentary gifts to our customers.

Wine & Chocolatier Tasting Another event we will host during the sale is a wine and chocolatier tasting which will take place in our store. We will partner with Godiva Chocolatier to allow our customers to sample chocolates and wine, and in return, Godiva will receive 10% of our profits earned during the 2-Day Valentine’s Day Sale. Chocolate is said to raise endorphin levels, and therefore, we believe this will help our sales increase since our customers will be happier. This event will cost our company approximately $200.00 to cover the cost of the wine. Fortunately, Godiva will be supplying all of the chocolate since they will receive a percentage of our profits from the event.

Bridal Parties in Bloom Fleur de Lune knows that the time that a woman is most likely to need a brand new fabulous lingerie collection is right before her wedding day. To cater to our bridal customers, Fleur de Lune will offer a special “Bridal Party” package that is the perfect upscale gift for the bride and her bridal party. At $110 per guest, the bridal party and the bride will enjoy a full hour of private shopping assistance and fitting (the store will be closed to other customers during this hour so that the group can enjoy some privacy). Each attendee will receive champagne, French pastries from the local “French Market” in Chicago, and one free thong or panty of their choice from our “basics” collection. The bride will receive 15% off any of the current bridal collections, along with the free thong. To reserve their special hour of time, a member of the bridal party must select the date (at least 24 hours in advance) and the hour that her group is interested in. Then, all members of the party must pay in advance for their reserved time. This promotion will cost our company approximately $500 to cover the cost of the champagne, the pastries, and the complimentary panty. Some of the money paid by the party will also be able to cover some of these costs, in addition to covering the private shopping experience.

Easter Sale Fleur de Lune will be having our annual Easter Sale during the first week of April from Wednesday, April 6th until Saturday, April 9th. We added an extra day to our Easter Sale in order to give shoppers more time to take advantage of the discounts and opportunities that our store will offer during that time. Each day, a different Easter color of lingerie will be on sale. For example, Wednesday, April 6th will be the day in which all lavender lingerie will be on sale. On Thursday, April 7th, all lingerie in light pink will be discounted. The next day, Friday April 8th, we will be having a sale on all robin’s egg blue lingerie, and on Saturday, April 9th, the last day of the sale, all yellow and mint green lingerie will be on sale. We feel that this idea of a selling our sale lingerie according to color will be a fun and creative new way to sell our products and get our customers into the Easter spirit at the same time. It will also help us organize our merchandise in a more precise manner, as opposed to having every color of merchandise on sale during all four days

Memorial Day Sale Our store will be hosting our annual Memorial Day Sale, which takes place during Memorial Day weekend. We decided to extend the sale to begin on Friday, May 27, and end on Saturday, May 28 instead of having it be a one-day sale as it was last year. We added one extra day to the sale because we believe that we can increase profits even more if customers have more time to shop our sale selection. Memorial Day weekend is a big vacation weekend for many, and therefore people tend to make vacation plans well in advance. We want to be able to be a convenience to our customer and to make our sale accessible to them, even during their busiest weekends. We also want to enhance their weekend through serving them to the best of our ability, and therefore, a two-day sale is the best strategy to achieve not only higher profits, but high customer satisfaction as well

Other Sales In addition to our major sales, Valentine’s Day Sale, Easter Sale, and Memorial Day Sale, we will also have a Spring Sale, a 30-Hour Sale, as well as a Mother’s Day Sale. These sales, though they will not be as vital to our store as the ones already mentioned, are important and necessary in order to achieve our sales goals because they give our customers even more opportunities to receive great deals while helping our store clear out our less recent inventory. As Emily Rebholz mentioned in our interview, sales events are what help bring in customers to further drive sales (Rebholz, 2012).

Social Media Outlets Social media outlets, such as Facebook and Twitter are used daily in order to spread brand awareness, as well as to involve our customers. It comes as no surprise that shopping is increasingly mobile and online. Survey data suggests that having a digital presence (i.e. web, social media, mobile) is now considered a business necessity: 100 percent of those polled have a web presence, and the majority make close to their full in-store assortment available online (Gannis, 2012). Our Facebook account offers a fun and unique style quiz that participants can take once they “become a fan” of our Facebook page. This quiz asks questions regarding their personalities as well as their style choices in order to help the customer find specific products that match her taste in hopes that she will then purchase that product. Quiz participants who post their quiz results to their Facebook walls will be rewarded with a 5% discount on their next purchase. Our Facebook page will also have polls and discussion boards where customers can post about their experiences at our store.

Through listening and considering the ideas of our customers, our customers understand that we truly care about their opinions and that we welcome their suggestions that will improve the shopping experience. Twitter will be used to increase awareness of our store and will be updated each day with news of sales and promotions, as well as interactive questions in which our followers can respond. In addition, there will be small competitions on Twitter in which the first fifty people to “retweet” a tweet that speaks of a sale at our store will receive a 5% discount on their next purchase. Social media will enable us to understand our customers on a more personal level, and our customers will feel valued and important to our company.

Detailed Customer Database During our promotions, we will also utilize what we utilize throughout the year, which is our customer database. This electronic function keeps all information of past customers regarding demographic information, such as their residential locations, email addresses, age, sex, and phone numbers, as well as information on their past purchases including color choices, styles, size, and price points. Their demographic information, a minimum of their email address, is asked and entered when the customer purchases a product. Our tracking devices work to gather information on past purchases to not only understand the individual styles of each customer, but to also suggest new products to customers based on their past shopping habits. Email, as well as social media outlets, is used frequently to inform and engage customers in our company. We utilize email as a follow up when customers purchase products in order to thank them and to show that we are genuinely interested in our commitment to quality products and customer relationships. We also email our customers to suggest new products and to inform them about store events and sales.

Loyalty Program Fleur de Lune offers a loyalty program to our customers who frequently shop at our store. According to Kathy Gannis, “stores have stepped up efforts to build customer engagement and loyalty in response, with investments targeted at personalized, one-to-one marketing and customerspecific promotions” (Gannis, 2012). The loyalty program includes a both a Fleur de Lune rewards card, as well as a VIP Fleur de Lune credit card. The rewards card earns the customer points with every purchase at our store. These points add up over time and after a certain number of points, the customer is able to receive various discounts on our merchandise. The credit card we offer also earns points for the customer with every purchase, however, it also gives the customer other perks such as free merchandise, the opportunity to win in various sweepstakes, and it enables the customer to

receive free shipping on all online purchases. Our loyalty program not only promotes customer loyalty, but it also gives us an idea of who are the store’s most frequent and valuable customers.

Elegant & Enticing Window Displays Our window displays are designed strategically to bring customers into our store. The prettiest lingerie will be showcased on our mannequins with elaborate lighting and accessories to make our merchandise as appealing as possible. The displays change as often as new merchandise comes in, making the displays new and refreshing on a regular basis.

Exceptional Customer Service Although our promotional plan is important to increasing sales goals, our company will always focus on keeping the stores true to our image and to our mission statement. Therefore, our employees will be educated of our products and store mission, as well as friendly and helpful to the customer. “Retailers see customer satisfaction as the key conduit to accelerating sales growth, particularly amid declining retention rates and increased fragmentation”, as Kathy Gannis observed (Gannis, 2012). We also have multiple staff members stationed in the fitting room area to measure those who want to be certain that they have chosen the correct size and who want that personalized experience of being helped one-on-one. Our return policy is also representative of our commitment to customer service, as unused goods can be returned at any time, with or without the receipt. Our hassle-free return policy, friendly and knowledgeable staff, and our customized fitting services all contribute to our strong customer service, which in turn, lures customers to keep coming back. Through combining our promotional plans with our already strong customer service, we are certain that our various sales events will increase our sales to plan. We are prepared to serve and satisfy each customer, and our added incentives will hopefully attract and retain new customers.

Human Resource Plan Manager Cindy Jones is the Manager of Fleur de Lune, as has been since the store’s opening. She has worked in retail since she began working at Nordstrom in the 1970s. After working at Nordstrom as the Department Manager for Women’s Sleepwear and Lingerie, she decided to start fresh and open Fleur de Lune in Chicago in 2012. She is married, but does not have any children. When she is not working, she enjoys taking walks to the park with her husband and gardening in her backyard. She is strong, dependable, helpful, and always encouraging to her employees.

Assistant Manager Sarah Baily is the Assistant Manager of Fleur de Lune. She is thirty-three years old, and, like Cindy, has worked in retail for the majority of her life. She started working for Kohl’s in her early twenties and eventually became a buyer for their lingerie department. However, she decided that she would like to try something different. She knew she enjoyed working with people, so she applied for the Assistant Manager position at Fleur de Lune. Sarah and Cindy became good friends, and they have a fun time running the store together.

Sales Associates Lauren Olsen is the only full-time Sales Associate at Fleur de Lune. She started working there full-time after graduating college from Indiana University. In college, she studied Apparel Merchandising and knew she wanted to pursue a career in the retail industry. Through assistance from the Career Services Development Center on Indiana’s campus, she was able to apply for an internship with Fleur de Lune. After completing her internship, she was offered a full-time position with Fleur de Lune, and she has never been happier. Morgan Brown is part-time Sales Associate for Fleur de Lune. She is currently in school at University of Chicago studying Marketing, but has a deep interest in fashion. She only works two days a week, but given her heavy workload from school, she feels that her hours are perfect for her balance of school and work. Morgan is also heavily involved in extra-curricular activities, as she is in a sorority, on the club field hockey team, and is involved in her retail studies club on campus. Morgan’s favorite part of working at Fleur de Lune is the people, as she believes her co-workers are friendly and helpful, and she loves working with customers.

Colby Smith is a part-time Sales Associate at Fleur de Lune. She moved to Chicago after graduating from New York University, and wanted a job in the retail industry where she could work a part-time in order to have time for hobbies. She enjoys sewing and designing her own clothing. She loves the energy that the store has to offer, and she says the work environment is prime. Her past experience in the retail industry includes working as a Sales Associate at Victoria’s Secret when she was in college. Angie Walker is a part-time Sales Associate at Fleur de Lune. Angie has lived in Chicago her whole life and wanted to work before she went to school to earn a degree. She is nineteen years old and loves working at Fleur de Lune. She feels that she is gaining valuable experience while gaining an understanding of what degree she may want to pursue in the future. She eventually hopes to go fashion school in New York, but says she is currently happy working at Fleur de Lune. Katie Lynch is a part-time Sales Associate for Fleur de Lune, though she works the most hours of any other part-time employee. She is twenty-five years old and is currently engaged to her boyfriend of six years. She graduated from a small school in North Carolina after earning a degree in Management. She moved to Chicago this past year after her boyfriend was transferred there for his job as an investor. Katie thoroughly enjoys working in the retail industry, and she has experience with Macy’s lingerie department from working there for five years. Katie says the biggest reward of working for Fleur de Lune is seeing the customers leave the store completely satisfied.

The Hiring Process The hiring process at Fleur de Lune includes a paper application, a minimum of one in-store interview, as well as a thorough background check and drug test distribution. The most important factor that we look for in an applicant is the genuine interest to learn about retail. We only hire those who have shown that they are passionate about fashion, whether through having experience in the field, or through being involved in a retail organization on campus, we feel that it is necessary for each associate to love what they are doing in order to reach our sales goals. Once an applicant applies to our store, we call them within a week upon review of their application and resume to either deny their request to work with us or to schedule an in-store interview. The interview takes about an hour, and includes questions highlighting their personality, their experience, as well as a few analytical questions. Once the interview is over, we either schedule a second interview if we still need more insight, or we hire them within the week.

Valuing our Employees As a company, we value our employees just as much as we value our customers. We like to think of our staff as our family, and we treat our employees with respect. We also realize that it is vital to have motivated employees who will above and beyond to carry out their professional duties. As Sarah Toothe noted in her interview, strong, respectful relationships among coworkers is essential for acquiring success in the store (Toothe, 2012). We ensure that our employees feel valued to our company and we show our gratitude through strong communication between managers and employees, weekly meetings for further improvement, various incentives, as well as through teambonding exercises.

Strong Communication Communication is key when motivating employees to thrive. Therefore, we ensure that our employees feel heard. We listen and consider their ideas for improving the store and our managers take the role as encouraging mentors as opposed to controlling bosses. Through support from our managers, employees are transformed into leaders. According to the National Retail Federation, more than 80% of human resources executives responding to this year’s Retail Horizons study said leadership development and succession planning was their top strategic priority – and 91% intend to make it their lead initiative heading into 2012 (Grannis 2012). We also always make sure that at least one manager or assistant manager is working at all peak hours in order to oversee store operations and to be an asset to employees. We also do our best to give an adequate amount of hours to all of our workers based on their preferences. We feel this is important because we want to keep our employees happy so that they will remain loyal to our store plans and accomplish them.

Mandatory Weekly Meetings In order to keep our employees on their toes, we have mandatory weekly meetings at the beginning of each workweek to communicate what could have been improved during the previous week, what the goals and expectations are for the week ahead, and to answer or hear any questions, suggestions, or thoughts from the employees. We feel that these meetings are necessary in making sure our employees are fully aware of what we anticipate with our store during the week. It is also a chance for employees to have their voices heard and to contribute their ideas.

Rotations To keep employees from becoming bored with their job, we rotate them each week to various areas of the store. For example, a staff member who is currently working at the cash register this week will work on the sales floor next week. The rotations will enable them to learn and practice new skills and it will give them a chance to see what they are most passionate about and successful in. They will also gain experience in each area and will be able to continue reaching their full potentials.

The Back Room Environment Behind a door in the back of our store is a large backroom. We keep our inventory on one side of the room, but the other side is fun and relaxed. There are inspirational messages and quotes painted on the walls by both managers and employees, there are kitchen appliances for lunch and dinner, there are picture frames with pictures of all the staff members from social events, and there are two comfortable couches for relaxing on breaks. The back room is where we hold our weekly meetings, so the environment is casual and comfortable for everyone. Issues can be discussed calmly, and suggestions can be presented in an environment where everyone feels necessary to the company, yet relaxed and contented at the same time.

Incentives Our company also uses an incentives approach to motivate our employees. We give our employees a 15% discount on all of our merchandise, and our employees have the opportunity to receive cash bonuses upon meeting monthly sales goals. Our employees are also considered for “Employee of the Month” each month based on their performance. Their reward for the title varies each month, but could be an extra vacation day, a higher discount, or a free meal. Our incentives are used to increase employee motivation and to help bring success to our store.

Team-Bonding Exercises We feel that a respectful, yet personable relationship between staff members is necessary in order to progress as a company, so we offer social events outside of work for our employees to bond with each other, such as dinners and intramural sports leagues. These events usually take place several times a month and are optional, but highly encouraged.

Summary Through completing this project, our group was able to act as managers of a company and effectively make our sales goals increase from last through scheduling our employees properly and through analyzing our sales. We utilized our research, our interviews with professionals in the retail industry, as well as our in-class knowledge to project and reach ours sales goals. This experience pushed us to the limits in brainstorming new and creative ideas for promotions, as well as human resources practices. Together, we collaborated ideas and truly worked as a team to have a variety of promotions. We all agree that our ability to work as a team has vastly improved from this project and that combining our diverse ideas to unify the overall paper. This project also greatly enhanced our understanding of creating a schedule for employees. Initially, we believed this process would be simple, however, we found that it required much work and analysis in order to make it as accurate as possible. Creating the sales plan was also helpful to us because it gave us the opportunity to decide firsthand how to handle sales predictions and exactly how to make a smart and realistic plan. We used Microsoft Excel extensively during this project, which helped us to refresh our memories from computer classes we had taken in past semesters. We feel that in completing the various charts and graphs in Excel, we were able to fully grasp exactly how scheduling and sales plans work. Although we gained useful knowledge regarding working as a team and completing the tougher parts of the project, such as the sales plan and the schedule, we also learned a great deal of information through our research. At first, we thought that maybe it was not as necessary to gather five business sources as well as conduct three interviews with professionals, but after acquiring the necessary information, we realized the importance of collecting as much information as possible. We also truly appreciate the requirement of interviewing three professionals because it helped us not only to complete the project, but it allowed us to network and to create new relationships with the professionals. We had no idea how much professionals actually enjoy answering questions such as the ones we asked. They seemed thrilled that we contacted them, and the experience was rewarding for all of us. In essence, this project deeply improved our understanding of the material we learned in class and it helped us to grow as aspiring professionals in the retail industry. Our teamwork skills increased, our comprehension of the content increased, and our overall knowledge of business growth in the industry increased. This experience was beneficial to all of us, and we are very appreciative that we had the opportunity to gain such knowledge and understanding through this project.

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