I learned how to do a 6 months plan from my planning and control class in school.

2. 45% of sales are in size S

4. 42% of sales are in size S

6. 45% of sales are in size S

8. 42% of sales are size S

10. College degree or above

11. $35,000 - $60,000 per year salary

12. Generation Y and Z

13. Love to play sports, such as yoga and tennis

14. Enjoy life and love music

16. Gender: Female

17. Ethnicity: White, Single

18. Education: Some College

19. Income: $30,000 – $35,000

21. Gender: Female

22. Ethnicity: Asian, Just Married

23. Education: Master’s Degree

24. Income: $45,000 - $60,000

26. Gender: Female

27. Ethnicity: Asian, Single

28. Education: Bachelor’s Degree

29. Income: $40,000 - $55,000

31. Gender: Female

32. Ethnicity: Black, Married with two kids.

33. Education: Some College

34. Household Income: $80,000 - $100,000

35. Lifestyle: She spends all her time with her family when she doesn’t work. She loves shopping with her kids. She enjoys cooking at home and watching movies with her family at night after dinner. She personally loves fashion, music and looks very trendy. In her spare time, she always plays sports with her kids.Merchandise Mix Modification<br /> Based on the analysis, the San Francisco County population seems to have a higher range of income, from $30,000 - $100,000, than the other cities. They loves spend money on fashion clothing and especially sport wear and casual wear. Therefore, Juicy Couture fits to the target markets they try to sell. However, if they can make a bigger range of the price points, they may able to attract more target customers to purchase their products. Also, the San Francisco population loves to have sports during their spare time, so that they may have better, healthy body shapes. In order to increase the sales, they can adjust the size range a little to fit the target market.<br /> I didn’t make many changes for the merchandise mix. The changes that I did are only giving a bigger range of price points and the sizes.<br />Classification 1: Print T-shirtIn this classification, the ratio of print T-shirts is right to the department, because our population is a big fan of casual wear. Therefore, I will just make a bigger range of the price points, in order to attract more customers. The price points will be from $48, $62, $88 and $102. Also, the proportions in the price points will mostly buy for the average price range, which is $62 and $88. Therefore, I will increase the total percentage of $62, from 25% to 40%, and also increase the price point of $88 to 35%. For making these changes, I will buy 20% of the $48 print t-shirts instead of 35% and the rest will be in price point of $102. The proportions in sizes, I will increase the size XS from 15% to 25%, and decrease the Size M to 25%. <br />Classification 2: TracksuitsFor the tracksuits’ section, I didn’t make many changes because I think it fits the target market strongly in the department. However, the only thing I want to make corrections is the proportions of the sizes. I will buy more the size XS, from 13% increase to 30%, and decrease the size M from 38% to 21%.<br />Classification 3: SwimwearThe swimwear classification will remains mostly the same, except getting more size XS, from 12% to 30%, and decrease the size M, from 40% to 22%.<br />Classification 4: Accessories HandbagThe price point, size and color and the proportions of the department are good for the target market. Therefore, I will only get less size S handbag, from 42% decrease to 20%, and get more of the Size L, from 23% to 45%. The reason why I do that is because the San Francisco population loves outdoors activities and loves to carry their apple products. Therefore, they may need a larger size of handbags to carry their personal belongings out.<br />Market Trend Analysis<br />190503810 Company: Juicy Couture<br /> Department: Women’s Clothing<br /> Season: Spring 2010<br />Current Sales<br /> From Juicy Couture’s report, their net sales of first quarter are $132 million in 2009, which represents a decrease of 22% in the sales from last year. Comparing the net sales from last quarter, their net sales fell 6% in the store at Downtown San Francisco. Also, they just closed down one of their main flag store on Madison Ave, New York. Therefore, they are having trouble with their sales now. However, Juicy launched a new fragrance line that they confidently think it can boost up the sales in the future. Based on the data that I analyzed, I estimate that in spring 2010 their sales will do better than now, sales will have 5% threats in the San Francisco’s store because they will have a new line of fragrances coming out to the market. Therefore, I think they will have 1% opportunities to help their business improve.<br />Economic Trends<br /> Based on the Consumer Confidence Survey reports for July 2009, the Consumer Confidence Index has a decrease from 49.6 to 46.6. According to the Conference Board, The Present Situation Index, which measures shoppers' current assessments of the economy, has declined to 23.4 from 25 last month. The Expectations Index measures shoppers' outlook over the next six months fell to 62 from 65.5 in June. The economists mention that many of the consumers worry about their jobs. Franco, one of the economists, points out that quot;
More consumers are pessimistic about their income expectations, which does not bode well for spending in the months ahead.quot;
Therefore, consumers are not willing to purchase anything in this moment because jobs cut rates is still increasing in the few months. However, there is good news that the housing market is showing some good signs of stabilization. The decrease of the housing is getting better than the last few months. Therefore, less people are bankrupt than before. <br /> Based on the information from the Consumers Confidence Survey, I would estimate that the economic will continue to decrease. However, if the foreclosure houses get more stable than before, I still think there will be a 2% threats on the recession market on spring 2010.<br />Social Factors<br /> According to the recession, the consumers are buying clothing in lower price ranges. They buy what they thinks is durable and fashionable. The fashion forward consumers will get cheap clothing in Forever 21 and Wet Seal instead of buying brand names. Therefore, they can stay trendy and save money. Moreover, technology is getting better nowadays. In Trendwatching.com, they mention that the consumers would rather shop online instead of going out to the store because they can compare and search for the lowest price that they can get.<br /> I definitely think that this trend will continue to be larger and larger in the future. Therefore, it will affect the sales in the Juicy Couture store at Downtown San Francisco. I would estimate that it should be a negative effect on the sales that will be a 1.5% threat in spring 2010.<br />Political Factors I don’t think there will be any significant effect on political factors in spring 2010 since we already elected our new president and no special elections are coming up in this few months.<br />Climate<br /> Based on the Farmer’s Almanac and the Weatherchannel.com, they predict that the weather in the Northern California will be warmer last year because of the global warming. According to the long range weather forecast for spring 2010, northern California will have less rain than past years. Therefore, it will help to increase sales in some cases. However, the weather is getting warmer, which affect our tracksuit in the department because those are all long sleeves and more appropriate for the colder weather. Therefore, I assume that Juicy will have 2% opportunities because of the less raining days and more sunny days in summer to sell the swim wear in the next spring. On the other hand, I put 1% threat because the warmer weather can affect Juicy sales in the tracksuits with long sleeves.<br /> Competition<br /> In the Juicy Couture’s Downtown store, there are many competitors in the area. Based on Hoover’s, the biggest competitors are H&M and Guess. For H&M, they have very positive results in the first quarter during this big recession. H&M’s prices and assortments are totally better than Juicy. Also, they will launch an exclusive clothing and accessories line with Jimmy Cho in this coming fall. I can assume that they will also launch new lines with other famous designers for their spring collection in 2010. Therefore, they will totally affect Juicy sales on the next coming. For Guess, their clothing is somehow different from Juicy. However, their store is always on sale and in promotion. That may also affect to our sales because the Guess store is only 1 block away from Juicy. So according to all of those affect, I estimate that Juicy will have 2% threats on spring 2010.<br />Fashion Trends<br /> Juicy has a high positive rating on the fashion trend because the upcoming trend is more into sporty looks, with bright colors. That is what Juicy’s women line is selling it right now. In the Stylesight.com forecasts for the spring and summer 2010, they have a category named Jubilation. This fits Juicy clothing perfectly. It mentions that “Happiness is the secret to staying young,” and also “Stay young, Stay Bright” which blends the trend with the store for sure. Moreover, the colors that Juicy have in the store right now, it is the exact colors that the trend is going for in next spring. <br /> In addition, there is a trend of being Princess Narcissists, people who wearing clothing with pinky and princess style. It must be one of our biggest trends in the store because the merchandise that we are selling, such as pink t-shirts, pink tracksuits and pink handbags, will definitely sell in the next spring too. Also, Juicy will create an exclusive clothing line for customizing your own words on their tracksuits. It will be a great idea to have it when most of the consumers love to purchase exclusive products now. However, most of the consumers will buy cheaper price ranges for the clothing in the future. It may affect Juicy sales a little bit of because we selling high quality and middle to luxury price. <br /> For all the information above, I estimate that Juicy will have 5% opportunities in the next spring because the merchandise will be more in the trend. However, they will have 1% threat because of the price range are higher than the consumer will buy.<br />Promotion<br /> Juicy will have the same promotion with 25% off for all the merchandise in the store that they have offered for years. However, they will launch a new line called Bird to Juicy, which is more feminine and city-looking women in next quarter. Therefore, they will have more promotion sales going on the coming season. We will have a in-store party to introduce our new line to customers and also we will have advertising on magazines to report the clothing. In addition, we will have more mark downs merchandise during the season and giving out special sales coupon to our potential customers. We can attract the customers to come in the store with their coupon and also we can increase out sales. Based on that, I estimate Juicy will have 1% opportunity because of their Bird to Juicy.<br />Other<br /> Swine Flu will spread out to more countries now that makes less people traveling out to other countries. Therefore, the Juicy’s store is located in Downtown San Francisco, which is the biggest tourist shopping area, will decrease the sales because of that. For, this case I assume that Juicy will have 1% threat in spring 2010.<br />Net Changes<br /> Based on all the factors above, I estimate Juicy will have a 4.5% decrease in the sales plan for next spring. In this recession, I think 4.5% is a reasonable estimation because people are buying less than before. Also, they are looking for something more valuable and durable.<br />Part II - V<br />6 Month Merchandise Plan- STS Method<br />6 Month Merchandise Plan – WOS Method<br />Assortment Plan<br />Operation Statement<br />DEPARTMENT ANALYSIS4762547625Company: Juicy CoutureDepartment: Women's ClothingSeason: Summer 2009Class 1Price Points$58 $62 $78 $102 Total% of Total35%25%20%20%100%Print T-shirtsSizesXSSML%of Total15%45%35%5%100%30%ColorsRedPinkWhiteBlack%of Total10%30%35%25%100%Class 2Price Points$72 $82 $128 $148 Total% of Total22%40%24%14%100%TracksuitsSizesXSSML%of Total13%42%38%7%100%45%ColorsWhiteGreyBlackPink%of Total30%14%35%21%100%Class 3Price Points$82 $92 $128 $148 Total% of Total34%38%20%8%100%SwimwearSizesXSSML%of Total12%45%40%3%100%15%ColorsPinkPurpleRedNavy%of Total36%38%16%10%100%Class 4Price Points$128 $188 $215 Total% of Total38%52%10%100%Accessories:SizesSMLHandbags%of Total42%35%23%100%10%ColorsCarmelBrownNavyPurple%of Total20%18%26%36%100%<br />Modified Merchandise Mix4762547625Company: Juicy CoutureDepartment: Women's ClothingSeason: Spring 2010Class 1Price Points$48 $62 $88 $102 Total% of Total20%40%35%5%100%Print T-shirtsSizesXSSML%of Total25%45%25%5%100%30%ColorsRedPinkWhiteBlack%of Total10%30%35%25%100%Class 2Price Points$72 $82 $128 $148 Total% of Total22%40%24%14%100%TracksuitsSizesXSSML%of Total30%42%21%7%100%45%ColorsWhiteGreyBlackPink%of Total30%14%35%21%100%Class 3Price Points$82 $92 $128 $148 Total% of Total34%38%20%8%100%SwimwearSizesXSSML%of Total30%45%22%3%100%15%ColorsPinkPurpleRedNavy%of Total36%38%16%10%100%Class 4Price Points$128 $188 $215 Total% of Total38%52%10%100%Accessories:SizesSMLHandbags%of Total20%35%45%100%10%ColorsCarmelBrownNavyPurple%of Total20%18%26%36%100%<br />24765076200Company: Juicy CoutureDepartment: Women's ClothingSeason: Spring 2010Classification PlanFebMarAprMayJunJulTotalDept Purch65.1225.1240.2153.8229143.71056.9% TTL6.2%21.3%22.7%14.6%21.7%13.6%100.0%Classification Breakdown:$$$$$$TotalPrint T-Shirt30%19.567.572.146.168.743.1 $ 317.4 Tracksuits45%29.3101.3108.169.2103.164.7 $ 476.1 Swimwear15%9.833.836.023.134.421.6 $ 158.5 Handbag10%6.522.524.015.422.914.4 $ 105.7 100%65.1225.1240.2153.8229143.7 $ 1,057.7 <br />The End<br />