Fashion retailing, is going through a magical makeover, poised for a commercial change.
The journey of fashion retailing has gone through a magical transformation during the past years. In earlier times, people used to go to a trading post to shop. Later these posts evolved into general stores where items from food to fabric were sold. With no readymade apparels available, only fabric was sold, which was tailored into garments with no knowledge of fashion. With the span of time, general stores were accompanied by limited line stores selling clothes. This later evolved into specialty stores which retains its name till today. Retailers then felt that it would increase their profit margins if they could feature more than one product, and this led to the birth of departmental stores.
of the Market:
The driving force behind the transformation of the retail industry is the customers emphasis on fashion. The attributes of the customer dominate the market, generate sales, and manipulate the profit margins of retailers. Fashion retailing is a consumer goods market characterized by short product life cycle, consumers changing choices, and cut-throat competition. Cities such as New York, London, Paris, and Milan lead as fashion capitals because they are capable to acquire information on future trends, upcoming trends in advance, and fashion themes. They interpret the collected information, and prepare their collections by analyzing the interpreted information.
Pricing strategies for fashion retailing depend on various factors. Market pricing is done based on the market character of the city; whether it is a metropolitan, urban sub-urban or small city. Market specific prices are determined based on whether the product is a national, store or generic brand. Product specific pricing is determined by the perceived value of the merchandise, their price, and the size of the market (middle or premium).