Assignment 2 Apparel Marketing & Manufacturing

Click to edit Master subtitle style Presented By:

Arpita Khandelwal, Jatin Agrawal M.F.Tech.-II (2011-13)

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Introduction

Next plc is a British retailer marketing clothing, footwear, accessories and home products with its headquarters inEnderby, Leicestershire, England.

The company has over 550 stores throughout the UK and the Republic of Ireland, and 50 franchise branches in Europe, Asia and the Middle East. It is listed on theLondon Stock Exchangeand is a constituent of theFTSE 100 Index.

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ABOUT
Principal Activities Next is a UK based fashion retailer offering exciting, beautifully designed, excellent quality clothing, footwear, accessories and home products. Next distributes through three main channels: Next Retail Next Directory
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Next International

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ABOUT
Next International
160 overseas franchise stores in 27 countries: Armenia, Bahrain, Bulgaria, Cyprus, Egypt, Gibraltar, Greece, Hong Kong, Iceland, India, Indonesia, Japan, Jordan, Kuwait, Lebanon, Libya, Malta, Oman, Pakistan, Qatar, Romania, Russia, Saudi Arabia, Thailand, Turkey, Ukraine and United Arab Emirates 25 Next overseas stores in 7 countries: China, Czech Republic, Denmark, Germany, Hungary, Slovak Republic and Sweden Developing website capacity outside the 44 4/23/12 UK delivering to more than 30 countries

Timeline

1864

J Hepworth & Son, Gentleman's Tailors is established in Leeds, England.

1981

Hepworth buys the chain of Kendalls rainwear shops to develop a womenswear group of stores called 55 4/23/12 Next.

Timeline

1985

Debut of Next's first home interiors range. First department store with womens wear, menswear and interiors opens in Regent Street, London.

1986

Parent company, J Hepworth & Son changes its name to Next plc. The group acquires Grattan plc (mail order company).

1987 Launch of Next childrens wear.

1988

Launch of Next Directory the brand's innovative new concept in home shopping. David Jones appointed Chief Executive of Next plc.

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Timeline

1993

Next announces its brand strategy of "One Brand; Two Ways of Shopping", bringing together the common ranges across both retail and home shopping formats.

1994

Next's 300th store opens. The brand is now trading in 16 countries worldwide.

1999

Launch of shopping on the internet from the Next Directory atwww.next.co.uk This extends Next's business strategy to "One Brand;Threeways of shopping".

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2000

Next day delivery introduced as standard for orders placed before 5pm with

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Timeline

2001 Launch ofNext Flowers Simon Wolfson appointed Chief Executive.

2003

Next opens new larger format stores in Nottingham, Birmingham, Dudley and Newcastle Gateshead together with a large Home store at Glasgow Braehead.

2005 Next Home launches its Wedding List Service.

2006 John Barton appointed Chairman. Launch ofwww.nextelectric.co.uk

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Timeline

2008 Next acquires younger women's fashion brand,Lipsy

2009

Next extends its home shopping facility to the USA and over 30 other countries worldwide throughNextdirect.com Debut of Next's on-trend Runway and Miss N womens wear collections.Next named British High Street Retailer of the Year.

2010

Next confirmed as Official Clothing and Homeware Supplier to the London 2012 Olympic Games and Paralympic Games.

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BOARD OF DIRECTORS

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Business strategies and objectives

The primary financial objective of the Next group remains the delivery of sustainable long term growth in earnings per share. Next believes this objective is best achieved by continuation of the following strategies in its operating businesses:
Improving and developing Next product ranges, success in which is reflected in total sales and like for like sales performance. Profitably increasing Next Retail and Lipsy selling space. New store appraisals must meet demanding financial criteria before the investment is made and success is measured by monitoring achieved sales and profit contribution against appraised targets. Increasing the number of Next Directory customers and their average spend. Managing gross and net margins by better product sourcing, continuous cost control and efficient management of stock levels and working capital. sheet and financing structure.

Maintaining the Group's financial strength through an efficient balance 1111 4/23/12

CORPORATE RESPONSIBILITY

For Next, corporate responsibility means addressing key business-related social, ethical and environmental impacts and ensuring we run our business in a responsible way. We see corporate responsibility as a key element of how we conduct our business as we believe it makes good business sense.

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Customer Profile

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HEADLINES & HIGHLIGHT

Their Suppliers
The products they sold were manufactured in 48 countries :

They have worked with 492 suppliers during the running year They have carried out 1654 audits at their suppliers factories Thet have increased their global code of practiced team to 44

Their Customers

There are an average of 292,000 transactions per day in their Retail Stores in the UK and IRELAND. There are an average of 47,000 transactions per day in Directory Next has 2.94 million active Directory customers 77% of Directory orders are placed through the internet

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BUYER CHECKLISTS CRITERIA

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Mode Of Working & Target Prices

Liaison Office as well as Buying is done from Impulse Product range is apparel and sweaters only as per now Target prices depends on the category and product for a babies sweater price starts from 7 pounds and that for old girls is 12 pounds around.

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Mode Of Communication

Generally mode of communication is via mails and NEXT has a very systematic Workbook system, where in the supplier fills the workbook and buyer comments on the adjacent column for all the samples and further it is being uploaded on NEXT website.

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Working Seasons/Cycle

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Working Seasons/Cycle

The lead time is 90 days from the day of booking of order Quantity per style price starts from 30,000 Quantity per color is subjective and generally is equal or in ratio of whole amount of quantity ordered.

Sampling volumes cost during Product Development is being paid by Vendor.

Types of orders are of both kind namely repeat orders and new orders also

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Nominated Suppliers/Order Bookings

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Compliance Audit/Terms

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Pre-Production Approval Procedures/Production Approval Procedures

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Packing Types

There are three packings :

And 6 types of cartons : All are of different sizes,

BDCM Bulk Distribution Carton Metric

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Packing Types

Bdcm1(595*295*388 mm) cartons type is most commonly used,+1 separator No single size packing is no and no mixing as separator is being used. No carton weight to be more than 15 kgs of weight Dresses an all are hanger packed , coffin packed that is hanger and flat pack without any fold and in hanging shipment only hangers are used.

Special tags are only being used for organic garments.

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Inspection Procedures

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Payment Terms

Product Developments sampling volumes are being paid by VENDOR. Couriers payments during approval procedure and all expenditure is being bared by VENDOR.

Documentation during Pre-Shipment/Post-Shipment is being bared sometimes by VENDOR and BUYER both that vary from buyer to buyer and vendor to vendor.

Ad Samples is bared by BUYER. Inspection Certificates is SGS certification and only testing and No THIRD PARTY INSPECTION is being involved.

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DELIVERY OF GOODS TO CUSTOMERS

This is done either by ship or by air modes only.

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