Building a Financially Meaningful Language of Merchandise Assortments

Abstract

The objectives of this exploratory study included identifying functional relationships between the nature of assortments and potential financial performance and proposing financially relevant definitions and related language for assortment planning. The research method was computer simulation of the merchandising process. Results indicated that more diverse assortments are less financially productive than focused assortments. A definition of assortment diversity was developed and an Assortment Diversity Index (ADI) was proposed. Understanding the diversity of assortments in relation to financial productivity may allow merchandisers to be more certain of outcomes when planning assortments. Additional research may further quantify assortment diversity and contribute to a research-based foundation of merchandising principles.

Tourists’ and retailers’ perceptions of souvenirs

“…14 From the retailer perspective, the desired merchandise mix must satisfy preferences of the target market while also being financially productive for the retailer. 15 Souvenir merchandise can be classified into five broad categories: 16 pictorial image souvenirs (postcards or booklets), piece-of-therock souvenirs (items found in nature), symbolic shorthand souvenirs (items that evoke a message about the place they came from), markers (items inscribed with the location from which they came) and local product souvenirs (items indigenous to the area). Representative items from each of these categories are sold across the American south-west including jewellery, pottery, clothing, weavings, toys, food and other products.…”

Acceptance of Mass Customization of Apparel: Merchandising Issues Associated With Preference for Product, Process, and Place

“…This customer scenario poses a challenge to merchandisers to have a particular combination of style, size, and color in stock when the customer wants it. However, offering diverse merchandise assortments has resulted in the profit-draining problems of high rates of unsold merchandise and markdowns (Abernathy et al, 1999;Rifkin, 1994;Rupe & Kunz, 1998). Inventory and markdown costs are often 20% to 30% of the cost of a garment (Blair, 1999).…”

Tourists’ Souvenir Purchase Behavior and Retailers’ Awareness of Tourists’ Purchase Behavior in the Southwest

“…From a tourist perspective, the right souvenir assortment offered by retailers must be tangible articles that evolve the intangible memories of their experiences (Littrell et al, 1994). Taken from the retailer perspective, the desired merchandise mix must satisfy preferences of the target market and be financially productive (Rupe & Kunz, 1998). Gordon (1986) suggested that local products serve as one type of souvenir.…”