THE UNIFORM CHRONICLES
NAUMD is pleased to present The Uniform Chronicles, a column written by Leslie Watt McArdle, industry veteran and senior manager of merchandise and product design.
Product Management is one of my favorite topics and is where I have spent many years of my career. It is a field where you don many hats, juggling responsibilities across diverse teams – marketing, planning, supply chain, operations, product development, and sales. Each day presents itself with new challenges ensuring that boredom never settles in.
At the heart of Product Management is Product Lifecycle Management (PLM), a process that can be split into two distinct yet interconnected processes.
- Assortment Management and Rationalization: This involves managing existing products from the start through to end of their life.
- Process Creation for New Products; This is about designing new products through development and into the market.
Today, we will discuss the assortment management side of product lifecycle, a crucial process in the ongoing success of any apparel brand. The below diagram is an example of the sales cycle wheel which is always evolving and turning.
The journey through the sales cycle starts with New Product Introduction and ends with decisions based on declining sales.
New Product Introduction: This is the best phase of a product, similar to welcoming a new member of the family. It is full of positive energy and possibilities as new products bring a freshness to the assortment fueling the brand with excitement.
Growth Phase: This phase is like riding a wave and as the product gains traction it is thrilling to see positive revenue success. It brings a sense of achievement and motivates the company to invest in future innovation in apparel. This fuels the brand’s success.
Maturity; Steady as she goes. This is when the product has plateaued and hits its sales peak. It is far from over, mature products are the backbone of any assortment offering stability and reliability. They work well with newer products, providing a solid foundation for the brands portfolio.
Decline: Every product eventually faces a decline. This is a natural progression as new innovations appear, and clients’ preferences change. While this phase may lack the excitement of earlier stages, it is critical to manage wisely and in a prompt manner. Recognizing this phase is essential; you can decide to reposition the product or to retire the product from the line. End of Life is not an easy decision, there are costs associated with discounting the item and working through the inventory. There are opportunities for creative solutions, such as working with third party companies to repurpose the garment, which is a great marketing discussion and aligns with the growing concern on excess apparel in landfills.
Building assortments can be exciting but managing an assortment and knowing when to let go of products is vital. I am enthusiastic about Product Lifecycle Management and feel strongly that it is imperative that every company has a process in place to manage their assortments. Assortment bloat is common throughout the industry and can tie up money in stagnant inventory. When a new product begins its sales life, another product may be ending its life, it is the Circle of Life for apparel.
