Fast moving and unpredictable are descriptions for these industries. We can help with the much-needed changes combining technology application and channel management.
Luxury had been going through a transition which was accentuated by Covid. More established brands were moving to a vertically integrated distribution model, while upstart brands concentrated on traditional retail channels which already struggled.
All brands, however, need to boost their digital and omnichannel capabilities, either by strengthening relationship with established e-retailers or boldly moving to D2C sales models.
Product offering, linked with inventory management and promotional activities to reduce excessive stock will be key. Signs that middle of the range priced products are suffering more than high-end and low-end luxury will also play a major role in opportunity segmentation and prioritization.
Here is where NextInSales® can support luxury, design and fashion brands.
Companies in all industries realize the potential of Direct-to-Consumer sales models (D2C). For some industries like fashion, lifestyle, beauty/cosmetics and luxury goods, this has become an imperative.
While such a path will reduce dependency on traditional retailers, will increase margins and provide valuable consumer data, it remains a minefield.
The value proposition must be clearly defined and in full alignment with the vision and the operating model.
NextInSales® can help with the portfolio definition, the offer strategy, the revenue model (price per product or subscription).
Capabilities like pricing or decisions like what to keep in house or outsource are also key.
All the performance indicators for D2C are also different to those of a classic business. We can help you define the levers which influence Consumer Lifetime Value (CLV) and Consumer acquisition Costs (CAC).
Since every company is found at a different starting point, we can help you choose the most effective and efficient approach. This is an investment in the future and a way to advance on leaps and bounds!
Channel strategy and commercial policy
We can systematically analyze the channel options available, the value propositions your company can offer to each channel and help design the optimal GoToMarket approach. Channels have evolved so much, in their effort to reach professional customers as well as end consumers, that the traditional boundaries among channels are blurred.
The decision to go direct or indirect or how to handle e-commerce is becoming more and more complex and even more crucial.
Often the commercial policy per channel is stuck in the past, trying to maintain balance to a stretched system which requires reset. Especially, as cross channel frictions intensify and product flows across markets create disruption and reduce profit margins.
Having extensive experience on Indirect Channels and particularly on Distributors, we can help you design the optimal international expansion strategy, select the most suitable partner, negotiate the perfect contract agreement, and provide proven methods and tools to support and manage the Distributor, who is both a customer and a company representative.