Fashion Buyer & Consumer Behavior

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Questions and Answers

Match the following impacts of social media with their descriptions:

Hyper-connected consumers = Spend most of their day on smartphones Posting and sharing = Ubiquitous engagement on social platforms Instant gratification = Demand for immediate responses Compilation of interests = Curate and filter personal content

Match the following trends in fashion with their implications:

Discounting = Continuous price reductions create expectations Seasonality = Influence of timing on consumer mindset Lifestyle trends = Rise of busy and time-poor consumers New factor = Short attention span leads to fast fashion purchases

Match the following benefits of data warehousing with their advantages:

Improved decision-making = Centralized data access allows for better insights Historical analysis = Track changes over time for trends Data consistency = Uniform data formats enhance reliability Enhanced reporting = Streamlined data integration improves visibility

Match the following data mining techniques with their applications:

Clustering = Grouping similar data points together Classification = Predicting categories for new data Association rule learning = Finding relationships between variables Regression = Modeling relationships between dependent and independent variables Signup and view all the answers

Match the following customer loyalty strategies with their descriptions:

Reward programs = Incentives for repeat purchases Personalized marketing = Tailored offers based on consumer behavior Customer feedback = Engaging consumers to improve services Exclusive access = Providing loyal customers with special privileges Signup and view all the answers

Match the following concepts with their descriptions:

Impact Of Social Media = Increases customer interaction and brand awareness Data Warehousing Benefits = Allows for large-scale data analysis and reporting Customer Loyalty Strategies = Includes educating customers and offering incentives Data Mining Techniques = Analyzes customer data to predict buying behavior Signup and view all the answers

Match the following customer types with their characteristics:

Disciples = Shoppers who predominantly shop at your store Vulnerable = Customers actively looking for better alternatives Secure = Shoppers who find it acceptable to primarily shop at your store Disgruntled = Shoppers who only purchase in one department at your store Signup and view all the answers

Match the following database marketing goals with their purposes:

Understanding Customers = Gaining insights into customer preferences Tailoring Merchandise = Offering specific products to segmented customers Preventing Defections = Reducing customer loss to competitors Improving Customer Service = Enhancing the shopping experience to retain customers Signup and view all the answers

Match the following fashion trends with their implications:

Demographic Trends = Change slowly and require long-term strategies Fashion Buyer Insights = Need to closely observe societal changes Niche Marketing = Targets the smallest consumer segments effectively Micro Marketing = Focuses on individual customer preferences Signup and view all the answers

Match the following definitions with the marketing concepts:

One-to-One Marketing = Tailors messages to individual customers Relationship Marketing = Focuses on building long-term customer relationships Target Marketing = Aims promotional offerings at specific customer segments Mass Marketing = Targets undifferentiated large groups of customers Signup and view all the answers

Match the following methods with their aims in customer loyalty:

Feedback Mechanisms = Asks for input to improve service Churn Analysis = Identifies reasons customers leave Competitive Services = Ensures offerings rank well against competitors Incentives Offering = Encourages repeat business through rewards Signup and view all the answers

Match the following data management concepts with their characteristics:

Database Management = Involves analyzing customer information Predictive Analysis = Uses data to forecast buying behaviors Customer Segmentation = Divides customers based on specific criteria Market Targeting = Directs marketing efforts towards specific demographics Signup and view all the answers

Match the following social media impacts with their effects on brands:

Enhanced Communication = Facilitates direct engagement with customers Brand Visibility = Increases awareness across various platforms Customer Insights = Gains feedback on customer preferences Competitive Edge = Allows brands to stay ahead of rivals Signup and view all the answers

Match the impact of social media with its description:

Increased fashion awareness = Greater connectivity between cultural groups Faster demand for change = Ever-increasing media hype Influencer marketing = Wider range of fashion influencers Trend pressure = Social and peer-group media influence Signup and view all the answers

Match the following fashion trends with their characteristics:

Casual dressing = Shift from formal to casual globally Androgynous styles = Less gender-specific dressing Fast fashion = Rapid turnover of trends encouraged by media E-tailing = Access to global fashion trends via the internet Signup and view all the answers

Match the benefits of data warehousing to their explanations:

Real-time access = Detailed customer data available perpetually Improved decision-making = Data used for merchandise decisions Vendor relationships = Strengthened ties with suppliers Inventory tracking = Monitoring stock levels efficiently Signup and view all the answers

Match the data mining techniques with their types:

Associations = Linking purchases based on discounts Sequences = Events linked over time Clustering = Identifying customer groups for e-commerce Forecasting = Predicting customer behavior and purchases Signup and view all the answers

Match the strategies to reduce customer churn with their descriptions:

Targeting valuable customers = Focusing on existing loyal customers Proactive communication = Engaging with customers regularly Promotional incentives = Offering deals to retain customers Understanding all customers = Analyzing customer loyalty levels Signup and view all the answers

Match the effects of social media on fashion buying to their impact:

Faster trend cycles = Increased consumer demand for the new Wider reach = Global spread of fashion trends Influencer culture = Rise of fashion influencers online Peer pressure = Media-created social trends influencing purchases Signup and view all the answers

Match the characteristics of data warehousing with their benefits:

Single data source = Consolidated information for analysis Performance measures = Tracking sales, margins, and inventory Operational integration = Collecting data across retail sectors Enhanced accessibility = Easier data access for decision-makers Signup and view all the answers

Match the data mining terms to their examples:

Associations = Correlation of ties and shirts sales Sequences = Suit purchasers likely to buy shoes Clustering = Defining e-commerce user segments Forecasting = Predicting future customer purchases Signup and view all the answers

Match the approaches to customer loyalty strategies with their goals:

Identifying best customers = Focusing on high-value shoppers Reducing churn = Preventing customer attrition Engaging indifferent customers = Converting casual shoppers to loyal ones Leveraging data = Using information to drive promotions effectively Signup and view all the answers

Match the reasons for understanding consumers with their implications:

More disposable income = Changing purchasing power among consumers Diverse cultural influences = Greater fashion awareness and trends Media's acceleration of trends = Fast-changing consumer behavior Social connectivity = Influence across different cultural groups Signup and view all the answers

Study Notes

Week 3: The Fashion Buyer and Consumer Buying Behaviour

The week focuses on the fashion buyer and consumer buying behaviour.
A key discussion point is whether a degree is necessary for a fashion buyer career.

Why a Degree Might Be Necessary

Many retailers prefer candidates with degrees.
A degree demonstrates skills in merchandising, marketing, sales, and personnel management.
Critical skills required include drive, ambition, ability to work under pressure, and creativity.
Understanding human resource skills, communication, leadership, and merchandise knowledge is important.
Analytical ability and computer literacy are also significant.
Retail experience is often desired.

Why a Degree Might Not Be Necessary

Opportunities exist for advancement through working up in retail assistant buyer roles though without a degree.
Retail management training often provides a broad overview of retail operations.
This training helps candidates develop necessary buying skills.
An example of such a program is Harrods' management training course.

Is Vision Necessary for Retail Buyers?

Vision (forecasting future trends) is critical for success as a retail buyer.
Essential for anticipating consumer demand and fashion trends.
Consumers are constantly looking for new trends.
Profit is often made by being first to the market with relevant merchandise.
Without vision, simply repeating past strategies leads to failure.

Centralized Buying

All buying activities are performed from a central retailer headquarters.
Headquarters buyers have the authority and responsibility for merchandise selection and purchase decisions.
Most retail companies today use centralized buying.

Advantages of Centralized Buying

More reliable sales forecasts.
Allows for accurate forecasting based on aggregated store data.
Enables specialists to generate trends more quickly than in an individual location or store.
Reduces expenses.
Avoids unnecessary individual buyer travel.
Allows for greater purchasing power which can lead to lower prices and better discounts.

Disadvantages of Centralized Buying

Difficulty in adjusting to local conditions.
Merchandise selection may not adequately account for local preferences (e.g. size, color).
Timing of seasonal merchandise may vary across different locations (e.g., climate difference).
Limited retailer flexibility in tailoring local merchandise to regional preferences.
Buyers may not have the same connection to store personnel and processes.
A lack of appropriate diversification could stagnate the brand.

Understanding Consumers

Understanding reasons why consumers buy products is critical for retailers.
This includes evaluating the impact of technology on consumer purchasing.
Data regarding demographic, geographic, behavioral, and psychographic factors is useful.
Retailers must consider seasonal factors, and the impact of 'new'.

Motivation for Consumer Purchases

Consumers buy products for 3 main reasons; rational, emotional, and patronage needs.
Motivations are often complex and hard to discern.
Rationale purchases are focused on basic needs (food, clothing, shelter).
Emotional purchasing may involve subjective feelings.
Patronage purchases are based on things such as store convenience, merchandise selection, service quality.

Maslow's Hierarchy of Needs

This theory explains consumer motivation.
It outlines levels of needs, from basic physiological requirements (food, safety) to higher-level needs such as self-actualization.
Recognizing these needs helps retailers tailor their offerings to specific types of consumers.

Decision-Making Theory

Consumers go through a decision-making process when they purchase.
This process typically includes awareness of a need, a period of reflection, decision-not-to-purchase, and researching.
This research typically involves an assessment of available options. Consumer wants are often complex.

Targeting Customers

Targeting customers involves identifying relevant markets for specific products.
Understanding customer wants is essential for tailoring offerings.
Market segmentation involves classifying customers based on common characteristics.
This allows for better targeting of specific merchandise selection for particular groups.

Consumer Market Segmentation

This process involves classifying customers into meaningful groups.
Data from 4 key areas is used: demographic, geographic, behavioral and psychographic.

Identifying Changes in Consumer Markets

Retailers must anticipate changes in consumer tastes and attitudes.
Consumer spending patterns need to be assessed.
Maintaining an understanding of customer purchasing patterns is crucial for profit maximization and business longevity.

Consumer Trends

Consumer trends often involve demographics and lifestyle patterns.
Understanding these factors is crucial for retailers who need to meet the changing needs of their market segment.
Examples of such trends include: increasingly busy lifestyles, changing expectations of product availability, rapid technological and communication changes.

Why Trends Matter

Retailers need to understand the trends in society and consumer purchasing behavior to remain competitive in today's changing markets.

Discounting

Continuous discounting creates expectations in the market.
Retailers need to maintain profitable margins.

'New' Factor

Modern consumers have short attention spans.
Instant gratification is a key factor.

Seasonality

Retailers must get the right product in front of the right customer at the right time to remain profitable.
Changes in consumer spending are important, however, the nature of seasonality is changing with modern consumers.

Data Warehousing and Data Mining

Retailers use data warehousing and data mining to identify trends, understand patterns, and predict consumer behavior.
Data mining tools help discover patterns and trends.
This data allows retailers to more accurately understand customer expectations, and tailor their merchandise and operations to profitable advantage.

Targeting Current Customers

Understanding various types of customers (loyal, less loyal, indifferent) is important.
Effective customer targeting leads to more efficient customer retention.

Database Management

This approach collects customer information to develop tailored marketing messages.
This often maximizes the likelihood of a customer purchase.

Database Marketing's Evolution

Technology has enabled targeted marketing to specific individuals.

Goals of Database Marketing

Tailoring marketing efforts to individual customer segments.
Improving customer service and retention.
Preventing defection.

Identifing Changes in Consumer Markets

Demographic trends change very slowly, whereas consumer social and technological attitudes change quickly, demanding a nuanced understanding of both.
Consumer attitudes and expectations must be accounted for.

A Day in The Life of a Buyer

Provides an insight into the daily routine of urban fashion buyers.

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Description

Explore the crucial role of the fashion buyer and the dynamics of consumer buying behavior. This week delves into whether a degree is essential for a career as a fashion buyer, discussing both the benefits and alternate paths in retail management.

Fashion Buyer & Consumer Behavior - Week 3

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