Glossary of Terms
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Glossary of terms Accessories A range of products that are designed to accompany items of clothing to complete an overall look. Usually intended to be decorative, common examples include ties, belts, bags, scarves, hats and jewellery, although the width of a range will vary among fashion retailers. Retailers that are selling a life-style image will have a wider range. Agent A person or business, which acts in a selling capacity for another party. Foreign manufacturers will often sell their products in other countries through agent/agencies. Agents are normally paid on a percentage commission basis. Agents will often ‘carry’ complementary ranges from several manufacturers at one time. They deal directly with the buyer. Allocation The process of distributing stock to stores. Stock is allocated selectively to stores according to certain criteria, including store size and sales targets. Principal stores will receive ‘top store’-only lines together with the rest of a season’s styles. Smaller stores will receive a representation of stock to achieve their targets. The allocation process varies according to whether the stock is being distributed for the first time or being used to replace sales. Allocator Sometimes known as a distributor. This individual will work in a predetermined manner, using available computer systems to ensure that stock is allocated effectively and efficiently to individual shops. The job ensures that available stock is used to its best effect and sent to the place where it is most likely to sell. Androgyny A reference to the convergence of gender in society. Fashion has reflected the convergence of status between males and females in Western culture in many ways. Clothing, accessories, hair products and perfumes are examples of fashion where strong unisex products have been established. ‘Baby Boomers’ Generally refers to the large birth-rate bulge that occurred during the late 1940s and 1950s, as result of European servicemen returning home from the Second World War. This is a large section of the population, which is now relatively wealthy. They were the first teenage generation able to buy mass fashion in the high street. They still represent a significant marketing opportunity. Bar codes (bar coding) Bar codes or bar coding is a unique way to give each fashion product an individual identity that can be read by laser scanner at the point of sale. This ensures that the retailer is then aware of what line/ size/colour of garment has been sold. They are found on most consumer products. On fashion products they are printed onto a cardboard swing tag attached to the garment. They are internationally recognisable and have been developed to ensure that retailers are able to monitor sales quickly and control their stock levels accurately. 182 Glossary of terms Base fabric All fabric, woven and knitted, needs to be approved for quality before it is used in garment construction. Fashion buyers give approval at two different stages referred to as ‘base’ and ‘bulk’ fabric approval. Base fabric is approved for stability and suitability for end use before the fabric is committed for further development. ‘Blue Cross’ mark-down A special type of mid-season sales promotion event originally devised by department stores, but now widely used by all types of fashion store. A standard discount is typically applied to selected slow-selling lines that have been identified as needing sales stimulation ahead of the normal Summer or Winter Sale period. A blue cross is used to identify selected lines that carry the price reductions. Boxed stock/ Flat-packed stock Garments shipped from other countries are usually folded and packed into cartons or boxes. This reduces costs and ensures that fashion products arrive in good condition. Flat-packed/boxed stock will often require ‘processing’ before being put out onto the shop floor; it will often require pressing. Branch An individual shop or store of a larger chain. Each branch is usually designated with an individual branch number that can be recognised by the computer for delivery and sales transaction purposes. Brand In fashion, the term usually refers to the name of a product, company or designer that has a distinctive image and perceived set of values associated with it. A brand will be distinguished from competitors and convey an image that motivates the consumer to respond positively towards it. Traditionally associated with non-retail products, although successful branding of own labels has created strong retailer brands. ‘Bricks and mortar’ retailing A recently adopted term that refers to any form of fashion or other retailer who trades from a normal shop or store, rather than one that sells via mail order or via the Internet. Bulk fabric Refers to the completed fabric that is used in the make-up of garments. The fabric is dyed to a specific colour, will often contain printed designs and possess certain ‘finishes’ which provide it with specific benefits. As such, the approval tests are more focused on colourfastness and the specific benefits provided by the finishing process – e.g. wrinkle free. Buyer The job of a fashion buyer varies according to the nature and size of a business. A boutique buyer will often also be its owner and will buy branded or designer-label stock to sell to customers. A buyer for a fashion retail brand will be involved in a more complex buying process involving design, sourcing and production. Buying assistant The most junior role on a fashion buying team. Also referred to as ‘buyer’s clerk’ by some fashion retailers, it is mainly an administrative role concerned with organising records and details of suppliers, orders and samples. Buying ethics A self-imposed code that ensures that fashion buying is carried out in a decent, moral and honourable manner. It covers such issues as buying bribes, environmental issues and poorly paid or child workers. Many fashion retailers will give buyers clear written guidelines on these issues. Buying team The team of individuals that is responsible for planning and buying a specific range of merchandise within a fashion company. Usually it Glossary of terms 183 consists of a buyer and merchandiser, together with their individual support staff. Normally a buying team is product- or garment-specific, although sometimes a team may be responsible for a range of products. Category Sometimes called a ‘product group’, it is used to group together garments or similar lines into one group. It ensures that a fashion retailer is able to quickly see how one type of group of lines is performing as whole. It helps in the monitoring of sales performance and overall stock control. Charity shop Originated by Oxfam during the late 1940s, they mainly sell donated second-hand or recycled garments. There are currently over 6500 charity shops in the UK and it is a growing worldwide phenomenon. These ‘not for profit’ charitable organisations donate all their income to charitable causes and it is increasingly becoming an accepted form of fashion retailing. CIF – Carriage, Insurance and Freight The term refers to the agreement on the delivery of foreign goods that is included within the cost price. The cost price paid by the buyer includes transport of merchandise by vessel to a country specified by the buyer. It is up to the seller to arrange insurance and delivery of the merchandise within the price they agree. Closing stock The term applied to the retail value or number of units of stock left at the end of a trading period. Trading periods are usually weekly, monthly or annual. Used by both buyers and merchandisers as a judgement point as to whether there is too much or too little stock in a business. It can be of interest at individual line, category, department and total business levels. CMT An acronym for the words ‘Cut, Make and Trim’. Generally used in the production of more complex or tailored garments, where a clothing manufacturer receives fabric owned by the retailer or another party to make up into a finished garment. The price paid for the process is only for the cutting, making up and provision of items used to trim the garment. Colour way A colour option of a product style. Commitment The value of stock (usually at selling value) that has been ordered by the buyer, but not delivered or paid for. The term usually applies to firm orders, however sometimes unconfirmed orders may also be included in the calculation. Comparative advantage An economic term expressing differences between countries’ ability to have a competitive advantage over others, through their inherent resources. Computer tag A small cardboard tag usually applied to fashion products by a small plastic shank. On this label is usually found a unique bar code, the line number, the description, the size colour and the price. It acts as an information carrier for both the customer and the retailer. Concession A branded shop operating inside another store. The shop will be run virtually in the same way as if it were free-standing outside the store, managing stock staff and its space independently of the host store. The host store will usually receive a premium and a rent from the shop and will benefit from the additional customers it generates. There have to be strong reciprocal benefits for both retailers for it to be sustainable. Confusion marketing A new term that is applied to any pricing situation that is so complex that the customer has great difficulty in understanding what value 184 Glossary of terms is actually being offered and as result cannot make direct comparison with the price of another similar product. Offering complex discounts and ‘two for one’ offers can be a form of confusion marketing.