Nordstrom
6-Month Buying Plan
The Ask
The objective of this group project is to create a comprehensive 6-month sales plan for Nordstrom, projecting total season’s sales, monthly sales, inventory, markdowns, purchases, turnover, and gross margin. This plan should be based on the previous year’s sales, market trends, fashion trends, and economic conditions. It should also include detailed calculations and a written justification for the projected sales plan.
The Process
Data Collection: Gather data from the previous year’s sales, fashion trends, market trends, and economic conditions.
This Year Projections: Use historical sales data and current market conditions to project sales for fall 2023. Divide the total sales projection into monthly sales plans. Use the sales-to-stock method to plan monthly inventory levels, taking into account the sales projection. Plan the markdowns for the season, ensuring that the markdown percentage of total sales falls between 40-50%. Determine purchases needed each month. Calculate the turnover rate and gross margin percentage to evaluate the efficiency and profitability of the plan.
Justification: Write a detailed justification for the sales plan, based on market trends, fashion trends, and economic conditions, explaining why the plan will result in an increase in sales compared to last year.
Skills
Financial Analysis | Excel Proficiency | Market Research
Writing | Justification | Collaboration
The Outcome
A well-researched and accurately calculated 6-month sales plan for Nordstrom for the fall 2023 season. Presented in Excel with detailed projections for sales, inventory, markdowns, purchases, turnover, and gross margin, accompanied by a written justification explaining the reasoning behind the projections and how they are supported by market trends, fashion trends, and economic factors.
