Operational Strategy Business Plan

Assessment of requirements for a luxury fashion retailer's new operational business model focused on eCommerce and private distribution channels.


The Client

A sophisticated and elegant women's lifestyle brand with principal offices in the United States and the Middle East with comprehensive plans to launch a small collection via eCommerce and private trunk show distribution channels.


The Challenge

As a start-up, coupled with its boutique size, the company did not own production facilities; as such, it was necessary to outsource almost all production and business operations, including marketing, fulfillment and sales. However, they realized that if outsourcing was continued, expenses would increasingly outpace revenue and severely limit growth opportunities.

Due to these factors, the business was not expected to turn a profit in the foreseeable future. As a result, the company wished to explore a USA-made product and operational strategy.


The Parker Avery Solution

The Parker Avery Group partnered with the client to develop a comprehensive business plan to support the desired operational, distribution and product strategies. Parker Avery identified the most appropriate initial selling channels, based on time to market, reduced capital requirements and fast access to established distribution channels.

The team also ensured the USA-based manufacturing partner had capabilities of producing all products from inception to completion and could maintain quick turnaround times to meet customer needs.

In creating the business plan, Parker Avery focused on the following key elements of success:
• Low overhead costs and low inventory
• Personalized customer relationship management
• Strong brand awareness and brand loyalty cultivated through strategic marketing and social media presence
• Maximized profits by selling through eCommerce


The Result

The client is fully prepared to move forward with the business plan, and the brand is expected to launch in the next 18 months. Due to Parker Avery's analysis, the client recognizes that as the brand grows, it is imperative that the company must focus on developing in-house capabilities to ensure a sustainable business model.


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