It's often explained as getting the right merchandise, in the right place, at the right time, in the right quantities at the right price. Never just say this in response when someone asks you what merchandising is, as this doesn't take into consideration all the planning and strategy that goes on prior to getting the stock into stores. You need to give a more considered answer and this will really pay off at interview. Right Merchandise - Styles, brands, colours, sizes etc Right Place - Which store, depending on their budget and location Right Time - Having merchandise in stores at the right time in the season i.e. ready for Christmas or 'Back to School' or Idul Fitri Hols Right Quantities - Enough for the stores to make their budgets but not have to markdown stock at the end of the season The Right Price - Those that will attract customers in spite of competition yet generate a reasonable return on investment for the retailer i.e. profit The objective of the merchandising management team is to get the correct balance between the expectations of the customer and the objectives of the company's financial strategy. A merchandising role involves the following processes: Analysing past sales figures/trends to anticipate future product needs. Devising a merchandise plan using the above techniques. Relaying the merchandise plan to the buyer who, in turn, can decide on what products, styles, colours etc to purchase and from which suppliers, at what price. Devising a contract for the suppliers including quality control, accuracy and flexibility. This is done throughout the season. Allocating certain amounts of stock, to each outlet, throughout the season. Retailers are now trying to minimise stock holdings and commitment to allow for maximum flexibility. Once the products are all distributed and put on sale, the Merchandiser can monitor stock movement, consider markdowns, inter-branch transfers, promotions or clear outs etc. The Merchandiser is instrumental in all commercial decisions such as how much money should be spent, how many different lines should be bought and in what quantity, involvement in setting selling prices to regulate profit and decisions on when the stocks should be delivered into the business.

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