Merchandising Strategy Development

Most brands have a fundamental misunderstanding of what business they're in. You're not in the brand-building business. You're not in the marketing business. You're in the merchandising business. After working with 200+ eCommerce brands spending $50k > $3M/month on ads, one pattern is clear: The brands that think like retail merchandisers outperform those that think like marketers. Why? The Traditional DTC Mindset: “We create amazing products, then market them effectively.” 🛑 This treats products as fixed and puts all the pressure on marketing. The Merchandising Mindset: “We evolve what we sell and how we present it based on behavior and margins.” ✅ Products, bundles, and pricing become dynamic levers - not static assets. The Merchandising Framework: 1. Product Assortment Optimization → Prioritize revenue/SKU → Eliminate underperformers → Launch based on buying patterns → Allocate inventory by demand → Engineer strategic gaps to drive multi-buys 2. Bundle Architecture → Build bundles from actual orders → Use good/better/best tiers → Price to encourage trade-ups → Test bundle-first vs. product-first 3. Pricing Strategy → Run elasticity tests → Introduce price anchors → Differentiate acquisition vs. retention pricing → Explore prestige pricing → Adjust for customer lifecycle 4. Product Positioning Matrix → Map value vs. price → Own distinct use cases → Create category leadership → Use comparative messaging → Align with buying motivations 5. Seasonal Planning → Build launch calendars → Plan themed product drops → Use urgency via scarcity → Align inventory + marketing → Leverage seasonality for repeats Merchandising vs. Marketing: Marketing Mindset: “How do we sell more of what we have?” Merchandising Mindset: “How do we sell smarter by evolving what we offer?” The former optimizes marketing for products. The latter optimizes products for the market. The shift from marketing-led to merchandising-led is the most powerful unlock I’ve seen for scaling past $10M. It’s not about selling what you make. It’s about making what sells.

The biggest cause of frustration between design and merchandising: Unclear expectations. If a merchandiser is hired by a highly creative brand but operates only as a financial advisor, bringing Excel sheets to every meeting without engaging with creativity and expecting to decide which bag goes down the runway, that’s a problem. If a designer is hired by a business-driven company but expects full artistic freedom, they will naturally feel frustrated the moment someone challenges their vision. If the brand prioritizes commercial viability over artistic expression, that expectation needs to be set from the start, in job interviews, and in internal processes. A designer trained as an artist might struggle in a system where data-driven strategy leads. Vice versa, a merchandiser entering a highly creative, design-first brand without recognising this reality will also face challenges. It’s a delicate balance, but the best results come when both sides understand the brand’s identity and their role within it, where strategy and creativity coexist without suffocating each other. The best solution? Be clear upfront: • Who are we as a brand? • What do we expect from each team? • Where do we draw the line between strategy and creativity? The most successful collections I’ve seen follow a 3-tier approach, with each tier requiring a different balance of creativity and strategy: Tier 1: Creativity-Led (Runway / Editorial) • Merchandising steps back, guides from afar. • Statement-making pieces that drive brand storytelling, press, and image. • Designers are free to create without commercial constraints. Tier 2: Hybrid (Pre-Collection / Re-animated carry over styles) • The line between strategy and creativity is in the middle. • This tier consists of democratic product archetypes, products that could have existed in previous seasons but are refreshed with new materials, colours, or details. • Merchandising and design collaborate closely to balance newness and familiarity. Tier 3: Business-Led (Core / Essentials) • This is the most stable, revenue-driven part of the collection. • Products are permanently in stock, timeless, and low-risk. • Merchandising leads this tier, ensuring financial consistency season after season. In large brands, separate teams handle different tiers, as each requires a distinct mindset. In brands without that luxury, both teams must navigate a certain schizophrenia, learning when to step in and when to let the other lead. Great merchandising isn’t about control, it’s about balance. The relationship with design should be a positive tension, not a power struggle.. Because at the end of the day, fashion is a business, but it’s also an art. Success comes from knowing when to guide and when to let creativity breathe. What do you think? Let’s discuss. #Fashion #FashionBusiness #FashionMerchandising

Here's why merchandising is more important than paid media in DTC... Most DTC brands don’t have a marketing problem. They have a merchandising problem. This is especially true with startups and mid-market brands. Here’s the cycle I see again and again: - CAC goes up - Teams panic, performance becomes more volatile - Blame attribution or creative or something else, switch agencies - Still no improvement - No one is paying hard attention to the assortment and product mix Great merchandising is the upstream unlock. Your PDP, AOV, bundles, promos, launch calendar, and product hierarchy drive immense value and enhance your performance. No amount of ad spend can compensate for a weak offer. Paid media is just a loudspeaker. Merchandising is what you’re actually saying. What I've seen the best brands do: - Rationalize SKUs around margin and velocity - Develop high-AOV bundles and easy gifts - Align launches to conversion windows - Build a cohesive calendar with commercial intent - Treat product development as a growth strategy Merchandising is your growth engine. Paid media is jet fuel. If your growth is stalling, don’t just spend your way through the problem set. Audit your offer. Review your site speed. Sharpen your calendar. Enhance your bundles, etc. Growth isn’t just a paid media problem... It’s a product and margin problem. #DTC #Merchandising #Media #PrivateEquity #VentureCapital

Most brands don’t have a growth problem.
They have an optimization problem. When merchandising is treated as a strategic lever—not just execution—the financial impact is real. Here’s what the math can look like on a $200M brand: * Gross margin lift: +2–7 pts * Inventory turns: 2.2x → 3.0x * Markdowns reduced: 25% → 15% of sales * Contribution margin lift: +5–7 pts What that actually means in dollars: * $10–$20M recaptured from markdown leakage * $14–$34M in incremental annual profit * $20–$30M+ in EBITDA upside No new doors.
No brand reinvention.
No “growth at all costs.” Just better decisions that can lead to:
 – Thoughtfully considered SKUs 
 – Tighter pricing architecture
 – Inventory turning at a considered pace 
 – Merchandising aligned to how customers actually buy Marketing amplifies demand.
Merchandising creates the strategy that amplifies trends and core drivers that makes demand is profitable. If your P&L is under pressure, the answer isn’t always more traffic.
Often, it’s a smarter assortment. That’s where the real leverage is. —————— The Merchandising Reset is a senior-level merchandising program built for fashion brands navigating margin pressure, inventory risk, and shifting consumer demand. Created by Briana Swords and Grace Fooden, the program helps brands reset, refocus, and re-center around product — aligning assortment, pricing, and customer strategy to drive profitable growth. We work with emerging and established brands alike, acting as a strategic copilot to in-house teams or stepping in when merchandising expertise or capacity is limited. Engagements are flexible and can scale through THE BOARD’s network of senior operators when needed. We help fashion brands turn merchandising into their most powerful profit lever. If your merchandising function needs clarity, discipline, or fast course correction, we’d love to connect.

Ever walked into Walmart and noticed those prime endcaps packed with products? They’re not there by accident. Brands fight for that space because it drives massive visibility and sales. But securing an endcap is just the first step—how you execute determines your success. First, why do products land on an endcap? 🛒 Store Promotions – Think Back-to-School, Baby Days, Spring Cleaning. Timing is everything. 🆕 New Item Launch – Whether it’s an emerging brand, DTC expanding into retail, or an exclusive new flavor, endcaps introduce shoppers to fresh options. 📍 Local Assortments – Regional products, local sports team merch, and event-driven selections create community connections. 🎯 Seasonal Must-Haves – Holidays, flu season, sun care—timely products drive impulse buys. 💰 Clearance Deals – Endcaps help retailers move inventory faster by making markdowns easy to find. Once You’re On the Endcap—Now What? Design matters. A well-planned endcap isn’t just about stacking products—it’s about maximizing sales based on shopper behavior. Clearance items? Go for bulk and visibility. The “stack it high, let it fly” strategy works best. New product or category launch? Less product, more storytelling. Use graphics, messaging, and design to educate shoppers while keeping restock easy. Pre-loaded displays? Many endcaps now arrive fully assembled—just remove the shroud and drop it on the fixture. It’s efficient and ensures brand consistency across stores. The best endcaps don’t just showcase products—they drive action. Does your brand have a merchandising strategy? #Retail #Walmart #Endcaps #ShopperMarketing #RetailDisplays #CPG Bay Cities is a full-service designer and manufacturer of packaging and in-store displays. This includes in-house design and structural engineering, manufacturing, packout fulfillment, logistics, and distribution to retailers.

HOW Gap, Feather, Boxed, AND Walmart incubation arm think about pricing, planning and merchandising. 🌟 Exciting News! 🌟 I had the incredible opportunity to sit down 1:1 with the phenomenal Bellamy Grindl, a retail strategy powerhouse known for her transformative work with leading brands like Gap, Feather, Boxed, and within Walmart incubation arm. Our discussion uncovered invaluable insights into the art and science of pricing, merchandising, and strategic inventory management that are shaping the future of e-commerce. 🔍 Key Takeaways: Price Elasticity: Surprisingly, many brands overlook the power of price, especially with new products, actual prices and sales. Bellamy emphasizes the importance of not just benchmarking against competitors but truly understanding and leveraging the value your product brings to the table. The right price can significantly boost willingness to pay if the perceived value aligns. Overstock Strategies: Facing an overstock can be daunting; however, Bellamy outlines the necessity of balancing inventory holding costs with pricing strategies to quickly and efficiently clear excess stock without compromising too much on profitability. Assortment Rationalization: As brands grow, the temptation to continuously add new products can overshadow the effectiveness of existing ones. Bellamy advises focusing on the 'hero products' that drive 80% of sales and reevaluating underperformers for potential phase-out or markdown, enhancing overall sales velocity and conversion. 📈 Bellamy's insights are a testament to the strategic depth required in today's retail landscape, where every decision, from pricing to product assortment, must be data-driven and customer-centric. For brands looking to refine their approach to pricing and merchandising, these strategies are not just recommendations but necessities for sustainable growth and profitability. 🎧 Listen to the full clip for a deeper dive into Bellamy's expert strategies and how you can apply them to your brand for maximum impact. PD. full episode in the comments! #RetailStrategy #EcommerceSuccess #PricingStrategy #Merchandising #RetailInnovation Shopify Aument