Providing Strategic and Financial Advisory and Optimizing Sales
The Situation
A fashion jewelry retailer with 1,500 independent contractors selling fashion jewelry online and person-to-person was encountering significant business challenges, including a traditional go-to-market approach that as ineffective with a low ROI, declining sales, and consistent monthly operating losses.
Services
Strategic and Financial Advisory
E-commerce Development & Marketing
The Execution
- Successfully developed and implemented a fully-integrated digital marketing approach that increased conversion rates, eCommerce sales, field engagement and field sales – the results of which provided a strong indication that a hybrid direct selling / direct to consumer strategy was viable long term.
- Assisted management in the determination of the personnel and operations that could be immediately eliminated, without jeopardizing the plan.
- Led all marketing operations for the direct selling and direct to consumer channels – key areas of focus included:
- Strategy
- Execution
- Day-to-day management of reengineered, metrics-driven promotional and sales incentive calendar
- Assisted management in the determination of the personnel and operations that could be immediately eliminated, without jeopardizing the plan.
- Used a test and react approach to optimize pricing and a markdown cadence that maximized the value of the inventory and gross margin at the SKU level.
- Implemented a data-driven analytical approach which included a weekly dashboard illustrating successes and trends, facilitating the test and react strategy
The Results
Our team designed a strategic repositioning plan that implemented immediate cost containment actions; proved the viability of growing a direct-to-consumer channel without adversely affecting the direct selling channel; and accomplished it within three months without a negative reputational impact or additional capital. The plan was successful and met all objectives. In month three of the plan, sales increased from 600k to over $1.5MM with over 50% attributable to the plan’s direct to consumer marketing tactics.