What is forecasting and why are they important for retail organizations? See scenario below.
In your opinion, which are the two major fashion forecasting services? Discuss the type of services they offer. Look for the forecasting services in different categories depending on the services they offer, like apparel and accessory trends or fabric and color news. Also, explain why you believe these services are helpful to a retail organization.
This is a great question. Forecasting is very important to any retail organization. If a company can forecast well, then they will not only save a lot of money, but they will make a lot of money as well. In light of this, all wise retail organizations will spend ample time in this area.
With this said, it is not possible to list how these companies go about forecasting. There is no one agency that does this or one technique So, the work is hard. In fact, companies are very secretive of what they will come out with the future. This is certainly true of fashion. In light of this, what companies need to do to forecast well is to study trends. For fashion, they need to hit the runway shows to get a feel for what is coming up next. They need to be in tune with popular culture. They even need to be in tune with more esoteric things as well. The more they know, the better they will forecast
By doing this hard work, companies will be able to manufacture the right types of clothings, the right colors, and the like to meet the need of the public.