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I. Industry Background: A. Brief History B. Current Environment C. Transformations D. Future Scope

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TABLE OF CONTENTS

1. Executive Summary
2. Introduction

PART A:
I. Industry background
a. Brief History
b. Current environment
c. Transformations
d. Future Scope
II. Customer Identification
* SWOT Analysis
* Porters 5 Forces Analysis
* Excel spreadsheet
PART B: Information Portal Design Design Review and Justification

1. View from Website


2. View from Mobile
3. Conclusion
1. Executive Summary

The level of this report is to explore the normal and business circumstance of the clothing
retail business, Oz Air Pieces of clothing Affiliation (OACC). The brand as of now has 3
genuine stores dissipated across Victoria yet are lethargic concerning building up an online
presence. The assessment of this report depends upon OACC's current strategy and stock
information from seven days on June 03-08, 2019. Disclosures built up a solid framework
for the relationship to move to a multichannel network which will accomplish positive
results on OACC's power, and thusly, cut of the pie.

2. Introduction

Introduction Oz Attitude Clothing Company is a clothing retail organisation that prides


itself on its traditional and ethical approach to business. Starting off in 1985 as small
market stand at the St Kilda Market, owners Barbara Moore and Wanda Lundy now have
3 brick and mortar stores situated in St Kilda, Hawthorn and Mornington. The business
first took off when a high-profile individual decided to advertise OACC’s products using
their influence. The brands cutting edge in your face style has become the preference of
many consumers whilst they also appreciate the emphasis the company places on local and
ethical production. The only aspect of the business that is crippling sales is their lack of
online presence, in which the company hopes to develop in order to increase their
influence, competitiveness and market share.
PART A:
I. Industry Background:
a. Brief History:
- The Apparel Industry consists of companies that design and sell clothing, footwear
and accessories. Product categories include everything from basics, such as underwear, to
luxury items, for example, cashmere sweaters and alligator-skin handbags. Traditionally,
apparel companies were wholesalers, selling large quantities of goods to retailers, which
then marked-up items and sold them to consumers at a profit. However, it's become more
difficult to draw a line between wholesalers and retailers; most apparel companies now
have both types of operations.
- Having stores dedicated to a single brand gives a company control over a line's
image and identity. Apparel companies relinquish some control over branding and
merchandising at department stores, and their influence is diluted further at the boutique
level. Dedicated retail stores allow a company to highlight its own merchandise, without
worrying about competing labels.
- By selling its own merchandise at retail, an apparel company can cut out the middle
man and increase profits. However, this strategy can be risky. Instead of simply designing
and producing clothes, and filling wholesale orders, companies with retail operations have
the added burden of finding store locations with good potential and managing inventory,
while avoiding big markdowns.
b. Current environment:
- The Apparel Industry is fragmented and highly competitive. There are a number of
major players, but there are also countless niche stores and private companies that cater to
specific demographics. Too, general merchandisers and foreign companies bring more
competition to the sector. Consequently, companies in the Apparel Industry need to be
nimble and highly efficient in order to survive. Having the right product is also essential;
fashion trends change frequently, and companies need to adapt to varying consumer tastes
quickly.
c. Transformations:
- Apparel businesses are pressured to overcome the increasing labor costs across
China and ASEAN countries and the impact brought by the COVID-19 pandemic to this
industry. The COVID-19 pandemic has accelerated the push for digital transformation.
d. Future Scope:
- The Internet is another important platform for retailers, especially since consumers
are increasingly Web-savvy and have access virtually anywhere. Shoppers want to quickly
find what they are looking for online, and demand fast processing and shipping. Direct
sales via the Internet can be a boon to a company. Apparel manufacturing players should
start investing digital technology in their activities as more technologies will enhance the
apparel industry.

II. Customer Identification

* SWOT

1. Strengths:
- Have a strong regular client base with the benefit of it involving influential
members of the public
- Majority of the products are locally sourced/produced which eases liability,
transportation costs and potential disruptive governmental policies
- Owner Barbara Moore and Wanda Lundy have been in the industry for 35 years
now which provides the business with plenty of clothing retail experience
- Large group of loyal customers, promotion through recognized tv and movie star =>
increase in brand awareness, high quality product, interest from foreign customer,
low price, majority product are produced locally => no transport fee.

2. Weakness:
- Have very low to no ecommerce presence, advertising is executed through
traditional (billboard) means; word of mouth or an influential public recognition.
- Top anciddle level managers are currently unqualified and inexperienced to convert
from traditional brick and mortar store to multichannel system
- High operating costs for three open stores
- Don't receive as much foot traffic in comparison to stores within shopping centers
and malls.
- Boldness and rebellious attitude design => available for only a selected group of
customers, no ecommerce, website, not enough skilled employees, high-quality but
cheap price => lower interest, can be bad in the long run.

3. Opportunities:
- Immeasurable optimization of OACC through integrating an ecommerce system.
- Integration of new technology such as augmented reality which will complement
moving to a multichannel business approach.
- The clothing retail industry is projected to grow over the five years which means
there is opportunity for OACC to capture a larger market share and generate more
revenue.
- Foreign customer interested in the design => can be used as a steppingstone to
branches out of the world, create a website of the company for people to shop online,
sponsor more movie and tv star as the face of clothing brand to increase brand
awareness, fashion show to interest customer, no mall => can be a weakness but
keeping up to trend of online shopping nowadays can be promising.

4. Threatens:
- Retail clothing is seasonal, therefore requiring constant turnover of stock as
inventory becomes dated and obsolete
- Larger retail businesses and brands that are already engaging in ecommerce are one
step ahead and therefore have the systems in place to effectively and hastily adopt
new technological developments
- New entrants threaten to reduce OACC's market share
- Natural disasters/epidemics will hit OACC harder as it is a small business
- China can be a new entrant threat, who is interested in the market, Just Jean,
WestCo have always been competitors of the company.

* Porters 5 Forces

1.Bargaining power of the customers:


- Bargaining power is high
- Low exchanging cost because of immersion of the market on the web and coming
up. Prizes projects would be the most ideal approach to guarantee steadfast clients.
- Little degree of purchaser power inside their store versus others. Customers have
little control over the cost of merchandise.
- Competitive price in the market, can only serve a selective group of customers, easy
to substitute to a different brand.- Nature of the exceptionally serious industry makes
it trying for organizations to keep up steadfast clients.
- The establishment of the store's notice is dependent on prominent people. Thusly,
they need to focus on the buyer conduct of these people to keep up those connections
and accordingly create a sound income

2.Threat of substitutions
- Threat of Substitution is high
- There are various choices as opposed to the OACC checked articles of clothing
contemplating the size of the business. Beginning in 2019 there are 25,832 retail dres'
establishments and 11,039 endeavors.
- The OACC checked pieces of clothing are uncommon clothing, lessening the peril
of substitution given clients are orchestrated towards their striking picture style.
- OACC goes probably as a substitution brand to the people who can't tolerate
purchasing excess brands. The risk of substitution will be tremendous if another
brand sorts out some way to convey similar dress styles for more affordable.
- Can be subtitute with other brands, no switching cost.
3.Bargaining power of suppliers
- High bargaining power for both brands and local producers.
- Brands have the power to easily switch from one supplier to another. Brands use
their financial prestige to influence prices.
- The local suppliers have influence over prices, yet smaller than that of brands, as
they have a smaller number of customers and need most of their products to be
bought.
- Strict source of resource => hard to fine suppliers, to keep the supplier the company
will need a contract => hard to substitute the supplier.

4.Threat of new entrants


- Low barriers to enter the marketplace as online shopping is becoming more popular,
therefore low fixed costs for storage of goods. However, investments such as
marketing, distributing and human resources also tend to be significant barriers.
- It’s becoming harder for brands to differentiate themselves which means it more
challenging for new entrants to get their company off the ground.
- : Easy to entry (low cost and time), doesn’t need too much skill and knowledge.

5.Rivalry among existing competitors


- Huge number of brands with comparable styles and sorts of items.
- Competition among locally creating brands.
- Bigger brands that have a more grounded picture have really purchasing control and
can all the more effectively influence the market.
- Serious contention is a solid power yet with the utilization of limits, offers, and
other showcasing, OACC can tolerate outing from different stores and beat the
power.
- Number of actual stores is decreasing, yet, internet shopping is getting progressively
serious.- Currently have 2 big competitors, competitive price but there is no
switching cost, a huge group of loyal customers.
 Low on competitive rivalry’s power but all other threats can be dangerous.

* Excel spreadsheet
1.

Sum of Qty
Gender Sum of Profit sold
Female 1941.778 239
Male 845.8927 89
Unisex 216.3087 52
Grand
Total 3003.9794 380
The first chart shows purchasing power by gender. Outstanding is that Female has
extremely strong purchasing power, accounting for nearly half of total sales. This shows
that with goods for men or unisex, to promote advertising, change designs and sell online
to avoid occupying space in the store.

2.

Sum of Qty
Day sold sold Total
MON 13 160
TUE 9 140
120
WED 23 100 Total
FRI 140 80
SAT 125 60
40
THUR 70 20
Grand 0
Total 380 MON TUE WED FRI SAT THUR

The pivot Daily Sales Trends chart shows the number of sales per day. It is clear to say that the end of the
week is the most productive. Friday seems to be the most popular day of the week with the sales of 140 items
of being sold.

3.
Sum of Qty Sum of 140 1200
Row Labels sold Profit 120 1000
Active Wear 126 1042.5102 100
800
Hat 25 54.09 80
Hoodie 84 558.4872 600
60
Jacket 80 994.75 400 Sum of Qty sold
40
Jeans 42 294.7896 Sum of Profit
200
Shorts 8 23.5504 20
Tshirt 15 35.802 0 0
Grand

ie
Ho t

et

rt
Sh s
ts
Ha
ea

an

hi
od

or
ck
W

Je

Ts
Total 380 3003.9794

Ja
e
tiv
Ac
The last chart shows the sum of quantity sold and the margins on each product category. Obviously the top 3
best sellers are Active wear, Hoodie and Jacket. Other products may not be suitable for the market, need to
improve with new designs, or online marketing strategy.

PART B:
1. View by desktop
2. View by mobile phone
The workings of webpage are to provide clear product image and description, information
about the business, how it fits into the industry, any affiliates, and any special causes it
supports while also ensure there are no hidden catches that sneak up on a consumer when
they get to the checkout (example: - price does not include GST until you get to the
checkout).
Create a genuine view of what the business is about and the products it sells to its
consumers. Allow options for communication and return customers to be rewarded.
Products need to be affordable, sustainable, and packaging is to be environmentally
friendly. The recycling of old clothes allows for these used clothes to go to charities and
homeless people which is another part of Oz Attitude Clothing Company’s mission. Ease
of purchase is key in the process of making to be straight to the point and minimal steps to
prevent loss of interest in proceeding with the purchase. Always ensure that the buttons or
dropdown menus are the same on each page, this will allow ease of selection for the
customer throughout the website.
Consistency is a key element in most websites. However, some slight inconsistency may
be necessary but if there is too much inconsistency this can lose customer as it can be
confusing, misleading, and plain not helpful and will revert to a loss of sales. Allow the
customer to leave feedback or be able to speak to someone whether it be through a “chat,
facebook message or Instagram”. Make sure there is an error code included in the
webpage to give the customer notification so that they know if they have made an mistake
and they can rectify. Always respond to your customers within a timely manner even if
you cannot give them an answer straight away let them know you have received their
message and that you will be in touch within 24hrs.
3. CONCLUSION

The survivability of Oz Attitude Clothing Company greatly relies on whether the business
can successfully transform itself from its traditional brick and mortar type of trading to a
multichannel ecommerce integrated brand. With this evolution, OACC will gain access to
features that many other retail clothing businesses are already taking advantage of, hence,
making them a more competitive brand and increasing their market share.

REFERENCES
 Walnut. 2020. Elevating The Customer Experience With Mood Media - Walnut.
Available at: [Accessed 9 April 2020].
 Ecommerce-land.com. 2020. History Of Ecommerce. Available at: [Accessed 9 April
2020].
 Meyer, S., 2020. The History And Evolution Of Retail Stores (From 1700S To 2020).
The BigCommerce Blog. Available at: [Accessed 9 April 2020].
 Miller, T., 2019. Clothing Retailing In Australia. IBISWorld. Available at: [Accessed 9
April 2020].
 Preuss, S., 2020. 10 Exciting Augmented Reality Features For Fashion Shoppers.
Fashionunited.uk. Available at: [Accessed 9 April 2020].
 Sakoulas, T., 2020. The Agora Of Athens. Ancient-greece.org. Available at: [Accessed 9
April 2020].
 Schwab, K., 2020. The Fourth Industrial Revolution: What It Means And How To
Respond. World Economic Forum. Available at: [Accessed 9 April 2020].

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