Fashion brands and direct-to-consumer teams
ADVISORY AND ANALYTICS · 02
Commercial model and sales
Pricing, channel margins, customer segments and route-to-market economics.
Decision Identify profitable sales channels.
Commercial profitability across channels.
Who benefits
Department stores and retail networks
Distributors and wholesale operators
Problems addressed
- Discounts, commissions and logistics erode contribution margin.
- The profitability of each sales channel and customer segment is unclear.
- Pricing, promotions and partner terms conflict with each other.
Scope and capabilities
Pricing and terms
- Mark-up, discounts, returns, commissions and cost-to-serve.
- Promotional policy and contractual conditions.
Channels and customers
- Retail, e-commerce, marketplaces and wholesale.
- Customer segmentation, retention and B2B relationships.
Work delivered
- Rebuild channel economics including all attributable costs.
- Set pricing, discount and promotion principles.
- Segment customers and commercial propositions.
- Agree commercial KPIs, experiments and an execution plan.
Deliverables
- Profitability model across channels and customer groups.
- Pricing and discount rules, customer priorities.
- Commercial action plan with measurable follow-up.
Engagement stages
- Frame the commercial decision.
- Reconcile transactions, terms, costs and customer data.
- Compare commercial scenarios and trade-offs.
- Run a controlled test and review outcomes.
What we need
- Sales, returns, prices, discounts and customer records.
- Partner agreements, channel costs and fulfilment data.
Scope and limits. Channel strategy does not automatically include media buying or building a separate BI application.
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