Gaining insight into your customers is essential for segmenting your consumer base and marketing your products effectively. In the fashion industry alone, data is recordable from every part of the business supplying significant insight into buyer behaviour, market trends and in-depth profiling of your customers.
In the world of fast fashion, apparel companies must move quickly to react to trends and adapt their offering to suit consumer preferences which change all the time. Data is allowing them to understand not only what occurs within their business but why things occur and how they can be improved, through intelligent analysis and merged data sets. To analyse and transform this data into useful, meaningful insights, manufacturers need a system that can process vast amounts of data quickly and efficiently. For many, apparel manufacturing ERP software has offered this solution.
Collecting the Data
Data can be recorded from almost every point in the production process, so apparel manufacturers can collect vast amounts of data in a noticeably short time frame. This could include data sets collected from orders, production, delivery, supply chain, material purchasing, and sales.
Intelligent business software allows you to capture and record these types of data sets automatically from the point of data entry from either the business or customer, depending on the process. It can also be connected to IoT (Internet of Things) devices to help in the data collection process with more advanced collected methods – e.g. collected data regarding the sourcing of materials and items used in products.
Once data sets have been collected from various steps in the apparel manufacturing process, the data must then be analysed to draw insights from. Apparel manufacturers need to understand as much information as they can about current and future trends and understand real-time changes within the market to supply the best possible products and remain competitive.
ERP software utilises technologies such as AI (Artificial Intelligence) and machine learning to help apparel manufacturers make sense of this data and provide a basis for better decision making and greater accuracy. This then enables you to operate with the knowledge they need to meet consumer demands and preferences.
What can apparel manufacturers do with this data?
Demand forecasting is an essential process used to figure out the variety and number of products manufacturers need to produce for a given period or season. This is typically based around several factors including sales history, earlier dead stock items and inventory history all of which informs the new forecast as to get the prediction as accurate as possible.
Demand forecasting allows apparel manufacturers to adapt their production schedule and planned product development to meet predicted demand for the given period. By understanding the needs and requirements of their customer base, they can also reduce the number of wasted materials, products and resources created from over buying and over producing items that do not sell.
Being able to collect and analyse all this data also allows apparel manufacturers to segment their customers based on different criteria including:
- Style Colour
Customer segmentation is a process utilised by many businesses to divide customers into groups that have common features. Using this information, apparel manufacturers can then tailor their products and marketing efforts to attract those who are more likely to buy.
Understanding consumer buying habits means marketers can target customer groups based on personal preferences and demographic analysis. Information derived at point-of-sale can then be fed back for future product development.
Using a matrix which consists of size, colour and style can help fashion manufacturers profile customers better. This increases the likelihood of repeat purchases being made and can even positively effect brand loyalty. The effects of customer profiling in the fashion industry are plain to see - increased revenue streams and sustainable growth.
Interested to find out how your apparel manufacturing business can understand your customers’ needs better?
We have helped many apparel manufacturers across the UK achieve outstanding levels of visibility using Big Data and have been able to provide them with insights far beyond their previous reach. We work with apparel manufacturers and provide them with the tools they need to succeed. For an initial discussion, contact our team on 01384 400 600, email firstname.lastname@example.org or submit a contact form.
Why not download our ApparelX Brochure for free?
ApparelX is an ERP for the textiles and apparel industry. This modern, flexible and mobile enterprise resource planning solution comprising of a suite of business applications is designed and developed specifically for textile, apparel, footwear and soft furnishing companies of all sizes. Download the brochure to find out more information.