The Ask
Create a six month financial plan with net sales, monthly sales, stock to sale ratios, markdowns, purchases, turnover, and gross margin, as well as including justifications based on research
The Process
For this 6 month financial plan we conducted market research on external factors affecting the stock market, then used that information to justify how much money we we allocated towards planned sales each month. We then calculated various elements such as planned % increase each month and the percent of each month that account for total net sales.
Other elements like stock/sales ratio were determined through research on Nordstroms current success, and their projected revenue in the coming year. BOM stock was calculated by understanding how much stock we have at the beginning and end of each month, using the prior months to find results. Our markdown strategies were developed through finding ways to differentiate the plan from last year and still maintain revenue. Lastly, our purchases at retail was found through considering all other factors in the 6 month plan.
The Outcome
My teammate and I created a 6 month financial plan for Nordstrom, based on market research and current trends. We considered sectors such as internal & external factors, sustainability & ethical awareness, weather & color, omni channel marketing, the 4-5-4 calendar, and comparing this year to last years plans.
This project was completed alongside my teammate at Virginia Commonwealth University:
Julia Sweeney