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Redesign of the retail distribution strategy

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Multinational distribution company of a premium fashion brand redesigns its distribution strategy in the Iberian Peninsula to adapt to the luxury segment, according to its brand target positioning.

Initial client situation and challenges

The company’s distribution strategy in the Iberian Peninsula, with a total revenue of several hundred million euros, was composed by wholesale channels, through multi-brand clients and department stores, along with retailer sales through its own network of shops, outlets and department store concessions.

While the locations and the retail channel sales model were consistent with the new positioning in the luxury segment, distribution through multi-brand wholesale clients and department stores required a deep transformation.

Solution Approach

Adoria accompanied the client throughout the whole process of analysis, design and implementation of these commercial distribution channels restructuring processes:

  • Commercial analysis of each point of sale covering more than 500 multibrand clientsand over 80 department stores.
  • Clustering each point of sale within the luxury segment, in accordance with the commercial variables of the particular point of sale and the brand’s competition for each existing collection (woman, man, kids and accessories).
  • Proposal of channel restructuring scenarios, management of the communication and sales teams responsible for its implementation.