ENGLISH

Apparel Costing

By Andrea Kennedy; Andrea Reyes; Francesco Venezia

Book information

Publisher
Bloomsbury Visual Arts
Year
2020
ISBN
9781350065413, 9781350065406, 9781350065437, 9781350065420
Language
english
Format
PDF
Filesize
9 MB (9632006 bytes)
Pages
\159
Time added
2023-05-22 12:21:33

Description

Newcomers to the fashion industry often base costings on the sum of a style’s fabric, trims and labor—and to that they simply add their markup. However, every other activity of the business erodes that markup, and they find themselves with an unsustainable profit—or a loss. This guide will help you avoid these pitfalls to guarantee a sustainable profit. Apparel Costing details traditional and current costing methods for the fast-paced and e-commerce-focused fashion marketplace. You will learn industry-specific product/style costing that can be applied to garments produced both locally and globally. You'll also learn how to calculate line item percentages on indirect cost factors, such as factory sourcing, overhead, administration and product development. Key topics include: Target Market Pricing; Variable vs Fixed Costs; Direct vs Indirect Cost Factors; Cost-Based vs Value-Based Costing; Domestic vs International Production Costing; Effect of Sourcing on Costing; Sustainability in Costing; Fast Fashion vs. Slow Fashion Title Page Copyright Page Contents Acknowledgments Preface Introduction Chapter 1: Costing Basics The Role of Costing The Costing Timeline Costing Terms and Vocab Summary Chapter 2: Traditional Apparel Costing Introduction First Cost Markup Summary Chapter 3: Global Production Sourcing and Costing Introduction Effects of Global Production on Costing International Costing Terms Direct Factory Sourcing Buying Office and Sourcing Agent Fees Freight Forwarding Charges Customs Clearance Fees Duty Summary Chapter 4: The Factors of Costing Introduction Direct versus Indirect Cost Factors Fixed versus Variable Costs Case Study: The Costs of Missing Fabric Summary Chapter 5: Activity-Based and Product Development Costing Activity-Based Costing Product Development and Sampling Estimating Product Development Costs Product Development Costs Summary Chapter 6: Target Market and Private-Label Pricing Identifying Your Target Customer Types of Pricing Competitor Research Target Market Costing Value-Based versus Cost-Based Pricing Private-Label Pricing Private-Label Pricing Has a Competitive Advantage Summary Chapter 7: Margins, Markups, and Markdowns Profit Margins Omni-Channel Retailing Discounts Markdowns Chargebacks Markdowns, Discounts, and Chargebacks on the Cost Sheet Recording Profitability Meeting the Customer’s Needs Winning the Profit Game Case Study: Using Existing Styles for Off-Price Divisions Case Study: Amazon Case Study Summary Chapter 8: Ways to Cut Costs It Starts with the Sample Watering Down the Line The Cost Is in the Fabric Those Trims and Notions Add up Too Negotiations with Vendors Negotiating and Reducing Costs to Achieve Profit Margin And What about Indirect Cost-Cutting? Case Study: A. Bernadette Summary Chapter 9: Costing for Today’s Sustainably Minded Market Blockchain Technology Summary Glossary References Companion Website Resources Sample Cost Sheets Index

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