URBAN OUTFITTERS by TIMOTHY TROTTMAN

In the News

timothy_trottman2 — 2024-05-01 11:18:31 UTC

Urban Outfitters is reviewing "all areas" of its struggling namesake stores due to declining same-store sales and a decrease in shopper enthusiasm.
The company reported fourth-quarter results that missed expectations, with adjusted earnings per share below analyst forecasts. Shares sank 10.2% after hours.
Urban Outfitters faces challenges in staying relevant among younger, less affluent customers due to inflation and higher prices for basics, impacting demand for clothing.
To revitalize its business, Urban Outfitters hired Shea Jensen as president of its Urban Outfitters brand for North America and is working on modernizing its offerings at Anthropologie to attract more customers under 40. Management noted the need for aggressive promotions to clear excess inventory.

Product

timothy_trottman2 — 2024-05-01 11:24:14 UTC

BDG Off-The-Shoulder Top $25

Target Demographic- Gen Z to Millenial Women

Product Reviews

timothy_trottman2 — 2024-05-01 11:29:09 UTC

Five Stars- Apr 19, 2024

cute!

Love this shirt! It’s skin tight so if I’m bloated it’s def not the move but I think it’s a cute going out top.

Yes, I recommend this product.

Four Stars- Apr 9, 2024

Cute but thin

Really cute, the material is very soft on the skin. A bit thin though. It really emphasizes stomach rolls, and you get full nip view without a bra. Also if you’re between sizes, I’d recommend sizing up. I’m usually either a S or M in UO tops, but I found the small clung to my stomach too much.

Yes, I recommend this product.

Five Stars- Apr 19, 2024

have it in 3 colors.

I’m obsessed with this shirt. It fits so well. You can wear it off the shoulder or not and it still looks so nice!

Yes, I recommend this product.

Five Stars- Apr 16, 2024

Very comfy and cute

One of my favorite shirts! It's perfect for spring/summer, really comfortable and lightweight!

Yes, I recommend this product.

Promotional Cadence

timothy_trottman2 — 2024-05-01 11:39:00 UTC

Taken During 50% off Promotional Sale

Taken April 29th

Sell-Through Percentage

timothy_trottman2 — 2024-05-01 11:41:31 UTC

Sell-through percentage measures how much inventory is sold compared to the total available within a specific period, and it is a critical metric for Urban Outfitters' success. A high sell-through rate indicates effective inventory management and profitability, as it signifies that products are being sold at a desirable rate, generating revenue and maintaining cash flow. The company may use promotions or markdowns to boost sell-through and clear out slow-selling items. Monitoring this metric helps with forecasting and planning future purchasing decisions based on customer demand, leading to optimized product assortment. A strong sell-through percentage can also indicate customer satisfaction, as it suggests the products stocked match customers' preferences.

In Store Metrics- Sq Footage

timothy_trottman2 — 2024-05-01 11:41:54 UTC

Stores average approximately 7,100 square feet of selling space, typically carry an estimated 45,000 to 50,000 SKUs and are located in specialty retail centers, upscale street locations and enclosed malls.

Digital Metrics

timothy_trottman2 — 2024-05-01 11:42:15 UTC

As of March 2024,

Total Revenue- 48.9M

Online sessions- 13.9M

Conversion Rate- 2.0-2.5%

Average Order Value- $150-175

Markup

timothy_trottman2 — 2024-05-01 11:42:30 UTC

Urban Outfitters leverages markup as a strategic tool to compete with competitors and generate profit by setting retail prices that cover costs and yield profit margins. The company differentiates its products by offering unique and trendy items that appeal to its target market, allowing for higher markups due to perceived value. Urban Outfitters maintains a strong brand perception and quality, justifying its pricing. Targeted sales and promotions help clear excess inventory and attract customers, balancing temporary reductions in markups with increased sales volume. Efficient cost management across the supply chain allows the company to maintain competitive pricing and profitability. Additionally, the company's various brands, such as Anthropologie and Free People, target different customer segments and optimize product assortment and pricing strategies to maximize overall profit.

Markdowns

timothy_trottman2 — 2024-05-01 11:42:37 UTC

Urban Outfitters uses POS Markdownds and has frequent sales and promotions on many items. They do sales at the end of every season, they always have a full clearence rack in store, and they have promotional sales going on multiple times a month. The Item chosen was originally $25, but during a 50% off select styles promotional sale they were having that lasted one week, it dropped to $12.50.