Work History / Sales years and before
The Hot Bag and Quick Facts mailersRetail math and accessories, sold by post
In his first year at Nike, Jimmy used mailers to teach retail math to his retailers and to sell accessories into Cleveland, and recorded the result against his own goal.
Operating · 2004 to 2005
| Project type | Retailer education and direct mail selling |
|---|---|
| Industry | Athletic footwear and accessories |
| Seat | Marketplace Footwear Sales Representative |
| Ran through | Nike |
| Dates | September 2004 to May 2005 |
| Location | Chicago, Illinois, with accounts in Cleveland, Ohio |
What it is
Jimmy joined Nike on March 1, 2004 as a Marketplace Footwear Sales Representative in Chicago. He managed more than 200 accounts across a five state territory.
He set himself the goal of learning retail math and retailer profitability, to help the retailers succeed and to earn more business. His development plan for the year included a series of one-page fliers to start conversations with customers about maximizing their business and Nike's.
What Jimmy did
- Worked with a Nike business analyst in September 2004 to develop a "Quick Facts" mailer on profitability for the retailer.
- Covered four subjects in it: turnover, markdown strategy, gross margin and sell-through, with the formulas for turnover and sell-through.
- Gave the retailer a target. The average turn for the shoe industry was 2.1 a year, and he told retailers to shoot for 4. His worked example showed that raising turn from 2.1 to 4 freed $22,600 in cash flow.
- Introduced a retail metrics education program for himself and his accounts.
- Wrote a spring 2005 sell-in plan for the "Hot Bag" accessories mailer. The plan set out to exceed accessories sales of $3,337. He saw potential to grow 50% and set a goal of $5,005, with a focus on every account in Cleveland.
- Ran the plan on a calendar. He contacted all customers and mailed the packet on January 14, followed up on January 21, tracked orders on the January 28 due date, and reported to his manager on January 31.
- Built the packet from a cover letter, catalogs, a key styles list, a closeout list and order forms.
- Sent an Order Placement Guidelines sheet with each seasonal packet to move retailers onto Nike.net.
Results
- Spring 2005 "Hot Bag" bookings of $3,836, up 15%. The goal was 50%.
- More than $11K of hot bag product sold into the Cleveland market by May 1, 2005.
- 85% of spring 2005 futures orders entered through Nike.net. Futures are orders placed ahead of the season.
- More than 90% of his account base signed up for Nike.net.
- Fiscal 2005 revenue up 32%, or $960K, against fiscal 2004, as his resumes record it.