Tools for Merchandise Forecasting

Challenges Unique to Direct Commerce

But the direct merchant faces an entirely different set of challenges. In the catalog world, demand typically rises from zero when the catalog is mailed and peaks in the first two or three weeks as customers get the book and respond to it. While 60 percent to 80 percent of total demand may be experienced in those initial weeks, there may be a bump at the end of the season (e.g., for the fourth-quarter holidays). And some products trail off more quickly than others. It’s also critical to factor in the number of resalable returns you’re likely to get during the season.