Revenue loss from Covid-19 prompts new business channel
VANCOUVER, May 14, 2020 /CNW/ - Today, Canadian performance denim company DUER, launched NEXT by DUER, a quick response method that lines up demand with supply to cut waste and drive efficiencies. After losing 75 percent of revenue in less than a week amidst the Covid-19 climate, the hi-growth company recognized the need for a new approach to traditional retail. According to the Founder Gary Lenett, developing a pre-sale method to line up supply with demand was the only option.
"The old-world way of creating speculative inventory and then running costly marketing campaigns to sell it, is inefficient and wasteful," said Lenett. "The world is changing and we have to change with it. We are introducing NEXT as a new way of doing business where we gauge demand and then produce exactly what's needed and the cost savings is passed directly to our customer."
In the current retail climate, the model of manufacturing products and then executing expensive marketing campaigns to build demand and sell inventory, is no longer economical. NEXT by DUER will introduce a prototype of a product, and customers will have the ability to order pieces at a discount throughout a 3 week campaign period. If minimum thresholds are met, the garment is manufactured and delivered to the customer within 4 to 8 weeks.
"In the early days of DUER we saw success gauging customer interest and managing inventory levels with the kickstarter model," said Lenett. "Although the NEXT program has some similarities to a typical crowdfunding model, NEXT is challenging the traditional retail model by presenting a new way of doing business rather than a tactic to test the market."
This quick response approach will enable DUER to deliver products much faster than a traditional clothing supply chain which would typically take 6-18 months. The first NEXT by DUER campaign is now live at duer.ca and shopduer.com.
The desire to create technical, stylish and comfortable jeans came from a simple need: Founder Gary Lenett wanted to get off his bike and head into the boardroom in the same pair of pants. DUER was created to make it easier for people to get dressed and get on with the good stuff - the healthy, adventurous, meaningful stuff.
SOURCE Pimlico Performance Apparel Ltd.
For further information: Media Contact: Nadia Gillies, [email protected]