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Unquestionable Success
Guess? Inc. Fast Facts
Industry Fashion Retailer
Headquarters Los Angeles, California
Description Established in 1981, Guess? began as a blue
jeans company but has since managed to become a brand name that reflects a global
lifestyle. Today, Guess? designs, markets and distributes worldwide a full range of
clothing and accessories for women, men and children.
Revenues $1.7 billion
Number of Employees10,000
Business Challenge To support its aggressive retail growth, Guess sought innovative, reliable and scalable software solutions to achieve greater economies of scale, achieve enterprise-wide visibility and successfully execute inventory plans.
Business Solutions• JDA® Allocation • JDA® Assortment Planning• JDA® Enterprise Knowledge Base• JDA® Merchandise Management System • JDA® Performance Analysis
Business Benefits• Achieved aggressive retail growth• Gained complete visibility into inventory ownership• Achieved greater economies of scale and efficiencies• Successful execution of weekly sales and inventory plans
Quantifiable Benefit• Grew comp store sales 9.9 percent
Guess? has the Answer to Retail Success with JDA Software
“JDA applications have supported our entire retail growth, which has been quite
substantial. The fact that we have been able to open several retail stores, add
new concepts and significantly expand our e-commerce business with relative ease
– and without a huge increase in staffing – is attributable to JDA.”
- Michael Relich, chief information officer,
Guess? Inc.
Case Study
Guess? Inc. began as a blue jeans company in 1981 and has since developed into a global lifestyle brand. Its unforgettable, progressive campaigns featuring actors, celebrities and models have helped make the company a household name around the globe. In addition to showcasing its brand internationally in print, TV, billboards and other mediums, the $1.7-billion company continues to succeed with its trend-right fashion experience in the world of retail.
Growing comp store sales by 9.9 percent, introducing two new successful retail concepts, increasing its store count in North America to over 300, and expanding its online footprint to three e-commerce sites, there’s no questioning the success achieved by this fashion retailer.
JDA Supports Retail Growth
With plans to continue to aggressively grow its retail business, Michael Relich, chief information officer at Guess?, noted the significance of relying on JDA Software’s innovative solutions.
“JDA’s solutions have supported our entire retail growth, which has been quite
substantial. As little as eight years ago, wholesale represented over 50 percent of our company revenue. Retail now makes up over 70 percent of our North American corporate volume,” explained Relich.
“The fact that we have been able to open several retail stores, add new concepts and significantly expand our e-commerce business with relative ease — and without a huge increase in staffing — is attributed to JDA,” stated Relich.
JDA Integration Pays Huge Dividends
Since licensing the JDA® Merchandise Management System (MMS) solution, the company has continually returned to JDA to license numerous solutions in JDA’s Merchandising suite.
“JDA’s solutions are among the best on the market and provide us with a high level of sophistication and value. We are comfortable that we can continue to grow our store concepts and store count without worrying about the scalability of JDA’s solutions,” Relich noted.
Relich also noted that the integration of JDA’s solutions pays huge dividends.
“Rather than trying to build and maintain costly interfaces between retail systems, the integration among JDA’s applications allows us to keep our cost of ownership down and focus our efforts on growing the business and being a successful retail operation,” stated Relich.
Consolidating Inventory
Focussing his energies on operational projects to support the company’s aggressive retail growth, Relich played a key role in the integratation of JDA’s solutions with Guess?’s manufacturing system to separate the retail group’s inventory from the wholesale group’s inventory.
“By consolidating retail’s inventory into JDA’s solutions, the buyers’ workload was cut in half. They now have complete visibility into their inventory ownership and also have the analytics to more successfully manage and allocate merchandise rather than sifting through data in various applications,” explained Relich.
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to broaden the company’s e-commerce presence, which already included Guess.com.
Speaking on the benefits of using JDA’s Merchandising suite of solutions, Relich commented, “Retail is all about planning. If you get the planning right and make sure you get the right products in the right quantities at the right time, you’re going to be successful. As we’ve gotten more sophisticated in our retail operations and opened more doors, planning has been key to our profitability and success. JDA provides a powerful integrated planning platform for the precise execution of our weekly sales and inventory plans.”
Unquestionably Big Plans
“It’s impressive to see how JDA has expanded its portfolio of supply chain solutions through acquisitions and as new technology has emerged. They’ve gone from a merchandise management company to one that offers everything for retail from point of sale and planning. We’re achieving achieve greater economies of scale and efficiencies from our JDA investment,” added Relich.
As evidenced by his closing statement, there’s no question that Relich’s experience with JDA has been nothing short of positive. “JDA offers ia great retail solution suite, the company is stable and their people really understand retail. Any retailer could benefit tremendously from JDA’s innovative retail solutions.”
About JDA Software Group, Inc.
JDA® Software Group, Inc. (NASDAQ: JDAS), The Supply Chain Company®, is the leading provider of innovative supply chain management, merchandising and pricing excellence solutions worldwide. JDA empowers more than 6,000 companies of all sizes to make optimal decisions that improve profitability and achieve real results in the discrete and process manufacturing, wholesale distribution, transportation, retail and services industries. With an integrated solutions offering that spans the entire supply chain from materials to the consumer, JDA leverages the powerful heritage and knowledge capital of acquired market leaders including i2 Technologies®, Manugistics®, E3®, Intactix® and Arthur®. JDA’s multiple service options provide customers with flexible configurations, rapid time-to-value, lower total cost of ownership and 24/7 functional and technical support and expertise. To learn more, visit www.jda.com or e-mail [email protected].
Reliability and Scalability Support Corporate Growth
JDA’s solutions have also provided a reliable and scalable foundation to support Guess?’s retail growth. When the retailer introduced its more upscale, contemporary Marciano line, positive customer response prompted the company to launch its Marciano retail chain. Additionally, Guess? seized the opportunity to sell more of its high-margin accessories by launching its Guess? Accessories chain. In addition to bringing these new chains into the the company’s retail enterprise, Relich also launched Guessfactory.com and Marciano.com
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