Next to embrace faster fashion model

Having revealed its latest financial figures this week, Next is bracing itself for both economic and consumer challenges.

The British high street company fears consumers are shifting spending away from clothing towards other areas, such as eating out and travel.

In response the company detailed a new approach to buying with its nine-months-ahead Asian manufacturing being supplemented by faster-response buying. The latter will see it accelerating the decision-making process, encouraging its buying and merchandise teams to make more decisions outside formal selection meetings. Many firms may do this already but it’s a big cultural change for Next. Next is losing sales to more fast and fashionable retailers such as Topshop, Zara and H&M.

Next to focus on product and marketing in 2016

“We are very clear on our priorities going forward and whatever challenges we may face, it is important that we remain focused on ensuring that the company's product, marketing, services and cost controls all improve in the year ahead,” Chief Executive Lord Wolfson said Thursday.

Earlier this month Lord Wolfs penned an article in The Times, in favour of the UK leaving the EU: “Without radical change, the U.K. is heading for a long era of low growth."

For fiscal 2016/17, as well as Next working to develop and advance brand, buying and design capabilities, it will upgrade its Directory; develop new online advertising and email techniques for recruiting new customers and reactivating existing customers; improve the presentation of its website with particular reference to mobile devices; and open new retail space.

Next trades from more than 500 stores in the UK and Ireland, about 200 mainly franchised stores overseas and its Directory catalogue and online ops.