Case Study: REI Private Label
Case Study: Private Label
REI recognized the need for a travel gear program. For over 10 years, we have partnered with them to build and improve their offering from the ground up. Throughout our partnership, the proven DRIV™™ process successfully launched items, categories and eventually a full program that addressed REI’s needs, challenges, strategic objectives and revenue requirements.
Discover
Using information from industry trends, existing REI product data, competitive analysis, and proprietary ideas developed by LCI, we met annually to brainstorm new products and concepts. During these meetings, critical levers for REI were reviewed, such as pricing, supply options (warehousing), timing and compliance.
- Bi-Annual reviews with Development Team, including all stakeholders (Brand and Private Label)
- Review of Strategic Initiatives/Challenges for following Season
Roadmap
Once all critical inputs have been identified, LCI and REI map a plan to deliver the best product experience to REI’s consumer. This includes Lewis N. Clark branded items and REI Co-Op private label, as well as exploring LCI partner brands or licensing. LCI then engaged its design team to create product options for the REI team to review and approve.
- Private Label (REI Coop)
- Work directly with US and Asia PD, Supply Chain and Compliance teams
- Develop unique product propositions based on retail strategy
- Sample, review, revise, repeat until approval complete
- Branded (Lewis N. Clark)
- Unique, innovative branded items
- Best-in-Class Partner Brands (Go Girl, humangear, No Jet Lag)
- Unique, innovative, patented items
- Consolidated with balance of program
Implement
Having identified REI’s critical levers and creating product within those parameters, we move to implementation. LCI creates form factors and recommends packaging and merchandising options to ensure point of purchase success. We manage the printing and QC of all packaging within the program. We are the only vendor approved to work with our own FSC-certified print teams outside of the REI network. All items go through a rigorous spec, approval and inspection process before shipment. LCI warehouses all REI product to facilitate just in time shipments.
- Program execution
- Packaging development and management, including printing with FSC certified partners
- Supply Chain
- 2x annual PO’s for Fall and Spring Season – REI commits to purchase all forecasted merchandise
- Pick and pack by store – cross dock to DC’s
Validate
Using sales data, customer feedback and market changes, LCI continuously validates the programs and products supplied to REI. Information is shared between the teams and any adjustments are implemented when needed.
- Assess program and item success based on revenue/margin delivery vs. budget
- Analysis of factors contributing to success/challenge – price point, functionality, trend, etc.
- Adjustment/feedback loop to next review/revision