Marketing Mix Optimization: Helping an Apparel Retail Client to Increase Sales, Market Share, and Marketing ROI

Apr 27, 2018

The client: Apparel retailer

Area of engagement: Marketing mix optimization

The global apparel retail market is fragmented and consists of clothing stores for men, women, children, clothing accessories, luggage, shoes, jewelry, and leather goods. Additionally, the apparel retail industry has short product life cycles and is characterized by demand instability. APAC dominates the apparel retail space and is expected to grow at the highest rate in the coming years. Rapidly growing middle class, availability of a trained workforce at a competitive cost, market-oriented stable economy, and local availability of most raw materials in India, China, and Japan is expected to drive the market in Asia.

The Business Challenge

The client, a global apparel retail player with retail units spread across the globe, wanted to determine the success of their advertising and targeting campaigns across various channels. Additionally, the apparel retail firm wanted to optimize their cost and adjust new initiatives to deliver the business goals. With the help of marketing mix optimization, the apparel retail client wanted to assess the marketing effectiveness and allocate the future spend to improve business efficiency.

The Solution and the Business Impact

With the help of Quantzig’s marketing mix optimization solution, the apparel retail client identified the actual drivers of performance and segregated it into internal and external factors. The client also comprehended the impact of marketing activities on parameters including revenues, volume, and price perception. Furthermore, the client gained actionable insights on various ways to increase sales, market share, and marketing ROI.

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Marketing Mix Optimization Predictive Insights

Quantzig’s marketing mix optimization solution helps firms in the retail sector to reallocate their spending to assess progress and improve top-line revenue. Firms can also comprehend the external factors influencing the sales performance including seasonality, competitive actions, and economic conditions. This can further help companies to optimize the future spend and improve the overall business efficiency.

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