How To Conduct Price Research For Retail Fashion
Pricing products competitively is key to success in fashion retail. By leveraging tools like Woven Insights, brands and retailers can easily analyze how similar items are priced across the market, identify pricing gaps, and refine their strategies.
Pricing products competitively is key to success in fashion retail. By leveraging tools like Woven Insights, fashion brands and retailers can easily analyze how similar items are priced across the market, identify pricing gaps, and refine their strategies.
Below is a quick 5-step guide for conducting fashion price research:
Step 1: Define Your Product and Market Scope
Start by narrowing your research to a specific product category and geographic market.
For example:
- Location: Select the UK (GB).
- Category: Choose a specific item type (e.g., “wrap dresses”).
This focused approach ensures your analysis is actionable and relevant to your target audience.
Step 2: Access Price Distribution Insights
Navigate to the Insights section and click “See More” to view full pricing data.
By default, the tool may display pricing across brands, but you can adjust this to analyze retailers, categories, or genders instead.
- Example: Switch the view from “Brands” to “Retailers” to compare how Boohoo, Dorothy Perkins, and others price wrap dresses.
Step 3: Analyze Price Distribution Across Retailers
The tooltip generates a visual breakdown of price ranges for your selected product.
Here’s how to interpret the data:
- Bar Charts: Show how many products fall into specific price brackets (e.g., £0–£50, £50–£100).
- Example: Boohoo’s wrap dresses cluster in the £20–£40 range, while Dorothy Perkins prices most items between £40–£60.
- Granular Adjustments: Refine price intervals (e.g., £0–£20, £20–£40) to identify precise pricing tiers.
Step 4: Compare Average Prices for Quick Insights
For a high-level overview, scroll to the Price Index section to view average retail prices.
This reveals the mean price of products per retailer or brand per category an sub-category:
- Example:
- Boohoo’s average wrap dress price: £28
- Dorothy Perkins’ average: £43
Use this data to benchmark your pricing against competitors or identify premium vs. budget segments.
Step 5: Apply Insights to Your Pricing Strategy
The data from Woven Insights can inform critical decisions, such as:
- Competitive Positioning: Price products just below competitors (e.g., £25 for wrap dresses if Boohoo averages £28).
- Identify Gaps: If most retailers focus on £20–£40, consider targeting a premium (£60+) or budget (£0–£20) tier.
- Seasonal Adjustments: Track how prices shift over time (e.g., holiday discounts, summer collections).
Bonus: Expand Your Analysis
While the demo focuses on retailers, you can also:
- Compare pricing across brands or colors (e.g., red vs. black dresses).
- Analyze multiple categories (e.g., skirts, tops) to spot broader market trends.
Key Takeaways
- Granular Data: Adjust price intervals to uncover hidden opportunities in specific brackets.
- Averages Matter: Use mean prices to simplify competitor benchmarking.
- Dynamic Pricing: Regularly revisit the tool to adapt to market shifts.
By combining price distribution trends with average price comparisons, you can craft a data-driven strategy that balances competitiveness and profitability.
Regularly revisiting this analysis ensures you stay aligned with consumer behavior and market shifts. With tools like Woven Insights, data-driven decisions literally are a competitive edge in the fast-paced fashion industry.
Click on the button below for a Woven Insights demo
Note: Replace "wrap dresses" with your target product and "GB" with your market of interest for tailored insights.