April 03, 2019

Downstream Value Varies by Season

Look at four-year value for new items by season. Quarters 5/9/13/17 represent the first quarter ... 6/10/14/18 represent the second quarter, and so on.

Four-Year Downstream Value by Quarter Introduced:
  • 1st Quarter = $2,521.
  • 2nd Quarter = $2,533.
  • 3rd Quarter = $2,674.
  • 4th Quarter = $2,894.
In our example, new items introduced in the 4th quarter are worth about 7% to 10% more than new items introduced earlier in the year.

You'll work with your merchandising team to make sure that you give new items more exposure all year round (especially in free channels like email and Instagram), and you'll be willing to expose less-productive new items in Q4 simply because their potential value is better than any other quarter.

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