Ralph Lauren reported a 9% rise in average unit retail across its direct-to-consumer network for the quarter ended 26 September. In the 5 November filing, the company pointed to stronger full-price selling and a favourable mix of markets and sales channels among the contributors. Comparable store sales rose 6% in North America and 24% in Asia, while Europe fell 1%. Within Europe, digital comparables rose 9% and physical-store comparables fell 4%. Ralph Lauren earnings filing
An average selling price can rise when shoppers buy more expensive coats or handbags, even if the prices of individual products stay the same. It can also rise when a greater share of sales comes from markets or channels where customers already spend more per item. Those are useful changes for a brand, but they tell a retail team different things about how much room it has to raise prices.
WCRC’s Powerful Brands methodology offers a way to examine those commercial signals. Compare repeat products across seasons within a single market and channel. Then check the share sold at full price, the number of units sold and the extent of discounting. If a retailer raises the price on comparable items and keeps selling similar volumes with fewer markdowns, the pricing case is stronger than the company-wide average can establish on its own. WCRC Powerful Brands methodology · WCRC’s Ralph Lauren profile
The regional results give buyers a reason to run that test market by market. A higher global average gives little guidance on how to price or stock a European shop whose sales pattern differs from its online business.