By: YAY Designs
In today’s fast-paced retail environment, many brands may seem to be thriving on the surface, with expanding product lines, bustling product launches, and growing revenues. But beneath the surface can lie challenges like eroding margins, inefficient processes, and operational strain. For Yevgeniya A. Yushkova (YAY), founder of Yushkova Design Inc. (dba YAY Designs), these often-overlooked inefficiencies were not just obstacles—they inspired the launch of a consulting firm dedicated to helping fashion and retail businesses grow more effectively.
The Balancing Act of Growth: When Rising Revenues Mask Margin Pressures
“Revenue growth can lose its impact if margins are quietly shrinking,” Yushkova explains. This insight comes from decades of experience leading both manufacturing and retail operations. After building multiple multimillion-dollar private label brands and launching her own fashion line, she observed a recurring theme: companies scaling quickly but often lacking the systems to sustain growth profitably.
Industry benchmarks suggest the average after-tax operating margin for U.S. apparel companies stands at just 8.02%, highlighting the thin margins many retailers navigate.
Elevating Private Labels: A Strategic Approach
Yushkova’s firm specializes in helping mid- to large-sized retailers and consumer brands maximize the value of private labels. Rather than treating private labels as an afterthought, Yushkova positions them as a key driver of profitability and customer loyalty. Research from McKinsey & Company indicates that private-label products often achieve higher gross margins than national brands, sometimes by a factor of two.
“Private label isn’t just about price. It’s a significant opportunity for profit and customer loyalty,” she says. But without a strategic foundation—clear assortment planning, supplier alignment, data-informed pricing—many private labels may fall short of their potential. Yushkova Design combines creative and operational rigor to help transform these programs into more scalable and profitable revenue engines.
A Balanced Approach: Lean, Data-Driven, and Creative
What sets Yushkova Design apart is the integration of Lean Six Sigma discipline with creative expertise. “Great brands aren’t built on creativity alone—they’re built on strong execution,” Yushkova notes. Her team, with over 79 years of combined experience, doesn’t just advise—they collaborate deeply. They assess entire ecosystems—from design to supply chain—and develop systems that can reduce waste, accelerate speed-to-market, and support profitability.
Their approach is methodical and customized: starting with diagnostics to identify root causes, followed by tailored execution plans. It’s not about adding new headcount or expensive systems—it’s about optimizing what you already have.
Navigating Supply Chain Challenges: Flexibility Over Rigidity
One of the key hurdles for retail profitability is an inflexible, single-source supply chain. “Over-reliance on a few suppliers, long lead times, and limited agility can introduce risk,” Yushkova observes. That risk has become more pressing with the reemergence of tariff pressures in 2025.
Yushkova Design helps brands address these pressures not by chasing the cheapest option, but by developing more resilient supply chains. That includes diversifying suppliers, restructuring lead times, and improving agility across the design-to-delivery process.
For one client, this strategy contributed to a 40% reduction in lead time and a 25% margin increase, achieved through closer alignment between design, merchandising, and sourcing, without requiring a full team overhaul or costly new systems.
From Reactive to Proactive: Streamlining Retail Operations
Yushkova’s clients often approach her in a state of urgency—juggling trends, fixing inefficiencies, and managing disconnected teams. “Many retail businesses don’t have a growth problem—they have a process problem,” she explains. The solution isn’t necessarily another strategy deck—a practical implementation. Her team works alongside clients to realign departments, refine workflows, and apply lean merchandising strategies that can drive meaningful improvements.
In one recent engagement, a retailer with multiple private label brands faced poor sell-through and stagnant growth due to siloed operations. After a full diagnostic, Yushkova Design restructured the end-to-end process, leading to stronger alignment, improved chase strategies, and notable profitability gains.
“Inventory isn’t an asset if it’s not moving—it’s a potential liability,” Yushkova points out. “Too often, retailers carry excess product because their internal teams aren’t fully aligned. The answer isn’t always more product—it’s better alignment between merchandising, design, and sourcing.”
Looking Ahead: Empowering Smarter Retail Practices
Looking ahead, Yushkova plans to expand beyond one-on-one consulting. “We’re focused on fostering a community of fashion and retail operations that can adapt to any market condition,” she says. That includes executive roundtables, strategic toolkits, and leadership training programs aimed at empowering both executives and their teams.
As a leader who has guided private label development for major retailers in fashion and licensed sports apparel, directed creative and production for manufacturing brands, and overseen merchandising for a national licensed sports retailer, YAY brings a unique, multifaceted perspective to business transformation.
Her vision is to help retail businesses grow with greater efficiency by reducing operational waste, strengthening private label strategy, and implementing systems that support long-term success.
Your Next Step: Explore the Opportunity
If these challenges sound familiar, you’re not alone. Yushkova Design is hosting a private Executive Roundtable for retail leaders to discuss these issues, featuring case studies, actionable strategies, and frameworks designed to improve margins and streamline operations.
Seats are limited and by invitation only. Accepted participants will also receive a complimentary business assessment.
Insights from Yevgeniya Yushkova
- “You don’t need more product—you need strategic, data-driven assortments.”
- “Profitability often begins with what you put in the line plan—not what you mark down later.”
- “Many leaders aren’t failing to grow—they’re facing challenges in scaling efficiently.”
If your retail business is growing quickly but feels unstable, it might be time to pause, assess, and explore a smarter path forward. Yushkova Design isn’t focused on short-term fixes—they’re committed to helping you build a stronger foundation for your brand.
Published by Steven S.
