In order for business activity to grow and expand profit is mandatory. Encompassed within the fashion industry business performance can be analysed through the pillar ‘profit’. Analysing all sectors of the industry leads to discovering profitable opportunities which will consequently drive business activity.
Figure 1: (Mckinsey & Company, 2023)
Considering the fashion industry facing a decline in growth rates in the later months of 2022, due to challenging climates, hyperinflation leading to depressed customers, the industry is the fourth biggest in the world with a value of 3 trillion dollars. With these statistics the vast dimension of the industry is proven. Predictably, each sector in the industry will grow at its own rate which suggests primary sectors. McKinsey & Company states “the luxury sector will outperform the rest of the industry, as wealthy shoppers continue to travel and spend, and thus remain more insulated from the effects of hyperinflation.” (McKinsey & Company, 2023). Proven my the Lyst index Q2, It’s said that the luxury brands Loewe and Prada take the lead for “Hottest brands of 2022”
A crucial skills to to be successful when setting up a business whether it fashion or other is adaptability and quick response. In the current uncertain economic situation it is even more vital. Coming up with new an inventive ideas or marketing is key. Mitterfellner, O introduces us to the idea of using blogging in order to promote a brand. Looking for the rifght characteristics in a blogger can make all the difference towards the benefit it has for the brand. For example, “The fashion blogger x is intune with the current trend and his posts are highly relevant to his or her audience”, “ X comes across as authentic…”, “X has several thousand or hundred thousand followers and they are perfect for the brand”. To find a blogger with characteristics such as these the brand in return will gain engagement, reach and potential increase in product or service purchases. (Mitterfellner, O, 2019).
Within the chaos of the industry and social media, creative directors are responsible for keeping the brand alive with new innovative marketing strategies. balencings aspects such as creative visions and brand DNA is vital for a successful brand. Ensuring your brand doesn’t get lost in the amist of “new trends” is key. Staying authentic and true to your brand is an essential otherwise you can get lost in the industry therefore unrecognizable.
Bibliography:
The lyst index: Fashion’s Hottest Brands and Products Q2 2023 (2023) Lyst Insights. Available at: https://www.lyst.com/data/the-lyst-index/q223/ (Accessed: 21 October 2023).
Mitterfellner, O. (no date) Fashion Marketing and Communication Theory and practice across the fashion industry.
The state of fashion 2023: Holding onto growth as global clouds gather (2022) McKinsey & Company. Available at: https://www.mckinsey.com/industries/retail/our-insights/state-of-fashion (Accessed: 21 October 2023).
The development of the fashion industry is based on the deepening of human cognition of nature, and the Internet revolution represented by Web 3.0 provides us with ways to develop unknown things in nature at the scientific and technological level. When we look at the relationship between fashion and nature as a pair of contradictory propositions, from the 17th century to more than 400 years, the complex relationship between fashion and nature in modern times has been in a relatively awkward situation, when the global fashion industry, as the world’s seventh largest economy, has become the world’s second-largest polluting industry after the petrochemical industry. We can deeply feel the irreversible harm that technological fashion brings to the environment.
Scientific and technological change has promoted the rapid rise of the fashion culture industry, and with the rapid development of a new generation of digital technology, the interwoven evolution of information, networking, digitalization, and intelligence, and the iterative development of the Internet, the Internet of things, the number of links and the intelligence, the world is accelerating into a new era of Web3 digital economy characterized by the “Internet of everything and ubiquitous intelligence”. Virtual fashion, virtual people, and virtual scenes, as the trinity of digital fashion development, have become essential elements for the development of virtual fashion. In the past two years, the real fashion industry at the physical level needed a more long-term development mode due to the attack of the epidemic. With the advent of the meta-universe era and the development of the concept of digital twins, virtual fashion can become a mirror image of real fashion. The world of Web3 gives the fashion industry more possibilities. The imagination space that can be assembled by the virtual world connected to the meta-universe space is enormous.
In terms of brand marketing, how to grasp the core needs of Generation Z and make corresponding creative marketing activities for the pain points of the crowd in sustainable fashion is a big challenge. In the future development of the meta-universe, the development dilemma of sustainable fashion in reality can be solved in the meta-universe world. For example, major luxury brands have launched virtual clothing and released NFT digital collections and other related activities, Prada and Meta jointly released a full set of clothing, and Gucci released Dionysus bags on the game platform Roblox. Science and technology fashion gradually completed the development of virtual sustainable fashion, which to a large extent can gradually alleviate the problem of resource loss and environmental pollution.
VIRTUAL
FASHIONVIRTUAL
FASHION
Daniel,M.(2022) What Gen-Z Thinks About Virtual Fashion. Available at: https://www.businessoffashion.com/articles/technology/virtual-fashion-metaverse-roblox/ .(Accessed: 12 October 2023).
Imran,A.(2021) The Multi-Versal Self and the Rise of Virtual Fashion. Available at: https://www.businessoffashion.com/podcasts/technology/the-rise-of-virtual-fashion/.(Accessed: 12 October 2023).
Emily,C.（2022) 16 Things Everyone Should Know About Sustainable Fashion. Available at:https://www.vogue.co.uk/fashion/article/sustainable-fashion .(Accessed: 13 October 2023)
In the history of human development, the impact of the economic crisis is not limited to the economic scope but indirectly affects the extension of human social civilization through the economy, such as fashion culture and clothing brands. Under normal circumstances, the fashion industry will be affected by the economic crisis, which will bring blows and setbacks to sales, such as shrinking sales channels, declining customer numbers and transaction rates, and reducing the consumption rate of customer groups. But in addition to the negative impact of the economic crisis on the fashion industry, it also provides opportunities for new clothing brands. For example, the decline of old traditional clothing brands has redistributed the fashion market and brought space for the development of emerging fashion enterprises.
The clothing industry is generally divided into two types: one is the world’s top luxury brands, such as Chanel, LV, Versace, etc. These brands have brand value, and the core of enterprise development is also its brand value, which requires the highest quality design team and forward-looking fashion orientation, and enterprise products must have distinctive characteristics. In better economic times, people generally reduce the need for functional clothing. Clothing is more the embodiment of psychological needs. The other category is what can be called fast consumer brands, which are built based on low prices, large volume, a small profit, and a quick sales business model to grow. Because the price is cheap, people will only produce the most basic functional needs for it, the public can afford to buy, and the quality of the product is not high, once the product is damaged, it can be bought again. This kind of clothing has very little sensitivity to fashion, most of the basic products, the management focus on large-scale production, and the product design requirements are less. In today’s market where only innovation can be based, only continuous creation can retain customer loyalty and preference. Those fashion brands that go against the current are using the economic crisis to generate huge energy to establish a brand marketing model under the new situation, and gradually expand the brand influence with an innovative brand management model to sweep the world. When the economic situation is not optimistic if people can make fashionable and inexpensive items, that is, “look beautiful”, it will certainly be sought after by the public. What kind of clothes consumers want is the real reference target of fast fashion brands. Compared with the above two types of clothing enterprises, it can be seen that fast fashion brands have broken the opposition between the two and formed a new brand model. The typical model of innovative brand marketing during the economic crisis is the current popular fast fashion brand, which is also an example of enterprises growing against The Times. Fast fashion is the concept of these brands, in fact, on the other hand can also be called affordable fashion. The reason why they are called fast fashion brands is that their fashion consumption mode is like fast food. The combination of speed and price makes the superiority of this kind of brand emerge.
Emily,R. (2022) How Fashion Can Weather Economic Turbulence. Available at: https://www.businessoffashion.com/articles/global-markets/the-state-of-fashion-2023-report-mckinsey-inflation-prices-costs/. (Accessed: 19 October 2023).
Guangdou, L. (2009) Who became the richest person in Japan after the economic crisis . Beijing. China’s mechanical and electrical industry.
“Fashioning a Future: How Brands Attract Generation Z and Promote Diversity”
Generation Z has played a significant role in the industry’s recent transformation. These customers, who were born between the middle of the 1990s and the beginning of the 2010s, have given fashion a new viewpoint by putting an emphasis on authenticity, sustainability, and inclusivity. This blog article will examine the critical people skills necessary for a fashion brand to succeed as well as what brands should do to appeal to Generation Z.
Individuality, civic participation, and social responsibility are important to Generation Z. Brands must place a high priority on supply chain transparency, support environmentally friendly practices, and interact with customers on social media and online. Brands should adhere to their principles, employ user-generated content, and promote community development if they want to attract the Gen Z audience.
Abercrombie & Fitch, a formerly divisive company infamous for its exclusive marketing, started an amazing path toward diversity. The business changed its branding and positioned itself as being more inclusive and diversified. Abercrombie & Fitch remodeled its retail locations, did away with the famed “Look Policy” (which imposed strict aesthetic standards), and started including a greater variety of body types, ethnicities, and genders in its advertising campaigns.
Success in the fast-paced fashion industry depends on having strong interpersonal skills. Innovation in marketing and design is driven by creativity, and adjusting to shifting trends requires adaptation. In today’s inclusive market, empathy is essential for comprehending the variety of client wants. The ability to use digital tools proficiently and communicate clearly is essential for encouraging teamwork and distinct brand messaging. In order to address environmental issues, sustainability is essential. In addition to being ethically correct, promoting diversity and inclusivity is commercially astute, guaranteeing brand relevance in a diverse global market. These abilities are the cornerstone for succeeding in the cutthroat fashion industry.
In conclusion, the fashion business has undergone a major transformation thanks to Generation Z. Brands should identify with their beliefs and participate online in order to appeal to this group. Initiatives that promote diversity and inclusiveness, like Fenty Beauty, set the bar for moral behavior. Fashion firms require a staff with innovation, agility, empathy, and a strong commitment to sustainability and diversity to succeed in this ever changing industry. Fashion firms may compete in the changing world of Gen Z customers by embracing these principles.
References:
1. Leong, S. (2021). “Fashion’s Future: How Gen Z is Reshaping the Industry.” Forbes.
2. Gross, E. (2016). “Abercrombie & Fitch is Finally Growing Up.” Bloomberg.
3. Fernandez, C. (2020). “Fashion Industry: How to Succeed in the Current Market.” The Business of Fashion.
“Crafting Success in the Ever-Shifting Fashion Landscape: Unveiling the Profit Puzzle”
Continually changing and growing, the fashion business is a titan. The projected value of the global fashion sector has risen to almost $2.5 trillion in recent years. Nevertheless, the industry is a complex one, with different sectors performing at varying levels.
There are various sectors within the fashion industry, each with its own distinctive characteristics. These industries’ performance varies across the board, from apparel to accessories to footwear. Concerns about sustainability and changing customer values are causing fast fashion firms to struggle. Luxury brands, on the other hand, are still doing well, and sportswear and athleisure companies are expanding as a result of the increased attention being paid to health and fitness.
Fashion firms face a problem in maintaining their competitiveness during unpredictable economic times. Diversifying revenue streams through e-commerce expansion, adopting sustainable practices, and employing technology for tailored marketing are essential tactics to weather the storm. During economic downturns, maintaining a strong brand identity and matching products to changing consumer attitudes are equally crucial.
The link between creativity and business can be closed with the help of creative directors. They are in charge of turning creative concepts into successful collections. Creative directors make ensuring that designs are in line with market demands and consumer preferences by working closely with the product development and marketing departments. Consumer input and data-driven insights balance creativity and profitability by guiding creative decisions.
The rebranding of YSL under Hedi Slimane’s creative leadership is a noteworthy case study that illustrates these ideas. In order to reverse its downward trend, the company made significant adjustments, including a contentious name change to Saint Laurent Paris. The brand finally experienced a comeback and expansion as a result of this change, which spurred fresh interest and conversation about it. The YSL case study serves as an example of the effectiveness of strategic rebranding to maintain competitiveness in the rapidly evolving fashion industry.
In conclusion, the sizeable scale and dynamic nature of the fashion sector present both opportunities and challenges. Brands must adapt, innovate, and link creativity with consumer expectations if they want to maximize revenues. Success stories like the YSL rebranding serve as an inspiration for brands striving to succeed in this always changing sector. The capacity to adapt during uncertain times is crucial.
References:
1. Statista. (2021). Value of the global fashion industry in 2021.
2. McKinsey & Company. (2021). The State of Fashion 2021.
3. Mitterfellner, O. (2023) The Business of Fashion Rebranding of YSL in Collaboration with Jannis Härtel.
Fashion revolves around many things, profit included; Businesses simply cannot survive if they are not bringing in added revenue. Profit however should have newly improved modern models that empower success and prosperity for stakeholders. Businesses that stick to their promises of enabling sustainable practises and caring for the planet should also be rewarded by consumers, with profit and increased value. The fashion industry is one of the most profitable and highest grossing industries globally with an estimated $1.7 trillion revenue pre-covid (Mckinsey, Euromonitor, 2021). The merchandising industry is part of the fashion business sector, and it involves focusing on consumer habits and trend analysis that can be reflected into buying, selling, and marketing in terms of window displays and mannequin dressing for shops and brands to lure an audience (Dillon. S, 2012). Merchandising is becoming more of a priority and is beginning to thrive more with fashion executives stating that it is their priority to improve go-to-marketing and merchandising within their brands (Mckinsey, 2023). Another sector that is reliant on a brands success is marketing and this has been proven during uncertain economic times. During a study in 2010 after the recession collection of 4700 companies were tracked with 17% of them going bankrupt; The 83% of surviving companies were found to have reallocated their funds into growth techniques such as marketing (Ranjay Gulati, Nitin Nohria and Franz Wohlgezogen,2010) (Erik Clausen,2020). The main thing for companies to make sure they do not do during uncertain economic time though is not being too aggressive and be empathetic with ethe consumer during a time of struggle and “get close to them when other competitors may have ignored them” (Ranjay Gulati, Nitin Nohria and Franz Wohlgezogen,2010). For creative directors to maintain a profitable brand for the company they must make sure to not blur the lines between art and business. This means taking risks from both the creative and the business officials whilst also measuring how worth these risks are worth taking. The risks can be worth taking however because it engages in clientele, both old and new whilst also bringing in a sizeable revenue (Ajaz Ahmed,2013). Another main priority is collaborating with consumers and always taking into account what they find value for money creativity wise (Josh De souza Crook, 2017). The main accounting reasons for a brands success profit and revenue wise is always going to be through collaboration and partnership; This can be collaborating with consumers, marketers, merchandisers, or anyone but the critical point would be for everyone to be on the same page and success starts from there.
Gulati, R., Nohria, N. and Wohlgezogen, F. (2014) Roaring out of recession, Harvard Business Review. Available at: https://hbr.org/2010/03/roaring-out-of-recession (Accessed: 22 October 2023).
The profit pillar is grounded on effectively utilizing the company’s resources and using them to improve the financial performance and make profits, for the maximize profits. The fashion industry provides a large number of employment opportunities and generates a lot of economic mobility.
According to a report by Statista, globally, the revenue of the apparel market reached a value of 1.53 trillion U.S. dollars in 2022, in the UK was estimated to be just under 58.5 billion British pounds. As demonstrated by Fashion United, the industry has a labor force of 3,384.1 million. Its value is equivalent to 3 trillion dollars. That means, it corresponds to 2% of the world’s Gross Domestic Product (GDP). The Ellen MacArthur Foundation states that globally, the clothing industry employs more than 300 million people along the value chain, which can be understood to also include people that work in design, distribution and retail divisions of the fashion industry.
The fashion industry encompasses the design, manufacturing, distribution, marketing, retailing, advertising, and promotion of all types of apparel. (Steele el al.,2023) According to Forbes, on top of the biggest apparel companies rank is Louis Vuitton Moët Hennessy (LVMH), which includes enormous luxury brands such as Louis Vuitton, Christian Dior and Givenchy. Size of the global apparel market in 2022 is 1.53tr USD. In 2023, the global Footwear market is predicted to witness a revenue of US$398.40bn while the Accessories market amounts to US$551.10bn. (statistic, 2023)
On the authority of Mckinsey, in 2023, the global fashion industry will need to weather inflation while finding opportunities in shifting consumer patterns, channel and digital marketing strategies, and manufacturing approaches. （Mckinsey，2022）The lipstick effect describes the observation that consumers will still tend to buy small luxury items even during an economic downturn. Cash-strapped consumers want to treat themselves to something that lets them forget their financial problems.（Hayes，2021）In times of economic uncertainty, consumers tend to buy cheaper goods. Therefore, when the economic situation is not particularly good, brands can launch some products that are widely popular and relatively cheap. For example, luxury goods can introduce their cosmetics. Meanwhile, brands need to build strong customer relationships. In order to protect the existing client base, it is essential to provide exceptional customer service. Regular communication to understand their needs and concerns, coupled with efforts to make them feel appreciated, can foster customer loyalty. Even if some clients need to discontinue the service due to their own financial constraints, a strong relationship can ensure their return when circumstances improve.
Fig 1，CHANEL (1992)
Creative directors play a significant role in shaping a fashion brand’s products and image to align with consumer preferences. Whether it is creativity or commerce, the final choice rests with the customer. To cater to consumer preferences, creative directors need to first do market research and consumer Research, lock in target groups and markets, invest in market research to gain insights into consumer preferences. For example，creative directors can incorporate sustainable and ethical practices into their creative process. Trend analysis is also important. Staying attuned to fashion trends and consumer behavior is crucial. Meanwhile, some consumers prefer personalized or customizable products. Brands can offer options for customization, such as monogramming or color choices, to cater to these preferences. Furthermore, creative directors can also interact with consumers on social media to better catch consumer demands by consumer comments and attitudes to change sales strategies.
Bibliography
Apparel market trends analysis, growth, analysis, share, forecast to 2032 (no date) The Business Research Company. Available at: https://www.thebusinessresearchcompany.com/report/apparel-global-market-report (Accessed: 22 October 2023).
Clausen, E. (2020) Council post: Marketing rules to follow during Uncertain Economic Times, Forbes. Available at: https://www.forbes.com/sites/forbesagencycouncil/2020/04/03/marketing-rules-to-follow-during-uncertain-economic-times/?sh=79e0228b4a36 (Accessed: 22 October 2023).
Fashion industry(2023) Encyclopedia Britannica. Available at: https://www.britannica.com/art/fashion-industry (Accessed: 22 October 2023).
Fashion industry statistics: The 4th biggest sector is more than clothing (2022) Fashinnovation. Available at: https://fashinnovation.nyc/fashion-industry-statistics/ (Accessed: 22 October 2023).
Global Fashion Industry Statistics (no date) FashionUnited. Available at: https://fashionunited.com/global-fashion-industry-statistics (Accessed: 22 October 2023).
Hayes, A. (no date) Lipstick effect: Definition, theory, value as economic indicator, Investopedia. Available at: https://www.investopedia.com/terms/l/lipstick-effect.asp (Accessed: 22 October 2023).
Muaz (2023) An overview of the importance of the fashion industry in today’s world, blazon. Available at: https://blazon.revstance.com/an-overview-of-the-importance-of-the-fashion-industry-in-todays-world/ (Accessed: 22 October 2023).
Serr, J. (2023) The Sewing Room Fashion Sewing and sustainability blog – pillars of sustainable fashion, The Sewing Room. Available at: https://www.thesewingroomalameda.com/fashion-studies-blog/2022/7/15/pillars-of-sustainable-fashion (Accessed: 22 October 2023).
The state of fashion 2023: Holding onto growth as global clouds gather(2022) McKinsey & Company. Available at: https://www.mckinsey.com/industries/retail/our-insights/state-of-fashion (Accessed: 22 October 2023).
Surviving the storm: What strategies can a company use in an economic downturn? (2023) Indinero. Available at: https://www.indinero.com/blog/what-strategies-can-a-company-use-in-an-economic-downturn/ (Accessed: 22 October 2023).
Gain. Interest. Profit. Profit is one of the main factors collaborating into the fashion industry. It is how companies become a functioning business. Maintaining both environmental and economical profit. Different opinions of what profit varies from brands net income to investments to social income (Littleton, 1928), a brand nevertheless is run through its profits.
Through from the economical size to the organisational size, the fashion industry is always growing. Inflation in itself making it increase by the day (McKinsey, 2022). Moreover, from the economical growth of the fashion industry, is the consumers retail expanding from haute couture and luxury fashion through to high street fashion and mass market productions scales of different brands, all producing numerous jobs, as well as numerous amounts of money. The global cost of living crisis and Covid 19 having major impacts on the fashion industry’s income (Fashion United, 2022). Before Covid 19, the industries global revenue stood at around “$2.5 trillion. However, post covid, the revenue has gradually worked its way up to less still than it was before at “$1.95 billion” (Fashion United, 2022).
The fashion industry is made up of a collaboration of various different sectors, varying from marketing to design and to the actual production of a product. The biggest revenue at this time is the women’s clothing market, making up to over 50% of global retail spending (Fashion United, 2022). Another major sector of the industry comes before the actual product and is the collection of raw materials and production of textiles. All sectors generating millions of jobs globally.
Amongst uncertain economic times it is difficult for brands to remain seen, many fast fashion brands are staying competitive by mass producing “duplicates” of luxury designer/ more expensive items. For example, this Autumn many people may not be able to afford “Uggs” (www.ugg.com, n.d.) so mass production companies are selling these and producing for cheaper, meaning they are affordable for consumers and the company is being kept in the public eye by following the trends of the current season. Additionally, companies are starting to engage their consumers by producing loyalty schemes, offering email subscription vouchers, and doing collaborations with the biggest influencers and celebrities of the minute.
One way in which creative directors connect both creativity and commerce are by the use of social media and how to market a product. As well as collaborations from different brands, exhibiting two different styles together to create products for their consumers (Overdiek A, 2016). For example, a collaboration which shows this is Yves Saint Laurent and Pierre Berge working and co founding together, both creatively and commercially together for the benefit of their brand.
Bibliography:
Littleton, A.C., 1928. What is profit?. Accounting Review, pp.278-288.
Overdiek, A. (2016) ‘Fashion designers and their business partners: juggling creativity and commerce’, International Journal of Fashion Studies, 3(1), 27+, available: https://link.gale.com/apps/doc/A472689356/AONE?u=anon~690e75cf&sid=googleScholar&xid=6f849962 [accessed 21 Oct 2023].
Image reference-
Twin Magazine. (n.d.). William Klein Archives. [online] Available at: https://www.twinfactory.co.uk/tag/william-klein/ [Accessed 21 Oct. 2023].
The profit pillar introduces the idea of creativity and art being intertwined with commerce. The pillar looks at the industry as a whole, in terms of revenue and size. There is a focus on specific brands and sectors of the industry and how they cope with current issues and challenges.
The fashion industry brought in an estimated £56.5 million in 2022, this huge amount of money proves the scale of the industry. Various sectors of the industry are inevitably more successful than others, Lyst shows that Prada is number one in ‘hottest brands’ after announcing “3.252 million euros in retail sales in 2022” (Lyst Index Q1, 2023). Luxury brands are consistently performing well, even after detrimental events such as Covid. Covid created a backlog in desire for freedom in actions and expression, the holiday sector of the industry, for example swimwear, had opportunity to flourish in 2022. Loewe “released Paula’s Ibiza 2023 collection” (Lyst Index Q2, 2023), collection worked well in a time period of need for freedom and travel, “The annual collection that celebrates island life is back with ready-to-wear, bags and accessories that are the epitome of freedom and ease.” (Loewe, 2023).
Figure 2: Glossier’s new lipsticks are a summer staple (Lee, 2023)
In terms of how brands can remain competitive in uncertain economic times, brands are needing to adapt to consumer action in relation to relevant economic and political events. In terms of inflation, it directly impacts brands through the individuals disposable income, “others will seek out bargains, increasing the demand for resale, rental, and off-price products.” (mckinsey, 2022). Glossier can be used as an example of how uncertain times, due to events such as the pandemic, has left the brand being seen in a completely different light as to how it was originally set up. The brand, “that highlights skin” (Kilikita, 2022) left many loyal consumers feeling ignored when stress and pandemic related acne flare ups increased.
Creative directors are responsible for balancing the creative vision they have for a brand with the success of the company itself, “In most developed countries we are now used to fashion consumption as a learned behaviour”. (Mitterfellner, 2023). Due to the high demand in the industry for fast and trendy fashion, the creativity seems lost amidst the chaos of the industry to meet consumer and social demands. To bridge this gap, creative directors need to stay true to the brand they are working with, take inspiration from art around them and not dilute the vision they have.
The pillar profit is tightly linked into the fashion industry as all industries are driven by profit with no exclusion. The profit of the industry, breaks down into specific brands, this determines the level of success it gains.
The fashion industry is the fourth largest industry in the world, with the value of $2.5 trillion (Amed, Et al, 2020) . S.Major stated: “However, the fashion industry encompasses the design, manufacturing, distribution, marketing, retailing, advertising, and promotion of all types of apparel. ” (2023). This suggests the complexity of the fashion industry, as well as stating how different sectors within the industry are tightly linked together to work most effectively.
Being adaptive and respond quickly are essential skills in the fashion industry when facing uncertain economic situations. COVID-19 has been one of the most significant economic downhill in the recent decade. Although fashion industry has been one of the industries that was least effected, due to its uniqueness and irreplaceable element of fashion, actions were still needing to be taken to avoid any damage as possible. Multiple brands have decided to collaborate with brands that target slightly different group of customers, which would refresh the impression of the brands as well as sharing a wider group of potential customers. A great example would the collaboration between MM6 Maison Margiela and Salomon. The profits produced from this collaboration is well proved by its popularity and sales volume. It has been recorded by Lyst Index, rating the 10th on the “Q1 2023 Hottest Products” (2023).
Figure 1: Q1 Hottest Products. The Lyst Index, Fashion’s Hottest Brands and Products Q1 2023
Creative director of brands are also the key people to effect the profit of the brand. Karl Lagerfeld, is one of the greatest examples when showing what impact a creative director can bring to a brand. Karl have used different strategies on leading different parts of the brand. For example, as the creative director for Chanel, his involvement was extensive (runways and behind the scenes), whilst for Fendi, he was more involved on designing the collections. (Mitterfellner, 2023) By creating memorable elements, it can well balance between the commerce and creativity of the brand.
Figure 2: Chanel Spring 2019 collection, ELLE.
Bibliography
Amed, I. , Balchandani, A., Berg, A., Hedrick, H., Jensen, J., Rölkens, F. The State of Fashion 2020: Corona Virus Update. 2020. [online] Mckinsey & Company. Available at: https://www.mckinsey.com/~/media/mckinsey/industries/retail/our%20insights/the%20state%20of%20fashion%202020%20navigating%20uncertainty/the-state-of-fashion-2020-final.pdf
Mitterfellner, O. Luxury Fashion Brand Management : Unifying Fashion with Sustainability. 31 July 2023. [online] Taylor & Francis Groups. Avaliable at: https://ebookcentral.proquest.com/lib/ual/reader.action?docID=7260416
The Lyst Index: The Fashion’s Hottest brands and Products Q1 2023. [online] Lyst Insights. Available at: https://www.lyst.com/data/the-lyst-index/q123/ . Accessed 18 October 2023.
S. Major, J., Steele, V. Fashion Industry. [online] 6 Oct. 2023. Encyclopedia Britannica. Available at: https://www.britannica.com/art/fashion-industry. Accessed 18 October 2023.
Image Reference
Chernikoff.L.R, Chanel Brings the Beach to the Runway. [online] Published on 2 October 2018, ELLE. Available at : https://www.elle.com/fashion/a23560987/chanel-spring-2019-collection/
Q1 Hottest Products. The Lyst Index, Fashion’s Hottest Brands and Products Q1 2023 [online] Available at: https://www.lyst.com/data/the-lyst-index/q123/ . Accessed 18 October 2023.
