Future of Luxury Fashion Industry 🧵🪡👗🧥👔👖
Introduction
Many smaller, niche-based industries make up the fashion industry. It is often thought of as a collection of retail/online shops, fashion brands and design houses, as well magazines. There are many other industries and craftspeople involved in the production of clothes. Most obviously, there are those that make and sell fabric and notions, but there are also flower makers, embroiders, seamstresses/tailors, and many others. Fashion shows and marketing include models, stylists and hair stylists, fashion agents, model stylists, photographers and many other businesses that are not fashion-related.
Change is constant and rapid in many industries, especially those that are consumer-focused. Both the industry and the consumer are constantly changing. Fashion retailing does not consist of large fashion houses, magazines and retail stores/catalogs. It evolved with television channels that sold many goods, then with the Internet and online shopping.
The Internet's rise has had a profound impact on all aspects of the fashion industry. It plays a vital role in brand awareness, supply chains, advertising, communications, and supply chain management. It blurred the lines between consumer and business. Not only are social media channels important for fashion sales, but they can also be used to forecast and determine future trends. Bloggers and other influential people can help to sell products but they can also be used as "Fashion Forecasters", who look at Instagram and other social media channels for future trends.
https://guides.loc.gov/fashion-industry
Breakdown of the Fashion Market
Professor Joan Magretta, Harvard Business School, said that a business model is a story that explains who your customers are and what value they have. It also demonstrates how you can make economic returns by providing this value to them.
The Fashion Market Segmentation is based upon 4 Business Models
- Luxury brands (LB).
- Fashion designer brands (FB)
- Premium brands (PB)
- Vertical retailers on the Mass Market (MM)
Value/price is he most common criteria to segment a market, because BM creates a value: product enables business strategy (a choice how to compete in business), business strategy defines BM, and BM creates the value/benefit/utility.
What are the value propositions for fashion market? Let's look at some examples.
- H&M - Fashion and Quality at the Best Price
- Zara - Instant fashion
- Haute Couture & Couture: The top luxury brands, high fashion and pieces of art.
- Ready-To-Wear - designer brands
- Diffusion - Designer and Premium Brands
- Bridge - Premium brands
- Mass Market - Retailers
Customers are offered the following value proposition:
- Price
- Creativity
- Quality
*Each one of these elements increases by reaching the top of the pyramid
1. Haute Couture
Creativity: Always made-to-measure, maximum level
Quality: High quality pieces of art, meticulous attention to detail, and the highest level of craftsmanship
Use: Mostly for special occasions, especially in the evening
You are not a target: Only a few people, celebrities or international clients
Idea: Create the brand image and sell the dream
Companies:
- Chanel
- Dior
- Givenchy
- Ellie Saab
2. Pret-a–Porter is also known as ready-to-wear.
Price: The average market price is 5 to 3x higher than the high price.
Creativity: Designers express their creativity through fashion shows
Quality: Attention to detail, industrialization, often "made in ..."
Use: There are many occasions to use it, from everyday life to major events.
Target: A wider selection of celebrities and international clients
Idea: Create the brand image
Companies-
- Ralph Lauren
- Laura Biagiotti
- Chanel
- Dior
- Saint Laurent
3. Diffusion or Second young line
Price: Usually 3 to 2x the market average price
Creativity: Inspire from ready-to wear
Quality: Higher production volumes, production outsourced, and country of origin are not key success factors.
Use: Casual, sportier (denim, tee-shirts, sneakers).
Target: A younger audience with a wider reach than RTW. Mix of wholesale and retail distribution
Idea: Increase the audience
Companies:
- Chloe - See more
- Versus for Versace
- DKNY Donna Karan
- Marc Jacobs for Marc
4. Bridge
Price: The right value for money. It is 2 to 1.5 times more than the market average.
Creativity: Trendy, but not too radical/extreme items
Quality: Outsourced production, correct delivery to stores
Use: Mainly for daily events
Target: This is usually a mixture of wholesale and retail distribution. Both international and local brands are available to local customers.
Idea: Connecting high-end markets to mass markets. The right marketing mix (products, communication, and service)
Bridge connects High End market and Mass market. Bridge is modern, but not as innovative as the tops. Born in the USA in Department stores. Many fantasy names exist, and they are more connected to a lifestyle rather than to a creator. Many American designers are represented in the Bridge segment.
Companies:
- Max&Co
- Emporio Armani
- Diesel
- Coach
- Massimo Dutti
https://fashionthoughtsweb.wordpress.com/2016/11/23/fashion-market-segmentation/
Innovative Marketing Campaigns
1. Ted Baker's Keeping up With the Bakers
Ted Baker pushed the limits with 'Keeping up with the Bakers', an eight-part sitcom broadcast episodically on Instagram for its spring/summer campaign 2017. Daily challenges were offered to users, and they were encouraged to return daily.
It also revealed a 360-degree shoppable film that allowed users to view the Baker's home, and then purchase items found there.
Ted Baker has always had a unique narrative and Keeping Up with the Bakers is a standout. It creates a completely immersive world that consumers can explore.
https://www.youtube.com/watch?v=ZSSfIlQnZb8
2. Savage X Fenty Show Vol. 2: The worst, sexiest and most brutal experience
In the lead up to the show, the posts described the unique features and included a warning image that preceded the casting member who embodied them. The bold content warning was placed before an image of Gigi Goode, drag queen star.
The trailer showcased the production quality of the show and promoted the star-packed music performances (Bad Bunny Rosalia, Lizzo etc.). and cameos (Bella Hadid. Demi Moore. Willow Smith.
Over 14,000 posts were made in the month before the show, demonstrating the excitement and anticipation.
The show began streaming on Amazon on October 2. Brand, influencers, and the audience all took to social media to discuss it. In just one day, millions of impressions were created.
Brand promoted individual products via social media using clips and images taken from the show. Also, consumers could buy items from the show on a dedicated landing page.
https://www.youtube.com/watch?v=wz3LVfecNLg
3. Nike is Better for It
The 2015 campaign "Better for It" is one of my favorite in recent years.
It depicts the inner thoughts and feelings of women while participating in sport.
It succeeded in engaging female customers with a lighthearted, but empowering tone.
https://www.youtube.com/watch?v=WF_HqZrrx0c
4. Louis Vuitton's Holiday Campaign: Journey Home: Celebrity Ambassadors Have the Power
Alicia Vikander, the campaign's face, can be seen on Instagram with several photos of her with Louis Vuitton items. This is not all.
Also, as part of the holiday campaign, they've created a visually-stunning video, and embedded it on a dedicated gift-giving landing page on their website.
The campaign's theme and video are about small moments of joy in preparing for and participating during the holidays. It is relatable and touching.
Louis Vuitton made it a brand experience with its upbeat videography and luxury feel.
Boosting travel images (with LV-branded luggage – of course), opening doors to loved ones, and sending holiday letters. Clips from the video were featured on the LV Instagram account, and they received between 201K to 700K views.
LV has posted a selection photos and videos on their website to encourage holiday shoppers to purchase gifts for loved ones.
5. Close the Loop at H&M
It created one of the most varied ads ever made to promote its mission of making fashion more sustainable.
The ad featured Tess Holliday, a plus-size model, and Mariah Idrissi, a Muslim model. It received a hugely positive response because it celebrated different cultures in fashion.
It created buzz about the campaign and ensured that sustainability messages were heard.
https://www.youtube.com/watch?list=PLEE61EDB90F0AA88F&v=F3QAxtE1L20
https://econsultancy.com/fashion-marketing-campaigns/
https://keyhole.co/blog/5-best-fashion-social-media-campaigns/
Target audience, loyalty, customer perception######
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Factors adding to the Competition
Fashion designers are the most prominent in the fashion industry. The industry also includes many other roles, including stylists, fashion designers, graphic designers, photographers, publicists, and marketers. Although the field is highly competitive, if you are determined to pursue a career in fashion, you should choose the career path that suits you best.
Glamour
Fashion careers are crowded because of the glamour and appeal that it offers. People who are bold, ambitious, and confident love the glamour of fashion attract others. This creates a competitive environment. To succeed in the industry's top ranks, it is important to network with other professionals and attend large international events. Fashion professionals need to be confident in order to succeed in this industry.
People may be attracted to fashion careers because they are perceived as glamorous and earn high salaries. Salaries can be very varied, with new professionals earning very little to experienced professionals making a lot. Fashion designers made an average salary of $64,530 in 2010, with the lowest 10% earning $32,500, and the highest 10% earning $130,890.
Changing Trends
Fashion businesses must promote new trends to increase sales. Trends in fashion are constantly changing. Businesses must adapt to these changes. While fashion buyers and designers can predict what trends will be popular in the future, they cannot guarantee their products' success. This market is constantly changing creates strong competition between businesses and professionals in the industry.
Creativity
Many people are drawn to the fashion industry because they have the chance to be creative. This creates intense competition. Fashion designers face intense competition to create unique designs that are unique. Similar challenges are faced by other professionals in fashion. For example, graphic designers and marketing professionals help to promote a company's unique style.
High Concentrations
As glamour attracts people to the industry's jobs, intense competition is created in these areas due to the high concentration of fashion jobs in certain areas of the country. Other jobs are very rare. The industry is more competitive because of the concentration of competitors in smaller geographical areas.
https://smallbusiness.chron.com/contributes-fashion-industrys-being-competitive-23840.html
Rise of Sustainability
Sustainability in fashion means ethics, durability, and the reuse of products. One It is hard to define sustainable fashion as there is no industry standard. Sustainable fashion can be described in many terms, including organic, fair, green and fair. trade, sustainable, slow, eco etc. (Cervellon and colleagues, 2012) Each attempt to correct or highlight a There are many perceived wrongs in fashion including animal cruelty and environmental destruction. Workers exploitation and damage (Bin 2014). 9 In the literature, terms are frequently used interchangeably. Chan et. al (2012) define ethical fashion as "fashionable clothes that are not harmful to the environment." Fair trade principles can be combined with sweatshop-free labour conditions without compromising the environment. Environment or workers by using organic and biodegradable cotton', Cervellon et.al (2012) refers to the same issues in 'green fashion'. To develop a better definition of sustainable fashion, it is necessary to To provide a comprehensive guide on the consumption aspects such as use, laundering, reuse, and disposal Disposal can have a significant impact on the sustainability and longevity of a garment (Cervellon, et al. 2012).
The ultimate goal for the sustainable fashion movement, is to dramatically slow down Production and consumption of garments at a global scale (Flower 2009). The key component Sustainable production refers to the "replacement harmful chemicals with more environmentally friendly substances." Materials' and the reduction of waste and resource consumption through clothing Recycling' (Flower 2009). To fully understand the changes in sustainable fashion, It is important to set guidelines for ethical production and consumption. To encourage sustainable fashion growth, three key elements are required: The first is to "shift consumers' minds from quantity to quality by encouraging them to buy higher-quality products less often". The second is to facilitate production that does not exploit natural resources. human resources to speed up manufacturing speed. The third option is to use consumption to "entail". "A longer product life from manufacturing to disposal" (Jung and al., 2014). Slow fashion is still a relatively new field of academic study. There is hope for sustainable fashion as more sustainable businesses and consumers show interest in it 10 Put it into practice as soon as possible. Adopting a more positive attitude has many benefits. Sustainable fashion system and educated customers are learning to be more socially conscious purchasing decisions. It is hard to judge the current without a reference point. Relationship between consumers and sustainable brands. The research done so far However, it provides a framework to help consumers understand the concept. The negative effects of fast fashion and the possibility for the development of sustainable apparel Model.
Steps towards a Sustainable Direction In the 1980s, the first anti-fur campaign appeared. By the 1990s, there were many. Fashion companies are under significant social pressure after sweatshop scandals were exposed. Retailers to improve factory monitoring (BSR 2012). The increasing importance of monitoring factories is a major reason for retailers to improve their operations (BSR, 2012). Fashion houses and retailers have been encouraged to embrace sustainable fashion by the growing interest. Edun and Stella McCartney are two of the most prominent vegan designers. Establishing fair trade-based relationships (Dach and colleagues, 2014). 2004 saw the launch of Ethical Fashion. Show was held at Paris (Hannes et al., 2016). Even powerhouses like Louis Vuitton are still in business. Moet Hennessy Group acquired a 49% share in Edun. The trend also continues Large fashion brands such as H&M, which has its sustainable fashion initiative, have also adopted this philosophy. Organic Conscious Collection, MUJI's fair-trade products (Lion et all, 2016).
Sustainable Marketing Practices
The fashion industry has done a lot of research into the most powerful fabrics. Marketing practices that draw consumers, or entire populations, to brands Products However, there has not been much research on sustainable fashion marketing. One aspect of global business strategy is identity marketing. It aims to establish a "connection". "The relationship between consumer identity and the likelihood of subscribing to certain brands" (Bhattacharjee, et al. 2014. Recent studies have shown that explicit identity-marketing messages often fail to be as effective. In connecting a brand to a person's identity (Bhattacharjee and al., 2014). Through a Comparison of efficacy in message content with messages that "specifically define Identity" Expressions that suggest a purchase are more likely than ones that simply suggest it. Relevance of a product to a consumer's lifestyle and demographic" (Bhattacharjee et al, 2014). This research is a great example of how to use large samples in a small way. 15 Continuous implementation and plausible analysis have a clear drawback: they don't delve Deep dive into the specific marketing strategies used by brands in order to target key demographics. It leaves an ambiguous as it does not distinguish between race, gender, education level, age, or other factors. A general definition of identity marketing and its potential power. Consumer research Understanding consumer behavior is key to understanding how they feel about brands and not by them. Feeling free to choose based on their individual needs (Chan and co, 2012). Transparency in brand management has been identified as a key component of sustainable success. Fashion marketing. It is vital that customers understand where their clothes are made. These materials can be used to make them. Numerous studies have been done to determine this. Examine how and why consumers respond with brand name and message specificity. Yan et al (2012) surveyed 342 people to determine the effectiveness of these variables. College students are asked questions that aim to determine if they will answer the question. Products labeled "environmentally friendly" were created to appeal to college students. Brands that are honest about their production, material, and sustainability level will be able to stand out. The results Their survey found that sustainable terms like eco, natural, organic and sustainable were not included in their list. This is conducive to higher product sales. They found that the best way to increase product sales was to get more A multifaceted approach to eco-friendly apparel was taken in order to create a range of products. Marketing approach that emphasizes selling points like brand name, comfort, and quality. Price, etc. instead of relying on a single eco product strategy. Their research clearly shows This attitude towards brand, eco-fashion involvement and environmental responsibility was strong Predictors of intent to buy an environmentally-friendly apparel brand This information can be used to infer that apparel marketers should build more positive impressions. Brands must communicate explicitly about the environment to change attitudes 16 In their marketing claims, they may include products. This could be one way marketers can attract college students Those who are interested in buying environmentally-friendly products but aren't fully aware of the process. A commitment to a green lifestyle. Marketers may also be able reach people who are less fortunate. Are you interested in buying environmentally friendly products? You may be able to reap the many benefits of their brands and products, which could help you establish a business. sustainable market for eco-fashion (Dong et al, 2013).
Sustainable Manufacturing Practices
As the corporate sector continues to grow, so does the issue of sustainability. Managers and academics emphasize the importance of integrating sustainability into corporate strategies to benefit both. "Create competitive advantages and mitigate sustainability issues" (Egels-Zanden 2015). There are many studies that suggest how sustainability could be integrated into everyday life. Although strategies have been developed, very few have been able to be applied specifically to corporate goals. Incorporate sustainability into the company's mission. Egels-Zanden (2015) studied the sustainability of companies. One of the few companies that can provide both triumphs and tragedies in creating a sustainable business is one of the few. Framework for the inner workings and secrets of the "most transparent business in the world" -- Swedish based Nudie Jeans Co.. The ultimate goal of the company is to integrate. Social sustainability is incorporated into global value chain strategy by creating a corporate vision that promotes it. Slow production is enforced as well as "full disclosure" (Egels Zanden, 2015). Nudie Jeans Co Only source from democratic countries that have acceptable working conditions to respect worker rights conditions and disclose all manufacturing practices within and outside the company to the Consumers and the promotion of a culture that is transparent in marketing practices within the company (Egels-Zanden, 2015). 17 There is a possibility that more companies will adopt the policy of total transparency. Positive and vague -- Brand honesty or with could be a winning strategy for consumers. There is confusion. It is difficult to understand the hazards of materials and work conditions. Companies that disclose very little or no information may be difficult for consumers to distinguish between them. Information versus those who choose not to reveal all of it. Future ethnographic approaches Studies, as well as first-hand observations and interviews, would be helpful in increasing the effectiveness of these measures. Understanding the possibilities of marketing, production and consumption strategies is possible -- there is hope However, as more sustainable businesses emerge, it is possible that non-sustainable companies will follow. They lead the charge and change the corporate culture.
https://scholar.dominican.edu/cgi/viewcontent.cgi?article=1001&context=honors-theses
Hello, Future!
What is the future of fashion? There is a rising demand for fashion that targets the individual. This is possible thanks to technology and new inventions in this field.
- Personalization and custom suggestions will be expected of every brand. Consumers expect brands to be able to offer options and personalization, given the amount of information they provide with each click and interaction. Shoppable videos and chat-based personal stylists will change the face of online fashion shopping.
- Customers and their patron brands will explore sustainable alternatives to traditional textiles made from water-hungry cotton, quite cruel silk, and denim, whose production exhausts natural resources. Vegan leather, banana extracts and hemp fibers will be more popular. These techniques are not new, but many indigenous communities use them to make their clothes. Both brands and consumers will have to produce them on a large scale while protecting the environment.
- Fashion brands that leverage the strength of their market position will be the first to adapt to changing fashion needs. Some of them are already adapting to changing needs. The new Zara logo has been criticized for its sloppy design, but it is clear that it represents a more sophisticated, sharper brand. These are the things brands must focus on to make their brand more appealing.
- Decision fatigue is real, and it's only going to get worse in an interconnected world. Mark Zuckerberg doesn't have to worry about having to wear the same colors every day. Marchtee is a brand that caters to people who are less interested in having more options and more about function. Although capsule collections were a relatively new trend a few years back, they are likely to be rediscovered by people looking for clothes that work well together.
- To collaborate with brands that have greater influence on the current generation, more luxury fashion houses will follow the Chanel and Louis Vuitton route. Social media influence will continue to be a major determinant of what is fashionable.
- Smaller, handcrafted brands will benefit from flexibility. They will be able to quickly adapt to meet the needs of their customers at all times. AllBirds shoes is a good example.
https://vue.ai/blog/retail-trends/evolving-trends-for-changing-times/
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