The end of 2022 challenged the foundations of fashion brands around the world.
Market fragility in the fashion industry was tested by geopolitical tensions, supply chain issues and the energy crises, impacting consumer appetite to spend on luxury goods.
According to the BOF-McKinsey State of Fashion 2023 summary, 85% of fashion executives predict inflation will continue to impact production costs which will inevitably put pressure on brands to increase consumer prices.
An interesting factor to consider is how different regions will be affected by these challenges and where the opportunities may lie. According to Statista, revenue in the UAE fashion segment is expected to show an annual growth rate (2023-2027) of 8.49% vs 3.46% in the UK.
Disparity in regional growth will force brands to localise their designs to accommodate for the best performing regions and to reconsider their overall business strategy.
We recently appointed Adam Clacher as Commercial Director to bring structure around our sales analytics whilst providing BTI clients with meaningful commercial guidance on product pricing and how to capitalise on new areas of opportunity. BTI’s clients are set to benefit from his commercial experience through our business advisory arm, giving brands the foundation to navigate challenging market conditions.
According to Google Trends, 53m online mentions related to sustainability and fashion in 2022, the hot topic being ‘Fast vs Slow fashion’ which has grown steadily since 2017.
Examining the trends more closely, we found subjects like "sustainably made" and "what is slow fashion" trending the most in searches.
So what is slow fashion?
Slow fashion represents the approach taken to counter the fast fashion business model of selling high volumes of clothing with a short and wasteful product timeframe. Instead the attention is on consumers buying fewer items of high quality garments that meet certain ethical standards such as organically grown textiles, no animal testing, ethical manufacturing and fair working conditions. Our production allows us to do made to order as well as made to measure, which fall under the slow fashion category. Both production options minimise water and material waste, giving our clients a unique selling point over competitors from a sustainability point of view.
BTI has purposefully partnered with the likes of Re-Style and Oxwash to promote aftercare for our clients, as part of our wider commitment to the circular economy in sustainable production.
E-commerce technology is becoming more advanced every year. A good example is the Instagram shop function, giving consumers the ability to purchase an item of clothing in less than 15 seconds. With digital wallet options like Apple and Android Pay using innovative technologies such as fingerprint or facial recognition, brands can transition from making a first impression with consumers to end sale more efficiently than ever before.
This brings into perspective the importance of brands understanding the best channels through which to market. According to BigCommerce, two out of three millennials would rather shop online than in-store.
BTI’s Creative Advisory provides guidance to multiple brands around the best methods to market their products across different social channels. Our Advisory has been built by innovators with a proven track record of growing global fashion brands.
What makes us different? Our Advisory works in conjunction with our Production services and Business Advisory, allowing the team to see a broad view of trends across a variety of fashion markets. BTI is well placed to assess and support your brand in your chosen market so that as a retail entrepreneur you feel confident with your strategy for connecting with clients.
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