FSN midterm
ThriveRU: Gratitude
... is about noticing good things that are happening all around you, savouring the kindness and generosity of others, and identifying opportunities that you could explore Benefits of gratitude: more... energetic, hopeful, empathetic, forgiving
ThriveRU: Cultivating Optimism
... is about our explanation to ourselves about why good and bad things happen to us
ThriveRU: Living in the Present Moment
... the capacity to be fully present and focused to reduce the impact of anxiety and stress Worrying about the future: worst and best case scenario; how likely? Being realistic Get into action
Fashion Influence
Retailers have persuaded manufacturers to produce product that would satisfy an upcoming need or demand because of their constant and intimate contact with customers they know what they want Retailers will usually pick styles from producer whom they have been successful - past relationships Retailers can influence fashion by what is put out and what isn't BUT they can't control what will be accepted
Who develops product lines?
Role of the Merchandiser The person who channels the creativity of the designer and design staff so that the six "rights" of the merchandising can be successfully accomplished Six rights are: (1) the right merchandise, (2) right price, (3) right time, (4) right place, (5) right quantity, (6) right promotion + a 7th the right customer Liaison between design staff, production facilities and the sales staff Role of the Designer Creates designs through sketches, computer drawings or by draping cloth on a model Artistic + practical business skills and considerations Three categories of designers: High Fashion Designers "Name" designers → known to fashion conscious consumers Responsible for creating designs, choice of fabric, texture, and colour + development of production model, promotional plans Commonly license their names to fragrances, accessories and home furnishings Stylist Designers Adapt or changes the successful designs of others Must understand fabric and garment construction, manufacturing process Freelance Artistic Designers Sell their sketches to manufacturers → may be original designers or adaptations; could reflect freelancer's own ideas or expectations of manufacturer Role of the Producer Three types of producers Apparel manufacturer One who performs all the operations required to produce apparel, from buying the fabric to selling + shipping the finished garments Apparel jobber Handles designing, planning, purchasing, usually cutting, selling and shipping but not the actual sewing operation Apparel contractor Sole function is to supply sewing services to the industry Two kinds: item houses (make one item) and section work or piecework (used in mass production, will only make a section of a garment)
The Retailer's Role
Seek out styles from manufacturers that they believe will be accepted Types of retailers Fashion leaders: feature designer collections; i.e., Nordstrom Traditional retailers: bridge/contemporary collections or better/moderate manufacturers product; i.e., Macy's Mass merchants: widely accepted fashions; i.e., JCPenney
Forms of Business Ownership
Sole proprietorship (single owner) Partnership (a few owners) Corporation (many owners)
The fashion business
Fashion industries: manufacturing businesses or all industries and services related to fashion Marketing: match products/service to wants/needs of target market Effective marketing will lead to increase profitability and satisfaction Fashion marketing: the marketing of apparel, accessories, and other fashion related products to the ultimate consumer Fashion merchandising: the planning required to have the right fashion-oriented merchandise at the right time, in the right place, in the right quantities, at the right prices, and with the right sales promotion for a specified target consumer
The Business of Fashion
Fashion influences complete lifestyle and products we buy Shaped by basic principles of business and economics Business is the activity of creating, producing, and marketing products and services Primary object of business is profit
Birth of Fashion
⅔ of new designs fail each season to become fashions May be introduced to early → perceived as too extreme May meet resistance in certain parts of the country I.e., looking at accepted fashions in NYC vs Kansas
ThriveRU: Making New Friends and Strengthening Your Connections with Old Friends
"...investing in social relationships is a potent strategy on the path to becoming happier." - Sonya Lyubomirsky Making friends → make time, communicate, be supportive and loyal, give and receive hugs
Misconceptions about fashion
1. Designers and retailers choose fashions and force it on consumers 2. Fashion influences women only
History of the Women's Apparel Industry
1800: moving the manufacturing of clothes out of the home Growth of ready to wear After the Civil War clothes were less fitted and easier to make in bulk Ready to wear (RTW) clothes are produced in factories to standardized measurements Acceptance of RTW in the 20th century 1920s most women shopped for clothes at department or specialty stores Accelerated the fashion cycle and made the latest fashions available to the middle and working class Technological developments allowed fashion producers to respond quickly to the needs of women for clothing Growth of the fashion district New York's fashion district → crucial in evolution/success of American ready to wear business Had a large pool of cheap immigrant labour + located near textile producers in New England and the South Unionization 1890: workers began to unionize in order to improve their working conditions - International Ladies Garment Workers Union (ILGWU) Sympathy for ladies' garment workers was not aroused until the Triangle shirtwaist FActory fire in 1911 1975-1995 ILGWU fought imports → look for union label campaign part of the Union of Needletrades, Industrial, and Textile Employees (UNITE) 1995 ILGWU merged with the Amalgamated Clothing and Textile Workers Union 2004 UNITE and HERE (Hotel Employees and Restaurant Employees International Union) merged → UNITE HERE but broke in 2009
Diversity and Competition
A lot of different competition Common goal: the need to understand what their ultimate consumer will buy Can only happen through complete understanding and cooperation between all four levels A company can choose to compete in three ways: Competition and price: Lower prices + Selling more than competition Competition and quality: Higher prices + Incentive for higher quality Competition and innovation: Changes in taste and technology
Fashion or Folly?
Balenciaga bag that was based off the ikea big bag
Fashion or Folly?
Ballet flats with humongous bow on the toes, based off traditional ballet flats with small tied bow
Industrial trends
Brand extensions A company uses a successful brand name to launch new or modified products; saves money and creates brand recognition Common strategy of packaging goods manufacturers Easy and cheap way to diversify for apparel industries Industry cooperation Necessary for companies to harness technology as they strive to push costs out of the entire product distribution pipeline Globalization Finding both foreign competitors and customers
Difference between a brand and label
Brands develop over time out of an idea Easier to create than to maintain Established over the years and decades Labels are here today and gone tomorrow No individual behind a label who thrives to create a legacy
Independents
Brands that have been established for at least 10 years ERDEM → Ryerson grad, completely self financed Stella McCartney → bought herself out from Kering, LVMH bought the brand Comme des Garcons → great for paper Marc Jacobs, Issey Miyake, Diane Von Furstenberg
Principles of fashion
Consumers establish fashion by accepting or rejecting the styles offered Fashions are not based on price Fashions are evolutionary in nature No amount of sales promotion can change the direction in which fashions are moving All fashions end in excess
Fashion Systems
Definition: a fashion system is a set of interconnected activities that consists of makers, practices, processes, artefacts, promotion, supply, demand, and consumers A number of fashion systems coexist at any given time These dozens to hundreds of system exist to address the different approaches to the making and consuming of FASHION, Fashion, and fashion object(s)
World War II + Post War
During the war, entire apparel industry was given over to the war effort Following the war, a huge demand for "civvies" (civilian clothes) Major change: sportswear originated in southern California in the late 1940s "The California Market" (sportswear), gained momentum as major buyers travelled to attend sportswear shows By the 1960s, men's sportswear was a huge part of the industry By 1940s, designer clothes became popular
Business Growth and Expansion
E-commerce has led to consumers becoming part of the brand I.e., bloggers, selfie-ists, social medial Internal growth Horizontal growth → expands capabilities on a level of alreading existing success Vertical growth → expands capabilities other than primary function Mergers and acquisitions Sale of one company to another in which the purchasing company remains dominant → Merge because of greater purchasing power Sell to obtain financial resources for expansion, increase sales, and diversification The franchise Contract gives individuals or groups the right to own business while benefiting from expertise and reputation of established firm Franchisee pays franchisor for a piece of business Advantages Franchisee: Gets into business quickly, Proven operating methods Training programs, Ready market, Brand recognition Franchisor: Control over distribution, Limited liability Decrease capital expansion while increasing profits (royalties, franchise fees) Disadvantages Franchisee: Small profits, Limited flexibility, Risk of poor intention Franchisor: Decreased profits take back from franchise Licensing Legal agreement firms produce and market merchandise in the name of a licensor for a period of time; Licensor paid royalty fee Biggest fashion licensors: Tommy Hilfiger and Calvin Klein Licensing movement reached beyond apparel to athletic wear Advantage: Merchandise is identified by highly recognizable name BUT there is a risk of popularity fading
Components of fashion
Four basic elements: silhouette, detail, texture, colour Fashions will change if there is a change in one or more of these elements Silhouette Outline/contour or shape/form There are three basic forms with variations of each form Straight/tubular (slim, rectangle, wedge, a-line) Bell-shaped/bouffant Bustle Details Individual elements that give a silhouette its form (i.e., waist, sleeve) There is a reversal of details when trend reaches an extreme I.e., style was structured in 40s, 50s then casual in 60s, 70s then structured in 80s Texture Look and feel of a material Influences shape, drape of garment, and colour Colour Contributes to advertising, packaging and store decor Colour symbolism changes geographically Must pay attention to colour trends
Global Apparel Market
Global fashion industry is 3 trillion dollars and represents 2% of the world's GDP Largest sectors in the global market: Luxury → 339.4bn, Womenswear → 621.0bn, Menswear → 402.0bn Childrenswear → 186.0bn, Sports footwear → 90.4bn, Bridal → 57.0bn Largest fashion companies LVMH (Louis Vuitton Moet Hennessy) → French luxury 2018 revenue: about 50 billion dollars Key brands are Louis Vuitton, Fendi, Dior Nike → US-based athletic 2017 revenue: 34.4 billion dollars Key fashion brands are Nike, Converse Inditex → Spanish fast fashion 2017 revenue: 28 billion dollars Key brands are Zara
Importance of Fashion
Greatest economic forces of present Large influence in art museums with an increase in fashion exhibits Fashion is a social statement, telling what a person is and isn't
The intangibles of fashion
Group acceptance Individualism and belonging Completely contextual Change Connected to social change and social bonds Environmental consciousness Futility of forcing change Need support from majority Meeting demand for change I.e., After WWII women wanted fuller/flowy skirts as material rations lifted
Brand vs. Label
Heritage, Idea, Organizational structure, Distribution, Marketing, Prestige, Story
Fashion or Folly?
Image of Gucci side bags based off of the traditional all black dad fanny pack
Fashion or Folly?
Image of Justin Trudea and his family in India wear their traditional clothing I'm not sure: appropriation or acceptance?
Parts of the Fashion System
Influence Cultural, social, political, economic There are other influences but those are the four key drivers Design Understanding the problem and finding a solution I.e., Mary Quant and the raincoat; finding a use for a not used fabric and reviving raincoats Heritage i.e Hermes created saddlery (cars put them out of business) Louis Vuitton created Trunks i.e Hermes is now looking at non-leather material (Sustainability movement will affect them) Brand/label CODE/DNA Materials Natural grows in natural or produced by an animal Synthetic out of a chemical group Renewability Source i.e Cotton may have a different footprint even though it is natural Consumers and firms have recently shown an interest in the source of materials → sustainability and ethical concerns Production Materials/components/object Method is it a single craftsperson or a factory Skill Origin where is it made — Garment made in Canada vs. in China Labour, Factories Made-to-order Get the orders and then make them "on-spec" I will buy 100 coats and hopefully i can sell them if they only sell 80 —> Inventory (highly perishable commodity) Automation fashion remains one of the most skill intensive industries because materials are soft and slippery they still need to be made by hand Forecasting deciding what they should buy Logistics Transportation, Agents, Third party, 'Middlemen', Regulations, tariffs, replenishments Marketing Target market, Strategy, Communication Promotion fashion market Where the designers make business rarely coincides with fashion week either comes before or after New York, London, Paris, Milan Fashion Week only two people that benefit (photographers to get paid and fashion editors to get content) does not translate to business Designers do not benefit only photographers and fashion editors Message Selling Retail, Wholesale, Direct to consumer, E-commerce Consumption Near end user, Own, Rent, Share Post consumption End use, Life cycle
The Big French Three (Conglomerates)
LVMH Own many luxury brands: Celine, Dior, Fendi, Givenchy, Marc Jacobs As well as jewelry, lifestyle, cosmetics Alcohol companies → source of a lot of their revenue 2018 revenue: 46.82 billion euros Kering formerly known as the Gucci group Owns many luxury brands Gucci takes up the bulk of business; Kering = Gucci As well as Alexander McQueen, Saint Laurent, Balenciaga 2018 revenue: 13.7 billion euros Chanel 10 billion euros - ONLY CHANEL 2018 revenue: 10 billion euros
Fashion cycle characteristics
Lengths of cycles Common theme: declines are fast and drop to obsolescence is steeper than rise to culmination Speed of cycles is increased with technology which has led to increased competition among retailers Fast fashion: inventory systems, apps, shorter product life cycle Breaks in the cycle Outside influences include change in acceptance, weather, war, depressions If a cycle is broken it will resume where it left off once the conditions return to normal Consumer buying and fashion cycle Consumer buying and consumer use cycles rise at the same pace but decline differently; retailers must anticipate future trends
What is a Product Line?
Line: encompasses not just an individual item but the entire season's production from a certain manufacturer; describes a moderate- and popular priced apparel Collection: describes an expensive line in the US or in Europe Lines are divided into groups of garments, linked by a common theme; style number → like how designs are categorized and identified Fashion designs cannot be copyrighted in the US This creates designs called anchors: recreating, adapting, reworking past designs Firms may add new styles to lines throughout the year to keep buyers shopping their lines
Industry Practices
Manufacturers acting as retailers Can sell product to consumers at full retail price rather than at the wholesale price required by retail customers Outlet stores or factory outlets where poor sellers, overstocks and seconds still make money Licensing Merchandise is identified with a highly recognizable name Advantages Royalties, Great exposure Little investment in product development and manufacturing Disadvantages Loss of quality control Key for anyone with goals to develop new projects, expand one's visibility, and complete the brand's perception Corporate licensing: use of a company's name on related merchandise → fastest growing license today Private label and specification buying Private label is merchandise a manufacturer designs for a retailer Specification buying is purchasing that is done to the store's rather than the manufacturer's standards → specification manager or product manager Manufacturers have separate teams of designers to keep their own national brands and the images of their retailer clients' distinctive Offshore production Manufacturing of goods abroad where labor is cheaper Takes place in Asia, India, Vietnam + areas where wages are low and shipping costs less Use of factors So an alternative system of financing has developed for apparel industry called factors these companies either purchase a manufacturers accounts receivable or advance cash on the basis of the accounts receivable Another practice is the use of credit insurance but firms who do not use factors Chargebacks Financial penalties imposed on manufacturers by retailers Reasons: errors like mistakes in purchase orders or ticketing, partial or late shipments, poor selling products SIC/NAICS codes Reflection of globalization = change from Standard Industrial Classification (SIC) → North American Classification System (NAICS)
Mary Quant
Mary Quant also created the mini skirt in the 1960s The picture featured is of a red raincoat; Mary Quant pioneered the plastic raincoat in 1966 Then: it was considered a FASHION item Now: it is considered a fashion item Influence → UK, marked the use of innovative fabrics; revolutionized the raincoat that was going out of business at the time Materials → Mary Quant had an excess of vinyl, thought that a raincoat would be a compatible item for the fabric Design → having the vinyl, plastic material on the outside protected it from the rain; also a fabric that would make it comfortable inside Production → can't make errors in vinyl; work out issues and small details of the garment using this innovative material; i.e., making the seams waterproof Logistics → dealing with the hypothetical of when the garment takes off and the firm needs 5,000 pieces of vinyl Marketing → Trying to convince the consumer; Trying to get retailers to buy your product; Fashion and functional angle to the raincoat Promotion → how to convince the consumer to buy it from the retailer Selling Consumption → if it gets dirty how can you wash it? Needs and logistical use Post-consumption → what happens to the garment after a person is done?
Fashions of the 1960s, 1970s and 1980s
Menswear cultivated by rock bands such as the Beatles and the Rolling Stones Hippy men: long hair, beards, jeans, tie-dye, denim, no tie Technology influenced menswear fashions: knits made from synthetic fibres dominated (today, 95% of men's tailored clothing is made with polyester) 1980s magazines devoted to menswear and variety of styles became acceptable Menswear market was segmented by age, education and income
Trends in the 21stcentury
Menswear is growing at a faster rate than womenswear Men spend 12% more on clothing than women do; spend 20% more time shopping During the recession in 2008, the workplace grew very casual and after, men were motivated to revive their wardrobes and suit sales went up
The Designer's Role
Must be able to predict future trends while keeping in mind the business of fashion Types of designers High fashion or name designers, Stylist designers, Freelance designers Knowing when a style is dying and when to introduce a new one - VITAL
Brands and labels
National/designer brands Michael Kors + Pink Tartan (Canadian) Private label Derivative from national brand Retail store brand On the up-rise → it is following the demise of the department stores which are approaching death such as Hudson's Bay Company Retail brands are the opportunists → produce, sell, distribute right to consumers with no middlemen wholesalers or manufacturers These include Zara, H&M, Lululemon Non-brand Lowest fashion stuff you can have
Quest Speaker; Dylan: Spring 2020 Fashion Week
New York Sept 6-11 → ready to wear, business London → creativity Milan → mix of then all Paris → craftsmanship
Conglomerates vs. independents
Ownership model → Conglomerates tend to be publicly traded companies Scale, Product diversity Core strengths → Own IP, patents, copyright Influence
The Product Development Process: Six Stages
Planning the line Designer or product development team working under the direction of a merchandiser First task is research, fashion forecasting, trend boards (on trends, colors, fabrics and materials) There are three types of firms that develop a line of apparel Large manufacturers: responsible for developing new lines and overall fashion direction Designer-owned: firms in which the designer is also the owner, may design all or part of a line in collaboration with other designers Small manufacturers: production development process is done by the owners with assistant(s) Creating the design concept Designer and design staff consider work and weights it on two points: (1) individual merit, (2) suitability in the line as a whole Cost analysis is also completed if they are too expensive to make compared to profitability they are rejected Developing the designs Sample hand: a designer's assistant who is also a seamstress sews the sample garment patterns together → presented to executives/managers; cost of making garment and fabric are analyzed; accepted, discarded or sent back for modifications Computer aided design (CAD): allows designers the freedom to explore and manipulate their designs in relatively easy, quick and inexpensive ways Computer aided manufacturing (CAM): increase efficiency and regulates manufacturing processes Planning production Begins with sourcing: determining where the components of a garment will be purchased, cut and sewn As well as decisions on domestic or foreign manufacture, components of garment must be ordered, garments must be costed, financing obtained A style is scheduled for production when it receives a lot of attention from buyers Production contracts are being finalized while manufacturer's representatives are selling the line to retail accounts Production Cutting Graded, or sloped, to each of the various sizes Pieces are laid out on a long piece of paper called a marker A spreader, or laying up machine, carries materials along a guide on either side of cutting table, spreading material evenly from one end to another → marker is laid on top of these layers Usually done with computer aided technologies Pieces of each pattern are tied into bundles according to sizes → bundling → by hand Sewing Technology: home sewing machine (motor, multiuse)→ industrial sewing machine (engine with clutch and brake, specialized functions) Single-hand operations: one operator sews the entire garment → high priced garments, small quantities, not as common Modular manufacturing system: teams (7-9 ppl) produce entire garment → cross training to satisfy flow of work demands Finishing the product Floor ready: making their apparel ready for the floor i.e., bar coded price tickets, cartons labelled, shipping documents attached Inspecting the product Garments are checked throughout the production process Quality assurance: product meeting the standards established for it; inspecting each ingredient of garment Distributing the line Cut garments that are in high demand in different colours and sizes to maximize profitability, shipped by truck, rail, or air Apparel producers have typically been specialists → producing for particular audience By gender, age, and size categories, and by classification Historically apparel industry spit into three categories: (1) women's, (2) men's, (3) children's Brands and labels National/designer brands Owned by a manufacturer who advertises them nationally These brands carry the name of the designers i.e., Ralph Lauren, Calvin Klein Private labels Owned by a retailer and found only in its stores Account for a significant portion of apparel sales in department stores Retail store brands Name of a chain that is used as the exclusive label on most of the items in the store or catalog Non brands Label to which customers attach little or no importance Discount and off-price stores
History of Men's Apparel Industry
Pre 1700s: only the rich wore tailored clothing, everything else was homemade First ready-to-wear men's' clothing → slop shops Useful for seamen who arrived in cities in need of clothes right away Industrial Revolution increased RTW market A new role model in this age: the industrialist From the working class finally gained access to money and power, so they wanted their clothing to show it 1846- sewing machine meant faster production Going into menswear manufacturing required considerable capital (factory construction, labour costs, equipment...) which led to the contractor business Contractor did the sewing and cutting which eliminated need for their own factories, sewing machines or labour force After the Civil War, menswear was manufactured in 3 different ways: Inside shops, garment factories owned and operated by manufacturers In contract shops/factories, where garments were produced for manufacturers In homes, where garments were made usually for contractors but sometimes for manufacturers Unionization for longer hours and better wages The Journeymen Tailors' National Union formed in 1883 The United Garment Workers of America was organized in 1891; little effect The Amalgamated Clothing Workers of America; until 1970s UNITE HERE represented the workers in virtually all domestic plants in the tailored-clothing segment of menswear manufacturing but broke up in 2009 After Great Depression, ready-to-wear was the major element of the industry
Fashion through History + Chapter 1
Prelude to 20th century U.S. after Civil War (1861-1865); establishment of railroad Victorian Era → Queen Victoria mid 1800s (British); big skirt, lace, covered up Fashions transitioned between gentility to practicality Charles Frederick Worth: House of Worth in Paris 1957 → considered the father of Haute Couture Adolph de Meyer started fashion photography 1900s: The New Age The Gibson Girl was the personification of the feminine ideal of physical attractiveness as portrayed by the pen-and-ink illustrations by Charles Dana Gibson Arrow Collar Man → clean cut and sport version of masculinity Corsets, women covered from neck to toes → ribbons, feathers, bows; very opulent Fashion was also influenced by recreation → practical clothing (bloomers [f], and knickers [m]) Belle Epoque or Edwardian age → named for King Edward VII High number of immigrants = larger gap between the rich and poor 1910s: Suffragettes A suffragette was a member of militant women's organisations in the early 20th century who, "Votes for Women", fought for the right to vote in public elections, known as women's suffrage. Women's fashion still was very modest but the hemline of dresses was raised to reveal ankles; Streamlined trench coat introduced in WWI During the time of WWI → manufacturers stepped up production in all industries; women worked and men went to war Hollywood was born and dances such as the Fox-Trot, Castle Walk → popularized by Broadway 1920s: Modernity Women were being sent back to the kitchen after the war → unaccepted Flapper → rebellious, provocative; free and fun boyish/flat silhouette Women were able to vote (1920) Rise of mass media - radio (1920), movies with sound (1927) 1930s: Restraint and Movie Stars Glamour, emergence of photography, cinema (talkies era = talking movies); were used as an area of escape and relief Dichotomy with the Great Depression → people were poor and struggling but with glamorous images around them; glamour vs. poverty Rubberized lastex fabric revolutionized the undergarment industry; nylon stockings introduced (1938) 1940s: War and Dior During the war there were rations on material; fashions were thin and slim Then Dior emerges in the later half of the century will full skirts and tons of fabric; scandalous for the time coming out of WWII; new time, new prosperity Baby boom from 1946-1964 Headscarves were adopted because of shampoo rations Parisian designers now had to share the fashion stage with American designers as they gained prominence during the war 1950s: Prosperity Emergence of the middle class → styles tended towards more conformity Stilettos introduced in 1951 Driven by fashion and fashions of the time → household items, the image of the nuclear family, white picket fence fantasy; gender roles reinstated Civil rights started to brew → arresting of Rosa Parks 1960s: Carefreeness British invasion in arts/music, flower power, Woodstock Birth control → sexual revolution → visible fashions were radical such as mini skirt, gogo boot; Liberation → civil rights era Twiggy → more boyish and brought back the image of the flapper with short hair; Twiggy was actually only in the fashion industry for 18 months 1970s: Hippie Culture Response to continued war in Vietnam → social unrest Economy was at its lowest since the 30s - baby boomers went to find themselves Beginning of excess consumption and how we are treating the planet Women in the workforce → demand for office/professional attire 1980s: Empowerment Tailored, broad shoulders, women who were moving out of administrative jobs to managerial and power jobs Ronald Reagan and wife Nancy left glamorous stamp on the White House Yuppie (young urban professional) Apple, MTV → music video was born 1990s: Streetwear and Avant Garde Designers looked to the streets and cultures and subcultures for influence; minimalist and informal Avant garde is using material that haven't been used, the bodies with proportions that were disruptive Time of music and entertainment 2000s & 2010s: Technology, Archives, Celebrity Design houses digging into archives and reinventing old brands Celebrity and self made celebrity → i.e., influencers → becoming designers Increase of outsourcing and globalization Retailers must have social media and a website Online shopping, ebay, social media, cellphones, global warming Ready to wear → couture becoming accessible
Scope of the Fashion Business
Primary level Growers and producers of the raw materials of fashion Primary level companies need 2 years in advance before goods are available Materials usually imported from third world countries Secondary level Producers of semi-finished and finished goods from primary level Materials are shipped to manufacturers It takes about 6-8 months ahead of time before goods are available The retail level Distribution level Retailers buy goods from secondary level and supply directly to consumer May collaborate with primary and secondary level to create a vertical relationship The auxiliary level Functions with all levels + simultaneously acts as support services I.e., advertising, researchers, etc.
product development
Product development: the teaming of market and trend with the merchandising, design and technical processes that develop a final item
Advanced Technologies and Strategies
Product lifecycle management Product lifecycle management (PLM): strategic system that links information within a manufacturing company to increase efficiency and manage the life of a product Enterprise resource planning (ERP): a system that creates stronger communication among various departments by placing all information in one location Supply chain management Quick response (QR): shortened time frames from raw materials to design to production to finished product to consumer; brings supply chain closer Supply chain management (SCM): allows companies to share forecasting, point of sales data, inventory info and the supply and demand for materials or products Bar codes, scanners, and radio frequency identification Makes tracking merchandise easier, faster, accurate especially bar codes Universal product code (UPC): one of a number of barcodes used for automatic identification of items scanned at retail cash registers Barcodes: pattern of dark bars with white spaces of varying widths Electronic data interchange Electronic exchange of machine readable data in standard formats between one company's computers to another Increased productivity and improved customer service Mass customization The idea is to tailor the product to fit one particular customer and to supply thousands of individuals at mass prices, not custom made prices Automated form of made to measure apparel Body scanning Old sizing systems have not evolved with women's changing body types Body scanning technology is used to help customers find that fit
Terminology of fashion
Style Characteristic/distinctive appearance of a garment - a combination of features Remains a style but will move in and out of fashion → may be connected to a specific period of time Fashion Refers to a style that is socially accepted by a group High fashion: refers to a new style accepted by a limited number of fashion leaders who want to be the first to adopt changes and innovation in fashion Mass/volume fashion: refers to styles that appeal to the greatest majority of fashion-conscious consumers Design Individual interpretation, version, treatment of a style Style number: assigned to each individual design, for manufacturing, ordering and selling Taste Prevailing opinion of what is and not attractive and appropriate for an occasion → completely contextual According to Laver's Law the acceptance of fashion functions on a timeline but recently styles of deviated from this as the fashion cycle has shortened A classic A style that satisfies a basic need and remains accepted for a longer period of time; usually simplistic design I.e., Chanel suit, white t-shirt A fad Quickly accepted, imitated and dropped Usually exaggerated designs A trend General direction and movement Marketers try to distinguish trends from fads to capitalize on trends and avoid fads
5 Main Market Segments in Menswear
Tailored Clothing: suits, overcoats, topcoats, sports coats, formal wear Demand has decreased + Price has increased Tailored suit is structured and graded (for quality) Designer Suits: sized on a "seven-inch drop" Drop: the difference in inches between the chest measurement of a suit jacket and the waist of the pants Production: Very tedious process of fabric purchasing, presenting to buyers, accumulating enough orders to begin manufacturing Suit Separates: Presently, sports jackets and trousers are worn more often than a real suit; machine-made, lower priced Sportswear: Fastest growing segment since the 1970s Often subject to being short run: production of a limited number of units of a particular item Activewear: Main customers are men who want to look athletic while doing something non-athletic Contemporary Apparel: Produced by both tailored-clothing and sportswear firms; bright colors Bridge Apparel: Spans the style gap between young men and men's collections 25-40-year-old men who have sophistication and style Seeking to balance fashion with price
Stars
Talent → can be innate or learned Hard work → developed, networking Opportunity → don't have control over Timing → don't have control over
Organization and Operation of the Women's Apparel Industry
The apparel industry's power came from its collective size 1970s brought higher demand so smaller firms merged to create larger corporation Top five apparel companies from around the world/ are known worldwide (1) Nike (US based), (2) Index (Spanish company) [Zara, Pull&Bear, and Stradivarius brands], (3) Louis Vuitton Moet Hennessy [Louis Vuitoon, Dior, Fendi], (4) TJX (US based) [TJMaxx fast fashion, off price apparel], (5) H&M (Sweedish) Size of producers Gigantism of companies in apparel will continue because of the economy demands it (i.e., VF Corporation) The role of designers Established designers of upscale lines not only cater to the people who can afford their clothing but lead the way for producers of more moderately priced fashion in interpreting trends in fashion and popular culture Categories in women's apparel Activewear Apparel made for specific sports and exercise activities and has become part of people's everyday wardrobe The term altheisure was developed as the trend gained prominence Balance between performance and fashion → Lululemon has done it! Formal wear Also referred to as "after five" and " special occasion" Evening wear gets more media coverage than any other category Women want similar looks for weddings, dances, and formal dinners Picking a prom dress has become a coming of age ritual Bridal wear Category for personal fashion statement Rising age of first-time brides and increase in number of second weddings has contributed to the popularity of sophisticated styles Lending/borrowing of dresses friends and relatives a new tradition Maternity Influx of ready to wear designs joining the maternity sector has changed the image of maternity wear Size ranges Women's apparel is divided into several size ranges Companies develop sizes depending on their customer base which is why sizes across different firms will fit differently Size ranges Misses: average adult woman's figure Juniors: below size 6, targeting towards not fully developed teenagers Petites: short, small boned woman wearing 0-8 Women's: one third of all women size 16-20, only takes up a small percentage of production and lacks different styles Plus size: fastest growing sectors in retail Wholesale price points Major factors contributing to the wholesale price of a garment are: Quality of materials, Quality of workmanship Amount/type of labor required in production Executive and sales position structure of organization Showroom rent and business overhead Major price zones (from most to least expensive) Designer signature: highest price zone; i.e., Ralph Lauren, Oscar de la Renta Bridge: bridges designer and better prices; one third of designer prices; i.e., Tommy by Tommy Hilfiger, Calvin Klein's CK Contemporary: lower prices because of cheaper fabric and low rent locations; i.e., Vivienne Tam, Cynthia Rowley Better: medium to high price; i.e., RACHEL by Rachel Roy Moderate: nationally advertised makers; less prestige but appeal to middle-class consumers; i.e., Guess Budget: mass market retailer private labels; i.e., Wrangler, Donnkenny Also a seventh called high end for the super rich Multiple price zones Producers offer merchandise in several price zones to capture a share of the business in each of the several market segments Designers produce lines segmented by price zone Private labels Department and specialty stores can also compete in pricing by developing their own private label → priced in better price zone with better quality Seasonal classifications Few businesses specialize in just one season Major apparel seasons correspond to the calendar → semiannual designer runway shows introducing Fall/Winter and Spring/Summer collections
The Fashion System in Action
The current prevailing fashion system is mass production, in general, and fast fashion in specific Zara started fast fashion in the 90s There are a number of parts to the fashion system when it is in action Place, Transportation Technology, Source Transparency about supply chain is becoming an important marketing factor Innovation, Commentary, Identity, Ethics Tradition, Disruption Environment, Capitalism
The fashion cycle
The fashion cycle is often compared to the image and movement of a wave Stages of the fashion cycle Introduction stage Result of a change in details Almost always introduced in higher-price merchandise It is a testing period to test new style with target market Rise stage Occurs when new style has been accepted Emergence of knockoffs of new designes/cheaper copies Adaptations appear as well which are influenced by new style but not exact copies Promotion focuses on proving their store is superior Culmination stage Occurs at the height of popularity and use; also called plateau Produced so everyone can afford it This is the time when high fashion lines reduce production Decline stage Boredom with a fashion and a decrease in demand Leading fashion brands drop style and traditional stores offer style as a markdown Obsolescence stage A fashion can no longer be sold at any price
Designing a line
The leading fashion influence was English styling, designers would study the culture and trends and then decide which were acceptable to bring back From styling to production to retail, processes usually took 1 full year In the 1960s, antiwar protests, student activism and black power motivated men to stray from the mainstream in terms of fashion "Peacock Revolution": when men once again took pride in their appearance Womenswear designers began to be accepted as menswear designers in the 1950s, such as Dior, Yves Saint-Laurent... The "Big Four": Ralph Lauren, Calvin Klein, Donna Karan and Tommy Hilfiger
F-A-S-H-I-O-N
The style or styles of clothing and accessories worn at a particular time by a particular group of people The mode of dress, etiquette, furniture, style of speech, etc., adopted in society for the time being Make, build, shape; hence, in wider sense, visible characteristics, appearance; said both of material and immaterial things Fashion is: always changing, driven by consumer, mis-understood and represented, (sub)conscious, finding one's voice Concept: reflection/reaction to what happens around us Influences include: social movements, culture, economy, politics, technology, etc
FASHION, Fashion, fashion
There are three ways to look at fashion → Xavier Brisoux example of sweater scarf FASHION → image of two people wearing one sleeve sweater, high concept, not that functional, friendship, warmth, coziness, <$>: loss in profits that a designer went through to get to the product Fashion → image on one person wearing two sleeves, no shirt under, editorial, desirable object, $: rack, making money cause people want it fashion → under the jacket, everybody version, basically a scarf, stuff, not what we want but something we might need, $$$: the things that people will buy, functional, just the stuff everyone buys Another example is the Dior 2017 collection Hand sewn dress, a mens floral shirt, and coral coloured makeup + Dior sneakers In this example Dior attempts to cover all levels of fashion to keep the profits of these different customer segments within the company One more example are high top shoes FASHION: high top keds, late 19th century early 20th century, they developed the style and fashion Fashion: converse limited edition, ChinaTown Market in collaboration with converse, dropped this week fashion: walmart shoes Key phrase: FASHION is about ideas that may turn into desirable Fashion objects that turn into fashion "stuff" Fashion objects include apparel, textiles, accessories, handbags, jewelry, fragrances, cosmetics, home furnishings, etc. Fashion objects are derivatives and interpretations
Government Regulation of Business
There are two categories of legislation that affect the fashion industry Laws that regulate competition Labeling laws designed to protect consumers
Fashion Adoption Theories
Trickle-down (Veblen, Jhering) Conceptual idea comes first then makes its way through the three levels of fashion Trickle-across (Robinson, King) Things happen so quickly that it spreads like wildfire I.e., aviator sunglasses Trickle-up (Keynes) Early 1990s street fashion; Mundane fashion
The Manufacturer's Role
Types of manufacturers → can be found under major price zones The fashion industry is made up of manufacturers who can predict future trends - survival of the fittest Vertical manufacturing: a manufacturer controls the whole production process
Video: Creativity in the Digital Age → John Galliano and Tim Blanks
Which direction does he want to nudge Margiela brand? Example of first collection for Margiela Took inspiration from shells which pushed him to do bold embroidery Works with a smaller team and with student interns Allows for the whole team to be involved in the whole process and fittings There is a change in the house and a new openness is Galliano working with these students Tries to use different materials that are more current to push his own traditional styles The fitting had to be cool rather than how he used to do fittings which is ripping apart the clothes and reconstructing them; "How does it feel to wear Martin Margiela today?" Need undiluted creativity - only there can you exploit it to the different collections that the brand produces; Success needs coherence of the brand Feels the shadow of the digital era - is in touch with the outside world must more At Margiela there's always a cross pollination with other artists around the world and is then able to maintain authenticity - Kyoto Has become more open to happy accidents and imperfections Doesn't believe you can create a collection as a democracy Everyone works on it together but it comes down to Galliano to choose what goes and what doesn't Taking inspiration from the French revolution but minimizing it and through colour translating it to a skateboarders image Find a balance between artistic freedom and committing to the deadlines
Merchandising and Marketing
Women's apparel producers aim their sales promotion at both retailers and consumers through advertising, publicity and sales promotion Advertising Advertising usually carries the name of the manufacturer 1980s saw growth in sales for national brands and nationally known designer labels → result of national advertising campaigns directed at consumers Fashion shows, press weeks, and trade shows Public relations effort → presentations, fashion shows Provide reporters and bloggers to examine newest designer collections Press weeks → lower priced merchandise was eliminated now the press sees the collections at the same time as retailers Branding are shifting to more immediate marketing efforts to allow products into wardrobes of consumers sooner→ digital age Trunk shows Present a manufacturer's line to a retail store's staff and it's customers Customers may review items and order them Very effective at selling high priced clothes See designs on a person helps see what works and what doesn't Promotion aids Manufacturers offer retailers other promotional aids Display ideas, displays, and stock fixtures Reorder forms and assistance in checking stock for reordering purposes Educational and sales training assistance for salesperson and customers Promotional talks by producers' representatives Assistance in giving in store fashion shows
Superstars
charles Frederick Worth Credited as the first fashion designer in the world, first to put his name on a label and dew it into a garment → 1800s Previous to Worth clothes had no credibility Worth knew about branding and directing people about what they should be wearing Coco Chanel (French) Credited for using inexpensive materials and created beautiful things out of them Karl Lagerfeld Revived Chanel in mid 1980s Defined what fashion means today in terms of branding Had his own label → Karel; Very accessible Virginie Viard New creative director at Chanel Worked with Karl for a long long time → he knew she would take over, had in his mind; Daunting to be the new Karl Donna Karan No nonsense, easy dressing in the 80s when women were transitioning into executive roles Yves Saint Laurent Credited with looking at fashion more ready to wear than couture Hedi Slimane Responsible for slim men's suits and making everyone wear them Creative director of Dior in 2000-2007 Became creative director of Yves Saint Laurent Took at 5 year break between Dior and YSL → left YSL in 2016 Then creative director for Celine Phoebe Philo Creative director for Celine When she left there was an out pour from customers because they believed no one else would understand what they wanted to wear Defined style rather than defining fashion Alexander McQueen Apprentice for a tailor Controversial → wanted them to love it or hate it (his clothes) John Galliano Fired in 2011 from Dior; Most impactful work is decade at Dior Dior → he put theatrics and drama into fashion Known for 2000s fashions Virgil Abloh Current creative director at Louis Vuitton Off white Label Rei Kawakubo Consistent avant garde designers of 21 century Comme des garcon → exploration of shape Christobal Balenciaga Started house in Paris in 1950s Introduced new shapes; I.e., envelope dress Known for volume but didn't build volume → used physics Demna Gvasalia Current artistic director at Balenciaga Vetements → recently stepped away from his work there Anna Wintour Editor in chief at Vogue since 1988 Since 2013 moving more behind the scenes The king and queen maker of fashion → crazy influence Martin Mergiela The most influential avant garde designer since 1980s Was creative director in Ermes Left fashion industry completely 10 years ago Repurposing garments, reconstructing, deconstructing
Fashion systems are...
driven by price Haute couture (solely womens wear)/Bespoke (equivalent of couture but for mens wear) → marked by insane prices and conceptual designs Couture (not a one of a kind design like haute couture but still very special)/made to measure (man's equivalent) → a little less insanely priced Designer (desirable fashion objects) → more affordable but still expensive Better → over $200, less than $700 Moderate → below $200 Mass → target, walmart Driven by consumer Women → ⅔ of total fashion market Men → bespoke, made to measure for men Androgynous/non-binary -- borrows on the mens or women's market Children Pets -- Dog sweaters, collars, leashes, Many more -- i.e teens Driven by product Jackets, tops, bottoms, dresses Outerwear, Foundation wear → underwear, etc. Head wear, Foot wear Beauty/fragrance Accessories