Regardless of where you sell your products, you’ll need to decide on a market level for your brand. This will influence the materials you choose, price of the product and the choice you make in your range selection.
VALUE MARKET
Primark, Wallmart.
Any company that places itself in the Value Market will rely on huge sales volumes to create profit. Clothing is cheap, usually in the rage of US $5 – $30, and therefore the fabric and trims have to be low quality and cheap also..
In recent years the value market has moved from providing cheap basics, like plain T-shirts and vests, to a more fashionable garment for cheap cost and expanding into their own strongly marketed brands. Primark in the UK, is a value brand that has developed its marketing to promote itself as less value and more temporary fashion. Using its cheap fabric and trims as a selling point for replaceable, highly changeable fashion looks.
MASS MARKET HIGH STREET
H&M, New Look
The next level up from value is the mass market high street. In this level of retail, consumers expect more quality from their products whilst keeping a cheaper price tag for basic items and moving through to a reasonable price for special items. The range can be fairly broad, between US $10 to anything up to $60, depending on the item.
Goods are manufactured in large volumes with a flagship store on the main high street in any city, as well as usually having a number of other stores located in the relevant shopping areas of that city also.
Design is usually pitched at the “everyman” fashion consumer, trying to sell to everyone, offering items that will sell quickly and make space for new designs and stock every 6-12 weeks
MID LEVEL HIGH STREET
Topshop, M&S
Mid level high street is probably the most underutilised and difficult market to sell in. It requires a lot of specific branding to firmly establish a very clear consumer market.
The products are neither cheap, which removes the appeal to those wanting throw away or value products, or the luxury market, which would see the items as low quality. However, if placed correctly, it creates some of the most loyal consumers there are today.
Products are clearly designed for the core customer in terms of materials, embellishments, shape, colour and style, and the business is very focused on every aspect of their customer in the way that it runs. This can include how quickly new items get added, where the shops are located and so on. The customer is offered a number of styles and trends every season that will appeal to each type of use, event or style. Price wise, products can range from US $20 – $150, with some occasional cheaper and expensive products added at relevant times.
Marks and Spencer is a very good example of this for the more mature customer and in recent years tried to increase sales by trying to attract the younger market. As the business was set up to cater for the needs, in every way, of the more mature core customer, this of course did not work.
HIGH END HIGH STREET BRANDS
All Saints, Coast
High end high street are brands that again, focus on their core customer profile. They have a very defined style and aesthetic. They usually focus on one or two types of style or trend that aligns with their customer per season and will focus on one or two types of event ranges, such as evening and day wear, rather than the mid and value which will try to cater for everyone, in every situation possible.
The price and quality of these brands depend on the consumer but tend to be very high for the high street. As well as their core customers, they will also have a range of customers that choose to shop there for special products or occasions. Typically the products are in the range of US $40 – $500, although this can go higher for some specialist items.
DIFFUSION BRANDS
Marc by Marc Jacobs, Vivienne Westwood Red Label, Moschino Cheap and Chic
Diffusion brands are secondary lines that have been developed by the luxury market to create a cheaper range of products, more in line with High End High Street brands, to attract a secondary consumer or those who will try the brand at the cheaper price and become fans of the higher luxury brand in the future.
Generally the business model works similar to that of the main luxury brand itself in terms of collections per year, shop location and marketing, but offers a cheaper alternative to their main ranges. The design is usually based around the main luxury range, but watered down in terms of fabric, embellishment or some other cost and is far more wearable as it tends to be a little more reserved. However, the products are not cheap and still range between US $80 – $700
LUXURY BRANDS – READY TO WEAR [RTW]
Marc Jacobs, Dior, Chanel, Moschino
Most large luxury fashion brands today, start with a Ready To Wear collection at least twice a year. These collections are based on trend prediction information although the brand will usually take one element of a trend and develop it into its own theme.
Unlike all other retailers below them, RTW is the first area where, going completely against trend, is still not encouraged, but accepted. It is also assumed by the general public, that these collections create trend predictions, whereas they actually just highlight which colours, shapes or details from the prediction information, retailers need to be focused on due to the additional RTW press.
Products are usually a mixture of day and evening and can span between more formal clothing or very casual, depending on the collection theme and the brand’s style. Product price is very varied and some designers like Marc Jacobs and Vivienne Westwood choose to also show their diffusion range lines. Because of the difference between the different collections, price here can be difficult to generalise, but most items will be between US $200 – $5000 with very lavish evening wear going up to 10 times that amount.
HAUTE COUTURE
Dior, Gucci, Prada
Haute Couture is a very old Parisian based type of collection. Each collection is usually associated with a RTW brand so does not create separate brands of its own although this in theory could be possible.
To have a couture line, you have to be chosen by Chambre Syndicale de la Haute Couture, as the right to do couture is actually protected by French Law. There are a number of regulations that you need to meet in order to be considered [If you are interested in these regulations, you can read Doing Couture? Why you might be breaking the law].
Price is not a factor for this type of business, only that each item will be of extremely high cost due to the handmade nature of the products and the quality of the work. The products are not bulk made or by a factory and can be customised to each consumers requirements.
HANDMADE
Koncept, Etsy, Craftsy,
Handmade products are a different type of Brand model to the ones listed above. They are however, not made in bulk by a factory and although the components may be bought in bulk, the products are assembled, or crafted from scratch by hand. The quantity of each item is usually less than 30, depending on the product, although there are some factories that specialise in bulk handmade goods. The main element other than the handmade production, is that each of the products is designed by the brand and sold, rather than customisable by the consumer, although many brands d take commission projects on is asked.
Usually these businesses focus on quality rather than quantity and charge premium price for their handmade craftsmanship. They usually prefer to sell at craft markets, events or online to save costs, but can expand to small boutiques if they can produce enough stock. Online services like Etsy and Folky provide a dedicated shopping site for these types of brands.
These brands can range from one person to a group of people but are usually preferred by single creative people to gain a following when starting out. The products can cover any type of product and any price, depending on what is involved during production.
Handmade brand, usually because they are small companies or single people, don’t always follow health and safety or legal regulations of products due to their lack of knowledge on the subject, but should be doing so as they are bound by the law like everyone else.
BESPOKE / MADE TO MEASURE
Made to Measure is becoming a very popular market, mainly in the menswear sector. Tailor made shirts and suits are becoming very easy to find on the internet. The products for each type are tailored to the consumers needs including fabric, stitching and design.
Most internet companies are not bespoke as they claim to be, as they only ask for set measurements and receive the product without any fittings or toils being made. The product pattern is adapted from a standard garment sized block, with some adjustments made to fit the consumer’s measurements and usually the product is factory made, which actually makes the product Made to Measure, not a bespoke one.
However, they have been accepted as “bespoke” by the general public due to a lack of understanding by the consumer on the different meanings. Since the measurements are specific to the consumer and they buy the product on an individual basis, it is assumed that they are bespoke.
Bespoke was traditionally more in line with Haute Couture, in that the garments were made by hand, fittings and toils would need to be tried on a number of occasions and each pattern was made from scratch to fit the consumer perfectly.
With more Made to Measure companies in physical stores offering similar services, the two terms have become blurred and now the difference between the two is really more about the whether the pattern drafting is adapted, or made from scratch.
If you are thinking about either option of the two, be aware that this is a very time-consuming and expensive brand model with little profit, especially if you are planning on being bespoke, as you will need physical premises and will only be able to serve the customers willing to travel. It is also important to note that with so much cheap fast fashion now, the option of bespoke is usually reserved for those with deep pockets, the military who have their own tailors or for special occasions like weddings.
If you’re thinking about starting a fashion brand or maybe expanding your business, I’ll be covering each market level more closely and looking at the pros and cons of each type, in the coming weeks.
We want to help as many people as possible and without your help, we can’t reach them. So if this posthas been helpful to you, then I’d really appreciate it if you share it with others to help them too, using the share buttons below.
FAQs
The five levels of fashion segmentation are Haute Couture, Ready-to-Wear (RTW), Diffusion, Bridge and Mass Market.
How many clothes do you need to start a clothing brand? ›
Fashion Brain Academy recommends 10 to 12 styles for your first collection. As for how many items to produce within each style frame, test out the waters first. Start with an equal amount of each style and if one style gains popularity, order more of that particular style.
What are the 4 market levels of fashion business? ›
The 4 levels of the fashion industry
- Fiber processing - Fibers are used for making textile fabrics. ...
- Yarn production - spinning, throwing, texturing.
- Fabric production - weaving, knitting, braiding, felting, needlepunching.
- Fabric finishing - washing, bleaching, dyeing, printing.
- The writing process.
Do You Sell Fashion Online? 9 Things Successful Fashion Brands Have In Common
- They're Unique. ...
- They Know Their Audience. ...
- They Have Loyal Customers. ...
- They Sell A Look. ...
- They're Great Visual Communicators. ...
- They Keep It Fresh And New. ...
- They're Consistent. ...
- They Get Great Exposure.
Clothing brand marketing ideas include fashion blogging, creating unique campaigns for new releases, generating posts and/or videos for social media, and more. Regularly posting content improves your performance in search results and makes you discoverable online.
What are the levels of fashion designer? ›
After fashion designers have proven their abilities as an assistant, they can advance to an assistant designer or an associate designer. This will depend upon talent and work experience. Most people then continue on to a technical designer and then a head designer.
How much do you need to start a successful clothing brand? ›
Like any business of any size, the startup costs will depend on how large you want the business to start out. A small clothing business will need about $500, a medium-sized line between $1,000 and $5,000, and a large line might need up to $50,000.
How many pairs of clothes are enough? ›
The researchers found that a “sufficient” wardrobe consists of 74 garments and 20 outfits in total. As an example, they've suggested six outfits for work, three outfits for homewear, three outfits for sports, two outfits for festive occasions, plus four outdoor jackets and trousers or skirts.
WHAT A levels are good for fashion marketing? ›
A Level Passes at Grade C or above to total a minimum 112 new UCAS tariff points (preferred subjects include, Business Studies, Economics, Fashion Studies, Information Technology, English, Languages, Media Studies and Psychology);
What are the three markets in the fashion industry? ›
Market development
The expected compound annual growth rate for the next four years (CAGR 2023-2027) will be 4.7%, resulting in a projected market volume of US$1,505.1 million by 2027. Within the Fashion market ecommerceDB considers the following three sub-markets: Apparel, Bags & Accessories, and Footwear.
Level 3 Fashion Retail offers an in-depth look at the fundamental functions of the fashion industry from head office to shop floor. It covers a wide range of subjects, helping you to choose from multiple pathways into higher education or employment.
What is the key to creating a successful brand? ›
Unique identity
Every company has something they can do or offer that is special or unique to them. Having an identity that sets you apart from the crowd is essential to establishing a good brand. If you haven't identified what makes your company unique, then that is a necessary place to start.
Why is the fashion industry so successful? ›
Fashion is a growing industry and fast fashion is the major contributor to its growth. Using the Internet, social media, and technological innovation, many fast fashion brands such as Forever 21, H&M, Primark, Zara, Fashion Nova grew into large global corporations.
How do I become a successful fashion marketing? ›
How to become a fashion marketer
- Earn a bachelor's degree. Fashion marketing typically requires a bachelor's degree in marketing from an accredited school. ...
- Get an internship. Internships provide relevant experience that is useful when applying for jobs. ...
- Apply to marketing positions.
The countries that account for the majority of this apparel demand are the United States and China, both generating substantially higher revenues than any other country. It is perhaps no surprise that the same two countries play a significant role in international trade.
Is clothing brand a successful business? ›
A clothing brand isn't a very profitable business. Most people think you'll make a kajillion dollars and be well on your way to overnight stardom. But the reality is that the profit margins on clothing are notoriously low. According to industry analysts, you're looking at 4-13% profit margins.
What are the five levels of fashion? ›
A fashion trend's life cycle can be divided into five stages, generally speaking: introduction, rise, peak, decline, and obsolescence. The life cycles of fashion trends today have changed; technology and social media have rendered them much shorter and less predictable than in the past.
How do you become a successful fashion designer? ›
Steps to Become an Fashion Designer
- Complete a Fashion Design Degree Program.
- Gain Hands-On Experience.
- Network Within the Industry.
- Build Your Design Portfolio.
- Stay Up-to-Date on the Fashion Industry.
Firstly, the Fashion & Textile Design A level offers a diverse and creative approach to fabric development. During this course you will: Gain an understanding of professional contexts including; fashion, interior and accessory design.
Is it hard to create a fashion brand? ›
Starting a clothing line can be a challenging and costly venture. But thanks to the development of eCommerce and online marketing, it's now possible to turn a small online store into a successful business and household name without ever needing a physical retail store.
How to start an online clothing store with no money
- Conduct market research.
- Choose on demand products.
- Define target audience and invest in customer experience.
- Outline business plan.
- Try dropshipping.
- Find a clothing manufacturer.
- Make use of open source software.
- Start writing blog.
We believe in the brand development process as we have seen what a strong brand can do and how much value it can bring to its customers, brand owners and shareholders. Typical brand development programs can cost anywhere from $10,000 to $500,000 depending on the size or the stage your company is in.
How much can a clothing brand make you? ›
On average, a clothing brand can make profits of anywhere between $23,751 and $140,935, depending on its expenses, marketing efforts, company size, product types, location, and target customers. A clothing line owner can also make over $51,000 per year.
What is the rule of 4 in clothing? ›
The Rule of Four is the idea that you need at least four points of interest to make an outfit interesting and complete. I think of it as a game, adding up your point making sure you have the point in the correct areas for your body type.
Is it good to have lots of clothes? ›
While it's great to have a lot of clothes and mix and match different items, too many clothes can start to weigh you down physically and emotionally. Don't be afraid to purge your closet regularly, and take the time to shop with intention so that you only buy what you need (and will actually wear).
How many clothes should be in a collection? ›
Overall, it's best to have at least ten or so. When starting your first collection, keep it in that area, and you can reap the benefits from market research in no time. Again, a lot depends on other factors like your target market, clothing manufacturers and their MOQs, and where you're selling your product.
How do you level up fashion sense? ›
Ways to “Level-Up” Your Wardrobe
- Restyle Your Clothes. ...
- Restyle Yourself. ...
- Add Some Statement Items. ...
- Focus on Capsule Items. ...
- Sort & Donate. ...
- Change Up Your Stores. ...
- Choose Styles For Different Events And Activities.
Fashion marketing is the process of advertising clothing and accessories to the desired target audience. It's here where fashion and business intersect. One of the most important aspects of fashion, marketing helps boost sales and profits as well as build brand awareness and alter consumer perceptions.
Which is A Level of the fashion business? ›
There are four different levels of the fashion business - Primary, Secondary, Retail, and Auxiliary.
What type of market structure is the fashion industry? ›
Clothing: The clothing industry is monopolistically competitive because firms have differentiated products and market power. Monopolistic competition is different from a monopoly. A monopoly exists when a person or entity is the exclusive supplier of a good or service in a market.
4 Types of Fashion Marketing
- Print Advertising.
- Online Marketing.
- Influencer Marketing.
- Newsjacking Marketing.
- Branding.
- Sponsoring Events.
- Social Media and Influencer Marketing.
- Product Placements.
The fast-fashion market consists of sales of clothing, by garment and clothing companies, which mass-manufacture clothing based on replicating high fashion designs, using predominantly low-quality materials, to bring inexpensive style to the public.
What is Level 3 fashion design? ›
The Level 3 Diploma and Extended Diploma in Fashion Business & Retail have been designed to provide students with the skills, knowledge and understanding necessary to progress to further study and training in a range of fashion business and retail disciplines.
What is level 2 fashion? ›
The UAL Level 2 Award and Diploma in Fashion Business and Retail provides students with an understanding of fashion business and retail through a broad diagnostic experience that prepares them for the reality of the sector and progression paths available to them.
What is Level 2 fashion retail? ›
Course details. Studying Level 2 Fashion Retail, you'll explore the entire fashion retail journey from product design to shop floor, giving you an insight into the industry as a whole. You'll learn about every area of fashion business through vocational study and practical workshops.
What are the 4 main elements of successful branding? ›
A strong brand requires a strong brand identity, brand image, brand culture, and brand personality. Implementing a successful brand strategy that develops all four of these components increases brand trust, loyalty, and awareness.
What are 3 important aspects of a successful brand? ›
You can start creating, developing or improving your brand strategy by focusing on these three core elements of a brand: Promise, Positioning, and Performance. These elements are referred to as the Three Brand Ps. A brand's success depends on how well these elements are defined, planned and executed.
What is branding strategy? ›
A brand strategy is the holistic approach behind how a brand builds identification and favorability with customers and potential customers. A brand strategy encompasses several different brand elements like voice, storytelling, brand identity, brand values, and overall vibe.
Do most clothing brands succeed? ›
Unfortunately, the majority of small businesses fail within the first few years of its lifespan, specifically apparel brands. This can be attributed to fashion industry's many challenges, and fragmented and competitive nature, making the success rate fairly low.
How successful is the fast fashion industry? ›
Nevertheless, a recent report estimated that the global fast fashion market will grow from $91.23 billion in 2021 to $99.23 billion in 2022 at a compound annual growth rate of 8.8%.
Self-confidence: The fashion industry is competitive to the point of being cutthroat. Success isn't guaranteed, and you'll need to put in long nights and endure plenty of pitfalls on your way to the top. Being able to keep your confidence level high is the key to leaving your mark on the fashion world.
What are 3 main fashion categories? ›
A Lesson: The Three Types of Fashion
- Mass Market Fashion. The first sector of design involves the most straightforward and accessible form of clothing, which is the mass market. ...
- Ready to Wear Fashion. ...
- Haute Couture Fashion.
The United States and China account for the majority of the global apparel demand. You find the five markets with the highest market size in 2021 in USD million below.
...
Largest Apparel and Footwear Markets Worldwide (2021)
| China | 427,153.9 |
|---|
| USA | 364,136.6 |
| United Kingdom | 70,734.8 |
| Germany | 69,957.3 |
| Japan | 65,764.0 |
The textile industry is the largest segment of the primary market. Textile is a broad term referring to any material that can be made into fabric by any method. Businesses in the secondary market produce garments by transforming textiles into the finished products. The tertiary market is concerned with retailing.
What are the 5 levels of fashion? ›
A fashion trend's life cycle can be divided into five stages, generally speaking: introduction, rise, peak, decline, and obsolescence.
What are the four 4 basic elements of fashion design? ›
The four basic ingredients or elements of design used in fashion are shape or silhouette, line, colour and texture. A silhouette can be described as the outline of the entire garment. This is the most obvious visual element of the garment. It creates the initial impact before any other details are noticed.
What are the 2 major types of markets? ›
The two main types of markets are consumer and business markets. Consumer markets provide products to aid in people's livelihood. Business markets sell goods and services to other businesses.
What are the 3 types of market economies list and describe them? ›
There are three main types of economies: free market, command, and mixed. The chart below compares free-market and command economies; mixed economies are a combination of the two. Individuals and businesses make their own economic decisions. The state's central government makes all of the country's economic decisions.
What are different types of market? ›
Types of the market:
- Monopoly: A monopolistic market is a market formation with the qualities of a pure market. ...
- Oligopoly: ...
- Perfect competition: ...
- Monopolistic competition: ...
- Monopsony: ...
- Oligopsony: ...
- Natural monopoly:
This is everything you need to know about the 6 types of market segmentation: demographic, geographic, psychographic, behavioural, needs-based and transactional.
High-End Fashion Market Definition
Fashion trends are often set by popular fashion designer and fashion buyers which are there in the industry. High-end designs are made up with top-quality fabric and unique designs.
What is the purpose of fashion? ›
Clothes influence how we look at someone. They help create an idea of what we think about their personality. Wearing what makes you comfortable is a statement, and people will respect your individuality. This is an essential detail of why fashion is important.
What is the summary of fashion? ›
Fashion is a form of self-expression and autonomy at a particular period and place and in a specific context, of clothing, footwear, lifestyle, accessories, makeup, hairstyle, and body posture.
How is the fashion market segment? ›
The fashion pyramid identifies five price segments. On the top we have couture, then we have ready to wear, diffusion, bridge, and mass market. The higher on the pyramid, the higher the price gets, but the same for level of creativity and quality and therefore, the value proposition that is offered to the customer.
