In the contemporary business environment, a fashion brand’s creative identity comes second to the priority of achieving sales. 

The industry, more precisely the e-commerce market, is worth $768.7 billion in 2023 and is expected to grow by 9.45% over the following 5 years. (Statista, 2023)

 Leaving aside apparel and focusing on accessories and footwear, the US market has been worth $81 billion since 2011. Unlike ready-to-wear, this side of the industry maintains relatively a stable design, diminishing the need to introduce a new style every season, mostly if it is perceived as an investment piece. At the end of the season, clothing pieces have a higher discount, with reductions of up to 70%, whereas accessories on average go down up to 35%. (Fernandez, 2017)

In summary, the commercial element is a pivotal part of the construction of a brand’s collection. The products are planned with the aim to gratify the consumer, and the more it aligns with the needs of the market, the higher the chance of achieving successful sales. 

The industry is transitioning toward shaping customer loyalty by adapting to the current market dynamics. The price point and its perceived value are based on the brand’s efficacy in building a good narrative, that creates a desire to possess a particular product. The creative director’s role is to understand the DNA of the brand and intrinsic it to the final product. (Mitterfellner, 2023)

However, the current market also forces to prioritize the production of highly marketable items, sometimes at the expense of the artistic element. This pattern can be seen in a successful brand like Gucci, where after the departure of Alessandro Michele, Sabato de Sarno took over bringing back sobriety by designing a minimal and commercial collection, that aims to cater to a loyal customer base. (Business of Fashion, 2023)

Another emergent trend, also among Gen Z, is the adoption of unisex fashion, which blurs the demarcation between traditional men’s and women’s clothing categories, aiming for the potential of higher sales by pushing gender-neutral products. (McKinsey, 2023)

Due to the recession which escalated the production costs, the final retail prices also increased leading the consumer to prefer mindful purchase, reducing discretionary expenditure, like new clothes. Consequently, brands have to formulate strategies for diversified markets by understanding the consumer, reconstructing their business model cutting non-essential costs. This will help to keep the prices down and mitigate the loss caused by societal dynamics. (McKinsey, 2023)

Reference

Mitterfellner, O., 2023. Luxury Fashion Brand Management: Unifying Fashion with Sustainability. 1 ed. s.l.:Taylor & Francis Group.

Fernandez, C., 2017. 6 Lessons For Building a Winning Accessories Business. Business of Fashion.

Statista, 2023. Fashion eCommerce: market data & analysis, s.l.: s.n.

McKinsey, 2023. The State of Fashion, s.l.: s.n.

Business of Fashion, 2023. Sabato De Sarno’s High-Stakes Gucci Debut. Business of Fashion.