Profit

Profit is one of the biggest parts of the fashion business and any business for that matter. Profit helps keep the companies in balance and ensures they can keep their companies running stably and successfully.

Statista has estimated the market size in 2022 to be around 1.53 trillion US dollars. However, this number decreased from 2021 as the market peaked after it increasingly dipped in 2020 due to COVID-19 but is set to increase to 1.7 trillion US dollars in 2023. The different sectors of the fashion industry can massively affect the overall market size depending on economic, political, seasonal, or environmental factors. This is shown through loungewear peaking throughout COVID-19 and an increase in winter or summer clothes depending on climate change or how much people are travelling which was little to nothing during COVID-19. The women’s US market size is set to be around 163 billion, more than men’s and children’s US market size combined. There is also a higher increase in the second-hand market as the newer generations look for a greener future. (P. Smith, 2023)

Figure 2 (Smith, 2023)

Every year brands must learn all different ways to cater to their audiences facing different issues around every corner. It’s a struggle for brands during uncertain economic times, but there are multiple ways they can figure out how to work around this. Brands are unable to use the same strategies they once used multiple years ago as they went from magazine articles to TV advertisements to social media. Social media is such a vital role in fashion and a lot of people look to it to help them with their own personal styles. Normal people can become celebrities overnight just by people enjoying their content and the things they post online. Influencers have a much more accessible platform than celebrities, which is why so many people look to them, they are more relatable and started off in the same position as everyone else. By using this, brands can create a relationship with influencers and use their products to show off the influencer’s natural environments where their audience can be ‘Influenced’ by this ‘relatable’ lifestyle.

Creative directors bridge the gap between creativity and commerce by working with logistics understanding the business side of the company and implementing that into the creative side of the company. They understand what the brand needs visually and creatively for the business side to take over and be successful.

Bibliography:

Statista (2023) Global apparel market – statistics & facts. Statista: P. Smith. Available at: https://www.statista.com/topics/5091/apparel-market-worldwide/#topicOverview (Accessed: 20 October 2023).

Mathew, J. (2018) Understanding Influencer Marketing And Why It Is So Effective. Available at: https://www.forbes.com/sites/theyec/2018/07/30/understanding-influencer-marketing-and-why-it-is-so-effective/?sh=be4c8f71a94b (Accessed: 20 October 2023).

Mitterfellner, O. (2023) Luxury Fashion Brand Management Unifying Fashion with Sustainability. Available at: https://ebookcentral.proquest.com/lib/ual/reader.action?docID=7260416 (Accessed: 20 October 2023).

Picture bibliography:

Smith, P. (2023) Secondhand apparel market value worldwide from 2021 to 2027. Available at: https://www.statista.com/statistics/826162/apparel-resale-market-value-worldwide/ (Accessed: 20 October 2023).