NATIONAL: Fashion boutique owners have taken a hands-on approach to curb the impact of the economic crisis and drive apparel sales throughout the spring racing season.
The annual carnival, which peaked this week with the Melbourne Cup, traditionally offers a boost to fashion retailers. However, the threat of equine flu and the global financial crisis have rocked sales figures in recent years.
Designer John Cavill said it was essential he was involved in all aspects of his business this year to combat cautious consumer spending. The ragtrade veteran, who runs stores in Melbourne, Sydney and Brisbane, covered shifts on the shop floor and personally styled many customers.
“In 33 years I’ve been through it all before,” he said, referring to the financial crisis. “We’re not up, but we’re paying all the bills, the rent, the wages, the mortgage and we are confident it is starting to [pick up].”
Melbourne designer and boutique owner Nicole Williams, of label Nicolangela, said she absorbed the hit of rising fabric and labour costs this season rather than passing them on to customers. This meant she could maintain prices at an average of $500 for special occasion dresses.
Williams, who runs a boutique in Melbourne’s GPO building, said quiet September racewear sales were countered by strong October results. However, she left little to chance by stepping up service and value added initiatives.
“We commissioned a milliner to create hats that match our spring racing dresses,” she said. “We sell hats, bags and jewellery in store. They (customers) want to get it all in one hit.”
Swish Clothing boutiques owner Damian Murrihay said this year more than ever he had scrutinised spring racing stock orders to safeguard against mistakes. “We got rid of some of the labels that weren’t working for us,” he said.
The company, which has three multi-label stores across Melbourne, also launched a transactional website before spring which also helped drive sales into store. Murrihay said that compared to this time last year, when the financial crisis kicked in, customers were less hesitant to purchase.
“People are more confident to spend and are making a concerted effort to get a complete look – a dress, hat or fascinator, bag and shoes,” he said.
To capitalise, staff were trained to dress clients head to toe in appropriate attire for the different race day events, he said.
Sydney designer Sally Smith also tapped into the racing market and focused on unique yet appropriate product offers to attract clients.
Smith created structured dresses with different prints to suit race day events. She said customers would shop around extensively before making a decision, but were willing to spend upwards of $500 for the ideal dress.
Melinda Oliver