Discretionary spending is down. But this doesn't mean designers can't capitalise on the new breed of savvy consumers, Faith Agugu advises.
People are still spending – but more wisely. For independent designers, this means they need to maintain their point of difference while producing collections that are multi-seasonal, multi-functional and well priced.
As a fashion agent, I've found dresses to be great sellers for a number of seasons and this has not changed. Why? Consumers don't have to worry about teaming them up with other garments – and if they choose to, they are easy to accessorise and layer. At our most recent sample sale, we sold many coats with customers saying they were planning to wear their summer dresses underneath.
Skirts tend to be the slowest sellers and more so in this climate, as finding things to match them puts buyers and consumers off picking them up. I've had many buyers saying they have had poor sale through with skirts in the past two to three seasons.
So a great place for designers to start is to think about well cut garments that can be worked over a number of situations, day through to night. Keep elements of one story or collection flowing through to the next so customers can update their wardrobes without having to buy a complete outfit.
Another important consideration is offering value, which doesn't mean cheap goods but quality garments which are well priced. Designers can't and shouldn't think about competing with High Street chain stores, which are offering amazing pieces and bargain prices. Some designers may have to consider reducing their margins to stay in the game long term.
Under these conditions, being flexible and thinking outside the box is important. For instance, production costs are a huge expense for most independent designers but in the end these costs come down to quantity.
Think about taking a risk and increasing your usual production by 10 per cent, which will bring costs down if you're smart about the way you offload excess stock. There are a number of new companies that have sprung up buying excess stock for fashion auctions and online sales that designers can tap into.
Some of the most high-profile Australian fashion labels have signed on to these without tarnishing their reputation. It's all about balance.
Faith Agugu is a seasoned fashion agent, having represented the likes of Jayson Brunsdon, Fleur Wood and Flamingo Sands throughout her career. She owns and operates Raw Fashion Agency in Sydney.