Global Recession Impacts on Fashion Industry: Strategies for Survival

http://www.teonline.com/articles/2009/03/global-recession-impacts-on-f...

Trade Events

Trade News

Tenders

Articles Welcome to the directory of Textile Manufacturers, Exporters & Suppliers. Join us & interact on a global & reliable platform.

Join Free!

Trade Associations | Textile Publications ti c les Global Rec Knowledge Center Fashi on I ndustr y : | Textile Books | essi on I mpac ts on Enter Product / CompanyHome Ar Name Str ategi es f or Sur vi val

Apparel Garments Fabrics Fiber Yarns & Threads Home Furnishings Textile Accessories Textile Machinery Textile Products Textile Services Textiles Chemicals

Knowledge Center
All about Textile

Fiber to Garment Textile Processes Academic Reports Tools Textile Personalities

Photo Gallery
An Overview

view more

1 of 5

8/17/2009 11:20 PM

Global Recession Impacts on Fashion Industry: Strategies for Survival

http://www.teonline.com/articles/2009/03/global-recession-impacts-on-f...

Print

Subscribe

Submit Articles

Global Recession Impacts on Fashion Industry: Strategies for Survival

Submitted by : By TE Online on March 20, 2009 10:39 AM

Trade Events | Trade News | Tenders | Trade Associations | About Us | Disclaimer | Articles | Join Free | Knowledge Center | Resources

Recent Article

The whole world is facing global recession. The economy is slowing, the business environment is unpredictable and the consumers are getting increasingly diverse, informed, technologically strong and demanding. The global meltdown has, in no way, spared the fashion industry. This industry, along with other textile products industry, is also feeling the pinch of financial adversity.

Coated Fabrics- The High Value Specialty Fabrics How to Choose Top Three Fashion Accessories Latest Trends of Global Textile Machinery Industry Interior Decoration with Textile Furnishings Industrial Textile Products - The Other Side of Textile All About Eco Friendly Fibers -A Gift for Environment Lovers Global Recession Impacts on Fashion Industry: Strategies for Survival Wear Fruity Dresses to Match Healthy Fruit Dessert! (Pineapple Fabric) Recent Market Trends in the Textile Chemical Industry Microfiber Fabric and its Various Applications Selecting the Right Embroidery Thread What to Wear on Valentines Day Designing Party Dresses with Beads, Appliques, and Bows Leather Apparel and Leather Products- The In Things New Approach of Synthetic Fibers Industry REACH- Its Impact on Textile Industry Water-Repellent Fabrics and Products Modern Embroidery Machines Smart Fabrics- The Hi

The Fashion Industry

The fashion industry can be termed as complicated with no standard for defining fashion companies. They belong to a wide range of enterprises working in the apparel, clothing & garments, footwear, home furnishings textile accessories and markets. This industry consists of diverse professionals and companies- modeling, fashiondesigning, retailing, marketing, planning, and distribution. There are brands and local sellers too, all struggling with their products for survival. All of them are feeling the impact in different ways but what is similar among all is their narrowing wallets.

Impacts of Recession on Global Fashion Industry The trends all over the world is that of rising unemployment, credit squeeze and plummeting home budgets. Lavish spending habits have been replaced by very cautious closefisted

2 of 5

8/17/2009 11:20 PM

Global Recession Impacts on Fashion Industry: Strategies for Survival

http://www.teonline.com/articles/2009/03/global-recession-impacts-on-f...

consumer. One of the few items on which the consumers cut back in tough times include apparels and fashion accessories. As such, many fashion companies have also started to fall into credit problems. In the last few months, various companies worldwide have filed for bankruptcy. Many big names in the fashion industry are facing financial problems, many of whom have even declared their negative condition. Some of these companies are hoping for a take over. Many companies are negotiating for a partnership deal with willing investors in order to help their finances. Announcing of plans to remove jobs in regional offices have become more common news. Many events, innovative plans are being canceled.
Fashion Wholesalers Find Apparel & Accessory Distributors & Wholesalers.
www.business.com

Tech Textile Christmas Costumes For All Herbal Textile- The Eco Friendly Fabrics Moisture Management Fabrics Stage Curtains and their Classification Wear milk if you can't drink it (Milk Yarn) CAD in Textile Industry Organic Cotton-The healthier aspect of textile production Wedding Gown Styles Types of Fabric Weaves Embroidery
read more

Textile Textile Search Thousands of Catalogs for Textile Textile

www.globalspec.com

Many fashion labels in zakelijk veranderen fashion hubs like Alles verandert steeds. TCEN helpt uw Italy, are holding bedrijf daarvan te profiteren www.tcen.nl emergency talks with the government and are appealing to support their industry or at least lessen the effects of their financial slowdown. Many fashion houses are not showing their collections for fall 2009 due in the season as the shows will cost them thousands of dollars with no guarantees of returns. Many designers have set the trend of smaller or more reserved shows. The industry experts are expecting many more designers to follow suit. Designs also seem to be affected by the crisis as many shows featured only quiet colors and minimalist lines. Predictions say that 2009 trends will open the way for again wearing some of the pieces from the past seasons. Subsequently, when the crisis is over, major players are likely to again produce extravagant creations. Strategies for Fashion Industry in 2009 Although consumers are thinking twice before spending on designer textiles and fabrics, http://www.teonline.com/fabrics/ still there are opportunities for fashion industry in 2009. However, the keywords are individuality and innovation for securing future of any brand. Consumers have to be given exactly what they need and in the way they desire. Consumer spending has got lower resulting in pressure on retailers' margins. Therefore, the

Articles by Categories
Apparel Garments (5) Eco-Friendly Textile (1) Fabric (3) Fabrics (8) Fibers Yarns & Threads (6) Home Furnishings (2) Textile Accessories (2) Textile Chemicals (2) Textile Industry (1) Textile Innovation (16) Textile Machinery (2) Textile News (1) Textile Products (2) Textile Services (3)

3 of 5

8/17/2009 11:20 PM

Global Recession Impacts on Fashion Industry: Strategies for Survival

http://www.teonline.com/articles/2009/03/global-recession-impacts-on-f...

business will have to focus on protecting gross margin by way of loss prevention, price optimization and efficient inventory management systems. Consumers will have to be provided with consistent brand and service offering through multiple touch points -stores, online, social commerce sites, blogs, mobiles, etc. Value-added services such as "buy online, return at stores" etc. can only help establish brand loyalty among customers which is the success mantra for survival. Social media channels are increasingly being used and are very effective means to reach consumers for promotion and brand loyalty. Private labeling will be the buzzword of 2009. Private labels provide higher margins, increased flexibility and the capability of responding fast to changes in fashion trends. Stronger brands, already having a direct retail channel, will continue to grow and will gradually begin competing with retailers who were once their customers. Owning own retail channels give brands tighter control over their brand identity. Weaker brands should look for opportunities of becoming private-label suppliers to retailers. The emerging economies of Eastern Europe, South America and Asia will present new growth opportunities in the wake of already saturated U.S. and Western European markets that are also facing financial crisis. A strong brand identity will be crucial for international success as stronger brands will be able to take advantage of their brand strength for global expansion using alliances and franchise arrangements.
Retail Store Owners
Free business how-to training & info at The Retail Owners Institute www.RetailOwner.com

Distance Learning Courses UK University Qualifications Browse and Apply Online Today
www.rdi.co.uk/Distance_Learning

African Textiles/ Fabrics Latest in African Fashion Retail & Wholesale

www.middlesextextiles.com

Internationale website Meerdere talen website, meer leads & lagere management kosten
www.contentforces.com/Website

2009 Stock Market Outlook Why Now is the Time to Be Buying Stocks - Not Selling Them. New Rpt.
WealthDaily.com/2009_Market_Outlook

$17 Million Wiz Kid Wiz Kid Stock & Option Trader Makes $17.4 Million Trading Stock Options
www.VirtualinvestingClub.com

Business Economic Trends

Network with your Finance peers on Financial Strategies & Trends. Finance.Toolbox.com

New technologies like kiosks, RFID, mobile devices, smart carts, wireless sensors, contact less payment solutions, magic mirrors and virtual closets etc. decide the shopping process of technology savvy consumers. Variety of services such as mobile vouchers, coupons and loyalty cards, location based services, mobile purchasing and building mobile social networks will have to be provided to them. Sustainability, reduced carbon footprint, eco-friendly fashion and green supply chain will become more prevalent terms. Brands genuinely committed to environmental cause will get rewarded. Today's consumers demand customized fashion tailored to their individual lifestyle needs. So, those companies that provide online template to customize their shoes, bags, t-shirts etc. will get ahead. Competitive intelligence capabilities have to be increased. It

4 of 5

8/17/2009 11:20 PM

Global Recession Impacts on Fashion Industry: Strategies for Survival

http://www.teonline.com/articles/2009/03/global-recession-impacts-on-f...

will be crucial to understand competitor's latest price change or promotion for quickly reacting in the marketplace. Apart from traditional techniques like syndicated data, mediums like social web analytics and blog scraping will tell companies about their customers by continuously monitoring their conversations among themselves instead of periodic surveys. This will enable them to respond faster to perceived trends, customer complaints, unmet requirements, etc. In brief, what is required for any fashion company or professional for survival and growth is to establish instinctual relationship with the customer.
Copyright Textile Exchange. All rights reserved

5 of 5

8/17/2009 11:20 PM