BOF - How Retailers Squeeze Young Designers

[ronin]

"By demanding unfavourable “payment terms” from fashion labels, retailers push risk further down the supply chain, with serious implications for the health of emerging fashion brands."

The article focuses on young brands, however when reading between the lines it is clear that the lucky few who could make it beyond the first ten months keep facing the same issues over and over again. Many members here are probably well aware of these difficulties, it echoes some of the discussions in the Reboot thread, with extensive explanation for neophytes and an attempt at sketching a couple solutions (though one is not controllable on the designer's end and seems to merely mitigate a worsening situation, and the other requires control of, or at least a solid influence over, both production means and distribution channels).

[aussy]

As argued, this practice really stifles young designers hoping to grow their audience through traditional means, so those with investment or money to begin with are even more likely to gain traction. At the same time, and as Faust and many others have noted, there are WAY too many (entitled) young designers, so this thinning of the herd can also be viewed positively. Retailers are also businesses, businesses that are fighting against obsolescence, so refusing to take a risk on a new designer and demanding one sided terms is frankly a smart move.

I do hope BOF is as subversive of a force as I believe it to be, and the industry shifts partially in response to this article and the countless others that have made material the current state of the industry. Granted, any system wide change is an uphill battle. For example, I don't see the no tip movement in the restaurant industry spreading fast enough for real change.

Really though, everyone is losing, fashion is 'crashing', and yet it still lives on. Its a shame that so many designers quietly wither away. I would love to have more fashion greats, more shows to look forward to, but at any given time were there ever more than a few handfuls of publicized fashion brilliance?

Maybe we view these practices and the 'state of the industry' as unjust because the product of your favorite, forgotten 80s darkwave band is easier to access, appreciate and share with others than the works of Jurgi Persoons.

[ronin]

At the same time, and as Faust and many others have noted, there are WAY too many (entitled) young designers, so this thinning of the herd can also be viewed positively.

I agree, I just wish the "thinning" could be based on something else than access to extra funds - design and product quality for instance, but that would have to take place in a differently driven market altogether. (Thankfully some designers are blessed with both, though far too few.)

It is indeed encouraging to see an industry-relevant media like BoF write about this issue, althouth I suspect this kind of article does little more than preach to the choir for now. Besides, like you pointed out, retailers have their own issues to deal with as well.

[ProfMonnitoff]

To be honest despite these (very much appreciated) BoF articles I don't see this getting any better. Retailers are buying each other up at an alarming pace, and when there's only a dozen companies worldwide that a designer could really have a chance to sell a decent amount of product to, then of course the shops can demand shitty terms.

Making people aware of it isn't going to do much, it's just how the power dynamics are right now in the industry. Designers don't even talk about it on the record because they're scared to lose shops if they open their lips. And it's really becoming more and more common, I don't want to name any names here but some of the shops that are considered 'the good ones' on here are doing this stuff as well.

Sure having to choose between giving a shop 5% discount on the entire order with already slim profit margins or getting net60 on the whole payment are equally bad, but so is not growing to the point where the company has a chance to realistically sustain itself.

As for the designers who say no to this entire circus and do things on their own terms? Despite what their outwards appearance might suggest, most of them are struggling to stay afloat.