The fashion industry has always been a particularly competitive segment, with new trends and designs introduced periodically. Consequently, thriving in saturated fashion markets requires more than just business acumen.

Current Challenges

Given the presence of both local and global brands as well as retail and wholesale players, customers are spoilt for options. The emergence of e-commerce platforms has added to the challenges. With the pandemic outbreak shutting physical stores temporarily, brands had to quickly pivot to online sales. This necessitated additional investments in keeping BCPs (business continuity plans) running.

While the pandemic has waned in most geographies and brick-and-mortar stores have reopened, many customers are now comfortable with shopping online because of its speed and convenience. Given this scenario, brands have no choice except to maintain an omnichannel presence, permitting buyers to shop online or offline as per their preference. All these factors make the task of attracting more footfalls and eyeballs especially difficult for fashion brands. As a result, innovation is the name of the game to thrive in the fast-evolving fashion market.

Yet that is not the end of hurdles in the fashion firmament. With most consumer cohorts increasingly becoming more environmentally conscious, polluting segments face greater scrutiny from customers, investors, shareholders, and other stakeholders.

As modern textiles use petrochemical products, 10 percent of the world’s carbon dioxide can be attributed to the fashion industry, notes the United Nations Environment Programme. With polyester – a form of plastic derived from oil – supplanting cotton as the mainstay of textile production, apparel made from such synthetic fibers has emerged as the main source of micro-plastic pollution in oceans, endangering marine life. Of the 300 million tons of plastics produced annually worldwide, fashion accounts for one-fifth.

Guidelines to Stay Competitive

Considering the downsides, consumers are basing purchase decisions on checking the sustainability quotient and ethical sourcing of fashion products. Keeping all the above aspects in mind, below are a few guidelines to help fashion brands attract more customers through online and offline channels.

Define the Brand Image - Defining one’s brand image is crucial because this will decide the product’s positioning. For example, some brands design premium products based on class rather than mass appeal. Conversely, another company will cultivate a brand image of fitness and athleticism since it specializes in athleisure wear. A third could choose a modern, elegant image, catering to consumers seeking the latest, sleek items while another may opt for an affordable brand image, producing apparel for the masses.  

Know the Target Consumer - Once the brand image has been defined, consumers should be targeted as per the product positioning. A clothing company offering affordable apparel can target the masses in metros as well as tier 1 cities and beyond. Haute couture players could design exclusive outfits meant for HNIs (high net-worth individuals), especially women. Once target consumers are determined, the marketing plan can be curated to attract these select segments. Marketing campaigns focussing on the brand image and the right target consumers are essential for fashion brands to make their presence felt in ultra-competitive markets. 

Maintain an Omnichannel Presence - Consumers have now grown accustomed to online shopping while visiting offline outlets too. Despite pandemic-linked restrictions largely being lifted, depending on their convenience, consumers shop via various channels, including mobiles, standalone stores, e-commerce platforms or malls, and other marketplaces. In catering to diverse choices, brands must maintain both an online and offline presence that allows buyers to order online, visit a retail store or opt for BOPIS (buy online, pick up in-store). An omnichannel experience means individual touchpoints across diverse channels could connect seamlessly. But for this to succeed, brands must increase the number of touchpoints and inventories to meet any surge in demand.

Ensure Product Quality - Even the best of promotions would fail in the long run if product quality is not up to the mark. Brands need to ensure the quality of products is checked and maintained across the entire value chain from production to distribution. Ultimately, product quality ascertains customer loyalty.

Adhere to ESG Norms - A company’s ESG (environmental, social, and governance) compliance is checked by all stakeholders nowadays, including consumers. Besides environmental issues, fashion brands should ascertain their products are not produced or sourced from regions where working conditions contravene any of the three ESG guidelines. While contravention may facilitate short-term cost-cutting measures, in the long term brands will lose goodwill, impacting overall sales and revenues. Accordingly, sustainable and ethical production and procurement practices should be followed across the entire supply chain. 

Retain Authenticity - Brands must make certain that whatever claims are made about their products and company can be validated at any time. For instance, if claims are made about the products being sourced sustainably from eco-friendly materials, brands should be able to substantiate such claims, if necessary. Authentic claims help in fostering greater trust and boosting customer loyalty – one of the best ways to grow a business sustainably.

Brands that follow the above guidelines diligently are bound to stand out even in highly-competitive market environments.