The Monthly Edit | October 2024
Image: Ethical Fashion Guide
As we approach the end of October and gear up for the final stretch of 2024, I hope you’re feeling optimistic about entering a high-sales period! Navigating the ever-changing landscape of retail, wholesale, and multi-channel business can be challenging, so staying connected with our community and upskilling ourselves is crucial. Having the right mindset and support makes all the difference.
To help you elevate your business during this exciting time, I’m thrilled to share the October Monthly Edit, a curated collection of valuable insights and resources to help you tackle business challenges and seize new opportunities.
Author: Elizabeth Formosa | 29 Oct 24
Industry News
Baptist World Aid Australia has released their 10th edition of the Ethical Fashion Report. This comprehensive report evaluates the fashion industry’s practices on worker rights and environmental sustainability, with data covering 120 companies and 460 brands globally.
The report reveals both the challenges and opportunities facing the industry, from forced labor conditions to the environmental burden on low-income countries. With slow progress in improving ethical standards, it serves as a wake-up call for the industry to continue its commitment to positive change.
This is a MUST-READ for anyone serious about building a fairer, more responsible fashion business.
The 10th Edition Ethical Fashion Report comes amidst a particularly turbulent year for people the world over.
The global cost-of-living crisis has pushed families further into poverty, as it becomes harder to afford basics like food and healthcare. Many of the 50 million people living in modern slavery1 can be found in global fashion supply chains working under forced labour conditions. Low-income countries are bearing the burden of environmental pollution and degradation as climate change events—extreme temperatures, rising sea levels, natural disasters—are predicted to force 200 million people to flee their homes by 2050, leaving them in need of work and at risk of exploitation from labour abuses or modern slavery.
The Australian fashion industry is at crossroads. The cost-of-living crisis in Australia has led many companies
to strip back what they consider to be ‘non-essential’ spending, which too often includes ESG (environmental, social and governance) actions. At the same time, the industry has been subject to increased scrutiny as consumers demand more from brands that they support and governments tighten regulations. As companies respond to pressure to reduce their environmental footprint, they must pursue a just transition by ensuring that these efforts do not come at the cost of advancing human rights—especially given that the communities most impacted by a changing environment are often the same ones exploited by the industry’s supply chains.
The Ethical Fashion Report seeks to help build a fairer fashion industry where workers are afforded the respect they deserve and natural resources are stewarded responsibly.
To evaluate the progress of the brands that shape the global fashion landscape, the Baptist World Aid Ethical Fashion report research produced over 13,000 data points representing their rigorous assessment of the practices of 120 companies (covering 460 brands in total).
Significantly, this is the first full Ethical Fashion Report published since Baptist World Aid transitioned from an annual to a bi-annual reporting cycle. Providing additional time allowed companies to make more substantial progress towards their ethical and environmental targets. The results, unfortunately, show that the pace of progress is still far too slow.
“The average score increased from 29.2 in 2022 to 31.3 in 2024.”
This report is a MUST read for everyone in our Industry.
BUSINESS OPTIMISATION INSIGHTS: Seven Strategies for Fashion Brands in the Home Stretch of 2024
As a Fashion Business Strategist at Fashion Equipped, I’ve been guiding clients through strategies to ensure profitable outcomes for the final quarter of the year. With promotional periods like Click Frenzy, Black Friday, and Boxing Day approaching, here are my top strategies for business optimisation:
It’s easy to get caught up in the promotional rush, but maintaining a Brand-First mindset is crucial. Every discount, marketing message, and product offer should align with your brand identity.
Your brand is your most valuable asset, especially when everyone else is slashing prices. Think about how you can stand out by staying true to your core values.
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Examples for a women’s brand:
Create a ‘festive styling guide’ to inspire customers with holiday looks. Showcase how versatile your collection is for events like Christmas parties and New Year’s Eve.
Collaborate with an accessories brand (or other complimentary categories) to enhance your looks with jewellery or handbags, expanding your audience.
Offer personalised virtual or in-store styling services to make the experience more interactive and position your brand as a trusted advisor.
For brands built around conscious fashion, consider promoting recycling or re-gifting programs. For example, we love RCYCL, where customers can give new life to wardrobe items through recycling, reducing waste while staying stylish.
By prioritising your brand’s identity, you protect long-term equity while still driving short-term sales.
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During this peak period, strengthening relationships with existing customers is key. Personalised email campaigns, early access for VIP customers, and "thank you" messages can go a long way in fostering loyalty and repeat business.
Use customer data to tailor offers and experiences, boosting engagement and positioning your brand as their go-to.
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Don’t lose sight of profitability during promotional periods. Instead of blanket discounts, get strategic with bundle deals, tiered discounts (e.g., spend $200, save 20%), or focus on high-margin products.
Review your inventory to discount slow-moving or high-margin items that can clear space while protecting profits. Aim for a balanced approach—drive volume, but maintain healthy profit margins.
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Inventory management is critical. Too much stock ties up resources, while too little leads to missed sales. Forecast demand accurately, using historical data and tools like Style Arcade to optimise stock levels and avoid over- or under-stocking.
This platform allows you to plan merchandise effectively, order the right quantities, and manage best-sellers. A well-managed inventory leads to smoother operations and maximised revenue.
(Spoiler alert: Michaela Wessels, CEO of Style Arcade, will join me on the Fashion Business Mindset Podcast in November! Make sure to subscribe for insights on merchandise planning and growth optimisation!)
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With online shopping at an all-time high, your eCommerce platform must be fast, mobile-friendly, and user-friendly. Ensure seamless navigation, real-time inventory updates, and quick checkout processes.
To further boost sales during this period, consider:
Limited-time offers or bundles to drive urgency.
User-generated content (UGC) like customer reviews and photos to build trust.
Abandoned cart recovery tools with timely reminders and incentives, such as free shipping, to nudge customers toward completing purchases.
If relevant, also offer omni-channel services like in-store returns or click-and-collect, which provide a more integrated customer experience.
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Exceptional customer service should never be compromised, especially during the busy season. Equip your team to handle the increased volume of inquiries via live chat, email, or phone support. Offer transparent return policies and accurate delivery times to maintain trust.
A seamless, positive customer experience will leave a lasting impression and increase the likelihood of loyalty in the future.
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The world feels heavy right now, so inject positivity and creativity into your marketing. Collaborate with influencers who bring fun and authenticity to their content, making your brand stand out.
Some of our favourite influencers, like Kristine Fernandez, Cat Sanz, Jules Sebastian, and Natalie Jacobson, blend style with purpose, creating meaningful connections with their audiences.
Consider interactive campaigns, such as live streams or holiday challenges, and get creative with giveaways like a "12 Days of Giveaways" campaign to engage your audience in a joyful way.
By blending coolness and positivity, you’ll not only entertain but also build strong emotional connections with your customers.
Wrapping Up 2024: A Strong Finish for Fashion Brands
As we round out the final stretch of 2024, focus on strategies that combine brand integrity, profitability, and customer connection. By optimising your operations, planning promotions carefully, and prioritising the customer experience, you’ll set your business up for a profitable close to the year.
BOOK YOUR COMPLIMENTARY LEVEL UP CALL WITH ELIZABETH
At Fashion Equipped, we specialise in helping fashion businesses optimise their operations and scale successfully.
Ready to level up?
Book a complimentary 20-minute Level-Up Call with Elizabeth, and you’ll work together to craft a strategy for your growth. Limited calls are available.
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INDUSTRY EVENTS: Global Sourcing Expo
19-21 NOVEMBER
MELBOURNE CONVENTION & EXHIBITION CENTRE
If you are planning to attend the seminars at The Global Sourcing Expo in Melbourne 2024, you can use Elizabeth's complimentary VIP code VIPEF.
Australia’s ultimate global sourcing destination
The Global Sourcing Expo is a must-attend event for industry professionals associated with buying and global sourcing of apparel, footwear, textiles and homeware products.
With keynotes from Elizabeth Park, Industry Consultant and Fashion Equipped Mentor (you can book a mentor session with Elizabeth Park here), Paul Zahra, CEO of the Australian Retailers Association and panels of global experienced fashion industry professionals.
Free Resource: Navigating the Global Sourcing Expo - Checklist
Your ultimate objective is to connect with a credible supplier at the Global Sourcing Expo.
Here is a checklist that you can use as a guide to build your own sourcing criteria to help you find a supplier that meets your business objectives.
Including 50% off off 'Start Your Fashion Business' programme for a limited time.
Free Resource: The Conscious Fashion Blueprint
The Conscious Fashion Blueprint presented by Elizabeth Formosa at the Global Sourcing Expo Sydney 2023.
Discover the steps to crafting a Conscious Fashion Brand through Elizabeth’s Keynote and 80+ page PDF presentation.
Podcasts & Books to Elevate Your Business
Add to Cart by Nathan Bush
This podcast focuses on eCommerce, with expert conversations about how retailers (including fashion brands) can succeed in a competitive landscape.
Sell Anything Online by Anaita Sarkar
A toolkit for online business owners looking to master marketing, build a loyal customer base, and grow their brand through proven strategies.
Fashion Business Mindset with Elizabeth Formosa
Fashion Business Mindset is your FROW seat to 'real' stories from Brands, Designers, Entrepreneurs, Makers and Mentors.Hosted & created by Elizabeth Formosa.
Unlock Success with Our Continued Partnership with WGSN!
We’re thrilled to announce our sixth year of partnership with WGSN, the #1 global trend forecasting and analytics platform. At Fashion Equipped, we are passionate about empowering startups and growing businesses by providing access to this cutting-edge resource. Combined with our tailored programs, mentoring, and consulting services, these invaluable tools give our clients a competitive edge, helping them not just launch but scale their fashion businesses successfully.
In today's fast-paced and data-driven fashion industry, staying ahead of trends is critical. WGSN delivers global insights and future trends that can transform your business, ensuring you thrive in this ever-evolving landscape.
This is a unique and invaluable opportunity to elevate your business and position yourself as a leading brand in the industry.
Contact Elizabeth directly at elizabeth@fashionequipped.com.au to discover how WGSN can give your business an immediate advantage.
Via WGSN
