T h e R u n d o w n !
B y C a n a d a
Fashion business reports can be nuanced, complex, overwhelmed with jargon, or, frankly, a bit of a bore. Here, you’ll find quick re-caps for the week on the most pertinent stories, what they mean for the industry, and what they mean for you.
H&M CEO Change… Why, and What To Expect
12/02/24
H&M got a surprise new CEO on January 31st, after the former chief quit unexpectedly, according to Business of Fashion reporter Reuters. Now the former CEO of the Swedish brand, Helena Helmersson, left her position unceremoniously on Wednesday; after four years on the job, she cited immense pressure with inequitable passion as her main reason for retiring from H&M. She was immediately replaced by Daniel Ervér, whose been working with the company for 18 years— most recently as the head of the H&M brand itself. Helmersson’s exit comes at a tumultuous time in the company, with sales falling, and profitability goals for this fiscal year seeming implausible under recent conditions, especially compared to their performance in 2022-2023. As competitors like Zara and Shein continue to be on the rise, conciding with the slow descent of this former fast-fashion giant, the question is not necessarily “why the change,” with their year-long missteps, but “is the change enough?” With the equivalent of a career-H&M-politician, critics wonder if Ervér’s approach will be enough to rehabilitate brand image and success enough to push them to the target 10% profit margin, comparative to their existing 7.2%, down from 7.8%. From the brand, expect either price increases, or an increased product portfolio, within the next few months.
TikTok’s “Mob Wife” Trend, and How It’s Bringing Back Fur
19/02/24
Fur has been, seemingly, on the unstoppable decline since 2010— however, younger generations reflect a newfound interest in the product, according to Mzizi from the Business of Fashion. With legislation against the use of new, real fur for garments, the reemergence of fur in the industry is unexpected at best— while the “Mob Wife” trend isn’t expected to last more than six months, the desire for fur, or fur-adjacent, aesthetics, is predicted to stick around. This trend has allowed for huge profits in second-hand segments, and for fast-fashion companies offering fur alternatives, and able to commit to quick turn-arounds: specifically, Zara. With a record number of “guilt-free” fur units being sold in re-used markets, the interest in fur, and conflicting desire for sustainbale wear, shared amongst Gen-Z shoppers, introduces interesting hypotheticals for the sales margins of faux-fur products.
Distrust in Tech May Kill Gen-AI Before It Takes Hold in Fashion
26/02/24
While the generation of supposed born-and-raised technophiles were expected to latch on to AI’s integration into industry and art as soon as its introduction, conducted studies say many young persons frequently approach these technologies with distrust, according to Business of Fashion writer Bain. Though the hypothetical ramifications for generative AI in fashion are novel in expediting processes, fashion students especially see these artificial producers either as creators of drivel, or means to the end of their career paths. Within some more established fashion schools (Parsons, LCF), professors are attempting to integrate AI into their curriculum— and it’s been met with conflicting opinions. While these classes are currently electives, for those with existing interest, it’s no question that AI’s implications exceed just the business students, and it’s usage in the design process will become crucial within couture; it’s a question of when, who will be at the forefront, and, most importantly, who integrates it as a step, rather than a solution.
Vogue World will Herald Paris Summer Couture Shows with Olympics Tribute
11/03/24
In a relatively rare moment of solidarity between the worlds of athletics and high-fashion, Vogue World, a brand-extension of the renowned magazine, will be coming to Paris on June 23rd for a combination Olympics-celebration-and-opening-ceremony for Haute Couture week (lasting from June 24th-27th), according to BoF writer Kansara. Vogue World will be hitting both New York and London prior to their arrival in Paris, predominantly in efforts to expand revenue horizons by connecting the “Vogue” name, and place in fashion, with the worlds of film, art, theatre, and sport. While there’s little information currently available about the event in question besides when, where, and to what end it will occur, it’s said that looks in question will feature aesthetics from each decade since the 1920s, when the Olympics were last in the city. While there is some logistical friction between Haute Couture week and the Olympics, needless to say, bonds between the fashion and sport “franchises” have never been more potentially lucrative.
TikTok’s Reign on Fashion Advertising May Be Peaking
18/03/24
The window for Tiktok’s status as a main modern player in advertising and promotion for fashion brands may be coming to a close, according to BoF reporter Kennedy. While the company initially garnered its audience through quirky, laid-back, user-generated content, exploding into a shared space where brands can establish and integrate personality and one-on-one connection into their marketing efforts, the introduction of TikTok’s “Shop” feature may be the harbinger of popularity decline within its target demographics. Since the integration of the TikTok Shop tab, algorithms have been flooded with blatant advertisements for seedy, borderline scam items, discouraging users not only from purchasing these products, but some from using the app altogether. This comes at a time when hopes were high for more established fashion names to begin using the app, who had before strayed at risk of dampening their “serious” image. In my opinion, while TikTok has revolutionized a space where personal interaction and advertisement can coexist, it was built on the fundamental line of joke-y fun— just look at the Duolingo owl— and without this barrier between real people and sponsored content, TikTok has made itself another piece of the detestable corporate drivel we are spoon-fed through web advertisements, assigned by mined data, every single day. Do I believe TikTok has a space in fashion? Absolutely, few apps have been able to build trend cycles and push new aesthetics like TikTok has. Will it ever expand its reach to haute couture if it aligns itself with SHEIN? Hell no.
Dries Van Noten Steps Down from Namesake Label
25/03/24
In a letter addressed to fashion editors, Belgian designer Dries Van Noten announced he will be stepping down from his role as Creative Director in his namesake brand effective June 2024, according to BoF reporter Williams. After 38 years with the company, Van Noten has demonstrated a remarkable grasp on the intersection between showmanship and design, with remarkable runway shows featuring fantastical concepts, and garments easily identifiable for their unique color palette, pattern, and texture usage. After selling majority interest to Puig in 2018, Van Noten was able to expand its product assortment by entering the fields of perfume and makeup, alongside permeating the online marketplace as a valid track through which pieces could be presented and obtained. Puig, now, is up to a difficult task— finding a successor who keeps Van Noten new, without ditching the iconic imagery of its past. Though Van Noten did explicitly state in his letter that he believes the future of DVN to be bright, its hard not to anticipate a bit of decline and upheaval in his absence— it happens to virtually every house (McQueen being the exception) when a new creative director gets their hands on a name. While I can’t speculate properly on the future of DVN, I can hope the best for the brand’s, and person’s, future endeavors— that both retirement is sweet, and the new HoH keeps the iconography that let Men’s S/S ‘23 be one of the best collections to date, period.
Back to H&M— Could This Be The End?
01/04/2024
With H&M’s abrupt CEO change in January being the first story we reviewed on here, it feels pertinent to address the predicament they find themselves in now— the last-standing in a rapidly-decreasing middle ground between cheap and “high-end” fast-fashion. With Ervér’s claim that they need to emulate both of their main competitors, Shein and Zara, while providing no outline of a plan to, you know, actually do so (besides vague ideas like “more product variety” and “higher prices”), industry members remain in the dark on how exactly H&M intends to dig itself from their current predicament— if at all. Furthermore, it’s unclear whether Ervér will maintain attempts to front H&M as a “green” company, or, really, do anything at all besides sit in a chair and hold a title. With fast-fashion increasingly being (perhaps rightly so) villainized by the press, politicians in the EU have picked up steam in bringing companies like dear H&M to the chopping block— Ervér’s seeming agenda of continuity does nothing to brandish them against regulatory punishment. As the 2010’s powerhouse continues to close brick-and-mortar locations, their last true strength against the all-online competition, I’d be shocked if this brand doesn’t declare bankruptcy within the next two years.
High-Profile Celebrities in Advertising— Does it Translate to Sales?
08/04/24
While it’s impossible to credit the entirety of Calvin Klein’s uptick in popularity to their ad campaign featuring actor Jeremy Allen White, it’s not out-of-place to say it contributed to a meteoric moment of fame, doing some heavy-lifting in bringing Klein to the forefront; the real question, however, is if this publicity translated to actual sales— and whether or not that’s the point. With 1.8 million likes on one of White’s featured posts (via Instagram), this ad campaign blew precedented examples of marketing success out of the water— while it’s unknown, at this point, whether White parading around in underwear contributed to a higher degree of product movement for Calvin Klein, the manner in which a general public latched onto this advertisement illustrates the modern importance of recognizable figures in fashion campaigns. People connect their parasocial relationships to seemingly unrelated aspects of their lives— their clothes, their dinner choices (think Gigi Hadid’s vodka sauce), the things they carry (the popularity of “what’s in my bag” videos shows clear correlation)— for fashion brands, this means utilizing these followings to boost engagement and word-of-mouth marketing. Though the purpose of marketing efforts is, first and foremost, to boost sales, the importance of brand notoriety and image cannot be understated— in my opinion, even if this campaign only resulted in the sale of two more boxer briefs, its success in connecting brand-to-public-figure, especially one currently in the height of their career popularity, is immeasurable and invaluable. When you think about the work of White, you’ll think about this campaign; how incredible to be a feature of an actor’s portfolio.
Tween’s Obsession with Retinol Has Lead to “Anti-Marketing” Efforts
15/04/24
A little different from what we usually talk about in The Rundown, but this writer will be using inherent connections between beauty and fashion to discuss an interesting, and pertinent, issue in the world of skincare— children ransacking Sephora’s testers. There’s been a (concerning) increase in the percentage of children reported using skincare products beyond what is necessary for their age bracket, with a 27% increase in U.S. households featuring 6-to-12 year olds since 2023. The growth in skincare’s popularity has brought forth a new set of challenges to marketers in the sector— namely, how to maintain some semblance of sales, without incurring the legal liabilities inherent in appealing to children. As Gen-Alpha becomes a growing sector for brands like Bubble, Sol de Janeiro, and Drunk Elephant, a fair number of players in the skincare sector are sending out disclaimers for their products— in particular, for children not to use them. Retinol creams, heavy exfoliants, chemical peels, these products are all superfluous for young skin, and can often cause more harm than good; with the increase in young-usage of these ingredients has come an uptick in dermatologist visits for damaged and over-treated skin. Though, obviously, we can all look at this phenomenon and think “why would children feel like they need these products,” I ask you, why shouldn’t they feel this way? Gen-Alpha is the first generation with unfettered social media access, by which women are preached to constantly the importance of looking youthful, of keeping your skin tight, of eliminating blemishes and imperfections— it’s no wonder children, the epitome of youth, have latched onto this messaging, and feel the indescribable pressure to keep their skin As It Is, At All Costs. Over-archingly, it’s hard to feel bad for an issue this industry sort of brought on itself— you preach the longevity of youth, then get mad when the youthful listen? Grow up.
Remember the Fashion Week/Olympics Collab? Here Are The Consequences of These Events Coinciding
22/04/24
The Paris Olympics are THE highly-anticipated event of this summer season (for the tourists, of course, not the locals); with overwhelming numbers anticipated for attendance, businesses and public services alike are wondering how to accommodate their sectors for the influx of people soon to hit the city— the fashion industry among them. Men’s fashion week is set to proceed right at the height of Olympic event preparation, making fashion lovers alike wonder— where are the shows being held? Is there enough space? How can crowding be effectively managed? You know, the boring stuff. In actuality, shows have (while it’s been a struggle to do so) planned around the Olympics— with galleries and venues in the 16th available for use, many brands show no fear in their summer runway endeavors. The more interesting question, however, I think, is how to better link the Olympic events to the fashion ones— intertwining more joined marketing into the mix could both promote the games, and the shows, to an expanded audience. Instead of questioning “how do we keep these tourists out of fashion week,” why not ask “how do we motivate new consumers to have shared interest while in the city?” I know the fashion industry is exclusive, but, I mean, money is money, people.
