"You don't have to be a scientist to do fashion. You have to sell, and that's that." - Zoran Ladicoribc, 1998
The 1987 stock market crash had the same effect on the fashion world as is happening now. Christian Lacroix was the designer of the moment. However, he had an air of defiance and lived in a fanciful world. His collections were pleasing, elegant and exciting but they did not sell. With millions of dollars in losses his financial backers realised that they had been persuaded to back the designer because of his elevated status and had not really scrutinised his business model. By the late 1990s Lacroix had faded from the fashion stage.
Potential financial backers of designers are not looking for the glamour factor or at one-off moments of fame at fashion weeks. What they look for is sustainability, prudent and realistic business models.
The fashion industry is being forced to restructure itself to meet the challenges it faces due to the global economic crisis. The Italian fashion industry has asked for help from the government. The Indian government is introducing an export incentive for its textile sector and even China is facing difficulty in its clothing and fashion industry sector. However, putting aside the rhetoric of saving jobs and how important the creative industry is for development, the South African government seems to be doing nothing for the clothing, textile and fashion sector. Trade experts and economists have responded to the government's response to the economic crisis as being futile.
This does not spell gloom for our fashion sector. What it presents is opportunities for established designers to take heed of what is taking place globally and adapt their business strategies accordingly. For students of fashion, this is an ideal opportunity for them to watch how establish designers are coping, what restructuring they are doing and to learn from their mistakes. Unfortunately, South Africa's fashion industry still seems to be focused on the "glamour" of fashion. Talk shops on how designers should adapt are just that if nothing is implemented. Lessons from the history of fashion are an important tool for students of fashion. As fashion is a continual cycle, so is history.
Zoran Ladicorbic, a world renowned designer, grew his fashion empire at a period when other fashion houses were collapsing. The basics of his success were simple. His clothing sold. In 1998 sales of his clothing from one retailer, Saks was worth $30 million. He kept his business small, he knew his own limitations and kept his designs simple but in tune with his core market. He did not spend money on a whimsical lifestyle. His business was based on multi-tasking and being frugal.
Our industry needs to be frugal, realistic and sponsorship money for fashion weeks spent wisely. There is no need to downsize South African fashion weeks. What I think should be taking place is a change in the criteria of participation in these fashion extravaganzas. The stakeholders of these events should be placing an emphasis on commercial, sellable and affordable fashion and not on artistic talent or favourites.
Karl Lagerfield has equated the current crisis as a "big spring clean" for the fashion industry. Even Paris has curtailed its fashion shows. The French federation in charge of the couture calendar clearly has the industry at heart when they told designers and fashion houses not to spend money on participating in its events if they felt it was a risk. In Australia the Perth Fashion Festival is cutting back on their program. The celebrated New York Fashion Week found ways to cut back on expenses. Steven Kolb, the executive director of the Council of Designers of America, said the industry has to return to what it's all about and that is selling clothes. "It is not about air kisses, flashbulbs and media hoopla." Robert Duffy, president of Marc Jacobs said, there was no need to spend money on entertainment. President of Russian Fashion Week, Alexander Shumsy, feels "the crisis will affect world fashion weeks."
Hailed as South Africa's fashion couple, the owners of Sun Goddess are now in trouble. Having closed down at least four of its five shops, retrenching staff and cutting back on production they seem to be, according to media resources, in a spiral of debt. The question every student of fashion and established designer should ask is why this happened? The answer, I think, is simple. Bad business management and the "celebrity" status they enjoyed caused them to take their eyes off the fundamentals of their business.
This is a core problem in the industry. We seem to elevate fashion designers to a status of "success". What is the criterion used to define South African "top design talent"? Furthermore, what does "taking African fashion to the world" mean? Is the world really interested in African fashion when their own fashion, clothing and textile sectors are facing job losses, retail closures and a drop in sales?
Apparel sales in North American stores are declining and apparel imports into America are decreasing. In December, Gap Inc. saw a 12% decrease in sales and a 19% drop in its January 2009 sales. Other large companies saw retail sales declining between 5.4% to 17% in the last quarter. Price seems to be the main issue for consumers and retailers will be pushing this down the value-chain.
Should we not instead be taking South African fashion to South African consumers and developing efficient collaboration between design and manufacturing? Ought we to not be engaging more with our retailers and finding mechanisms for them to support more local designed content?
I am not saying we have to do away with glamour and beautiful designs. What I am saying is to survive should designers not be using their creativity and ingenuity in creating more sustainable sellable garments that will be financially rewarding for them and ultimately for the entire apparel value-chain. Selling one beautiful garment may help an individual designer but it will not help the industry. However, semi-mass produced garments will have a positive spin-off for the entire apparel industry.
