Fashion Business Inc.

Made to Measure

by jill on 9/01/2010

What a great concept!  When I think of clothing that’s made to measure I think of men’s tailored suits or women’s couture gowns.  I don’t typically think about a functional, beautiful item of clothing for my own personal use.  I do now, however. 

Last year, I was wandering around the West Hollywood/3rd Street area and came across a beautiful boutique.  I walked in and was taken with all of the beautiful fabrics and designs hanging from the racks.  While there were many dresses, sweaters and tops to choose from, each item hung neatly from a rack and nothing was cramped or crowded.  The sales floor was open and spacious and the accessories were carefully chosen and displayed in tasteful, functional cases.  If you’ve ever studied retail merchandising, you’ll understand why I was so blown away by this store.  If not, let me summarize…the art of retailing is more like a science.  You need to know how best to display your products to their full advantage.  Your customers need to walk into your store and flow easily and naturally through the entire space.  They should be able to see your products in a logical way without having to dig through racks or piles of clothing.  And best of all, they need to be able to see themselves in your products and, if you’re selling accessories as well, how best to accessorize their outfits. 

I wandered through the store and the sales clerk let me take my time before asking me if I had ever been to this store before.  When I replied “No,” she said something like “let me explain our concept to you…” “OK,” I thought…”what’s your concept?”  She informed me that the tops and dresses were available in a variety of fabrics, so if I found one I liked but they didn’t have my size or the fabric I wanted, one could be made for me within a short period.  If you read this blog, you know me… I’m a fan of anyone who is producing locally, so of course I was excited by the idea.  Now I just had to find a dress or two.  I found several, tried them on and found one I really liked.  It was a bit too long, but the sales clerk mentioned that they would have it altered for me.  Great customer service, I thought, but actually the store is called “Masse Made to Measure” so it is actually part of their concept.  Needless to say, I bought the dress.

Here’s the thing, every time I’ve been out shopping for a dress, I always come back to Melissa Masse and Masse Made to Measure.  Why?  Because I’m not someone who can buy a dress off the rack and expect it to fit me perfectly.  I’m petite and find dresses in the Petite section don’t always fit the way they should and dresses in the Regular section are always too long.  Now I get a dress that’s custom fit to my body.  Better yet, I might find a silhouette I like but in a print or color that’s not my taste.  Now I can pick the fabric or color I want.  Yes, I know I’m going to pay a bit more, but I’m more than happy to do so.  I’m supporting a local business that is manufacturing locally and employing skilled workers in the garment industry.  It’s a win-win prospect, if you ask me.

The last time I was in the store, Melissa Masse was there as well.  I was happy to meet her and have a chance to find out more about her and how she came up with the concept for her store.  “When my friends complained that they couldn’t find anything in the stores that they liked, or more importantly, anything that fit them properly, I realized that they couldn’t be the only customers who felt that way.” I couldn’t agree with her more.  

Trying to figure out your next steps in the apparel industry?  Check out our upcoming seminars or come by during Textile Week September 27 – 29 for free seminars, networking and more.  Fashion Business, Inc. is located at the California Market Center 110 East 9th Street, Suite C786, Los Angeles, CA 90079

Jill Mazur is an independent apparel business and technology consultant working with Fashion Business, Incorporated.  Email:  jill@fashionbizinc.org

A big thanks to everyone who attended FBI’s Meet the Resource Members event on July 28,2010.  If you’ve ever read this blog before, then you know I’m a HUGE fan of networking.  Really! And FBI networking events are a great opportunity for those in the fashion industry, or those who want to get into the fashion industry, to make connections and meet a lot of talented, knowledgeable people. 

Due to traffic, I didn’t arrive until after 6:00 p.m. so I missed a number of people I would have enjoyed meeting.  However, since this was a Meet the Resource Members event, it was the perfect chance to meet new resources and find out about their products and services.  Each resource had a table with their marketing materials and a display of their products or services.  This gave our attendees the chance to meet with each resource one on one, or just mingle with other members and catch up on industry news. 

Frances, Erin and Egle were hard at work making the evening a great success.  I, selfishly, had a chance to catch up with Resource Members Staci Riordan of Fox Rothschild, LLc - author of one of my favorite blogs, ”Fashion Law” as well as new resource members Nouvolution and Visual 2000 - both are ERP software for the apparel industry and both are great additions to FBI’s Resources

I also had a chance to catch up with the hardest working woman in the apparel industry - and that’s saying a lot, because I’d like to think of myself as pretty hard working, but I have no idea when Arlene Battishill ever sleeps.  Don’t believe me?  Check out her Twitter feed for LA Scooter Girls.  Her Go Go Gear and Scooter Girls products have gone from 0 - 60 in the blink of an eye, and it just keeps growing.  When she asked me if I had a few hours to come over and help pick orders, I don’t think she was joking.  OK, Arlene, let me know what day to come by and I’ll pick, pack and ship for you.  Seriously. 

Another one of our members, Korena Ellis, needs to be the next 0 - 60 success story from FBI.  She has a unique idea, with great designs and an inspirational story.  Her curent line consists of jewelry, made from lost wax casting, which gives each one of her pieces a hand made look and feel and sets it apart from many other brands.  Her designs are empowerment pieces and are meant to create personal inspiration in the wearer while also creating a fashion statement.   The designs are unique and will translate very well from jewelry to apparel - screen printed tees are a natural next step, but the symbols work well as prints, on hats, as logos and more. 

What Korena needs now is a business partner, someone who can help take her ideas and products to the next level.  In any situation like this, it requires an investment of time, energy, effort and probably some money.  If you, or someone you know, is looking for the opportunity to get involved with a growing brand and has the business acumen to merchandise and market a brand like this, get in touch with me or contact Korena directly. 

I actually connected Korena with Arlene in the hopes that Arlene had a few words of wisdom to get Korena to the next level.  Then again, I know what Arlene went through to get to the next level and I don’t know if taking that same path will lead to the success of Scooter Girls.  So network, if you’re out there and listening, do you have any ideas for Korena?  I know we’d all be interested.

Don’t forget…come by the Sourcing at MAGIC seminars August 16 - 19. FBI will be presenting 4 seminars and you’ll want to attend them all! 

Jill Mazur is an apparel industry consultant with Fashion Business, Inc.  email:  jill@fashionbizinc.org

Plan Ahead!

by jill on 5/17/2010

The other day I had an interesting conversation with the owner of an apparel company.  The subject of budgets and plans came up.  Or, maybe I should say, I brought up the subject of budgets and plans and asked him how he was planning and budgeting.  His response was “Well, I kind of come up with my budget for the year and forget about it until next year when I have to plan it all over again.”  Talk about lost opportunities!  So I asked him what he used to create a sales plan.  His response was “Well, I kind of have a number in my head and that’s what I use.”  Then I asked him if he communicates this sales plan to his sales and merchandising team.  His response was “Not really.  The design and merchandising team builds the line and the sales team sells it.”  Oh, dear. 

 

I’ve known this guy for a long time and he does relatively well in his market space.  His sales volume is between 12 – 15 million, so he’s not really in the Big Leagues, but he has a great opportunity here to get much greater control and understanding of his business than I think he realizes.  No business is too small to take advantage of this relatively simple function called “Planning.”

 

Step one:  Start with a budget.  Be realistic about what you need for your operating costs, salaries, overhead, insurances, rent, materials, etc.  If you have never built a budget like this, take a few hours to meet with your accountant – What!?!?  No Accountant?!?!?  Seriously?  O.K. start the process by working with an accountant to build a financial plan.  You really need this, more than I can tell you in a blog.  In order to truly understand your business all the way down to the gross margin level, you need a financial plan.  You need to know your expenses in order to understand how to cost your products and how to determine your true gross margin after all is said and done. 

 

Step two:  Build a financial plan based on what you think your company will be able to sell and be realistic!  If you’re a 5 million dollar company this year, don’t expect to hit 20 million next year.  Analyze this year’s sales versus last year’s sales.  Have you added customers or lost customers?  Have you added market share or lost market share?  Now think about what next year’s realistic goal should be.  Are you looking to add product categories?  Will that open new doors for you?  Or are you expecting to do about the same as last year.  Neither of these is the wrong answer, by the way,  you just need to know how to plan.

 

Step three:  Work with your sales team to create a sales plan.  How can they plan to meet your sales goals?  What do they need to do?  Continue business as usual? Open 10 new accounts each at a dollar volume of 20,000 per account?  Let them know what you’d LIKE to see and have them come back to you with what they see.  Oh, and perhaps you can tie some of their compensation to meeting the sales goals you both establish?  This way, they’re just as invested in the business as you are.

 

Step four:  Work with the design and merchandising team to develop a merchandising plan that meets the needs of the sales team.  If sales thinks they can sell the heck out of dresses but pants and skirts are trending down and your designers are only designing pants and skirts, maybe you need to stop and review everything before moving forward.  The goal of a merchandising plan is to give the design team an understanding of what types of product, categories and price points they should be building to meet the needs of the customers. 

 

By tying the merchandising plan to the sales plan and the sales plan to the financial plan, you start to see how the business works toward a common goal – profitability.  Everyone likes to be profitable, no?  Now, when it comes to planning for the next year, you’ll know what your expenses are, you’ll know what your gross margins are and you can start thinking about what the next steps for your business should be.  Raises, anyone?  New office space?  Better computer systems?  At least now you’ll know if you can afford any or all of that. 

 

Looking for accounting or financial planning help?  Check out the FBI’s list of consultants and financial services. 

 

  

 

Jill Mazur is an independent apparel business and technology consultant working with Fashion Business, Incorporated.  Email:  jill@fashionbizinc.org

 

 

 

 

 

 

Fashion Rules!

by jill on 3/10/2010

 

Well, of course it does!  Especially if you were at the Neiman Marcus “Fashion Rules” event last week in Beverly Hills.  I’ll admit I’m not really a Neiman Marcus shopper.  My budget may allow for an occasion splurge at one of their very fine restaurants or bars, but that’s about it for me.  However, I have a great appreciation for the store, the merchandise and the value of the brand “Neiman Marcus.”  I was grateful to have the opportunity to attend the event and thoroughly enjoyed it.  The store was packed with NM’s loyal customers and a few curious onlookers (me included).  Events were staged throughout the store as well as food and beverage stations.  A makeshift runway was setup on the second level with models wearing the newest looks and accessories for summer.  There was a terrific display of NM’s photographer, Matthew Rolston’s, latest images and signed copies of his newly released coffee table book. 

My favorite part of the evening was Ken Downing’s presentation via video-conference, straight from the Paris runways.  The poor man was up at 4:30 a.m. in Europe to broadcast live to Beverly Hills with the latest, greatest trends for Fall, 2011.  No, I’m not going to reveal them here.  You’ll just have to wait and see, or better yet, subscribe to one of the Trend services available.

While walking around the store, I kept thinking about how well the Beverly Hills Neiman Marcus store is arranged and merchandised.  Aside from the fact that the merchandise is beautiful and of such great quality, there really is an art to creating a directional flow in a store and how the products are displayed.  The display cases, racks and shelves are never over crowded with product, allowing your eyes to take in the details of each item.  Nothing is crammed in or fighting for space. Yes, I realize they have multiple thousands of square feet to work with, but so do other department stores whose racks always seem to explode with product.  Boutiques are a different animal altogether, but the best ones follow the same principles.  Ever stopped by the Prada store in Beverly Hills?  The sleek, Rem Koolhaas designed store is an excellent statement in minimalism.  Each piece is given enough space to “speak for itself” and shines brightly among other jewels on Rodeo Drive. 

Don’t forget, FBI is doing a number of seminars next week at the Los Angeles International Textile show March 15 - 17 in the California Market Center.  Stop by our office at suite C786 for three days full of informative sessions as well as a mixer on Monday evening starting at 5:00 p.m.  Meet some of our great members, employees and contributors (including yours truly) and get to know us, if you don’t already. 

Jill Mazur is an independent apparel business and technology consultant working with Fashion Business, Incorporated.  Email:  jill@fashionbizinc.org

Let’s hope that what happens at MAGIC doesn’t just stay in Las Vegas. Let’s hope that the excitement, energy and dare I say it, enthusiasm I felt at last week’s MAGIC show is carried forward throughout the year. It was nice to see a lot of foot traffic, new faces, new brands and even orders being written. I know this isn’t a barometer for the economy, but it was encouraging none-the-less.

It’s a lot to see and do with all of the shows happening at the same time: POOLTradeshow, PROJECT, MAGIC, S. L. A. T. E., WWDMAGIC, STREET and more, it’s hard to keep track of everything and impossible to see everything unless you have a pair of rollerblades with you. I was excited to be a part of the SOURCING at MAGIC marketplace and seminars. FBI presented a number of seminars and panels on a variety of topics. Frances Harder and the FBI team presented seminars on “No Risk = No Sales: How to Plan, Merchandise and Brand your Product in a Global Market,” “Turning a Bad Economy Into a Profitable Business Opportunity” and “Retailing for Profit in a New Economy.” I’m not sure how Frances had any vocal chords left after four seminars, but she was still raring to go at the FBI cocktail event Wednesday night at the Hard Rock.

It’s exciting to be a part of these seminars. We met a lot of interesting people with great stories to tell and great products to bring to market. We even signed up a number of new members, excited to take advantage of a discounted FBI membership rate for the MAGIC seminars. I know how excited and eager people are when they have a great idea or design to develop and sell. The challenge becomes how to bring that product to market. MAGIC and all of the related tradeshows are a shining example of people and companies who were able to successfully launch their ideas and sell them to targeted consumers. FBI seminars, classes, consulting and training are all designed to support fashion businesses from inception to profitable multi-million dollar brands. I speak from personal experience when I say that it’s thrilling to see our members “fly the nest” and become the next great brand. It’s not without a lot of hard work and long hours, but by taking advantage of the FBI membership, our members benefit from our expertise, knowledge and know-how to help them navigate the pitfalls of this industry.

I’m looking forward to MAGIC in August, 2010. I hope to see more FBI members showing their lines and doing great business. I know if they take advantage of their memberships, they’ll be well on their way.

Jill Mazur is an independent apparel business and technology consultant working with Fashion Business, Incorporated. Email: jill@fashionbizinc.org

Speed to Market – Fast Turn – Rapid Response

 

What do these terms mean to the apparel industry in 2009? Good news and bad news!

 

New times = New methods of doing business = Rapid response to the demands of the retailer and consumer.

 

But, can the average apparel manufacturer respond rapidly? Well, for the small company who, due to their smaller orders are for the most part producing domestically it is good news. They can turn on a dime and produce faster than the larger companies who need a much longer lead time to produce their goods, usually in far off places. Smaller companies with small orders ship them to the retailer, then if the orders sell through they get reorders. This is the very best of new business news for new and smaller manufacturers. It is also good news for the retailer as they can plan for the demands of their customers, the weather, and the economy etc. This new type of selling and buying results in the manufacturer having a much better cash flow, as they will not be seeking funding for larger orders when selling through the traditional five seasons each year.

 

This tradition of selling at the four or five markets each year usually requires groups within each line that demands cash outlay for the expenses for patternmaking and sampling. Now, the manufacturer is constantly designing, which they really always have and then showing new products, and shipping weekly or monthly new merchandise. So now the manufacturer can get paid more often. They do not need to invest heavily in the five big lines a year as they are now producing and shipping new items to replenish sell through products. The retailer will also have less of a cash flow problem with this type of merchandise planning. The customer will see new items when ever they shop. A win win in a new economy! Well, we hope so.

 

So, it has at last been officially noted by many international economist that the small business owners are really the backbone of our economy, not only in the US but globally. The big branded companies are not fairing well and many have had to cut back or worse, close their doors. Small businesses can adjust and respond as they don’t have large overheads. For the most part they contract out all their work, including sewing, cutting, bookkeeping etc. and cut back on other expenses to respond to demands, or lack of demands of the economy.

 

Some for the negative results of this new economy is that bigger retailers are demanding, from branded manufacturers that they discount or allow markdown money. Additionally, major discount store, e.g. Marshals, TJ Maxx, Ross are producing more private label. This has resulted in much cheaper prices for the average clothing labels that are now being sold. The price of clothing today is the lowest we have seen in years. Due to the recession sewing factories around the world have all been forced to lay off workers. The ports in China and other locations are full of containers with cancelled orders. These goods may get discounted and sold or they will have to be destroyed.

 

However, much merchandise is still being produced domestically, especially in southern California where they produce premium denim, active sportswear and contemporary clothing. But sadly both the off shore and the domestic sewing contractors reluctantly have been forced to take cuts in their pricing so that they can keep their workers working. This rational is in the hopes that the economy will turn around and then the demand for new clothing will pick up. The alternative is to lay workers off and then when the economy turns around they will then need to reinvest time and money in finding good workers and training them.

 

Another change in business methods are that some of the higher end retailers are asking the smaller manufactures to sell on consignment and this is not a good idea. It was bad enough that traditionally the manufacturer has taken all the risks with development and production costs then have to wait to get paid. Now they are expected to take ALL the risk and maybe then get paid!

 

Talk about getting screwed!  - Consignment selling will be one of my next blog topics.

 

 

But, now onto a very different topic. It is the season to be merry! And I need to take a deep breath and keep my mouth shut when I see all those ugly heavy knitted sweaters decorated with Christmas trees adorned with lights and holly. Or, equally as offensive fashion trend, those cheaply mass produced red jackets lovely dragged out annually of the closets. Where, in my very opinionated opinion they should really remain for posterity. J

HAPPY HOLIDAYS TO YOU AND YOUR LOVED ONES. I HAVE MUCH TO BE GRATEFUL FOR IN MY LIFE AND ALTHOUGH CLOTHING IS MY BUSINESS IT IS NOT MY LIFE.

FBI Needs Your Input

by jill on 9/16/2009

Fashion Business, Inc. is asking for your input to help us conduct a study of the apparel, footwear, textile and accessory industries. Specifically, how the recession has affected job opportunities within these industries over the past 12 months.

 

We’d like to know a few things about your business. This study is anonymous – any information you include about your business will be kept confidential and only used for data gathering purposes. We will be happy to provide you with the results of the study, should you so desire. Please indicate this on your response, along with your email address.

 

1: What is your sales volume today (in dollars)?

 

2: Over the past 12 months what percentage of your sales volume has increased or decreased?

 

3: In the past 12 months, have you had any layoffs or reductions in staff? If so, how many people or percentage of your work force.

 

4: In the past 12 months, have you hired staff for any existing positions?

 

5: In the past 12 months, have you hired staff for any newly created positions?

 

Thank you very much for your time today. Your help is greatly appreciated.

 

Jill Mazur

Independent Apparel and Business Consultant

Email: jill@fashionbizinc.org

There’s a great article in September’s edition of Vogue entitled “What Price Fashion” by Teri Agins. Sorry, no hyperlink available. In summary, the recession has caused some of today’s biggest designers to get even MORE creative in the way they develop styles and bring products to market. The article goes on to discuss how designer Philip Lim merchandises and designs his line simultaneously. He only produces enough product to fill his orders and even then, only about 50% of his line consists of new styles. “Of the 240 pieces he created for Fall 2009, he wound up manufacturing them all – a perfect batting average…” How many of us can say the same?

What is it about Philip Lim’s process that would allow such a fantastic feat to happen? Produce ALL the styles he designed and ONLY enough to fill his orders? Think about how little waste that is. No excess inventory? No excessive sampling? No excessive design or merchandising staff? He knows what we all need to remember, too many samples or iterations of samples and too much production eat away at the precious bottom line.

As I was reading this article, I kept thinking “I wonder if he’s using a PLM (Product Lifecycle Management) system, and if so – which one?” I’m sure that was the first thought that crossed you mind, as well. Why does PLM cross my mind while reading Vogue? Well, precisely for this reason – how do you improve the creative process? How do you streamline product development? How do you save money when developing design samples? How do you track or calendar the important events and due dates in the design, merchandising and sales process? How do you create the best possible presentation of styles or samples to your buyers with the least amount of stress? How do you know which vendor to partner with when developing new styles? Even more important, how do you track the actual cost of developing new styles and samples?

If you’re not using a PLM system, you may want to think long and hard about making this investment in your business. Let me say first, PLM is not for every company, especially small businesses or businesses with very few new styles per season. However, as your business and/or product line grows you need to incorporate tools to allow your company and capacity to grow as well. Using collaborative PLM tools to track costs, due dates, product development and more, in one place, helps keep your business on track. The benefits of PLM are innumerable: increased speed to market, decreased product development costs, collaborative planning and workflow tools, visibility to the design, patternmaking, sampling and merchandising process and more.

These days, consumers are willing to spend on luxury items if they are of true quality and value. Are manufacturers willing to spend on software if it is of true quality and value to their business? 

Jill Mazur is an independent apparel business and technology consultant working with Fashion Business, Incorporated. Email: jill@fashionbizinc.org

Tweeting with a Purpose

by ralinda on 7/15/2009

What’s the Worst Thing About Twitter?…Was the first question on the topic posed by the moderator at a social media panel I attended earlier this week.

People tweeting about things like…” I just ate a taco,” the moderator laughed as did the audience full of PR and Media professionals who all knew exactly what she was talking about. We were on a mission looking for ways to use wildly popular mediums like Twitter for marketing purposes.

We want to Build our brands and Sell more goods.  Yes…we were shameless..and we did not care about other peoples tacos!

There is in fact, tweeting for business and tweeting for pleasure. In business you want to direct your tweets so although they may be fun and cutesy…they still work towards some particular goals.  Goals like… Building your brand, Aligning your company with special causes or simply communicating to your customers …It all goes back to the “Why” you’re actually taking the time to tweet..even if it is only 140 characters or less.

Besides Stella McCartney’s show above here are a few others that are using it well….

Designer Rachel Roy shares words of wisdom, style advice and forges a personal bond with her followers on her page.. http://twitter.com/rachel_roy

Designer Tory Burch gives her followers a sneak peek behind her stylish and fabulous life http://twitter.com/toryburch

Dior weaves together an intricate brand story on their twitter…filled with mystery, Parisian adventures and of course..handbags! http://twitter.com/Lady_Dior

Word Up!

by ralinda on 3/16/2009

Search Engine Optimization or your Google rankings strongly depend on the words you decide to use on your site.  For example if you are a retailer, you want to use the names of the products you sell in a text format as much as possible on your site.

Think about what your customers would search or “Google,” for in order to find a site like yours.  Those words will be your key words…. So attach a blog, sprinkle your key words in your descriptions, add page titles and ask your web designer to add meta tags with your key words to help you increase your world wide web exposure.

And remember….key words embedded in an image don’t count. Just a precaution….Search Engines hate SPAM.  Use natural sentences so you don’t jeopardize potentially good rankings because the search engine thinks you’re trying to out-smart it.


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