Over the past few decades, the fashion industry has snowballed into a massive multimillion-dollar industry. Consumers are buying clothes more now than ever before and the industry is booming.
The success of the industry, however, also means that the competition is stiff. You will need to keep up with retail trends as well as fashion if you are going to stand out.
With the global competition that retailers in this industry are faced with, you need to focus on things that will make your Canadian brand or shop stand out.
Facts about the fashion industry
- In 2019, the revenue from the fashion sector totalled almost CA$8m.
- Revenue is predicted to continue growing at 3% until 2023.
The Canadian fashion industry, along with the tech sector, has experienced a boost over the past few years and this trend is set to continue. Conveniently, these two industries meet in the retail sector.
The growth in the industry is being driven by those retailers that are able to adapt to changes in the market and this includes technology.
Find your niche in the market
Focusing on a particular part of the market and knowing exactly who you are targeting is vital. The market is really broad with businesses that aim at both the cheap, fast fashion end of the market and the high end, luxury brands.
The way brands are marketed, though, can be broken down even further. There are businesses that sell accessories, formal wear, underwear, plus size clothing and sportswear. In each of these, there are different parts of the public that can be targeted according to age, gender, style and much more.
There are huge retailers that cater to a wide range of these categories but, if you have a small retail business, it can be to your benefit to focus on one or two. This will help you to pinpoint your marketing and get good at one thing rather than being adequate at many.
Trends in the retail industry
The demographic of shoppers has shifted drastically and the people that marketers are appealing to have become younger and younger. Alongside this, the use of technology within retail has come to be expected by shoppers.
You will need to be able to find ways to engage your customers with your brand. An easy way to do this is through social media or loyalty programmes.
Fashion retailers also need to consider their brand beyond just the products that they stock. Make
sure that you have a focused strategy that extends through your marketing, your branding, your displays and the experience that you offer customers when they shop. All of this should be coherent and planned.
The experience that you offer customers’ needs to move between online and offline easily. People are now able to buy off Instagram and, in the not so distant future, people will be able to take a picture of someone on the street, find out where it’s from and buy it.
This means that your customers also become your ambassadors. You need to focus on creating a loyal community among the people who shop with you. Find new ways to interact with them and reward them for their loyalty.
What matters to your customers?
Fashion and ethics have started to become entwined. Canadians are becoming more interested in the idea of spending their money somewhere with ideals that are aligned with their own.
Consider whether you offer sustainable fashion and where your clothing is made. If you have chosen a more ethically focused business, advertise this and make sure your customers know!
If this is a route you take, however, make sure it's authentic. Customers will be able to find out if you’re faking relatively easily.
Finding the right business to buy
When looking for the right business, you need to be aware of trends in the retail and fashion sectors so that you can find a business that will be able to adapt to these.
Is there an online component to the business, or, if not, is there potential to build one? What is the reputation of the brand and will it be easy to promote moving forward?
The more aware you are of what you need from a business, the better you can refine your search when it comes to finding the right business to buy.