Great Advice for New Fashion Designers

11:09 AM



I receive an email with daily updates from Fashionista.com and I came across a very informative article for anyone who is starting off as a designer. You can read the entire article here but I just wanted to share a portion of it that really stood out to me.

“It is always good to have the customer physically wearing the collection rather than just admiring it,” says retail consultant Roopal Patel. “Personal orders can help create buzz.”
It can also provide a source of income for designers who are looking for ways to fund their next collection. While retailers offer exposure to a new audience, personal orders offer a much larger profit margin. Think about it this way. Say it costs a designer $800 to manufacture a dress, from fabric to finish. The designer must then create a wholesale price so that she can make some sort of profit. (Good profit margins are around 60%, although many designers have margins of only 40%.) Say she marks it up to $1,280. The retailer will then mark it up again, typically 2.2 to 2.5 times. What cost $800 to make is now going to cost $3,200 at retail. If a designer sells that dress to a store and it is bought by a customer at full price, she is going to make $480. If she sells it directly to a client -- and doesn’t offer a discount -- she will make $2,400. Not bad. “It’s important to have a steady cash flow to help support the everyday business,” Patel says. “Especially in the beginning.”
This just makes sense! Other than your passion for designing, profit really is the ultimate goal. Hope this was helpful for someone. 

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