Fashion showrooms, simply put, are where business gets done in the fashion industry. They are a place for buyers from stores and sales agents who represent brands to gather, share new collections, and make deals. This is important, because while nice clothes are great, if a brand doesn’t have sales, they will go out of business.
SALES The showroom will sell your brand in large bulk order to wholesale accounts (stores) at a discount (usually about 55% of). And, those wholesale accounts will then sell your clothes to their customers.
MARKETING Showrooms can also help with PR, influencer marketing, social media, and other marketing promotions.
While DTC (direct-to-customer) orders make you more money, a solid wholesale plan is crucial to brand success.
The large orders that wholesalers place will increase the brand’s order size and help drive down prices, making the brand more profitable overall.
click on over to the beginner fashion startup guide...
1. Cross-platform sales. Meaning they actually help boost DTC orders, too!
2. Buyer education. Brands can work directly with stores to create custom designs based on the shop’s requirements.
3. Retailer education. Because, when sales agents know about the product, they can sell it better.
1. Ease the design process. By having close relationships with buyers, showrooms can help direct brands to what stores are looking for.
2. Collaboration and partnerships. Showrooms are extremely well-connected and great for networking in all aspects of a fashion business.
3. Shortcut to success. Showrooms share their years, sometimes decades, of experience and relationships with you.
1. Fast-paced and demanding. Require brands to stick to a strict fashion calendar.
2. Expensive. Upfront fees, seasonal/monthly fees, travel and tradeshow fees, and commissions quickly add up.
3. Competitive. The good ones are hard to get into.
1. Commissions. Quickly eat into your profit margins.
2. Contractual obligations. Be careful not to get locked in or agree to spend more money than you are comfortable with.
3. Limited control. The showroom controls how your brand is presented to the public.
I recommend all brands get their first few wholesale accounts on their own. Then when they have a few consistent orders coming in to start approaching showrooms.
This is because good showrooms almost never work with new brands. They want to see you have a little bit of success before they take a new brand on as a client.
If you want my recommendations for the best showrooms in the fashion business, you'll have to read the full article!
click on over to the beginner fashion startup guide...