Opinion / Jamie Waters
Slash and burn
Consumers have come to expect discounts. Whether it’s an end-of-season steal or the price of a holiday, when we find a bargain we chalk it up as a win. But it’s not always a win. The money that shoppers save is taken from the pockets of brands and shops – and independent retailers suffer the most.
Last month, as part of a fashion-industry rethink, many designers and retail CEOs joined forces to sign open letters that advocate important changes. These include shifting the timing of clothes deliveries to align with the real-world seasons and rethinking the number of fashion weeks. But the point that really catches the eye is to do with tackling discount culture.
To be clear, we’re talking about the mid- to long-term future: when retailers reopen in the coming weeks they’ll be desperate to shift products that have been sitting inside shuttered shops, so summer sales will be rife. But broadly speaking, discounts strip shops of profits and designers of nobility. Of key concern are in-season sales, such as Black Friday in November when retailers sell winter garb at slashed prices. In recent years some brands have refused to participate in Black Friday but others say they can’t afford not to because they need the custom and if shoppers can’t buy something at half price from them, they will simply turn to a competitor.
And herein lies a major obstacle: successfully changing discount culture requires co-operation from players across the retail spectrum. We have already seen remarkable teamwork from the fashion industry during the pandemic – and this is a cause worth fighting for. Either sales disappear or many independent brands and retailers will.