May 30 DIVISA’s Full-Length Article Published on Forbes.com “How To Take Your Fashion Business Direct-To-Consumer And Succeed In The Digital Era” (05/30/2017)
In the past decade, “fast fashion” retailers have dominated the retail industry, giving birth to some of the most recognizable and profitable brands today like H&M, Zara and Forever 21. But now, the fast fashion industry is at a point where retailers are struggling to maintain growth: Many powerhouses are experiencing weaker sales, while smaller, U.S.-based brands, like those in the Los Angeles Fashion District, are being wiped out completely.
As this fast fashion business model crumbles, smaller B2B brands that have traditionally manufactured for the fast fashion retailers are looking into direct-to-consumer strategies to appeal to today’s market. The adaptation of this new business strategy is causing a seismic shift in how the fashion industry has been fundamentally operating. Brands are now forced to become more consumer-centric. The fashion industry can be volatile, and only a few brands implementing this business model are having any success with it.