The luxury slowdown survival guide for emerging designers

The challenge for emerging brands is not just to survive the slowdown, but to somehow capitalise on the slim opportunities it presents, continues Morency. For him, the luxury slowdown signals a deeper shift in the industry, which could see emerging brands come out on top. Early signs suggest he could be right: in an exclusive survey of almost 1,000 Vogue and GQ readers, Vogue Business found that spending on independent and emerging brands might actually be increasing as the luxury slowdown hits — often more expensive — established brands. Thirty-one per cent of respondents said they have increased their spending on independent and emerging brands in the past year. This skews slightly higher for under 35s (36 per cent) versus over 35s (28 per cent).

“In this new era, we will see a generational shift in authority, moving from editors to consumers, traditional buyers at department stores to a diverse array of sales curators (including resale platforms, niche boutiques and brands themselves), and from large-scale, mass-market strategies to more personalised, value-driven approaches,” Morency explains. “Brands that embrace this shift and understand the power of true community, direct engagement and a more sustainable approach to business growth will be best positioned for success in the future.”

2. Balance creativity with commerciality

Wholesale buyers often ask designers to tweak their designs for commercial success, but emerging designers around the world say this is ramping up amid the slowdown. They have mixed feelings about how to handle it.

For the last year, New York-based designer Rui Zhou — who became the first Chinese designer to win the LVMH Prize when she took home the Karl Lagerfeld Prize in 2021 — has been receiving feedback from her showroom partners that wholesale buyers won’t even look at items priced over $500. In response, she has been sourcing more affordable fabrics and making her garments less technically complex to bring the price down. She is also adapting her signature cutout designs to give customers more bang for their buck. Previously, a customer would have to buy two or three different garments to achieve the layered effect in her campaign and presentation styling. Now, they can get the same look through just one garment. “The response has been really positive,” she says. “Some stores increased their orders this season and we got a few new stores, too, even though most stores are not looking for new brands right now.”