First Day The Creative Process. Second Day The Business of Fashion. Third Day Marketing Fashion & You

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1 First Day The Creative Process Second Day The Business of Fashion Third Day Marketing Fashion & You

2 Apparel Production & Manufacturing Process & Job-order Costing The Apparel Distribution System Technology & the Apparel Industry

3 Difference between Haute Couture & Pret-a-Porter Haute Couture means High Fashion in French. Pret-a-Porter means Ready to Wear; or in England it is referred to as off-the-peg; or in Italy the term used is moda pronto.

4 Haute Couture The term couture literally means sewing. In general, couture apparel is produced as one of a kind, or smaller quantity and utilizes considerable hand-sewing techniques, and is sized to fit an individual s body measurement. The haute couture industry started in Paris during the 19 th century. Apparel was produced by dressmakers and tailors who custom fit each garment to the client. Garment style and fabric are selected for or by each client; the body measurement is taken, garment is completed after one or more fitting session.

5 Haute Couture So during the early 20 th century, Chambre Syndicale de la Couture Parisienne was formed to provide an organizational structure to offer protection for designers against their designs being copied. Today, there are fewer than 30 haute couture designers in Paris. Each designer s business us called a house Like, House of Dior, House of Channel, etc. The house also serves as the salon de couture or the showroom and also houses their own boutique store that sells the designer s licensed product such as perfume, scarf, jewelry, home fashion and others. At the same time, also houses the atelier de couture of the designer.

6 Haute Couture Twice a year Paris Haute Couture collection continue to be a huge events in the fashion world and covered in detail by fashion press. Fall fashion are typically shown in July and Spring Fashion are typically presented in January. Recent years have shown that despite the popularity of the haute couture houses in Paris, its influence in the fashion industry have wax and wane but their design are are more now considered to represent the laboratory of design creativity. Right now, all haute couture houses offer their pret-a-porter collection.

7 The RTW Industry If mass-production techniques are used in producing the apparel, and if garment is not custom-fit to the client, the line should be called RTW. RTW companies comes in all types and sizes and vary tremendously on its business structure. The major type of apparel suppliers can be group in the these categories:

8 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Conventional Manufacturer - performs all function of creating, marketing and distributing an apparel line on a continual basis. They make their product in their own plant or factory; but might also use outside companies (contractor) to make their products. These include companies that produces several products of nationally advertised merchandise. Ex. Levi s Strauss & Co; VF Corporation. Companies that specializes one or more product category. Such as Carter for children s wear.

9 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Jobber - traditional term for companies that buy fabrics and acquire styles from independent designers or by copying or designing lines themselves. Popular during the early 1900s because they can carry huge inventories of merchandise and could make prompt deliveries to retailers; and Seventh Avenue apparel companies in New York served as their intermediaries. As retailers started sending their own buyers to New York; and as resident buyers became popular the need for jobbers decline. Or the term has acquired a new meaning. Today, many apparel companies contract out manufacturing functions but are still referred to apparel manufacturers.

10 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Contractors - companies that specialize in sewing and finishing of goods. They are often used by fullfunction manufacturers that lack sufficient capacity in their own plants, by jobbers, by retailers for their private label merchandise. - The term item house is used to describe contractor that specializes in the production of one product like, knit top, baseball caps, etc.

11 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Contractors - when using contractors, the decision must also be made about which option to employ: CMT services the cut, make and trim services option; the apparel company provides the designs, fabrics, and trims and the contractor provides labor and supplies. Full-package services FP option; the contractor provides preproduction services, fabrics, trims, supplies, and labor.

12 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry What is Private Label Brand? - Some manufacturers and contractors produce goods for the sole use of a private retailer as a private label brand or what we also call retail/store/direct market brand merchandise. - Some retailers offer a combination of national brands and private label merchandise (e.g. Nordstrom, Macy s, JCPenney). While other retailer will only carry or offer their store brand merchandise (e.g. Gap, The Limited)

13 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry What is Licensor? - Companies that has develop a well-known designer name 9e.g. Calvin Klein, Donna Karan, Ralph Lauren, etc); brand name such as Guess? Hang Ten, etc. or characters such as Mickey Mouse, Star Wars, Barbie, etc, and sell the use of these names or characters to companies to put on merchandise.

14 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Classifying Apparel Organizations Gender/Age, Size Range, Product Category Many apparel companies specialized in one category because of variety of factors. - Types of machineries needed in production - Sizing standards - The number of seasonal lines are different for each category; therefore production cycle varies.

15 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Wholesale Price Zones: Designer most expensive of the wholesale price zones. It includes collection of name designers. Bridge traditionally fall between designer and better price zone. Better generally nationally known brand names. Moderate nationally known sportswear brand names. Budget or Mass found primarily at mass merchadisers and discount stores. Includes private label merchandise of discount stores.

16 ELEMENTS & PRINCIPLES of DESIGN The RTW Industry Socrative time

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28 The Textile Industry The Market Consultant/ Fashion Forecasting Segment of the industry The Manufacturing Industry The Fashion Communication component of the Fashion industry The Retail Industry

29 Business of Fashion Mass Customization - Involves consumer in the customization of fit, design or personalization of the production manufacturing environment. It is best categorize as design variation because this are products that are already designed; the customer is simply customizing the product. - The key point is that customer selects and pays for the product before it is produced. Sell one, make one concept.

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32 Business of Fashion Technology in Fashion Industry - Computer aided design (CAD) - Computer aided Manufacturing (CAM) - Product Lifecycle Management Software - Advanced ecommerce - Wearable technology

33 Business of Fashion Fashion Tech Trend

34 Business of Fashion Fashion Tech Trend

35 ELEMENTS & PRINCIPLES of DESIGN Costing Difference between Job-Order Costing and Process Costing Process Costing used in companies that produce many, many units of single products for long periods. Like mixing and bottling beverages at Coca-Cola; like making paper towels at Bounty; like making wieners at Oscar Mayer. The basic formula for costing is : Unit Product Cost = Total Manufacturing Cost Total Units Produced

36 Business of Fashion Costing Difference between Job-Order Costing and Process Costing Job-Order Costing used in situations where many different products are produced each period. Like in construction companies that have several kinds of projects; movie studios; repair shops, etc.

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38 Let s follow a specific job.. Job Cost Sheet Business of Fashion Costing - Compute for Direct Materials - Compute for Direct Labor Compute for Manufacturing Overhead Cost Project Cost

39 Business of Fashion Costing Manufacturing Overhead is an Indirect Cost. This means it is impossible or difficult to trace these costs to a particular product or job. Therefore, we assign an allocation base the measure used to assign overhead cost to products and services. The allocation base can be direct labor hours (DLH) or machine-hours (MH) To determine overhead rate: Predetermined OH rate = Estimated total manufacturing cost Estimated total amount of the allocation base

40 Business of Fashion Class Activity: Sewing Operations Breakdown

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