Why so many fashion brands are collaborating right now?
Image: Gucci
It is no surprise that fashion brands such as Gucci, Versace and Louis Vuitton want to collaborate with other brands. Fashion and retail have been a competitive industry for a long time, and collaborating allows them to tap into new markets and customers that they may not have access to on their own – and we’re seeing it more and more. For example, if you are a high-end fashion brand such as Louis Vuitton, you might not be able to reach a huge pool of the market that don’t buy designer without collaborating with another brand such as Nike who can help you do that. Collaborations with luxe brands, is increasing the value of high-street fashion brands.
The collaboration between fashion brands is not new, but it has been on the rise in recent years. There are many reasons why this is happening. The first reason is that consumers want a personalised experience when they shop, and it's hard for a brand to provide that by themselves. The second reason is that competition in the industry has increased and companies want to differentiate themselves from their competitors by collaborating with other brands to bring out a different style of product.
It is a way to broaden their customer base, increase their revenue and to grow their business. These can be done in many different ways - from advertising on their respective digital channels, using each other's products as props in advertising campaigns or simply by styling the models of one brand in clothes from another.
Image: Fendi/Versace
Brands that are ready to collaborate should be willing to share their strengths and weaknesses with each other, so they can complement each other’s weaknesses as opposed to competing against each other.
The nature of brand collaborations means that they are often short campaigns with an exclusive feel to solidify the aesthetic of brand hype.
A great example of this is Gucci’s collaboration with North Face, a clear signal that they’re trying to reach a younger generation. Part of their campaign success can be lent to using new and exciting digital platforms like TikTok – whose power over the Gen Z demographic is unwavering. This campaign alone saw 8.6 million views, reaching influencers and celebrities alike. Arriving at the end of the pandemic when luxury brand revenues has slowed down, the campaign was a clever move from both parties when they connected luxury with sustainable values thus creating a new influx of customer who value environmental stewardship from brands. This comes at a great win for Gucci in particular as statistics show that 89% of younger customers show preference for brand that stand to solve a problem in the community.
We’ve witnessed hoards of people outside stores such as Giambattista Valli in 2019, Balmain in 2015 and even reaching as far back as 2014 when Alexander Wang’s collaborative campaign caused chaos resulting in sell-outs.
These startling contrasts between high and low fashion brands create an extraordinary phenomenon that leaves both parties with a host of new customers.
The Gucci and The North Face campaign arrived towards the end of the pandemic when luxury brand revenues had slowed down. This Campaign was a clever move from Gucci who connected with a brand that has sustainable values and has customers who value environmental stewardship from brands (Reference, Verb Brands)
Image: Adidas
Today, 'out of the box pairings with the apparent sole purpose of garnering attention are common. We have our internet and social media culture to thank - brands are scrambling for relevance in a world of constant information-sharing. For example, no one saw a collection co-authored by Supreme and Tiffany & Co. - preserve of Park Avenue princesses - coming. Target audiences for something like this could almost be baffling. When the collection went live in November 2021, it sold out within seconds (Reference, Luxury London)
The novelty, fast fashion feeling that used to come from collaborative lines has changed drastically in the last 10-years. We’re no longer seeing mass-market collaborations designed for the sole purpose of profit – we’re witnessing high-low, street-luxe and hype-slow all come together side by side in a way we haven’t seen before (Reference, Vogue).
We personally love the idea of brand collaboration and the creativity that comes with it, from the brand patterns role reversing on the clothing and products to the logos merging together we think it’s a brilliant concept.
