This was certainly confirmed during Black Friday shopping this year as reported by Mashable.com. The good news was that online retailers saw an average purchase of $170.19, a 35% increase over last year. This report also indicated that online retailers had an average bounce rate 40% higher and browsing sessions 5% lower than last season. This suggests that buyers have a clear idea of what they’re looking for before they log on. The good news for LDB readers: Apparel and jewelry retailers were the big winners!

From our experience, we’re offering you a few ideas on how to stand out amidst tight spending this year:

Target your niche

Don’t just know you niche…but target it! Make sure you’re speaking directly to those who are most likely to purchase your brand. If your product and promotions are directed at this audience, in language that they understand, for a price that they are willing to pay, you’re in the game!  I would suggest paying close attention to online resources like Google Analytics to determine who is visiting your site, when, and for how long. For example,  I realized at one point that I was getting most of my inquiries from Georgia and Florida, so I started communicating more with retailers and consumers in that area. The result was more sales!

Fill a Need

Buyers are not shopping on impulse this year, so your products must fill a need for your niche market. For example, if you’re manufacturing stylish bags that are 100% recyclable and reusable, make sure you’re explaining to your niche market that they need to have these bags on hand in the back of their car for their frequent quick trips to the natural food store. They’re durable, reusable, eco-friendly and far more stylish than any other bag on the market. Your niche customer will care!

Be Real!

This is probably the most important point I’ll make in this post. The retail climate is quickly changing in the favor of retailers who are connecting with customers and revealing more of their personalities. Whether you’re making friends on twitter, telling your story on your blog, keeping customers updated on facebook or meeting face-to-face at event boutiques, the relationship that you build with your core niche will grow your business exponentially. If you aren’t already incorporating these strategies in your marketing plan, you MUST! (Click here for another recent post on this topic). But don’t expect results from relationship marketing quickly! All relationships take time, but as your audience gets to know the real you, they’ll feel a growing connection to your brand.

Make it easy

When a customer has done their research, shopped around for color, style, size and price…the last thing you need is to lose the sale from a broken link, an expired coupon code, mis-information or slow follow-up. So double check all of things regularly over the next month and pay attention to messages from potential customers. They are key to closing the sale!

What I continue to hear over and over again is that making the time for sites like Twitter, Facebook, fashion blogs and social networks is nearly impossible when orders need to be fulfilled and new collections have to be designed and manufactured. Keeping up with current customers is time consuming enough!

If this sounds like you, then you need to read this post! We’ll tell you why it’s important and how to incorporate it into your routine.

Our top 10 REASONS to learn SOCIAL MARKETING!

10 It can be done from your bedroom

9 There are no deadlines!

8  Make friends with prospective customers

7 You can join groups to network with other designers

6 Find photographers, models, publishers and manufacturers quickly

5 Promote sales and giveaways immediately to a targeted audience

4 It’s easy!

3 Find inspiration

2 Gain exposure to new fashion blogs

1 It’s FREE!!!!!

Truly, if you aren’t already utilizing this very powerful tool, you should. I challenge you this week to make the next step toward a viral campaign. If you’re brand new to social marketing, start a Facebook page. If you’re familiar with Facebook, move to Twitter.If you use both Facebook and Twitter, you may want to investigate a targeted social network like FashionIndie, Fashism or Clashe.com that would allow you to network specifically within your industry.

In general, Facebook is used to connect with current or potential customers who have already expressed an interest in your brand. Twitter is a tool to help you initially FIND those people! Both are valuable and incredibly effective if used correctly. Fashion Social Networks are sites specific to your industry that allow photographers, models, designers, bloggers and fashion editors a chance to meet, network and share information…all for FREE!

In this economy, you really shouldn’t pass this up! Did we convince you? For questions on how to get started, call us at 818-516-9810 for a FREE  consultation over the phone.

We’ll continue to bring you fashion news and tips you MUST know to make your business successful. Look for more next week!

If your business has been fortunate enough to do a 1/2 million dollars in sales each year, then you may want to consider another factor for financing your accounts receivables. However, if your line is relatively new and working with smaller accounts, then financing could be a little harder to find.

However, there may still be resources available to help you. Here are some tips:

1) Start Local! Check into an SBA chapter in your local community. These offices are 50% funded by the federal government and 50% funded by the local governments to help stimulate economic growth. The services that SBDA counselors provide are FREE to all entrepreneurs and are invaluable when forming a bank-ready business plan. Sometimes, you may even get lucky with a counselor who will walk with you into the bank when you’re ready for financing.

2) Find a Fashion Non-Profit! If you’re located in a major market, chances are there is at least one fashion non-profit in your area. Fashion Business Inc in Los Angeles and Chicago Fashion Foundation in Chicago are two examples these. Here new designers will have access to workshops with valuable financial information for fashion start-ups. They can offer advice and point you in the right direction for financing in your local area. They even offer scholarships to promising new designers who qualify.

3) Expose Yourself! Don’t be afraid to think outside the box. Consider unconventional methods of gaining financing. We all know how popular fashion competitions are right now. And they are only gaining momentum both on television and online such as the Fashion Showdown on UsTrendy.com. Don’t be afraid to expose your lookbooks to editors of these programs and websites. A little exposure could go a long way. The prize at the could be a free runway show, magazine/e-zine spread, or even cash!

Although, the recent CIT news looks dim for the fashion industry, not all signs point toward disaster. According to Ken Wengrod of FTC, sales the month of October ended stronger than expected for many retailers including Nordstrom (up 6.5%), Ross (up 9%), and Kohl’s (up 1.4%). Generally, we’re hearing that the trend is moving up and will finish up 2% from last year at the end of the holiday buying season, according to The Holiday Retail Sales Forecast by Anthony L. Liuzzo of Wilkes University. Recovery will be slow, but sure.

Since April, we have had the pleasure  of meeting over 100 incredibly talented designers.

Now we are approaching the holiday season, and to say thank you to our amazing designers and readers, we are organizing a holiday giveaway event to benefit everyone.

We are kicking off the holiday season in style with weekly giveaways that showcase your talent as a designer and get the word out about your business.

Our weekly giveaways will be launching soon. As a participating designer,your contest will be advertised on our homepage for a full week with a link to your contest. LDB will promote it everyday using twitter, facebook, and dozens of social networks…doing our best to connect with individuals interested in knowing the best names in indie fashion.

If you’re interested in being a part of this fabulous holiday opportunity, leave a comment below, or email me at andrea.pohlot@littledesignerbook.com.

Last week, we introduced you to Ken Wengrod the President of FTC, a fashion financing company in Los Angeles that works with contemporary brands such as William Rast/Justin Timberlake, 291 from Venice, Society For Rational Dress, Black Orchid, J. Lindeberg and Sally Hershberger (hair care products).

Our interview was full of such great info that we had to break it up into two posts. Last week Ken shared his thoughts on financing in today’s world of fashion design. (Click here for the full article). In addition to his experience in the start-up and management of large factoring companies, apparel companies and fabric converters, Ken also serves on the Board of Directors for People’s Liberation/William Rast as well as Chairman of the Board of Directors of Fashion Business Inc., a non-profit organization, which provides training and industry experience to up-and-coming designers in L.A.

Over the years, Ken has seen companies with great ideas that weren’t able to reach their potential for a variety of reasons. Just because you’ve got the goods, doesn’t mean you’ll be rich and famous. So based on his experience in the business, Ken has spelled out what he sees as the 6 tips to success in fashion design. Grab a pen and paper and write these down!

1. Be certain of your own strengths and weaknesses and find others to compliment your weaknesses.  But be careful. Just because you know that accounting might not be your strength, doesn’t mean you shouldn’t understand the basics. (See #5)
2. Understand the market and your niche. Remember, you may have a specialty product, but if you understand your specific buyer, you’ll maximize your sales potential.
3. Generate a simple but well thought-out business plan. Be conservative in terms of how much capital you’ll initially need to set up the company to weather the storm until you become profitable. Watch every dollar as if it is your last. This has never been more true than it is today.
4. Don’t ever be intimidated by professionals. Anything you don’t understand should be explained in simplified terms. If the so-called expert can’t explain it, then they either don’t understand it themselves or are hiding something from you.
5. As your company grows, know all aspects of the job duties inside and out before hiring more staff.
6. Always go with your gut and believe in yourself.

According to Ken, a company that pays close attention to these six tips, has a great chance of succeeding in today’s marketplace. So carve out a niche, get smart about your business and your designs will sell themselves.

Best of luck!

If you’re a designer in the Southeast, we have an amazing opportunity for you to show off your designs on the runway of Charleston Fashion Week®!

Click Here for the Initial Application. The committee will then choose 8 semi-finalists to showcase their designs on March 16, 2010 on the runway. From this group, three finalists will be chosen and given a design challenge to complete in three days. On Saturday night, the grand prize will be given to the best emerging designer as judged by The Fashion Panel.

The Winner Will Receive:

- $1,000 Cash Prize

- $15,000 web site created by F22 Designs

- FREE runway show at Charleston Fashion Week® 2011

- Booth at AmericasMart® Atlanta Apparel Market in August- the largest Apparel Market on the East Coast

- And more…

Good luck!

If the design-climate is changing…what does this mean for retailers?

Our favorite fashion financial guru, Ken Wengrod, sent me two recent articles describing what this might mean for luxury retailers. The first article, from the Economist, describes how exclusive no longer means expensive.  Sak’s Fifth Avenue, Bergdorf Goodman and other high-end department stores are no longer watching coveted brands fly off the shelves. Instead, luxury e-tailers are offering another platform for consumers to get these brands for less. I get these names in my inbox EVERY morning and I’m sure you do too. Websites like RueLaLa.com, Hautelook.com and Gilt.com offer luxury brands at special sale prices for a limited time. But make sure you have an invitation, because these sales are “exclusive”.

The second article, from the London Financial Times describes how some online forces including fashion blogs are convincing consumers to buy. Their influence is even beginning to move some from online companies to brick-and-mortar locations…the opposite of what we’re used to seeing in the luxury market.

I’m including this article because I know many of you are either designers or buyers of luxury brands. Information is power in this market. If your old strategies are no longer working to move product, you may need to consider an unconventional online alternative. If you have a success story you’re willing to share, please let us know. We’d like to know what you’ve tried that has worked! Social Networks, Twitter, Facebook and email blasts are just the beginning. The face of luxury fashion is changing. The real question will be…for how long?

Topics include:

- Virtual Sample Making

-Virtual Merchandising and Sales

- Virtual Fitting Rooms (WOW!)

Dates: Sept 30, Oct 1, Oct 2 (all shows are the same)

Time: 6:30pm

Location: 5527 E. Slauson Ave; Los Angeles, CA 90040

Details: Come prepared to hear all about it. Food and drinks will be served. Please register in advance, though. Space is limited.

Click here to register

When I first got started in the world of blogging and social networking I was incredibly overwhelmed. Do I use Blogger or Wordpress? To link or not to link? What is SEO and why should I care? What do all of these html buttons mean? And then I met Lucy Beer, a consultant to new bloggers who explained (in English) what the “blogosphere” was all about.

Lucy regularly teaches workshops called “Blogging for Your Business.” If you are in the L.A. area, this is a great opportunity to learn the basics of blogging, ask her questions, and learn how your business can benefit from being in touch with your customers regularly. She was a huge help to me and I know she would be a great resource for all of you, too.

What’s even better: She is offering LDB readers $10 off her regular $40 rate! Click here for more details about the workshop and make sure to tell her that I sent you (to ensure you get the discount).

You’ll be so glad you did! And when your blog is up, please let us know. I would love the opportunity to follow your business.

Best of luck!

I attended their last fashion show in June ‘09 for Ximena Valero (another LDB favorite) with 200 other attendees and it was a huge success.! Ximena’s show was even featured on the cover of Apparel News. This would be an excellent opportunity to show off your talent to the press and buyers during one of the biggest fashion weeks of the year!

For more information about the event and fees, email Jacquelyn@fashionbizinc.org or call (213) 892-1669.