How will Brexit impact the Fashion Industry?
Update 08/01/2021 - If you're interested in finding out how the new Brexit regulations affect your retail business you can read more here
Retail, and the fashion industry in particular, has been hit hard by recent events. Brexit is the number one concern of fashion brands and buyers, both in the UK and Europe. Will new taxes or trade laws affect overheads? Will increased red tape make buying or selling overseas prohibitive? The UK officially left the EU on 31st January 2020, however as things stand Europe has agreed a one-year transition period in which the current trade rules still apply while the UK government works on securing new trade agreements, both with the EU and other countries worldwide. Until these deals come into effect, it will not be clear how Brexit will affect UK and EU companies, but it’s clear that 2020 is a vital time for businesses to consolidate their existing business relationships and forge new ones, both locally and worldwide.
Traditionally, the best way to create networking opportunities and source new brands or buyers was to attend fashion trade shows, held throughout the world. However, recent seasons have proved disappointing for brands who have invested in attending these shows, as buyer attendance has been decreasing steadily over the past few years. There may be a number of factors affecting these shows in the current climate, but the main ones seem to be a combination of cost-cutting, environmental awareness, and new technologies. Confidence in the economy is still low, and businesses are looking to cut costs wherever they can, and avoiding travel and accommodation costs is often first on the list. Plus, with many trying to reduce their carbon footprint, travelling to and from events (particularly internationally) is off-putting for some. Finally, a younger generation of buyers is more comfortable in forging relations online, so face-to-face meetings are no longer a priority. With the return on investment no longer guaranteed, many brands are beginning to wonder, what is the alternative?
We think we may have the solution. TradeGala is an online wholesale fashion marketplace, designed to make fashion buying and selling simple again. It’s the brainchild of Mina Melikova and Kuganeswaran Thangarajan, built to support the ever-changing wholesale market, and provide fashion suppliers the chance to meet new heights at a click of a button, especially through these more challenging times in retail.
Brands can upload their products and showcase their designs to thousands of buyers throughout the world, while buyers can source new suppliers from the comfort of their office or boutique. The site launched with over 24 brands across accessories, active wear, casual dress, evening wear and footwear, including Goddiva, City Goddess, Marc Angelo, KDK London, Gypsy Clothing, Conquista Fashion, Gold Lunar, Haus of Deck, Hugz Jeans, Lindy Bop, Looking Glam, Geniris Paris, Glitz Shoes and Versa Forma.
We work hard to support new businesses by offering dedicated customer service and account management, plus it's free to register for both buyers and brands, so it's easy to keep your costs low. We can't predict the future, or what Brexit may bring, but we're here to help you expand your audience and future-proof your business.
Written by: Amber Domenech Patey