The Challenges of French Ready-to-Wear Brands
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French ready-to-wear brands are in turmoil. Some have already closed their doors, while others are waiting for a buyer or are in judicial liquidation.
More than 4,000 textile employees have reportedly lost their jobs in France over the past twelve months, and if the situation does not improve, other iconic brands in the French landscape will face 2024/2025 with uncertainty. Worse, “the clothing sector is declining, dropping from 28.7 to 26 billion euros, according to IFM.”
How can we explain this difficult situation affecting the French textile world? Will the iconic brands be able to survive?
Which brands are affected?
Hold on tight, as the list is unfortunately very long. Let’s start with those that have already closed their doors: San Marina, Camaïeu -purchased by the Célio group- Pimkie, Cop.copine, and André.
Kookaï, Go Sport, and Gap are currently undergoing judicial recovery. The latest to join the list is the company Naf-Naf, which is seeking a buyer.
These brands, which sank in 2022, were already suffering from competition, but inflation, which forced the French to cut back on non-essential purchases, and the COVID crisis, which had a huge impact on stores, accelerated their downfall.
French ready-to-wear brands that have adapted
Kiabi. Why? Because its positioning is clear. Okay, it’s far from luxury, but Kiabi’s mission is precisely to dress the whole family fashionably and affordably. It’s straightforward, and it works. Their positioning is also evident on their Instagram account, which features families and radiates positivity.
Some brands that position themselves as affordable high-end, such as Rouje, Balzac, or AMI, offer quality clothing with a certain transparency regarding production, favoring European or French manufacturing, while also mastering communication on social media.
French ready-to-wear brands at risk of closing in 2024
If 2022 and 2023 have been dark years for French ready-to-wear brands, 2024 is shaping up to be just as challenging. Brands like IKKS, Princesse Tam Tam, Comptoir des Cotonniers, Jennyfer, and even the iconic brand Les Galeries Lafayette are in the hot seat. Yes, that’s a lot!
To bounce back, some are offering discounts of -30% or -50%, hoping to attract new customers. Let’s hope this strategy brings hope.
The competition from fast fashion and second-hand
Fast fashion and second-hand may be at opposite ends, but they are precisely what exacerbate the difficulties faced by mid-range brands.
Ultra fast fashion brands like Shein, Cider, or Temu have clearly captured a significant market share (Let’s remember that Shein made a net profit of over 2 billion euros in 2023).
The second-hand market has soared, thanks in part to an ecological awareness and a desire to buy higher-quality clothing.
Apps like Vinted, Vestiaire Collective, Depop have become real economic players, and the French, especially the youth, love hunting for unique second-hand pieces.
Why are they going bankrupt?
There are, of course, several reasons that can explain this decline affecting French ready-to-wear brands.
Brands like Jennyfer, Camaïeu, and André, which enjoyed their heyday in the early 2000s, have failed to anticipate new consumer behaviors or the competitive landscape that has expanded in recent years.
The digital shift
Camaïeu, for example, has just made the shift to Instagram in 2023… a bit late compared to consumer expectations. Even though part of its clientele prefers shopping in stores.
Camaïeu, under the impetus of its acquisition by Célio, is doing everything it can to modernize and conquer a new target. Remember, the brand collaborated with influencer Léna Situation for its recruitment campaign.
While luxury in general is doing well, some brands like Sonia Rykiel or Lanvin are also facing difficulties, as they struggle to attract the new generation. The issue lies in a visual approach that lacks modernity, particularly on social media.
The lack of identity in French ready-to-wear brands
The lack of identity among these mid-range brands is one of the factors contributing to their decline.
French mid-range ready-to-wear brands are certainly part of our daily lives, but most pieces are manufactured in China or Bangladesh, thus lacking European quality and environmental transparency.
The competition from other brands
There was Zara (Spanish), H&M (Swedish), and now ultra fast fashion has arrived. Very low quality, but very affordable, Shein, Temu, and Cider have won over a young clientele that wants to shop regularly. Clearly, the quality of Shein and its counterparts is very poor; worse, it can be toxic! (According to Greenpeace Germany, seven of the 47 Shein textile products tested contain chemicals at levels above those permitted in Europe).
Other sites like Zalando, with clear communication, quickly established themselves a few years ago.
How can they recover?
Is it still time to save our French ready-to-wear brands? Perhaps, depending on the economic situation of the brands and many other factors that are constantly fluctuating.
Like Camaïeu, one solution could be to enlist the help of an influencer and simultaneously rework its visual identity and communication, develop the second-hand market by taking back old clothing, or even collaborate with another brand.
We hope that buyers will step forward and continue to support these brands that generate thousands of jobs in France.