Redefining Denim’s Value Post-Pandemic
The pandemic has given consumers a chance to pause, reset and reconsider their shopping habits. As the retail world looks to return to normal, suppliers and brands are going to be courting a shopper who is even more mindful of environmental and social responsibility.
Carved in Blue gathered executives from European denim mills Candiani, Tejidos Royo and Isko, as well as a branding expert from Braind for a digital discussion on where denim is headed courtesy of COVID-19.
One of the top trends expected to emerge from the pandemic is consumers buying fewer but better clothes. “People are going to have less money in their pocket, and they’re going to spend less,” said Tejidos Royo’s Jose Royo. “But I don’t believe they’re going to spend less money. They’re going to spend less in quantity, so we have to do something better in quality, something that will last longer.”
Part of buying better is choosing sustainably made goods. A study from Textilwirtschaft found that 32 percent of consumers are open to paying a significantly higher price for eco-friendly denim. However, there is still skepticism among panelists about shoppers’ willingness to pay a steep premium for responsibly made goods.
Part of the issue in convincing consumers to choose greener apparel stems from confusion over sustainability claims. Along with education, clarifying eco credentials also comes down to transparency. Panelists agree that greenwashing is no longer going to work, and that companies need to show tangible proof of their efforts.
As consumers more closely examine what’s in their clothing, both mills and fiber makers are creating a more direct line to consumers with branding efforts.
“The experience and the storytelling is the new challenge, the biggest challenge,” said Alberto Candiani of Candiani. “Sustainable innovation has to become something cool and interesting to talk about. It can’t be just a bunch of boring stuff that only impresses the B2B people.”
Candiani has opened up a dialogue with shoppers by creating a store in Milan that sells its partners’ denim. Ingredient branding could also come in the form of tags or certificates. However, if mills or fiber makers go this route, they need to be careful since they are taking more responsibility for the end product quality.
Given how important sustainability is for denim producers, the mills on the panel continued to pour investment into sustainable research and development even many industries shut down temporarily as the pandemic escalated.
“Sustainability will become more and more a way of doing business for our companies, rather than just a marketing claim or a marketing leverage,” said Marco Lucietti from Isko. “If we want to build value, we have to think about building long-term value.”
Aside from sustainability, offering value to consumers also requires differentiation.
“Better will not only mean more sustainable. It will also mean more experience. When we see now shopping malls, in retail, a lot of shops, a lot of restaurants, a lot of places will go into bankruptcy, and some of them also because they are just not offering anything special,” said Tomas Vucurevic from Braind. “So I think the post corona time is not only the end of greenwashing, it’s also the end of mediocrity.”
Watch the full panel discussion below.