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Fashion Business Models

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Direct to Consumer (DTC)

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A model where brands sell directly to their consumers, often through online platforms, bypassing traditional retail intermediaries and allowing for better margins and customer relationship management.

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Made-to-Order

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Products are only manufactured after a customer has placed an order, reducing inventory risk and waste. This model supports customization and personalization.

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Haute Couture

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A model of creating exclusive custom-fitted clothing. It involves high-quality, expensive textiles and extreme attention to detail by seasoned artisans.

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Private Label

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Retailers create their own brand and products to sell exclusively in their stores. This model often provides higher margins than selling third-party brands.

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Fast Fashion

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A model characterized by rapid production of high volumes of clothing, which copies fashion trends and styles from high-end brands. Designed to be affordable and accessible, leading to a quick turnover in collections.

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Subscription Model

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Customers pay a recurring price at regular intervals to get products. In fashion, this allows users to periodically receive a curated selection of clothing or accessories.

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Mass Customization

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Combines the flexibility and personalization of custom-made products with the low unit costs of mass production. Often, customers can personalize certain aspects of the product.

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Luxury Brand

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This business model focuses on delivering high-quality, exclusive products often with heritage and brand prestige. They maintain high price points to ensure a sense of exclusivity.

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