1. THE WORLD OF FASHION MERCHANDISING
PowerPoint for
THE WORLD OF FASHION MERCHANDISING By
Vicki Shaffer-White
Publisher The Goodheart-Willcox Co., Inc. Tinley Park, Illinois

2. Part 1: Basic Fashion and Business Concepts
Chapter 4
Substance of the Fashion Industry

3. Objectives:
Describe the two ways of viewing the fashion industry’s channel of distribution
Define and recognize vertical integration
Explain commodity/fashion/seasonal goods
List other industries that deal with textile products
Identify trade associations and industry publications
Name the geographic areas for each segment of the industry

4. Textile/Apparel Pipeline The Soft Goods Chain
Natural and manufactured fiber production
Yarn production
Textile Segment
Fabric manufacturing, finishing
Apparel design
Apparel Segment
Apparel manufacturing
Apparel sales
Retail Segment
Retail quantity buying
Single-item selling to consumer

5. Textile Segment Fibers Yarns
Thin, hair-like strands that may be short or long; from natural or manufactured (chemical) sources
Yarns
Formed by twisting or spinning fibers together

6. Textile Segment (Cont.)
Fabric production
Woven
Knitted
Nonwoven
Unfinished fabric
Greige goods
Fabric finishing
Bleaching, dyeing, printing, etc.

7. Apparel Segment Produces finished garments . . . . Designed
Manufactured
Sold
Wholesalers or resellers

8. Retail Segment Selling of merchandise directly to consumer
Consumers are at the end of the soft goods chain
Consumers decide which fashions will succeed and which will fail

9. The Four-Groups Approach
Textiles
Primary Group (raw materials)
Leathers
Auxiliary Group (support to the fashion industry)
Furs
Garments
Secondary Group (manufacturing)
Accessories
Other fabrications
Stores
Retail Group (distribution)
Catalogs, TV
End Users Consumers

10. The Four-Groups Breakdown
The primary, secondary, and retail groups reflect the textile, apparel, and retail segments respectively
The auxiliary group supports the other three groups

11. Auxiliary Group supports by providing…
Market researchers
Forecasters
Color and trend information
Consulting
Education for consumers and the industry
Buying services
Trade associations and publications

12. Vertical Integration
The combining of two or more steps of the pipeline within one company, under one management
Examples:
Manufacturer opens an outlet store
Knitting mill creates the fiber and makes finished socks

13. Commodity, Fashion, and Seasonal Goods
Commodity = Staple Goods
Constant demand, hardly change style
Examples: Men’s white dress shirts, socks, basic underwear
Fashion = Current Style
Always changing, timing very important
Seasonal = “weather” clothing
Examples: Swimsuits, shorts, gloves, coats

14. Other Textile End-Use Industries
40%
Household: floor coverings, domestics (bed/bath), home furnishings
25% and growing
Industrial textiles: architecture, agriculture, filtration, geotextiles, military, medical, paper, transportation
35% and decreasing
Apparel fabrics

15. Match the Textile Category to the Textile Product
Floor coverings
Home furnishings
Domestics
Agriculture
Construction
Safety
Geotextiles
Home sewing industry
Firefighter overalls
Non-fabric floor tiles
Lamp shades
Notions
Roofs/domes
Hoses
Landfill coverings
Towels

16. Fashion Industry Associations and Publications
Objectives:
Better availability of production resources
Promote industry’s goods and services to public
Sponsor professional and social activities
Offer strategic market information and consulting
Lobby for the industry
Disseminate new industry information through trade shows, conventions, etc.
Provide technical assistance and trouble-shooting services
Provide networking opportunities

17. Major Trade Associations and Publications
American Fiber Manufacturers Association
American Yarn Spinners Association
American Textile Manufacturers Institute
American Association of Textile Chemists and Colorists
Council of Fashion Designers
American Apparel and Footwear Association
National Retail Federation
American Society of Interior Designers (ASID)
Home Sewing Association
Fiber World
Textile World
Modern Textiles
Apparel Merchandising

18. Geographic Locations of Industry Segments
1700s-1800s
Textile production located primarily in New England states
After 1800s
Mills steadily opened in Southeastern U.S.
Today
Large textile companies mainly in North Carolina, Georgia, and South Carolina; much offshore
Retailing is located everywhere; not centered in any one country
Some national retail companies are now international
Trade associations located near Washington, DC, or market centers

19. Do You Know . . . List the steps of the textile/apparel pipeline.
Name the basic differences between commodity, fashion, and seasonal products.