The denim industry is undergoing a significant transformation, particularly for start-up brands that emerged in the 2010s. As these companies navigate a complex landscape marked by competitive pressures and shifting consumer preferences, they are making strategic moves to redefine their identities and expand their offerings.
One of the key challenges in the denim business is the market’s inherent unpredictability. Denim trends, influenced by changing consumer tastes, often oscillate between various styles, fits, and fabrics. This dynamic can translate into substantial risks for brands that do not adapt quickly. For example, the rise and subsequent decline of J Brand, known for its skinny jeans, highlights how brands that fail to evolve can become obsolete in just a few years.
However, recent brands have demonstrated remarkable adaptability. Companies like Frame, Re/Done, and AYR have successfully carved out niches by embracing a more fashion-forward approach, focusing on direct-to-consumer sales, and minimizing reliance on traditional retail channels. According to retail research firm Circana, while the overall denim market may be contracting, premium denim brands are thriving, proving that a discerning approach to fashion can yield growth even in challenging times.
The Shift in Consumer Preferences
Post-pandemic, the landscape of denim consumption has shifted considerably. As comfort-driven athleisure wear gained prominence, jeans have been repositioned as a fashionable choice for outings. Toni Collin, CEO of Blk Dnm, notes that denim is no longer merely a staple; rather, it represents a statement piece integral to a well-curated outfit. This shift has prompted brands to innovate their designs.
Take the Cool Jean from the New York-based brand Still Here. It features a unique design devoid of a traditional waistband, allowing for comfort and style simultaneously. Similarly, DL1961’s Lucila jeans gained viral attention due to Anne Hathaway’s endorsement, reinforcing the idea that standout pieces can drive brand visibility and sales.
This increase in variety has resulted in an abundant array of styles on the market today, shifting away from the once-dominant skinny jean silhouette. As Jane Herman from the newsletter Jane on Jeans explains, “There’s no single, pervasive trend.” The rise in consumer demand for diverse options presents both a challenge and an opportunity for denim brands.
Navigating Growth with Direct-to-Consumer Strategies
As these start-ups emerge from their initial phases, they are keen to capitalize on new growth opportunities while expanding beyond denim. The focus on direct-to-consumer (DTC) sales has allowed brands to maintain a closer relationship with their customers, improving responsiveness to market demand. As Maggie Winter, founder of AYR, states, relying solely on wholesale has become unwieldy. Operating under a DTC model has empowered brands to gain valuable insights from consumers, enabling faster iterations in product design and sizing.
For example, Still Here relies heavily on its two storefronts in Manhattan to drive sales, while maintaining selected wholesale partnerships. This hybrid model not only maintains brand integrity but also provides a safety net against wholesale market volatility.
Despite these advantages, wholesale remains a crucial aspect of the denim business. As Maurice Mosseri from Still Here explains, “You’re never going to have enough stores on your own to build a huge, international, successful denim business.” Therefore, brands are now challenged with finding the right balance between direct sales and wholesale distribution.
Expanding Brand Identities
To solidify their positions in an increasingly competitive market, brands are actively broadening their product lines beyond jeans. For instance, Agolde, a subsidiary of Citizens of Humanity, has successfully introduced jackets and tops in addition to its denim selection. Meanwhile, Still Here is venturing into basics by launching a new line of T-shirts available in multiple colors.
This expansion is not just about diversity in products; it also involves repositioning strategies. Frame, for instance, markets itself as a ready-to-wear brand while integrating celebrity-driven marketing campaigns to amplify its reach. Blk Dnm is undergoing a similar transformation, branding itself as “entry-level luxury” to attract a more discerning audience.
In an era where apparel is increasingly seen as part of a lifestyle rather than isolated categories for specific occasions, achieving consumer loyalty hinges on brands’ abilities to outfit consumers from head to toe. Kristen Classi-Zummo, an apparel analyst at Circana, emphasizes the importance of a cohesive brand narrative that resonates through an expanded product offering.
Conclusion
The denim brands of the 2010s are indeed maturing, learning from the past and adapting to the present. As they diversify their offerings, adjust their business models, and innovate in product design, these brands focus on maintaining a close connection with consumers while strategically positioning themselves in an unpredictable market. This evolution is crucial not only for their survival but also for their potential growth in the dynamic landscape of fashion.
