A little over a year ago, the CFDA announced it would be considering a different business and show model now called “see now, buy now”. Since then, many brands have adopted the business model. Some brands have succeeded with it and others have not. So, how is the business model doing today?
In December 2015, the CFDA announced it would be considering a different business and show model for New York Fashion Week called “see now, buy now” while studying fashion week’s current business model with Boston Consulting Group. “See now, buy now” means brands show in season collections that can be purchased immediately or shortly after the show Collections shown at fashion week are usually shown six months before release.
A couple of months later, Burberry announced it would adopt the see now, buy now business model and show both men’s and women’s collections together. That same day, Tom Ford announced he’d be doing in season shows, showing his Fall/Winter 16/17 collection in September instead of February.
Afterwards, many brands adopted the business model. Ralph Lauren has adopted the business model as well as Balmain while other brands like Louis Vuitton and Prada only used it for one show with certain products. Still, many brands seem to either be doing see now, buy now or in season shows.
Although quite a few we’ll known brands have adopted the business model, French fashion executives from Dior, Hermès, Chanel, and Saint Laurent have, however, voted against it. The governing federation for French fashion consideried the business model and decided that it doesn’t want it for shows in France.
A couple of weeks later, the CFDA released the see now, buy now study results. The report offered a formal look at the business model and offered few other business models for brands to choose from. The CFDA decided to let brands choose what works best for them where a “consulting statement” says, “ultimately, it is up to the brands to decide what works best for them, and the CFDA will support designers as they experiment and define what is right for their collections.”
So, who has adopted the see now buy now business model and how has it worked for them? Well, Burberry was the first brand to announced they’d adopt it and it seems the business model has worked well for them, according to an article on Fashionista.
Burberry’s first see now, buy now show in September of last year barely did anything for the brand as revenue declined by 4%. The brand, however, improved quite a bit with its next show. The brand reported a 19% increase in revenue £1.27 billion (about $1.57 billion) in the fourth quarter fiscal 2016 and the first quarter fiscal 2017. Sales increased by 3% in Q3 and by 2% in Q4. The brand sales didn’t increase in Q4 as much as analysts estimated it would, though.
Regardless, the brand’s new business model sold more products. The brand’s February show got “record online reach and engagement.” The amount of visitors at Maker’s House, which allows people to see the brand’s new collection, increased by 50% compared to its September collection.
So, see now, buy now seems to have worked well for Burberry. It also seems to be working well for Tommy Hilfiger, who announced he’d adopt the business model in December. The brand seems to be a lot more popular these days. Ralph Lauren seems to be doing pretty well since adopting the business model as well.
Tom Ford, however, isn’t doing see now, buy now anymore. He says he will instead show his Spring/Summer 2018 collection in September at New York Fashion Week, explaining that “the store shipping schedule doesn’t align with the fashion show schedule.” A couple of other brands have decided not to use the business model anymore as well.
Regardless, it seems see now, buy now works well for some brands and doesn’t for others. The business model hasn’t been adopted by every brand and the CFDA has decided to let brands choose what works best for them. Also, most brand’s haven The said how well it has worked for them. The see now, buy now business model is still doing well. As for if it will keep doing well, we’ll have to wait and see.
So, what d you think? Will “see now, buy now” do well? Let me know in the comments below. Also, don’t forget to subscribe to get new posts sent directly to your inbox and follow me on Facebook, Instagram, and Snapchat.
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