Should ethical brands be cheaper?
Affordability series 2/3
This week we’re continuing on with the affordability conversation. We’re looking at why ethical fashion is priced the way it is. If you're after practical tips and brand recs, then keep an eye for next week’s newsletter! This week is free to read; please support if you can.
We all deserve good-quality clothes. I know the word quality gets thrown around a lot these days. But what I mean is this:
We all deserve clothes that we feel good in. Clothing that keeps us comfortably cool in the summer and warm enough in the winter. That feels good against our skin. That fits well, and seams don’t feel stretched. Where we enjoy the way that it drapes against our body. Not overly loose or tight (unless that’s what you’re after). In colours and designs that we enjoy wearing.
Last week, I discussed how ethical fashion gets lumped into a binary, ‘elitist fashion’ for the rich or fast fashion for the rest of us.
Ethical fashion isn’t just what we buy but rather what actions we take to try and transform the industry as a collective.
But what makes a brand ethical? How do they price? How much money do they make?
And why are we so quick to interrogate self-proclaimed ethical brands (especially when it comes to price) rather than fast and majority fashion, or even luxury brands? We seem to demand less from brands that don’t have sustainability or ethical claims than the ones that are striving for change.
I wonder if there is a gendered aspect in there, not only because of garment work but because people see ethical and sustainable fashion as passion work. And similarly to other creative pursuits (like writing), people devalue it. Or maybe talking about ethics makes a brand less 'desirable’ because caring about people and the planet is also seen as feminine.
Over the years, I’ve seen brands change their marketing tactics. I’ve seen them remove claims of being ethical and push cheaper products. I’ve seen multiple vague claims. I’ve seen brands change from local manufacturing to overseas without telling their customers, their brand forever on curated sustainable lists without needing to reaffirm their ethics. And yet, I also know that a small or medium-sized brand is never going to have the same level of impact as the ones that are doing detrimental damage.
Asking for accountability from smaller brands doesn't feel like an important time investment while fast and majority fashion gets away with overt exploitation. Instead I try to focus on the brands that I want to support.
It’s easy to check out one or two ethical brands, be shocked at the price difference (especially if you’re used to fast fashion), and decide that all ethical fashion is priced the same. Even within ethical fashion, brands are not a monolith, and there can be significant differences.
There are different types of ethical brands. The term isn’t regulated. Some might be more ethical than others when it comes to workers’ rights and pay; some might be considered more sustainable when it comes to the impact of their materials or rate of production. Some are tiny one-person operations. Some outsource their production either locally or overseas. All of these factors (and more) impact the way a brand prices their garments.
WHAT LOWERS COST
Manufacturing where there are relatively lower wages—if a brand is located in the global North where minimum wages are higher, it is generally going to be cheaper to manufacture overseas. This doesn’t mean that a brand is automatically unethical.
There are many homegrown brands in the global South that pay their local workers fairly
Due diligence in choosing partnerships. Many ethical brands partner with one or a handful of overseas factories, ensuring regular audits and establishing an ongoing relationship.
Large-scale production and ready-made stock—brands with a smaller collection but make lots of the same design. Even if a brand does small-batch production, if they have a more traditional model of making the design in standard sizes without customisations, this will lower the cost.
Less natural materials (higher level of polyester, including recycled polyester)—this speaks for itself. But it really depends on what your priority is. For me, ethics comes before materials. If you don’t mind some polyester or recycled polyester, there are cheaper ethical options.
Excluding costs of hidden labour (like social media)—microbrands are probably most guilty of this. I’m not going to pretend to know what goes into designing and making each individual garment and how it’s priced, but I do know that many one-person businesses don’t have a budget for marketing. So they just leave it out of their pricing structure altogether.
Prioritising accessibility and/or struggling—I didn’t put this one on the slide because it’s complicated. There’s this assumption that ethical brands must be making more because of the cost of the final garments. But truthfully, many of them are struggling. Which means that often we’ll get big blowout sales, sudden closures, or one-person operations pricing their work much lower than it should be. It’s tough because for those of us who have less disposable income, it’s an opportunity to participate in ethical fashion. But for brands, I always worry it signals that they are struggling to survive.
WHAT RAISES COST
Manufacturing in higher-wage countries—this is especially true for those brands that are accredited, for example, Living Wage employers (UK), or Ethical Clothing Australia. There’s an assumption that labour violations don’t happen in the global North and as we know, that’s far from true. Like fast fashion retailer BooHoo being accused of underpaying their workers in Leicester. Another problem is when brands outsource their production to homeworkers. This is often informal labour. Although it might mean flexibility for garment makers, these workers could also easily be taken advantage of without basic or standard pay.
Small-batch or made-to-order model, including customisations—this can add time to each order, and brands might need to make custom patterns.
Sustainable materials, including custom textiles and premium fabrics—some brands have their textiles specially printed. Or they source from well-known designer fabric brands like Liberty. Or they will use a higher percentage of more luxury textiles like silk or wool.
Perceived value and brand optics—the idea of ‘accessible’ luxury can end up feeling like a misnomer. People find it difficult to shift their thinking between the binary between either high fashion or fast fashion. And some brands lean into the luxury or exclusionary aspects to find their most viable audience, and that could mean marking up the price.
Transparency further down the supply chain—I focus on end-stage or Tier 1 suppliers, meaning production. But similar to the above with sustainable materials, if a brand is more conscious about who is producing their materials, who is growing, and who is weaving, this will also add to the cost.
Pattern and fit refinement—when it comes to fast fashion, there is no pattern or fit refinement. With some sustainable/ethical brands, they’ll look to fit models or customer feedback to refine their designs. Adjusting their designs each release adds to the cost.
AN IMPOSSIBLE BIND—LUXURY, AFFORDABLE, DESIRABLE, OR HONEST ABOUT FINANCIAL STRUGGLES?
Do brands try to paint themselves as luxury so they can find an audience with a higher level of disposable income?
Do they mimic fast fashion, focusing on hauls, trends, and affordability? Do they minimise discussion of sustainability or ethics because it might put consumers ‘off’?
Do they talk about their financial struggles and be transparent about their situation? How does this impact consumers’ willingness to buy?
I know there's been a lot of discussion recently about changing the way that ethical and sustainable brands market. Meaning to talk less about their environmental and social impact and instead focusing on trying to sway consumer decisions by switching the conversation to being trendy and using influencer marketing. There is a lot of diversity when it comes to ethical brands including their marketing strategies.
But do customers care about ethics? Why are Anthropologie or House of CB, both similarly priced compared to ethical brands, so popular? Price is not the only reason people are not supporting ethical brands.
I’ve been seeing marketing emails stray away from size inclusivity and centre thin bodies from brands that used to shout about their inclusivity. I’ve been seeing brands with aggressive multiple daily emails echoing things from fast fashion culture like encouraging hauls.
But if brands strive for perfection on every moral front including their marketing and it means that they cannot continue to operate, what does that mean for consumers?
How about financial transparency? Returning to the assumption that because the final garment is priced higher, ethical brands must be reaping profits is untrue. Loud Bodies generously shared their profits from 2022 on Instagram, which totalled to 40 euros.
Over the last couple of years, I’ve seen many ethical, sustainable, and/or slow fashion brands close down. Just as worrying is the sheer amount of brands that share that they are struggling. And I’m guessing there’s even more behind the scenes that choose not to share because they don’t want to put them burden on customers or they worry it might further lower demand.
Although I'm always disappointed, I'm rarely surprised if a brand suddenly closes anymore.
SHOULD ETHICAL BRANDS BE CHEAPER?
If a brand has to skimp on paying their workers fairly or jeopardising their sustainable business model, then of course not. What about changing their designs to use less fabric? Maybe, but can it be done without interfering with the integrity or drape of the original design?
Here’s the thing: most of these brands are ethics-minded and try to price as affordably as possible. Many brands are struggling to stay afloat, let alone reduce their standard prices. However, there is already a lot of diversity in price, especially when we take into account the different types of ethical brands and, of course, sales.
Can brands appeal to a wider range of customers without compromising their ethics? Does it mean leaning into more fast-fashion-esque marketing methods? Or hiding their sustainability and ethics info?
As always, in gratitude,
Sushmita