What Independent Designers Need to Know to Thrive in 2025

The State of Fashion report by McKinsey & Company for 2025 paints a pretty clear picture of the challenges and opportunities ahead for small, independent and artisanal designers like you. 

With so much uncertainty I thought it’d be helpful to break down the key takeaways and how they might impact your work moving into 2025.

A Shift in Consumer Behaviour
First off, the market is still pretty tough. Consumers are still feeling the pinch and are more price-conscious than ever but this shift is NOT just about discount shopping—there’s more demand for value, which includes embracing things like resale, off-price, and, believe it or not, even dupes!!

As an independent designer, this could mean reconsidering your pricing strategy but much more importantly, and what I tell the designers in Fashion Entrepreneurs Academy, it’s about how you communicate the value of your work.

Regional Shifts

 Shoppers are feeling overwhelmed by choices. (I am always telling students in Fashion Entrepreneurs Academy and you might also have heard me say that too much choice prevents sales!!). 

…. So consumers are now looking for a more curated experience.   This is where things like personalised shopping or customisation could become important.   If you haven’t already, this is a great time to refine your online presence—whether that’s through platforms that highlight smaller or niche brands or even your own website with a more tailored shopping experience.

The 8 Key Industry Themes That Might Affect You In 2025
Here are the key themes that will shape the fashion landscape next year, and why they matter to you as an independent designer:

1. Asia’s New Growth Engines – China’s slowdown means markets like India and Japan could be more important.
2. Over-50s are a growing demographic, and they’re willing to spend—don’t overlook them!
3. Value for money – With economic pressures, consumers are looking for value, and resale/off-price are gaining traction.
4. Human Connection in Sales – Personalised, in-store experiences are making a comeback—empower your sales team!
5. On-line Marketplaces are Struggle – E-commerce platforms are struggling so it’s important to find the right platforms that has a clear identifiable position in the fashion landscape.
6. Sportswear Competition – Smaller disruptive brands are growing fast in sportswear.  This is likely to get more competitive so to survive brands need innovative products, the right ambassadors and platforms that can bring a unique brand story to life!
7. Reduce Inventory.  This is where Independent brands usually thrive:   Managing your stock smartly,  minimising waste and maximising efficiency.   Designers in my programme even have a framework to help them do this that can also at least double their profit margin.
8. Sustainability is not just a buzzword; it’s a necessity. This will become more important.

Opportunities for Independent Designers
For independent and artisanal designers, 2025 will be all about adaptability. You don’t have the massive overhead or rigid structures of larger brands, so you can quickly pivot to new opportunities—whether that’s refining your online experience, shifting focus to a more regional market, or tapping into the growing demand for sustainability and value.

The key takeaway? Adaptability and nimbleness will be your greatest assets.   By staying agile and being mindful of these industry shifts, you can carve out a space for yourself, even in these challenging times.

Hope this helps you think through the year ahead! 

As always, I’m happy to chat more about any of these points or how to apply them to your brand.

Best,
Jane