Introduction

 

       The goal of this project is to increase the amount of products sold in Urban Outfitters’ Vintage lines[1]- original, remade, remnants, and one-of-a-kind pieces reworked from previously made clothing - by 5% of total overall sales by 2021 in an effort to decrease the overall waste produced by the company. There are four different lines within Urban Outfitters’ “Urban Renewal” line. The first is “Vintage,” which is sourced and sold without any modifications in the fit. The second line is “Re-Made;” these pieces are upcycled and then reimagined and customized by Urban’s designers. Third is the “Remnants” pieces, made from repurposed deadstock fabric which is fabric that they have sourced because there was an excess due to overestimation in need. This fabric is normally thrown away, but instead they are creating new pieces from it. The final line is “one-of-a-kind,” which are vintage pieces that Urban has acquired only one of each with a unique fit and design. 

 

       I decided to research this issue upon realizing the amount of waste that is produced as a result of the retail industry each year. On average, Americans throw away approximately 80 pounds each of clothing per year, amounting to 26 billion pounds in textiles wasted per year from Americans. Urban, however, can use their resources to recycle pre-owned goods rather than creating new waste. As the trend of vintage clothing returns within retail, this is the perfect opportunity for a retailer as established as Urban Outfitters to start a new trend: reducing waste. Since I am entering the retail industry upon graduation this year, this is something that is important to me and should be to others who have the power to make a change for the future. 

 

       During the process of increasing the Urban Renewal line, relationships with both customers as well as with the source of the textiles need to be strong. In order to be successful in selling the vintage line, Urban needs to understand what is important to their customers and present to them why it is important that they care about sustainable retail practices. This is where my key insight of forming purposeful relationships would be helpful within this project. According to Forbes Magazine, Many consumers believe companies’ corporate responsibilities to be an important part of why they choose a brand. (Forbes) As a result, many consumers are willing and able to choose brands that are sustainable, but they first have to be “won over;” they want to be associated with a brand for practices they are involved in. When addressing tough issues, it is important to do so in ways that are meaningful to consumers. This project also includes an aspect of giving back, as there will be opportunities for shoppers to donate their pre-owned merchandise in order to receive a percentage off of their purchases. This formulates a relationship with business to buyer and makes the customer feel as though they are a part of the change that is being made within Urban’s company. 

 

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       As the future of retail continues to change, my key insight of adaptapting to situations is important. Companies are having to change the way they are sourcing products in light of the more recent awareness of the vast amounts of waste that is produced. As stated in the report, “Customers are becoming increasingly more aware of issues within our environment as a direct result of consumerismwh.” (Neilson) Urban is working to change this and put a focus on creating solutions that are both feasible and likely to sell. Lack of product availability was one factor that greatly affected retailers in the past when they were looking to source their products. A project like Urban Renewal is a way to source cheap products but also do it in a way that is not creating more harm to our environment by overuse of fabrics. This adaptation was an unfamiliar area to the company at first but has turned into a thriving line.

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       With the heightened awareness around the retail industry’s waste, as well as the revival of vintage clothing, Urban seized its opportunity for a brilliant idea: Urban Renewal. This unconventional idea, something I promote the importance of in my third key insight, is prompting change that will hopefully have a ripple effect across the industry. The idea that all of the pieces they produce in these lines are one of a kind and unique to each person that buys them aligns well with my insight of unconventionality and is part of why this company’s idea stands out to me. According to the 2018 Nielson report on consumer expectations for sustainability, “in a recent global online survey, a whopping 81% of global respondents feel strongly that companies should help improve the environment. This passion for corporate responsibility is shared across gender lines and generations. Millennials, Gen Z and Gen X are the most supportive, but their older counterparts aren’t far behind”(Lien). The generations that Urban markets to are the ones who are in support of making a positive change toward their consumption habits. By increasing the number of sustainable products that exist within Urban’s brand, this project will make becoming eco-conscious easy for customers. 

 

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Excel Spreadsheet Outlining the time frame of this project

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Evaluation

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       If this plan is effective, Urban will see a 5% growth in total sales in their vintage lines in 2021This increase in the vintage lines should lead to a reduction of waste produced by the company as a whole. Since there are different departments that will be involved, the measurements of success will look slightly different but have the common goal of 5% sales growth. The marketing department will be focused on the reach of their campaign and how successful it was in bringing in customers. Their task is difficult because they need to focus on how to make consumers aware of the issue of product waste without being too aggressive and turning consumers away. The promotions will be done through omni-channel marketing strategies but will be primarily web-based to align with the theme of this campaign. The buying department will evaluate the sales reports from 2019 and determine how much of an increase in sales they had in their renewal lines. These numbers will also help to shift the styles for future years based on what sold. Warehouse and production departments will focus on how much of a profit they are making after subtracting their costs. They are also the ones who need to be cautious of how much waste they are generating when reinventing products and ensuring that the lines are as sustainable as they advertise. Logistics’ and supply chain’s goals are to be as efficient as possible, especially when the company is heavily pushing this line; they would not wan products to be unavailable when there is a large marketing campaign behind them.  

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Conclusion

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       One challenge for this project may be the cost of the merchandise. When comparing Urban’s sustainable clothing to similar styles from other companies, it is clear that they cost more than fast fashion brands that produce these styles at low costs. Urban needs to make clear to its consumers why this matters, and why promoting sustainable practices is important. “We can try to show via pictures and video how much damage we’ve caused to the environment, we can publish studies about the huge amount of plastic in our oceans, but no progress will be made without appealing to the emotional core of the matter.”(Neilson)The importance of attaching emotion to the products and stressing the importance that the company itself cares about the future of the retail industry will be what consumers notice. Introducing the idea that where you place your dollars represents shoppers’ values is key for Urban to win over consumers. Consumers want to make the change, but it is up to Urban to present them with a chance to do so through their Renewal line. Another issue may arise because of the sizing and condition. Someone who doesn’t understand what the line is may be quick to spread poor reviews if the clothing does not fit or is more worn than they expected. Urban needs to ensure that they are clearly representing that these pieces are unique and may fit differently than other products purchased from their store. Anything that makes the line look bad in consumers’ eyes will cause a loss of sales and is something that can easily be avoided if Urban is careful in how they market the line.

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       Urban has done a good job of attempting to be more sustainable within the retail world, while other companies are much further behind. Many of the larger fast fashion retailers like Zara and Forever 21 have a lot more work to do in this area because they are known for having a short turnaround time. The quicker they can get these fashion items out, the more clothing waste they are producing in the industry. I would recommend that companies like these start small when moving toward a more sustainable future for their brand. I have seen other companies like Adidas implement these types of projects in different ways as well. They have started a line that is a collaboration with a brand, Parley, which uses recycled materials that have been collected from the oceans. They began this line with shoes and are now working on clothing and other merchandise. I think the most important thing that needs to be stressed to consumers as of right now is that their dollars are supporting their values. With that being said, there is no better time than right now for companies to begin (un)making their mark within the retailing industry.

 

Citations:

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Lein, S. (2018, August 20). Why Sustainable Branding Matters. Retrieved from https://www.forbes.com/sites/theyec/2018/08/20/why-sustainable-branding-matters/#75f608725b6e.

 

Neilson. (2018, November 8). Unpacking the Sustainability Landscape. Retrieved from https://www.nielsen.com/us/en/insights/reports/2018/unpacking-the-sustainability-landscape.html

 

Epstein-Reeves, J (2012, February 12). Six Reasons Companies Should Embrace CSR. Retrieved from https://www.forbes.com/sites/csr/2012/02/21/six-reasons-companies-should-embrace-csr/