The Glossy Podcast: Week in Review – London Fashion Week Preview, Forever 21 Bankruptcy, EU Waste Legislation

Release Date: February 21, 2025

Introduction

In this week’s episode of The Glossy Podcast, host Danny Parisi delves into the latest happenings in the fashion and luxury industries. Covering a preview of London Fashion Week, the looming bankruptcy of Forever 21, and significant EU legislation on extended producer responsibility, the episode provides insightful discussions and expert opinions to keep industry professionals and enthusiasts informed.

London Fashion Week Preview

Overview and Schedule Changes

As London Fashion Week kicks off, Danny Parisi is joined by international reporter Zofia Zviglinska and Jamie Elden, Chief Revenue Officer at ListTrack, to discuss the latest trends and shifts in the event’s structure.

Jamie Elden highlights the altered format for this year:

“London Fashion Week is starting today, Thursday, and it's going on until Monday, early next week. So a very kind of short and packed schedule” (03:24).

This season, the traditional balance between catwalks and evening events has shifted significantly. Economic constraints have led designers to opt for more intimate and cost-effective presentations, such as dinners and smaller gatherings. Elden notes that the prominence of smaller events before the official start is a response to the current economic climate, allowing brands to connect more personally with their audience without the hefty costs associated with larger shows.

Notable Designers and Collections

Despite the changes, some of the major names remain steadfast in their traditional presentation styles. Elden mentions:

“We’ve got Simone Rocher, Erdem, Burberry. Those are typically the biggest ones that are showing and those are still catwalk shows” (03:24).

Emerging designers are also making their mark, with brands like Connor Ives and Masha Popova reinvigorating the scene with fresh perspectives. The introduction of newer formats, such as shopping events curated by Ida Peterson, underscores the evolving nature of the fashion week, emphasizing accessibility and direct consumer engagement.

Economic Impacts on Fashion Shows

The episode explores how economic factors are influencing the scale and execution of fashion shows. Elden explains:

“With the growth of bigger brands on the London Fashion Week schedule, they can afford to put on a show that's going to cost them a million pounds... whereas for a lot of these designers who are more independent, £30,000 is basically like $40,000” (08:14).

This financial strain is leading to more strategic budgeting, with designers prioritizing cost-effective methods to showcase their collections without compromising on creativity or quality. The shift towards smaller, more manageable events is seen as a necessary adaptation in uncertain economic times.

Forever 21 Nearing Bankruptcy

Current Financial Struggles

Forever 21, a staple in the fast-fashion industry, is reportedly on the brink of its second bankruptcy in six years. As Danny Parisi discusses with Jamie Elden, the brand faces the closure of 200 out of its 350 stores, with plans to seek buyers for the remaining locations. If unsuccessful, liquidation of all stores looms as a potential outcome.

Elden provides context on Forever 21’s position within the market:

“Forever 21 has always been in a bit of an interesting position considering the rise of like mass fast fashion brands... that have been primarily online and coming in from China” (11:41).

The competitive landscape, dominated by online giants like Shein, has eroded Forever 21’s customer base, particularly among price-sensitive consumers seeking trendy, affordable apparel. The licensing arrangement with Authentic Brands Group, where Forever 21 is operated by Catalyst Brands, introduces additional complexities. Parisi raises concerns about the sustainability of such partnerships:

“When you hand the reins of a brand over to somebody else, you kind of like you're handing over control... hoping that this company who has taken over is going to run it” (13:03).

Impact of Licensing on Brand Control

Elden critiques the licensing strategy, emphasizing the loss of creative and quality control:

“With licensing, I feel like it's a very sticky field in general... you lose that creative control, you lose the quality control” (14:55).

The discussion draws parallels with other brands like Jinko, which reclaimed control after a failed licensing experience. The stability of Authentic Brands Group’s extensive portfolio is contrasted with the precariousness of individual brand successes, highlighting the inherent risks in licensing agreements for maintaining brand integrity and operational success.

EU Waste Legislation: Extended Producer Responsibility (EPR)

Legislative Developments

A significant portion of the episode is dedicated to the impending EU legislation on Extended Producer Responsibility (EPR), which mandates that companies take responsibility for their products post-consumer use. Danny Parisi outlines the scope of the legislation:

“Brands would have to contribute financially to waste collection, recycling efforts, and would be required to do some tracking” (16:10).

Elden elaborates on the specifics and implications of the Waste Framework Directive:

“Brands will have to also align with certain requirements. They’ll have to make sure that they follow certain rules on that extended producer responsibility side of things” (17:30).

This legislation aims to mitigate the environmental impact of discarded textiles, addressing issues such as textile waste accumulation in regions like the Atacama Desert. The requirement for brands to engage in responsible waste management practices is seen as a step toward a more sustainable and circular fashion industry.

Global Influence and Comparison with the US

The conversation extends to comparable efforts in the United States, highlighting California’s Responsible Textile Recovery Act and ongoing discussions in other states like New York and Massachusetts. Parisi raises concerns about potential federal interference:

“Having a president who takes a very heavy-handed approach to state-level matters... we might see something similar if a big state like California or New York implements some sort of like waste responsibility legislation” (20:24).

Elden reflects on the EU’s proactive stance compared to the fragmented efforts in the US, attributing it to Europe’s historical and cultural emphasis on craftsmanship and sustainability:

“Europe in general is a very small landmass. So any waste is probably far more noticeable than it would be somewhere like the US” (20:56).

The discussion underscores Europe’s leading role in environmental legislation within the fashion industry, juxtaposed with the slower, state-driven initiatives in the United States.

Conclusion

This episode of The Glossy Podcast offers a comprehensive analysis of current trends and challenges in the fashion industry. From the evolving dynamics of London Fashion Week and the financial struggles of Forever 21 to the groundbreaking EU legislation on extended producer responsibility, the insights provided by Danny Parisi, Zofia Zviglinska, and Jamie Elden serve as essential knowledge for industry stakeholders navigating a rapidly changing landscape.

Quotes with Timestamps:

• Jamie Elden: “London Fashion Week is starting today, Thursday, and it's going on until Monday, early next week. So a very kind of short and packed schedule.” 03:24

• Jamie Elden: “With the growth of bigger brands on the London Fashion Week schedule, they can afford to put on a show that's going to cost them a million pounds... whereas for a lot of these designers who are more independent, £30,000 is basically like $40,000.” 08:14

• Jamie Elden: “Forever 21 has always been in a bit of an interesting position considering the rise of like mass fast fashion brands... that have been primarily online and coming in from China.” 11:41

• Jamie Elden: “With licensing, I feel like it's a very sticky field in general... you lose that creative control, you lose the quality control.” 14:55

• Jamie Elden: “Brands will have to also align with certain requirements. They’ll have to make sure that they follow certain rules on that extended producer responsibility side of things.” 17:30

• Jamie Elden: “Europe in general is a very small landmass. So any waste is probably far more noticeable than it would be somewhere like the US.” 20:56

For more insights and detailed industry analysis, subscribe to The Glossy Podcast and stay updated with the latest episodes every Friday.