Product development insights from industry leaders

During a recent panel hosted by Glossy, leading figures from Australia’s fashion industry shared their experiences and insights on product development. The conversation highlighted the importance of balancing creativity with commercial viability, a challenge that many brands face in today’s fast-paced market. Executives emphasised that successful product development starts with a deep understanding of the customer, including their evolving preferences, lifestyle needs, and values around sustainability and ethical production.

One key takeaway was the growing reliance on data-driven decision-making. Brands are increasingly using customer feedback, sales analytics, and trend forecasting tools to inform their design and production processes. However, several leaders cautioned against relying solely on data, stressing the continued importance of intuition and creative vision in bringing truly innovative products to market.

Another major theme was the shift towards more agile development cycles. Traditional seasonal collections are giving way to more flexible, responsive models that allow brands to react quickly to market changes. This approach not only reduces waste but also helps brands stay relevant in a highly competitive environment.

Panelists also discussed the role of collaboration in product development. Many brands are partnering with local artisans, sustainable material suppliers, and even technology companies to create products that stand out. These collaborations are seen as a way to inject fresh ideas into the development process while also supporting the broader Australian creative economy.

Key insights shared by the panel included:

• Prioritising customer-centric design — Understanding the target audience’s needs and values is crucial for creating products that resonate.
• Leveraging technology and data — Using analytics to guide decisions while maintaining a strong creative direction.
• Adopting agile production methods — Moving away from rigid seasonal schedules to more flexible, demand-driven models.
• Fostering strategic collaborations — Partnering with experts across different fields to enhance innovation and sustainability.

These insights reflect a broader trend in the Australian fashion industry towards more thoughtful, responsive, and sustainable product development practices, aimed at building stronger connections with consumers and ensuring long-term brand success.

Strategies for effective pricing in a competitive market

Setting the right price point has become increasingly complex for Australian fashion brands navigating a highly competitive and rapidly evolving market. During the panel discussion, executives shared that effective pricing strategies must balance profitability with perceived value, especially as consumers become more discerning and price-sensitive.

One approach highlighted was the importance of transparency. Brands that openly communicate the quality, craftsmanship, and ethical considerations behind their products are better positioned to justify premium pricing. Panelists noted that Australian consumers, particularly younger demographics, are willing to invest in brands that align with their values, provided the brand story is authentic and well-articulated.

Dynamic pricing models were also discussed as a way to stay competitive. Some brands are experimenting with limited-time offers, loyalty rewards, and personalised discounts based on customer behaviour. This flexibility allows brands to respond to market fluctuations without resorting to blanket discounting, which can erode brand value over time.

Another key point was the role of market research in setting prices. Executives stressed the need to continuously monitor competitor pricing, consumer spending habits, and broader economic indicators. In Australia, where regional differences can impact purchasing power, tailoring pricing strategies to specific markets — such as urban versus regional areas — was seen as a smart move.

Several panelists also spoke about the importance of building perceived value through brand positioning. Investing in high-quality materials, superior customer service, and distinctive branding can allow a brand to command higher prices. In a crowded market, differentiation is critical, and pricing should reflect the unique attributes that set a brand apart.

Key strategies discussed included:

• Emphasising transparency and storytelling — Clearly communicating the value behind the product to justify pricing.
• Implementing dynamic pricing tactics — Using flexible pricing models to adapt to consumer behaviour and market trends.
• Conducting ongoing market research — Staying informed about competitor actions and consumer expectations to fine-tune pricing strategies.
• Enhancing brand value — Investing in quality, service, and branding to support premium pricing and foster customer loyalty.

The discussion underscored that pricing is not just a financial decision but a strategic tool that can significantly influence brand perception and long-term success in the Australian fashion landscape.

Expanding into new product categories: challenges and opportunities

Expanding into new product categories presents both exciting opportunities and significant challenges for Australian fashion brands. During the panel discussion, executives shared that while diversification can drive growth and strengthen brand resilience, it requires careful planning and a deep understanding of both the brand’s identity and the new market segment.

One of the primary challenges discussed was maintaining brand coherence. Panelists emphasised that any new product offering must align with the brand’s core values and aesthetic to avoid confusing loyal customers. A misaligned expansion can dilute brand equity and alienate the existing customer base. Successful brands, they noted, are those that extend their product lines in ways that feel like a natural evolution rather than a sudden departure.

Market research was highlighted as a critical first step before entering a new category. Executives stressed the importance of understanding the competitive landscape, consumer needs, and potential gaps in the market. In Australia, where consumer preferences can vary widely between urban and regional areas, tailoring new product offerings to specific demographics was seen as a key strategy for success.

Another major consideration is operational capability. Expanding into a new category often requires new supply chain partners, manufacturing processes, and expertise. Several panelists shared experiences where underestimating the operational complexities led to costly delays and quality issues. Building strong relationships with specialised suppliers and investing in staff training were cited as essential steps to ensure a smooth transition.

Despite the challenges, the opportunities for growth are substantial. Diversifying into complementary categories — such as footwear, accessories, or homewares — can deepen customer engagement and increase average transaction values. Panelists also noted that Australian consumers are increasingly looking for brands that offer a lifestyle proposition rather than just individual products, making thoughtful category expansion a powerful way to build brand loyalty.

Key considerations for successful expansion included:

• Ensuring brand alignment — New products should reflect the brand’s identity and values to maintain customer trust.
• Conducting thorough market research — Understanding consumer needs and market gaps is critical before launching new categories.
• Strengthening operational capabilities — Investing in the right partners, processes, and skills to support new product lines.
• Focusing on lifestyle branding — Offering a cohesive range of products that fit into the customer’s broader lifestyle can enhance brand loyalty and drive growth.

The panel discussion made it clear that while expanding into new product categories is not without risk, with strategic planning and a customer-centric approach, it can be a powerful lever for long-term success in the dynamic Australian fashion market.

Strategies for effective pricing

Setting the right price point is a delicate balance between brand positioning, customer expectations and market realities. During the panel, executives emphasised that understanding your core customer is key — not just their spending habits, but their emotional connection to the brand. Pricing needs to reflect perceived value, not just production costs.

One strategy discussed was tiered pricing, offering a range of products at different price points to capture a broader audience without diluting brand prestige. For example, introducing limited-edition pieces at a premium while maintaining accessible staples can drive both exclusivity and volume.

Another approach gaining traction is value-based pricing. Rather than simply marking up costs, brands are increasingly pricing based on the unique value their products offer — whether that’s craftsmanship, sustainability credentials or local production, which resonates strongly with Australian consumers.

“Customers today are savvy — they’re willing to invest if they see authenticity and quality. Pricing needs to tell that story,” one executive noted.

Dynamic pricing models were also highlighted, particularly for online channels. By analysing real-time demand and customer behaviour, brands can adjust pricing to optimise sales without eroding brand equity. However, the panel cautioned that transparency is crucial; Australian shoppers value honesty and can quickly lose trust if they feel manipulated.

• Know your customer intimately — beyond demographics, understand their values and aspirations.
• Use tiered pricing to cater to different segments without compromising brand identity.
• Focus on value-based pricing that highlights what makes your product unique.
• Consider dynamic pricing carefully, ensuring it aligns with brand transparency and customer trust.

Approaches to expanding product categories

Expanding into new product categories is a powerful way for fashion brands to grow, but it demands a thoughtful, strategic approach. The panel agreed that authenticity is non-negotiable — any new category must feel like a natural extension of the brand’s DNA, not a forced attempt to chase trends.

One successful tactic discussed was starting with adjacent categories that complement existing offerings. For instance, a womenswear label might branch into accessories like handbags or footwear, leveraging its established aesthetic and customer loyalty. This approach allows brands to deepen their relationship with customers without overwhelming them with unfamiliar products.

Another key insight was the importance of timing and storytelling. Launching a new category should coincide with a clear narrative that connects emotionally with the audience. Australian consumers, in particular, respond well to brands that weave authenticity, lifestyle and purpose into their messaging.

“It’s not just about adding more products — it’s about expanding the world your customer wants to live in,” one executive explained.

Collaborations were also highlighted as a smart entry point into new categories. Partnering with established names in a different sector can lend credibility and generate excitement, while mitigating some of the risks associated with unfamiliar territory. For example, a fashion brand teaming up with a local artisan jeweller can create a capsule collection that feels both fresh and aligned with the brand’s ethos.

• Expand into adjacent categories that naturally complement your core offering.
• Craft a compelling story around the new category to maintain emotional resonance.
• Use collaborations strategically to test new markets and build credibility.
• Ensure every new product feels like an authentic extension of your brand identity.