To start a clothing business in Dubai, you need creativity, drive, and some solid business knowledge. With the right combination of talents and skill, you too may be the proud proprietor of your own clothing company.
Understand the Dubai Clothing Business Market
How well do you know the local clothing industry? And more importantly, do you have any experience or understanding of local trends? One of the best ways to avoid becoming just another clothing business that struggles to stay afloat is to learn practical ways to make your business succeed. An excellent way to do this is to master fashion merchandising through communities like Dubai Design District (d3) or work in a store similar to the one you’d like to open in any of the countless malls in the city.
UAE’s apparel market is valued at $15 billion and growing. And this accounts for the largest share of the Emirate’s retail sector. Apparel leads the category with a 73 percent market share. Demand within this segment was supported by value offerings by retailers, particularly during shopping festivals and sales events.
The outlook for UAE apparel sales is expected to improve over the next decade. As economic conditions become more favorable, and consumer confidence strengthens. Despite the dominance of store-based retail, online retail sales are witnessing steady growth. Also, many well-established brands explore multi-channel retailing, either through third parties, their digital storefronts, or both.
Menswear is expected to register a compounded annual growth rate of about 3.8 percent between 2020 and 2023. Womenswear is expected to see a compounded annual growth rate of 4.9 percent in sales over the same period, primarily driven by stable footfall and an increase in spending on fashion. This data is from the pre-COVID-19 era; therefore, there could be significant swings in these figures.
Determine Your Target Audience for Business
Creating a clothing company without a target audience in mind is like going on a road trip without having a destination. When determining your audience, it is vital to have a clear persona in mind. A customer persona will help identify your target market’s demographics and psychographics.
What are your ideal client’s habits and personality? How could you position your brand to help your client connect with the lifestyle he or she is seeking through your products? Answering these questions and having clarity about your niche and target audience will allow you to know who you are talking to and how to talk to them.
A strong brand is closely related to knowing your audience well. Being aware of what your target audience regularly does, or what social media networks they spend their time on the most can help a lot in creating marketing efforts that attract them to your clothing business.
Clothing Sourcing
One of the benefits of living in Dubai is that you are close to some of the biggest clothing manufacturing hubs in the world, places such as Bangladesh, Pakistan, India, and Ethiopia. When looking for a clothing supplier, it pays to educate yourself about the materials used in clothing. This would allow you to make informed choices about design and pricing without having to rely solely on your supplier’s recommendations. The end quality will significantly impact whether you can position your product as a premium or a discount item.
You also have the option to acquire supplies locally. Dubai is home to many wholesalers who buy in bulk from Asia and sell to markets across the world. If you are not familiar with local suppliers, you can attend any number of supplier exhibitions that are held every year in Dubai.
Launching an Online Shop and a Brick-and-Mortar Store
The COVID-19 epidemic has proved that having an online shop is a critical need for most clothing businesses. Selling online is one of the more cost-effective ways to run your business. Besides, having an online presence could help you reach more people you otherwise wouldn’t if you only had a physical store. Why limit yourself to Dubai when you could sell across the GCC or even the world?
You don’t have to start from scratch. There are several well-established eCommerce platforms to choose from, such as Shopify, WooCommerce, and Squarespace. Learn about each platform and figure out which one has the tools to help you grow and run your online business the best.
For your brick-and-mortar store, you have an option to choose from a vast number of shopping plazas, malls, kiosks, and stand-alone retail stores spread across the city. You will need a local license and sponsor; we can help you obtain these if you require either.
Although opening a brick-and-mortar shop may be more costly than setting up solely an online store. You may find that this model works better for your business. When hiring employees for your clothing store, you need to choose carefully as they will represent your product. In the clothing sector, the personalities of your employees directly affect your company’s style and image.
Market and Grow your Clothing Business
Having a strong social media presence for your brand not only will help you present your products but will create a stronger bond with your customers. Your clients can provide valuable insight as well as share your latest offerings with their friends and family.
Customer service and word-of-mouth marketing are incredibly crucial in the clothing sector. If you don’t provide excellent customer service word will spread pretty quickly, which can be damaging to your brand. Make it easy for your shoppers to do things like product returns and ensure that staff that is proficient in both Arabic and English. If you cater to tourists, you may want to have staff that speaks Chinese, Russian, and Hindi. For your website, consider adding features like chatbots to make managing requests easier.
Get the Help from Professionals
In last, starting and running a clothing business drains a lot of energy from any entrepreneur. While you focus on the fundamentals, we can help you sort out the administrative and bureaucratic functions such as obtaining your business license and processing your employee visas. We’ve set up dozens of clothing stores across the UAE and can provide you valuable insight through a free consultation.
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