Young fashion brands Ringspun and Elvis Jesus will cut their wholesale prices for spring 12 and autumn 12 respectively, as part of moves by parent company Redinc to secure higher order volumes.
Redinc hopes the lower price points will make the brands’ margins more appealing to current stockists and also help it secure new accounts. For example, wholesale prices for T-shirts from both labels will be cut to between £8 and £10, from £10 to £12, while denim will drop to £16 to £20 from £24 to £32.
To achieve the price cuts, Redinc has closed its sourcing office in Hong Kong and partnered with a UK-based supplier, which has a greater contacts base and can negotiate better deals from its partner factories in countries including India and China.
Redinc managing director Glen Skeete said he hoped the drop in prices would lead to a rise in orders from multiples. “We’ll be talking to stockists and concentrating on key accounts. With these price points it is more about quantity,” he said.
Redinc streamlined its operations in June, closing offices in Manchester, Sheffield and London. It now occupies one office of almost 10,000 sq ft on Dale Street, Manchester, with a headcount of 24. It includes a design studio, a showroom and a photographic studio.
Skeete said: “Because we’re under one roof now we can dictate the pace. Designers can get involved with sales meetings and design can work closely with PR and marketing.”
All staff in Redinc’s offices outside Manchester were given the opportunity to relocate.