What does the term "private label" refer to in fashion retail?

The term "private label" in fashion retail refers specifically to products that are owned by a retailer but sourced from another company. This means that the retailer has its own brand or label under which these products are sold, but the actual manufacturing or production is done by a different company. This business model allows retailers to offer exclusive products, often at lower prices compared to established brands, while still providing quality items.

Private label products can help retailers create a distinctive identity in the market and enhance customer loyalty, as consumers often associate these items with the retailer itself. Additionally, because the retailer has control over the brand and marketing of the private label, they can tailor their offerings to meet the specific preferences and needs of their target audience.

In contrast, products designed by independent designers would not be classified as private label, as these designers usually maintain ownership of their collections. Products exclusive to online platforms might also be branded differently, depending on their distribution strategy. Lastly, products that receive high brand recognition are typically associated with well-established brands rather than private labels, which often aim to build their own recognition over time.