UAE is at the forefront of digital space and online shopping in the country. It is possible with faster internet speeds, strong smartphone penetration rates, and access to credit and debit card facilities. The UAE’s e-commerce industry currently generates $10 billion in annual revenue, placing it among the top digital shopping regions.
You’ll need imagination, drive, and some strong business knowledge to start a clothing business in Dubai. You, too, might be the proud owner of your own clothing business if you have the right mix of skills and talents.
E-commerce company setup in Dubai has been the most sought-after option for entrepreneurs in the UAE, with over 90% of the population having access to the internet. Furthermore, to diversify the UAE’s economy, the government has launched various e-trade licenses, paving the way for foreign investors to establish their own free zone company setup in Dubai.
Here is a step-by-step guide for you to start a clothing business in Dubai.
Understanding the Clothing Business Market in Dubai
What is your knowledge of the local clothing industry? And, even more significantly, do you have any knowledge of or familiarity with local trends? Learning practical ways to make your company succeed is one of the best ways to avoid another struggling clothing business.
The apparel market in the United Arab Emirates is worth $15 billion and rising. And it accounts for the majority of the retail sector in the Emirate. With a market share of 73 percent, apparel is the most common segment. Retailers’ value offerings boosted demand in this segment, particularly during shopping festivals and sales events.
Over the next decade, the outlook for UAE apparel sales is expected to increase. Consumer morale increases as economic conditions improve. Despite store-based retail’s dominance, online retail sales are steadily growing. Many well-known brands are also experimenting with multi-channel retailing, whether by third parties, their digital storefronts, or both.
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Determining Your Potential Audience for Business
Creating a clothing line without a target market in mind is akin to taking a road trip without knowing where you’re headed. It’s essential to have a specific persona in mind when assessing your target audience. A consumer persona will assist you in determining the demographics and psycho graphics of your target market.
What are the habits and personality traits of your ideal client? What are some ways you could place your brand to help your client interact with the lifestyle he or she is looking for through your products? You’ll know who you’re talking to and how to talk to them if you can answer these questions and have a clear understanding of your niche and target audience.
A good brand is inextricably linked to a thorough understanding of your target market. Try to know what your target audience does daily or on which social media networks they use the most. It will help you create marketing campaigns that will draw them to your clothing store.
Source your Clothing
One of the advantages of living in Dubai is the proximity to some of the world’s largest apparel manufacturing hubs. It helps to educate you about the fabrics used in garments while searching for a clothing supplier. This will help you make informed design and pricing decisions rather than rely solely on your supplier’s advice. The final quality of your product will determine whether you can sell it as a premium or a discount item.
You can also buy supplies in your neighborhood. Many wholesalers in Dubai buy in bulk from Asia and export to markets all over the world. If you are unfamiliar with local suppliers, you can attend one of the several supplier exhibitions held in Dubai each year.
Launching an Online and Retail Store
The COVID-19 outbreak has shown that having an online store is a must-have for most apparel companies. Although the pandemic may not last forever, online shopping may continue to grow in popularity over time. One of the most cost-effective ways to run your company is to sell online.
Furthermore, having an online presence can allow you to reach out to more people than you would if you only had a physical store.
Why restrict yourself to Dubai when you could sell all over the Gulf Cooperation Council (GCC) and even the world? You can even consider a free zone company setup in Dubai.
You can select from various shopping plazas, malls, kiosks, and stand-alone retail stores across the city for your retail store. You’ll also need a local license and a sponsor.
Although it is possible that opening a physical store would be more expensive than opening an online store, you might find that this model is more appropriate for your business. You must select carefully when recruiting workers for your clothing store since they will reflect your product. In the apparel industry, the personalities of your workers have a direct impact on the design and reputation of your brand.
Choose Proper Marketing Strategy to Grow your Clothing Business
Having a good social media presence for your company will help you present your goods and strengthen your relationship with your customers. Your customers will give you valuable feedback and spread the word about your new products to their friends and family.
In the apparel industry, customer service and word-of-mouth marketing are essential. If you don’t have outstanding customer service, word will get out fast, and your brand will suffer. Make it simple for your customers to complete tasks such as merchandise returns and hire skilled workers in Arabic and English.
Finally, any entrepreneur who starts and runs a clothing company needs to spend a lot of energy. When you concentrate on the essentials, consultants dealing with business setup in Dubai can assist you with logistical and regulatory tasks, including securing a business license and processing employee visas. They are professionals and can even help to open clothing stores around the UAE.