Ethical Sourcing Tips from AOW
Annie O. Waterman, founder of AOW Handmade, travels the world to bring new sourcing resources directly to designers, wholesalers, and retail chains and provides invaluable insight on industry trends, trade shows, and suppliers to buyers interested in ethical sourcing. Waterman outlines tips for how brands can approach ethical sourcing from building relationships with the right partners to understanding your social and environmental impact.
Fewer but Stronger Partners = Greater Impact: After 14+ years working in the artisan sector, focus and consistency are the two traits shared by nearly every successful artisan brand. Think about a vertical business model where you work with one vendor and go deep, versus working with too many and covering too many regions of the world. This model not only makes for greater social and economic impact, but also allows you to have a stronger relationship with the vendors, builds greater trust and maintains full transparency over the supply chain from start to finish. You can hire a designer to change the designs once or twice a year to keep products fresh and interesting. This gives more work to your artisan partner so you can grow together and ultimately create a stronger impact.
Work with their speciality: When selecting an artisan vendor to work with, think about the materials and techniques on which you want to focus. Also think about the quantities and complexities of the designs you want to develop. This will allow you to narrow in on the right partner for you. Technique is important when considering your partner because you want to work with what they are good at and feel comfortable producing. You need to be sensitive to what they are willing and able to develop as well as what allows their traditional techniques to shine.
Think about local materials: If you are a designer wanting to work with an artisan, strive to work with local materials and techniques as much as possible. Often the artists have to import zippers, interior linings for bags, and other small accents but ask what is available locally and be willing to get creative. Perhaps use buttons made of local shells instead of imported zippers, as an example. This enhances your product story, minimizes logistics, and makes what you create more sustainable and special in the long run. Also, when thinking about raw materials it’s important to ask a lot of questions but ideally you will want to see the process for yourself. Look at water usage, if they are using toxic chemicals in any part of the process, if the materials are GOT certified, what the working conditions are like, energy use, any certifications, etc.
Think social and environmental impact: Don’t be satisfied with a ‘Fair Trade’ label. Be curious about the social and environmental impact of the materials you’re using and the processes of production. For example, their cut and sew enterprise might be Fair Trade but what about the rest of the supply chain? Where are the dyes and natural materials coming from? Take time to ask these questions to see where the gaps are where you can make your products more sustainable and eco-friendly. For more ways to ensure you are as sustainable as possible, take a peek at https://www.newstandardinstitute.org/
Overcommunicate: The key to building a sustainable artisanal brand is to develop strong, honest relationships. Have regular conversations with your artisan partners, be open about challenges and ask them if there are any issues they are facing you should know about. This can lead to some surprising and positive improvements to your process.
Grow with your partner and start small: When you are starting your business and looking for a new partner you have a lot of ideas and potential designs in mind. My advice is to pare down your collection and start small. Begin with a sample, which you pay the artist for, and then start with small orders to ensure you are comfortable with the quality and communication style. Wait to see that things are working and that your goods are selling, then you can order more. Start small and grow with your partner over time. Be realistic with your numbers and production timelines. If developing a new collection with an artisan partner, I suggest thinking a year ahead.
Tell your stories to build brand trust: As the world is becoming more and more competitive, artisan brands must tell their stories more effectively. Ask your artisan partners to send you photos, videos, and truly explain their process. When you can travel, invest in a photographer, and capture the process from start to finish. If you want to compete as an ethical brand, it’s so important to tell these stories to prove the value and close connection you have worked to develop. This ensures client trust, builds an emotional connection, tells your clients you are sourcing in a fair and just way, and proves that you truly care about your suppliers. Yes, it’s important to have Fair Trade logos and certification but it’s just as important to be real with your consumers, and show them your relationships – through interviews, behind-the-scenes videos of where your materials are sourced, photographs of where the artists are working – all shared in your own unique way.
Be fair with your terms and stay committed: Have a conversation with your vendors and be open about the terms that truly work for you and them. That likely means at least 50 percent down at the time of the order. Otherwise it’s just too hard for the artist to front their production costs. Plan to grow together and invest in one another’s companies. If you place an order, it’s your responsibility to follow through. I hear far too many stories where artisan producers are not being paid for the orders that have already been placed, which is unfair and unacceptable.
Think ‘timeless essentials:’ With COVID-19, people are slowly realizing the value of products and thinking more and more about what they buy. It’s a good time to think about classic, timeless, essential pieces that one might need in their home. Rather than always having to invent new, new, new products, a good rule of thumb is to take 20 percent of what is not selling away, keep 60 percent as a mainstay line, and add just 20 percent new each season or year. It takes a lot of time to develop new collections, so the more classic and essential they are, the less you will have to keep developing or refreshing. Build off the solid foundation of products you are known for and that the artists are true experts at creating.
If you are a brand just starting out or looking to expand your vendor partnerships, be in touch for more information. Annie has over 14 years working in the artisan field. As the founder of AOW Handmade, she helps connect brands with ethical artisanal manufacturers. She also consults to mentor and grow artisan brands through one-on-one coaching services and creative strategy development.
For more info, please visit: www.aowhandmade.com