At Fellow we’re aiming to give full transparency to all aspects of our production process and, hand in hand with that, our pricing. We appreciate this is a bold strategy, however believe it’s a fresh approach.
The traditional retail process usually has 3 parts; manufacturers, wholesalers and retailers, each having their own mark-up. We only sell our product online meaning that there is only us. Our aim is to keep our mark-up at approximately x1.8, leaving us with about £60 per shirt profit. This might feel like a lot of money for one shirt, however it’s important to aware that this is only our gross profit before any of our other overheads. It does not include any of the others costs of getting the product to market most significantly building and running this website, photography or any design costs. That’s before we even think about taking anything out for ourselves.
Fellow is a start up, so at the moment all of our money is going into our next run of shirts. As we grow, we hope to be able to reduce our costs, through economies of scale, and therefore also hope to be able to pass these savings onto our customers. Of course, in the spirit of our ethos, we’ll keep you in the loop.