You’re scrolling through Instagram and come across an ad for a handmade blazer made from recycled materials. You click on the profile and discover it belongs to a microbrand: it’s a one-of-a-kind piece, made directly by the designer with high-quality materials. You like it and buy it. What convinced you in the end? The authenticity of the piece.

But what does “microbrand” actually mean? This term refers to a small independent brand, often run directly by its founders or a small team, that focuses on niche or highly specialized production.

And why do Instagram and other social media act as a magnet for these types of brands? Social media provides an important visibility platform that, with the right development strategy, allows brands to get noticed and reach the most suitable target audience.

Specifically, Instagram allows creators to showcase their work in real-time, establishing direct and immediate contact with potential customers. This not only reduces the distance between the brand and consumers but also leads to greater transparency. Buyers can see behind-the-scenes of the production process, learn about the brand’s story, and interact directly with the founders, creating a loyal and engaged community.

In addition, there is a desire for ‘exclusivity’—a common trait with luxury products—stemming from the fact that many microbrands offer limited-edition collections, often available for pre-order. This model helps reduce waste, while transparency in communication, which also reveals the challenges of the production process, builds trust between the brand and its customers, fueling a digital word-of-mouth effect. Furthermore, many microbrands collaborate with local artists and artisans, focusing on sustainable production, favoring recycled materials and low-impact processes, and embracing concepts like upcycling.

But not everything that glitters is gold. This transparency has its critical side: unlike large brands, microbrands often face higher production costs to uphold their sustainability promises. And what happens if they become very successful and want to grow? The main challenge is, in fact, maintaining the authenticity and transparency that initially attracted those consumers on a larger scale. As microbrands grow, meeting all the demands can become complicated, and not all are able to maintain stable profit margins in a competitive market. For some, the risk is having to compromise on quality or transparency.

Additionally, the risk of poor economic sustainability could make these brands more vulnerable compared to industry giants, who have greater resources at their disposal.

Ultimately, microbrands are a valuable asset to the fashion industry: they create new opportunities for consumers, contribute to changing purchasing habits, and promote the rise of a more sustainable market. The question, however, remains: will these brands be able to maintain their authenticity and transparency even on a larger scale?

by Giorgia Dallasio
11th November, 2024