A case study on sustainable fashion
Is another world possible? This is a question that Veja’s founders has in mind and ultimately pushed them to launch this ecological brand, a brand known for its ethical effort and fair trade origin. A experiment for a sustainable fashion manufacturing that might be able to scale in many other ways.
Using naturally grown material like organic cotton, rubber and recycled plastic bottle, they reduced the pollution of supply chain, a true improvement they made possible comparing to other fast fashion appeal brand, such as H&M and Zara. The latter also involves in the sustainable movements such as recycling and reusing of the cloths. Yet never came so far as using total non-pollution, natural resources, which is a ecological revolution in terms of material - a both challenging and high cost step but a sustainable try in the manufacturing.
Veja made it possible partly because it is still a single product line business- shoe business and a smaller shoe retailer comparing to big manufactures like NIKE. It does not have the same complicated sourcing structure and so many verity of products to source, and is capable to do so using the material and labor in Brazil.
Yet once it scales it will have to balance huge issues in this supply chain. When that day came, technology might have to play a bigger role in the manufacturing- making more recyclable and reusable material from other resources, and improve man made process using robots might be some choices for Veja.
Veja brand was built because of this uniqueness in the sustainable idea, the fair trade origin and the manufacturing process. And also because of its simple yet cool appearance. Yet indeed many consumers are still not familiar with this ethical brand, partly because it only sells in the US and limited places, and moreover, because its product is not as branded and marketed as many other shoe brand such as Vans, Converse, etc. Its competitors have lower cost and higher brand exposure, and most importantly more fans than Veja. The majority of shoe buyers are not putting the ethical issues in a dominated issue in terms of choosing a sneaker, instead they consider more on the appearance and the comfort.
In this case, many more consumers have heard of TOMS and its one for one idea. It is indeed a more ‘appealing’ ethical idea for consumers to choose. When everyone knows that Toms donate shoes to poverty when you purchase one, wearing a Toms became a very simple and direct way to show others that the buyer cares about social fairness and ethical issues, it pushes and motives people to buy it because it is charity. (It is also comfortable and very different in terms of its unique design, another advantage in the product.) Even though Toms might not as environmentally friendly made as Veja, it is a sustainable ethical business model because its idea is more easily recognized for charity.
In my perspective, the key to sustain a sustainable business like Veja is not just finding the right place, resource (for smaller scale it is OK) but also involves how it is brand and marketed, ethical business should tell the story to activate more people to buy it, because in the end, ethical business is a movement instead of just a business.
Grace Junyi Li is a current student @UCLAx, passionate about growing small and entrepreneurial business in US and China, her passion also involves global marketing, business development and sustainability.