CIT, CFA, Apparel-Industry Leaders Discuss Fashion’s Hollywood Opportunity

The fashion industry has an untapped opportunity—and it’s located practically right in the L.A. Fashion District’s backyard: Hollywood.

That was the topic of the recent “Apparel Industry Leaders” breakfast, hosted by CIT Trade Finance and the California Fashion Association.

At a similar event held last November, apparel-industry leaders discussed the opportunity to develop, brand and market Los Angeles fashion. This follow-up event, held March 22 at the Omni hotel in downtown Los Angeles, brought representatives from fashion and Hollywood together to discuss how the two industries could work together.

“The brand of L.A. is strong,” said Matt Karatz, Los Angeles deputy mayor. “To the outside world, when you think of L.A., you think Hollywood.”

Karatz was part of a panel that included Jane Siskin, president and chief executive officer of Jaya Inc., which produces Mary Kate and Ashley Olsen’s Elizabeth and James collection; John Frierson, an agent with Creative Artists Agency; Jeff Kapor, an attorney with Buchalter Nemer; and Skechers’ Steve Reiner. Mitch Cohen, Western regional manager of CITTrade Finance, moderated the panel.

“L.A. is the capital of apparel design and marketing,” Karatz said. “L.A. defines what’s in style. Marketing efforts should focus on that.”
A fashion brand can either hire a celebrity to endorse the brand, or, in the case of Elizabeth and James, a celebrity—or celebrities—can be behind the brand from the beginning.

“In the case of Elizabeth and James, Mary Kate and Ashley are very involved in that brand, from soup to nuts,” Siskin said. “[Product] is the most important thing. First and foremost, it’s product. With a celebrity brand, you don’t really know if the customer is reacting to the product or the marketing. Authenticity is very important to customers. The consumer can sense if the celebrity is really behind the product.”

Frierson agreed, adding that the L.A. fashion industry is at an advantage because of its proximity to Hollywood.

“The programs that succeed, it’s because there’s really engagement between talent and design,” he said. “There’s great celebrities and talent here [in Los Angeles]. They can spend time together, and I think that’s a great asset.”

Kapor discussed the broad range of terms in a typical endorsement deal.

“There are so many technicalities,” he said. “Are they going to wear the product? How many appearances? What happens after the relationship ends? Who keeps the website? You can go on and on.”

The burgeoning “made in America” movement and the popularity of California and Los Angeles are also opportunities, the panelists said. 

 “When you screen ‘Los Angeles’ on a T-shirt, it usually sells,” Siskin said. “If your product is designed here, ‘made in L.A.’ is a huge opportunity.”

Skechers incorporates its beach-side address in its marketing message, Reiner said.

“Skechers recognized that opportunity,” he said. “We use Manhattan Beach in a number of products because it represents the California lifestyle.”—Alison A. Nieder

Photos by Michael Rayner