Thank God It’s Freitag

Yesterday evening, I was invited to an evening on the topic of the future of fashion and fabrics by UBS at the FREITAG Lab in Zurich.

With lovely Natascha Lander, UBS Chief Investment Office, Wealth Management

The evening started with a private guided tour of the FREITAG factory by Daniel Freitag himself, founder of the Freitag brand, followed by drinks and networking and then seated dinner whilst listening to a presentation of Christina Dean, founder of The R Collective and Redress and a UBS Global Visionary, who was addressing the problem of waste and pollution by the fashion industry. My avid readers might recognize her from the UBS Unique – Economy of Fashion forum in 2017.

The first messenger bag F13 TOP CAT is exhibited at the MoMA in New York.

Let me get started with the story of FREITAG which is a truly inspiring one. In 1993, graphic designers and brothers Markus and Daniel Freitag were looking for a functional, water-repellent and robust bag to hold their creative work. Inspired by the multicolored heavy traffic that rumbled through the Zurich transit intersection in front of their flat, they developed a messenger bag from used truck tarpaulins, discarded bicycle inner tubes and car seat belts. This is how the first FREITAG bags took shape in the living room of their shared apartment – each one recycled, each one unique. By the way, the first messenger bag F13 TOP CAT wrote fashion history and can be looked at at the MoMA in New York.

Each FREITAG bag is unique made from truck tarps.

With their innovation, the brothers inadvertently triggered a seismic event in the world of bag making. Its tremors have since made themselves felt in Zurich and the cities of Europe and spread all the way to Asia, making FREITAG the unofficial outfitter of all urban, bike-riding individualists. Today, FREITAG is one of the most hyped brands in Thailand and Japan. The products are available in 24 by the brand owned stores as well as at over 400 resellers around the world with an extensive choice of over 4000 unique products available in the online store. I was pretty impressed of the work that goes into the shoot of each product. Imagine that every single bag is unique and therefore needs to be photographed individually.

Each bag is shot separately for the online store.

FREITAG likes the tarps that they make bags from to have some popping color schemes, but it’s not always so easy to find them, especially since they want to use truck tarps that were on the road for quite a time.

Since the first F13 TOP CAT messenger bag, the collection has spawned a full range of over 80 different models for all your carrying needs: from smartphone and laptop sleeves via backpacks and on to handbags, shoppers and travel bags.

Creating new shapes and models is part of the design process.

FREITAG has been at home in the Nœrd industrial complex in Zurich-Oerlikon since 2011. This is where the truck tarps we collect are taken apart, washed and cut to size. The sewing has been outsourced to other Swiss companies.

A great sustainable concept: unscrewed buttons.

Newest project: a small clothing line.

In 2014, the bag-makers gave themselves a new raw material to play with: F-ABRIC. Developed in-house from the ground up, the rugged, completely compostable textiles are based on bast fibers that are produced using a minimum of resources within a 2500-kilometer radius of headquarters. F-ABRIC thus more than lives up to the FREITAG philosophy: «We think and act in cycles.»

The team works following a self-management strategy. Each team member shows the time that he or she works on a project with the help of LEGO stones on a board.

«I stepped back as CEO. I am an originator, apostel, incubator and more.»
Daniel Freitag

Daniel Freitag with me

FREITAG has not only committed to the circular, closed-loop economy but is also organized in circles: in 2016, the company, which still belongs to the Freitag brothers, abandoned the classical hierarchical structure and replaced it with Holacracy, a form of organization based on self-management.

We were served a yummy Züri Geschnetzeltes in form of mushroom protein instead of meat for the vegan surprise dinner at Noerd Kantine.

The guided tour by Daniel Freitag was very impressive and so was the vegan dinner in the Noerd Kantine, which is in the same building as the Freitag Lab. Personally speaking, FREITAG is a company that I would like to work in.

Christina Dean with me

Christina, who calls herself a «sustainable fashion advocate», started Redress following a phenomenal life-changing professional and personal experience. She used to be a dentist, then a journalist before moving to Hong Kong. After a bike trip through Southern China, she became increasingly interested in China’s environmental crisis. The more she investigated the sources, the more compelled she became by how the country’s fashion and textile industries were contributing to this drastic situation, which not only affects the planet but is also killing people.

Rescue. Reuse. Reimagine.

«Waste is not waste until it is wasted

This insight led to a huge professional change. First, she only wore for one year clothes that other people had thrown away. Parallel, she started the NGO Redress, followed later by The R Collective, that creates sustainable fashion using rescued textile waste sourced from the world’s leading luxury fashion brands and reputable mills and manufacturers. These materials are reused through upcycling, reimagining the destiny of textile waste with timeless designs. With these innovative techniques and sustainable designer collaborations, the team is catalysing the circular fashion revolution.

«Let’s be global fashion citizens, not consumers.» – Christina Dean

This said, I am wishing you a happy and inspiring long weekend!
Thank God it’s Friday, or as we Germans say Freitag…

LoL, Sandra

Photos in first college and of the first messenger bag: Courtesy of FREITAG
All other photos: © Sandra Bauknecht

UBS Unique – Economy of Fashion

During the vibrant atmosphere of London Fashion Week, I had the pleasure to participate in a very interesting new project combining the world of finance and fashion: UBS Unique – Economy of Fashion.

Just as the world around us is changing, the face of wealth is evolving. The global income of women will grow from USD 13 trillion to USD 18 trillion by 2021* – more than China and India’s combined GDP growth and since 2015, women have held 30%** of global private wealth.

As women are looking for a response to their needs, UBS Unique has been created. The aim? To catalyze a long-term change in the financial industry to better serve women and to enable them to make the most of their wealth.

My lovely host, Kathrin Genovese Head Vice Chairmen Office, Global Ultra High Net Worth

Therefore a lovely group of female ultra high net worth individuals from all over the world was invited by UBS to London for two inspiring days. The event had it all: shows, talks and insights on how fashion can change the world for the better.

As I thought you might be interested in what I have taken home from UBS Unique, here’s a quick roundup of insights from the event’s speakers.

«The future of fashion will see creativity re-emerge as a key driver to take us from our current crisis state and into a new model for fashion. If we don’t push creativity at every step of the fashion supply chain to find new ways to design, produce, sell, wear and dispose of clothes, then we face a bleak future for fashion.”»Christina Dean

From left to right: Christina Dean, my humble self, Giorgia Caovilla and Elisabeth von Thurn und Taxis.

The look of love – how will the fashion industry change?

Women should “fall in love with the fact that fashion is a force for good,” says Christina Dean, founder of Redressan organisation working to reduce waste in the fashion industry. Christina believes fashion’s ethical future is in the hands of young designers and consumers. Or as Elisabeth von Thurn und Taxis describes it vividly, “it’s down to designers to rebel. There’s a lot of pressure on designers to become commercial so it stops creativity. I am anyway bored of all the fashion shows. There are too many.”

Online shopping is definitely an opportunity as emerging designers cannot always afford a retail space. They have a different pricing model. But in terms of sustainability it can cause also problems as people end up buying multiple sizes knowing they’re going to return it.

Dress with Sense – the practical guide to a conscious closet by Redress

How can you play your part in making fashion more ethical?

As I am always promoting, you can easily play your part in making fashion more ethical by buying the things you love and wear them for longer. When shopping, think about the value, not the price. And consider ways you can make sure your investments match your ethics.

You can also donate your quality, branded items with high value to charity Redress for resale.

Designer Mary Katrantzou and me framed by UBS key speakers, James Gifford, Senior Impact Investing Strategist, Chief Investment Office, UBS Wealth Management, to the left and Helen Brand, Head of Equity Research, European Luxury Goods, UBS Investment Bank

A short industry outlook

The top 3 words executives used to describe the fashion industry in 2016*** were: «Uncertain, Changing, Challenging.» But despite the wider economic slowdown last year, fashion has been a key value-creating industry for the world economy. In 2017, a slight recovery is expected to a point where the industry may see some growth next year.

Let’s take China for example. Chinese growth hit a soft patch: a stock market dip and real estate concerns have decelerated chinese growth, and shifted attention to India, Turkey, and other high-growth markets. China’s fundamentals, including growth of the middle and upper classes, remain strong and the government’s new fiscal policies are expected to improve conditions in 2017, but uncertainty remains.

A woman shops in a Louis Vuitton store in Shanghai. © SCMP Photos

London-based Helen BrandHead of Equity Research, European Luxury Goods, UBS Investment Bank, trusts in the mid market and expects “growth going forward to come from the Chines middle class consumer and therefore more at the entry level price points, with more chances for the handbag category compared to watches as many brands still have to strengthen the CHF 2000-5000 offer.

 When you think about China, factors such as pollution, a deteriorating environment, inhumane work conditions in factories, mass production come immediately to your mind. China and sustainability, connecting the dots between economy and ecology seems to be a complex problem. Therefore a valid question was raised during one of the panel discussions: how can we as consumers/potential investors contribute to overcome these issues?

Tailor-made investments – how can you invest ethically in fashion?

What’s impact investing? Put simply, it’s investing in ways that help make the world a better place. And it can make a big difference to the fashion industry, “especially when dealing with problems in supply chains,” says James Gifford, Senior Impact Investing Strategist at UBS. It’s good news for investors, too.

Impact investing is one of the tools that we can use to improve terrible situations such as exposure to slavery and trafficking – lots of brands don’t have full transparency throughout their entire supply chain.  Shareholders can take part in helping brands address that. Most critical is the intent – the willingness to change for the good. This impact must be measured with defined performance indexes to make it tangible to all stakeholders of the corporation.

Many investors assume that impact investment is a form of charity. In reality, quiet the opposite is the case. Gifford delivers the facts: two thirds of impact investment funds deliver comparable results to more traditional funds. Generating a financial return is indispensable and sustainable in itself; generated profits are more likely to be re-invested in impact projects and new investors may follow.

How to invest

  • Invest in best in class – some great companies that are trying really hard to improve.
  • Underweight / overweight the good guys and the bad guys.
  • You can engage your fund managers and advisors on this topic as most of them might not have thought about these issues. So having that dialogue can have an impact already.
  • Shareholder engagement is where shareholders use their voice to encourage companies to improve their behaviour. This can be done through fund managers or family offices.
  • Shareholder engagement can be very effective and you don’t even have to own that many shares to have a voice.

Great show: Mary Katrantzou’s F/W 2017 presentation took place at Tate Modern.

During those two amazing days, we had also the chance to talk to two outstanding designers who both have build up their brand in a breakneck pace. Cherry on the cake was the possibility to experience the excitement of fashion week as guests of Mary Katrantzou and Erdem at their shows.

With Erdem in his Mayfair store for a private shopping event during the «Economy of Fashion».

I don’t believe in fast fashion – I get a kick out of seeing real women wear my clothes on the street,” says Erdem Moralioglu, founder of the designer label ERDEM.

Shaping up – how Erdem Moralioglu built his brand

Since launching in 2005, the brand has become synonymous with versatile and powerful femininity. After studying at London’s Royal College of Art, Erdem started his own company and fashion line at the age of 27. The business took off when Barneys bought his first collection. In 2014, he put his collection online and opened his flagship store in Mayfair in 2015.

Today, ERDEM is sold in over 170 of the world’s most exclusive retailers, including Barneys New York, Bergdorf Goodman, Joyce, Colette, Dover Street Market, Selfridges and Harvey Nichols.
In the beginning of November 2017 his collection for H&M will hit the stores as he is the next designer to collaborate with the Swedish clothing giant (for more info, click here please).

With Mary Katrantzou in the private shopping suite at the at the Connaught Hotel in Mayfair, wearing an amazing coat from her F/W 2017 collection.

Print can be as definitive as a cut or a drape and allows a woman to filter beauty found in design, in a subversive way. All my prints are constructed through digital technology. Digital print allows me to experiment with print in a way that fine art and other methods could not. It opens up a huge spectrum for possibility; I can create possibility out of impossibility, surrealism out of realism and both vice versa,” says Mary Katrantzou.

Pioneering digital prints – how Mary Katrantzou became the fashion world’s darling

Greek-born Mary Katrantzou had an appreciation of applied design from an early age. Having begun training as an architect at Rhode Island’s School of Design, she transferred to Central Saint Martin’s in London to study textiles and finished also with a fashion MA in 2005. Katrantzou shifted her direction from textile design to womenswear with a focus on print as she loved the way printed textiles can change the shape of a woman’s body.

Success from the first moment: Mary Katrantzou’s graduate collection in 2008.

Her graduate collection in 2008 of digital trompe l’oeil prints of oversized jewellery on simple shift dresses served as a counterpoint to the minimalist movement that was dominating the runways at the time. From there, Katrantzou picked up 15 prestigious stockists including Browns, Joyce and Colette. Today she boasts over 250 stockists worldwide. Among the many prestigious awards, she received in her career, she also won the Swiss Textiles Award in 201, which helped her grow her business further. And would she rule out ever taking on an investor? “In the future, who knows,” says Katrantzou. “But true global scale is our ambition.”

Best of both worlds… fashion and finance.

I hope that you enjoyed this little insight into the new interactive event Economy of Fashion under the roof of the UBS Unique platform that was a great success. For two days, we received an exclusive insight into the business of fashion of emerging and established designers, disruptive technologies and brands that are making their mark on the industry.

I met amazing ladies from all over the world and it was a pleasure exchanging knowledge while enjoying some fun shopping and great food.

I would love to conclude with a quote from shoe designer Giorgia Caovilla: “The future of fashion will shorten the distance to be able to convey more clearly its message: LET’S HAVE SOME FUN!’”

LoL, Sandra

*Harnessing the power of women investors in wealth management, Ernst & Young LLP, 2016
** Global Wealth 2016: Navigating the client landscape, Boston Consulting Group, 2016
*** Source BoF-McKinsey Global Fashion Survey, September 2016

Photos: © Sam Bowen for UBS, © Sandra Bauknecht, © Redress, © Mary Katrantzou