Fashion Accessories Brand

How Profitable Is A Fashion Accessories Brand? (Updated for 2024)

Pat Walls

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Updated: September 24th, 2024

So you want to start a fashion accessories brand?

And the first question that came to your mind was, “well, are fashion accessories brands actually profitable?”

Especially considering:

You could start a fashion accessories brand with as low as $49
Based on our data, fashion accessories brands generate an average of $782K per year
You could see gross margins as high as 45% with fashion accessories brands

There’s money to be made. Don’t worry.

But, I don't want to spoil it all. Below we’ll cover everything you need to know when it comes to the profitability of a fashion accessories brand.

Let’s dive in!

Is a fashion accessories brand profitable?

Yes, a fashion accessories brand is generally a profitable business. However, you still need to consider several factors since these things always impact the overall outcome.

For instance, since average revenue is $782K per year with an estimated gross margin of 43%, you could expect to recover your investment within 9 months or even less.

But of course, it all comes down to how much you earn compared to the potential revenues of your fashion accessories brand.

To determine whether your business is profitable, you should earn more than your expenses in the beginning months. However, while you're in your first month, it can be challenging to know what to expect.

Therefore, you should maintain a record of your monthly expenses and income to determine whether you're meeting your goals. By doing this step, you can see how your fashion accessories brand is doing and if any changes or adjustments need to be made to enhance or maintain your efforts.

Is a fashion accessories brand worth it?

If you’re wondering if a fashion accessories brand is worth it, the answer is a big YES. With fashion accessories brands, you have the potential to earn $782K per year (this is based on data reported by real founders).

Further, you could have your initial investment back within months. Simply put, it’s a business worth a shot, especially if you have the resources and make the necessary efforts to achieve or surpass the target.

With a market size of $, it will be possible for you to build something that grows and turns into a flourishing business. As such, it’s the type of business you might want to consider starting.

Of course, you must learn and understand every aspect of running a fashion accessories brand to ensure success. Still, as long as you have the initial investment and can endure a few months before your actual gains, this business could be worth it.

You might want to consider reading more specifics about successful fashion accessories brands case studies.

Examples Of Profitable Fashion Accessories Brands

Here are a few examples of profitable fashion accessories brands, and a few more details about them:

1. Mahiya ($1.04M/year)

Ryan and Alex Hutchinson started Mahiya, a bohemian leather accessories label, after Ryan agreed to help Alex with her new concept for unique designs. With an initial investment of $20k and the use of social media platforms like Instagram and Facebook, they quickly gained traction and now average $75,000 in sales per month through their website, showroom, and worldwide boutique wholesalers. They have plans to expand into the Japanese market and continue creating new designs.

Is it profitable? Yes
How much money it makes: $1.04M/year

How A Couple Started A $75K/Month Bohemian Leather Accessories Company

Australian-based fashion accessories label Mahiya sees an average of $75,000 in sales each month through its website, showroom, and boutique wholesaler customers, after husband-and-wife team Ryan and Alex Hutchinson invested AUD20,000 ($13,462) and started working from their bedroom in 2013.

Read this case study

Read by 7,380 founders

2. Hammock Sky ($960K/year)

TCM, the owners of Hammock Sky, bought the brand from its original owner, who was an American expat living in Thailand. The original owner had a vision to share the experience of extreme relaxation with people everywhere, leading to the creation of premium quality, spacious hammocks. TCM recognized the brand's values and purchased the business in 2017, experiencing great success with over $2.4 million in revenue and more than 44,000 units sold in 2020.

Is it profitable? Yes
How much money it makes: $960K/year
How much did it cost to start: $49

Buying A Hammock Brand And Growing The Business To $2.4M/Year

Hammock Sky, owned by TCM, has increased sales to $2.4M through producing larger, higher quality hammocks and hammock chairs that cater to everyone’s relaxation needs and promoting greater customer loyalty and engaging with influencers on various online platforms.

Read this case study

Read by 5,669 founders

3. STOCK ($3.6M/year)

Jim Snediker, CEO of Stock Manufacturing Company, pivoted from high-end menswear to B2B uniforms after being approached by a Michelin-star restaurant in 2013. This strategic shift propelled their business to $3.4 million in revenue by 2023.

Is it profitable? Yes
What's the gross margin? 45%
How much money it makes: $3.6M/year

How We Built A $3.4M/Year Custom Uniforms Manufacturing Business

Case study on the transformation of a D2C menswear brand into a successful B2B uniform provider for hospitality industry giants, achieving revenue growth from $700k in 2019 to $3.4M in 2023, through strategic collaborations, product expansion, and community-driven initiatives during the COVID-19 pandemic.

Read this case study

Read by 644 founders

Learn more about starting a fashion accessories brand:

Where to start?

-> How to start a fashion accessories brand?
-> How much does it cost to start a fashion accessories brand?
-> Pros and cons of a fashion accessories brand

Need inspiration?

-> Other fashion accessories brand success stories
-> Marketing ideas for a fashion accessories brand
-> Fashion accessories brand slogans
-> Fashion accessories brand names

Other resources

-> Fashion accessories brand tips

How much can you make with a fashion accessories brand?

With a fashion accessories brand, you can make an average of $782K revenue per year (based on data reported by real businesses).

You can start with an initial investment as low as $49. Then, with proper knowledge and sustained effort, you could have an ROI (return of investment) within 9 months.

How much does a fashion accessories brand make a week?

Based on our data, average weekly revenue for a fashion accessories brand ranges around $16.3K. As such, you could see monthly revenues of $65.1K.

To know if your fashion accessories brand achieves the weekly profit target, you need to keep track of the total earnings you get per day. Afterward, you'll want to consider subtracting the expenses you have daily.

Learning your weekly profit can also show whether you're hitting your target goal for your fashion accessories brand.

How much do fashion accessories brands owners make?

The income of a fashion accessories brand owner can vary depending on various factors such as location, size, competition, and the owner's business skills.

But to give you some idea, the weekly revenue of an established fashion accessories brand is about $16.3K. But this can be lower or higher depending on so many factors - it's almost impossible to say exactly.

While the potential for earning a good income as a fashion accessories brand owner exists, success in this field requires a commitment to providing quality products and services and building a strong reputation within the community.

Fashion Accessories Brand Profit Margins

Generally speaking, a fashion accessories brand can expect profit margin of around 43%. Profit margins refer to the percentage of revenue that remains after deducting all expenses associated with running a business. In the case of a fashion accessories brand, profit margins can vary depending on various factors, such as the type and quality of products sold, the size of the store, and the level of competition in the area.

However, these figures can vary depending on the pricing strategy, inventory management, and overall efficiency of the business. To maintain healthy profit margins, fashion accessories brand owners must focus on managing costs, negotiating favorable supplier terms, and providing high-quality products and services to attract and retain customers. By doing so, fashion accessories brand owners can ensure long-term sustainability and profitability for their business.

Fashion accessories brand owner salary

The salary of a fashion accessories brand owner is an unpredictable figure. It's significantly influenced by numerous factors, including the store's location, its size, and the degree of competition. An owner of a well-established fashion accessories brand, in a prime position, might see an average weekly salary around the ballpark of $7K.

But it's worth noting, such numbers aren't always consistent. The earnings can vary wildly, potentially swinging by as much as 80% either way.

Achieving consistent success and maintaining a reliable income stream in this industry requires a deep commitment. It's imperative to offer high-quality products, deliver impeccable customer service, and nurture a trusted bond with the community you serve.

Conclusion

In a nutshell, based on many of our examples, a fashion accessories brand may be a promising business to start - but the success of your fashion accessories brand mostly depends on your effort and your approach.

If you focus on these, you'll have a much higher chance of a profitable fashion accessories brand.

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Starting A Fashion Accessories Brand: Everything You Need To Know

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