The price in all its forms

Le prix sous toutes ses coutures

No one will deny it: price is a central factor in the decision to buy a piece of clothing.

And the lower it is, the greater the temptation...

But what is the right price for our clothes? And what's behind two t-shirts, one priced at €10 or less, and the other at over €40?


Wages crushed


While the quality of the raw material is important, we all know that it is the cost of labor that explains a large part of the price differences displayed on the labels.

As Tristan Gaudiaut ( Statista ) reports, in many developing countries, garment workers have to endure difficult working conditions for very low wages, which often do not even allow them to meet their basic needs.

The lowest wages are found in Asia and Africa, particularly in Ethiopia, the country currently experiencing the fastest economic growth on the African continent and where, to attract foreign investors, the government has established the lowest minimum wage of all garment-producing countries: only $26 per month, or around €23. In Madagascar, monthly wages are slightly higher but remain extremely low (€48), compared to €83 in Bangladesh and €85 in Pakistan. China, the world's largest exporter of clothing, had a monthly minimum wage of €200 for this sector in 2019. In Turkey, the same year, garment workers received a monthly minimum wage of just over €300.

Taking into account the standard of living in the different countries concerned, these basic salaries can be two to seven times lower than the national average salary.


Price components


Ultimately, these wages represent only a tiny fraction of what consumers pay in stores. Of the price of a T-shirt produced in Bangladesh and purchased from a ready-to-wear retailer in Europe, the costs generated by the retail industry (store profit, staff, rent, and VAT) represent nearly 60% of the total. The largest shares then go to brand profit and material costs (12% each). Then there are transport costs (8%), and those related to the profit and costs of the garment factory (5%). The wages of local workers ultimately represent only 0.6% of the cost of the finished product, or barely 20 euro cents for a garment sold for €29 in Europe.

According to Homère (the ethical & sustainable men's fashion blog), if a €10 t-shirt can exist, it's thanks to:

  • mass production by brands present throughout the world with thousands of points of sale and capable of manufacturing a t-shirt in millions of copies and of driving down prices by bringing competition into play;
  • low-cost labor paid at the lowest possible price and subject to necessarily regulated working and safety conditions;
  • cheap materials : synthetic or natural but not organic.

The selling price is attractive but the human , health and environmental cost is far too high...

Opt for value

If we compare the cost distribution between a t-shirt made in Asia and another from a regulated European country and made from eco-responsible materials , we understand why we will have to pay much more for a t-shirt:

  • Raw material: 25% in Europe versus 12% in Asia
  • Salaries: 30% in Europe, 0.5% in Asia
  • Workshop margin: 6% for European clothing versus 3.5% for Asian clothing
  • Transport: 3% versus 8%
  • Additional costs: 6%
  • Brand margin: 30% vs. 70%

A garment made in Europe pays the worker and the partner factory well… And the raw materials also cost more.

But this is the choice that Moov360 made by opting for a recycled and recyclable synthetic material and by choosing to entrust the production of its pieces to an Italian workshop.

Between the two types of products, the price difference can be big, but so is the value !

If you opt for a timeless style that will never go out of fashion, that you prefer to consume according to your values and ethics, you will pay much more for your outfit, but it will certainly be of better quality, the material will not deform, the seams will not come loose... And you will be able to wear it often and for a long time.

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