I’m surprised that it’s taken them this long to catch on to the potential of viral video. I’m even more surprised that smaller labels aren’t doing more videos to promote themselves. It’s not an entirely level playing field; the buzz created by the release of these videos show that marketing budgets are important. However, smaller labels can make a big impact with viral video – much more cheaply than by forking out for adverts or billboards.

Let us know if you know of any good examples of viral video campaigns by smaller labels!

Below is a teaser of the Dior video:

And, for comparison, here’s the Chanel video:

WWD has a big piece on the positives of the recession, seen from the perspective of fashion designers and managers.

Karl Lagerfeld is optimistic about Chanel, saying that they ‘did even better this year than last year at the same time.’ Clearly some labels are doing better than others.

So where is the growth? According to Dior CEO Sidney Toledano the markets that have seen the strongest growth are London (tourists spending driven by a weak pound), China (growth in the “double digits”), and South Korea (Japanese travellers spending strong Yen). Ralph Lauren CEO Roger Farah points out that the label’s recently opened Dubai store has done better than expected, while also planning an expansion to South Korea.

Executives are also talking about accounting more for geographical variations in customers’ wants. There’s often a trade-off between catering to very particular local markets (Toledano gives the example of Florida during the summer) and maintaining brand integrity. The recession seems to have made brands more flexible in terms of catering to local conditions. For consumers, that’s good news!

What’s the advantage of being a small label? First of all, there aren’t too many overheads to worry about. Alexander Wang points out that smaller labels have a great opportunity now. While the giants are struggling to keep themselves afloat, small labels can expand aggressively.

Finally, Isabelle Guichot of Balenciaga points out that the ‘crisis is a period in which we can gain market share and prove we’re amongst the players of tomorrow’.

So here’s our tip: survive the next year and prosper when things get good again!