Christine Nikiel: Designer finds her perfect calling

Keeping things in-house means Suzanne Lee Sowry can keep a close eye on design and production. Photo / Supplied by Jo Sowry

Fashion designer Suzanne Lee Sowry always had a hint of the perfectionist about her. She was banned from entering colouring competitions at primary school because teachers thought her parents were helping her. At high school she scored 100 per cent in School Certificate Art (NCEA level 1).

Now co-owner and head designer of local fashion label Kooky, Sowry can indulge her quest for the best every day. Kooky is one of the few New Zealand labels to still design and manufacture most of its products in-house, meaning Sowry has direct control over design and production. The company, which has 84 staff and turned over $5 million last year, has been in expansion mode, opening seven stores since 2006. At first the company targeted the regions, however its latest store openings were in Auckland's Newmarket and Wellington's CBD.

While most companies are hustling to find cheaper offshore manufacturing, 90 per cent of Kooky's designs are made in its Wanganui factory. The other 10 per cent is manufactured in China - mostly basic designs which don't require the skill or detailing the New Zealand-made garments do, Sowry says.

Times are tough for clothing manufacturers. Textile company Lane Walker Rudkin was placed in receivership last month leaving 186 people out of a job (see page 12). Another industry stalwart, Palmerston North-based Everest Fashions - a "cut, make and trim" operator which made up garments for others - closed its doors in August, blaming cheap imports. Sowry recalls that there were seven textile manufacturers in Wanganui before she moved there in 2000, and now there are just two.

While manufacturing at home costs twice as much, Sowry and partner and Kooky managing director Jason Dunn say the benefits outweigh the extra expense. As well as the ability to tweak designs mid-production, the company can respond quickly should demand for certain products increase, instead of having to order more and wait for a shipment.

The Buy New Zealand Made campaign has helped in the face of increased competition from large offshore chains.

Sowry says there seems to be a sense of "camaraderie" among customers who want to support New Zealand-made clothes.

The recession has caused suppliers to tighten their belts and many require that their customers meet minimum orders, says Sowry. Kooky has been forced to source fabrics and trims such as appliques, buttons and ribbons, from offshore, although Sowry uses those trips to hunt for inspiration for new designs. Also, many suppliers won't hold stock anymore, preferring to wait for an order from designers before they order stock, meaning Sowry must wait for the shipment.

The recession is weeding out the weaker operators while the stronger ones are gaining momentum, says Mapihi Opai, executive officer for industry voice Fashion Industry New Zealand (FINZ).

"What we're seeing is a patchwork effect at the moment. Some ragtraders are gaining ground or consolidating their position, while others are springing leaks."

Many fashion retailers are facing high overheads and reduced sales, she says, so are safeguarding margins and maintaining rigorous stock control.

Meanwhile, fashion manufacturers and wholesalers are caught up in what's happening at the retail level. "They have to protect their margins amid rising costs, as well as traversing those ebbs and flows in workflow and cashflow that are synonymous with seasonal industries. Unfortunately, the gap between production and payment is widening."

According to Statistics New Zealand, employment in the country's apparel manufacturing sector fell 35.6 per cent between 2000 and 2008, from 8570 to 5710.

Kooky is aimed at women aged 30-plus and size 10-22. It's known for its flattering, slimming designs, which Sowry describes as "vertical movement", where the lines and patterns draw the eye up rather than across.

The designs aren't cheap but the label has built up a loyal following, and Sowry knows the quality must be "perfect" to justify buying a New Zealand-made garment. She and her two designers create 40 three-piece outfits a season. Each piece is designed to tie in with others in the range and with those from the previous season. She also puts an emphasis on good service and sales staff, who are all on commission and are trained to "co-ordinate outfits for individuals".

The label was established as Kooky Garments in 1989 by Wanganui designer Sylvia Aitchison. It was sold a decade later to owners who rebranded the company as Daisy T for several years and targeted a younger market, before going into receivership in 2004.

Dunn, a former barrister, and Sowry, who'd come on board as a designer in 2000 after winning Massey University's top fashion designer award for her year, bought the company in 2005 and set about rebranding it back to Kooky. It took just a year before things picked up and the pair were able to open two new stores, says Sowry, recalling how a woman who saw a Kooky sign being erected rushed across the street to tell her how glad she was that the label was returning.

The pair aim to be rolling out stores in Australia by 2012, and plan to set up six initial stores there before opening an Australian operations office.

However, like most companies planning expansion, Sowry and Dunn have their eyes fixed on the credit market which they're hoping will soon thaw and free up venture capital. An initial public offer is also on the cards, but not until the sharemarket regains its attraction for investors.

Dunn says the main challenge in moving across the Tasman would be successfully transferring the good reputation the label has earned here. The company would also sell through its own stores rather than wholesaling, he says.

Sowry is confident Australia would be a good move. Kooky's look is different to that of similar sounding label Kookai, which targets a younger market, and feedback from Kooky's Australian customers is positive.

"Our managers are reporting back that we've got some very loyal Australian customers that come to New Zealand often, and some are begging us to open there."