Glossy Research: Brands are cutting back on ad spending and putting money into influencers and affiliates

Brands across the fashion and beauty industries are looking for ways to cut back their spending. But when choosing what to cut, payroll, operations and inventory expenses are less likely to be on the chopping block. At the beginning of June, Glossy surveyed 22 workers from fashion and beauty brands, most of whom were director-level or above, about where their companies are allocating their spending. According to the results, marketing is the No. 1 thing brands are spending less on.

When asked, “Where has your company reduced costs in the last six months?” 68% of respondents said marketing, making it the most common response among options. Payroll was the next most popular response, with 32% of respondents; followed by inventory, technology and stores, which were tied; and, lastly. innovation. Notably, 23% of respondents said they hadn’t cut back on any costs in the last six months.

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