#19

Zero Lounge Maker’s
Fashion Funding Campaign Was a Success.

3-Line Summary

• Zero Lounge is a clothing brand that offers top-quality products at reasonable prices, setting itself apart from the existing market.
• We decided to launch a wadiz funding campaign because of the lower commission rates compared to department stores and the opportunity to vividly convey our brand’s Story. We’ve participated in a total of 22 campaigns, raising over 1 billion won in cumulative funding.
• Over the past five years as a wadiz maker, we’ve expanded our customer base across genders and age groups. We were also selected for the wadiz maker club, which offers special benefits to members with outstanding service usage records. 

PART 1. Zero Lounge’s First Journey, Driven by a Passion for Fabrics

Zero Lounge: Delivering Premium Quality with Minimal Margins

Q. Hello. Could you please introduce yourself and the maker and Zero Lounge?

Hello. I’m Kim Jin-hyung, Team Leader at Zero Lounge. Zero Lounge is a men’s casual brand that creates products using materials imbued with a history and value that no one can replicate, and offers them to consumers at reasonable prices. We launched in 2012 and have been in business for over 10 years.

A jacket made from Harris Tweed, one of the world’s three major tweed fabrics (left)
A 100% cashmere coat made from top-grade Inner Mongolian cashmere (right)

In the early days, we operated the brand under a paid membership system where customers had to purchase an annual membership for around 50,000 won to access our online store. This allowed us to offer consumers top-tier products at prices that maintained minimal profit margins—which is also Zero Lounge’s brand mission. 

As circumstances changed, we discontinued the membership system, andwe are now connecting with supporters through wadiz funding while staying true to our brand mission.

Q. I’m curious about what enables you to offer top-quality products to your supporters at reasonable prices.

I believe this was possible becauseour core philosophy is “to bring the best products to the market, even if it means making a profit close to zero.”We’ve carried out our projects in an innovative and bold manner in line with this philosophy. We’ve built up expertise in sourcing materials and a network of factories tailored to our vision, and we’re actively leveraging these resources. 

How Zero Lounge Offers Products with Minimal Margins

We also focus on reducing costs during the manufacturing process. For example, conducting sewing during the off-season can lower production costs. This benefits the factories by providing income during their slow season, and it benefits us by allowing us to reduce production costs compared to the peak season. We align our quality control (QC), fabric and accessory orders, product evaluations, and decision-making entirely with the factories’ schedules. I believe these efforts are what enable us to offer competitive prices. 

Another reason is that wadiz is Zero Lounge’s primary marketplace. Compared to department stores or other online shopping malls , wadiz charges reasonable commission rates. Department stores have a base commission of over 30%, which inevitably drives up the retail price, but wadiz’s Basic Plan—its lowest commission tier—is just 10%, so we were able to adjust the funding price accordingly.

Turning to wadiz as a Way to Sustain the Brand

Q. What prompted you to try funding on wadiz for the first time?

Zero Lounge launched its wadiz funding campaign in 2019. At the time, funding was emerging as a new distribution model. Since we were operating an online store based on a paid membership system, we saw this as an opportunity to promote our brand in a different way and test our products, so we decided to give it a try. 

As we prepared the project, we realized that wadiz was the perfect platform to clearly convey the values Zero Lounge pursues and the tremendous effort we’ve put in.

We could detail in our Story just how much effort we put into offering clothes of the same quality as those sold in department stores—which typically cost 600,000 to 700,000 won—for just 200,000 to 300,000 won, and the more our supporters recognized this, the better our funding results became. After running one or two projects like that, before we knew it, we’d launched over 20 crowdfunding projects (laughs). 

Q. You’ve run over 20 funding campaigns and are also actively utilizing pre-orders and the wadiz Store. Is there a particular reason for this?Zero Lounge products sold exclusively on the wadiz Store as “Wadiz Only” items

Many of Zero Lounge’s existing customers have migrated to wadiz. It’s also to continue building relationships with them. I felt that if we treated projects as one-off events, it wouldn’t be effective for branding. I wanted to consistently spread the word about Zero Lounge’s value on wadiz and build brand awareness. That’s whyI primarily use wadiz as Zero Lounge’s product distribution channel. 

Q. What insights have you gained from running wadiz funding campaigns for several years to build your brand?

A Harris Tweed jacket worn by a female model

It was the realization that “Zero Lounge can appeal not only to male customers but also to female customers.” Our existing customer base consisted mainly of men in their 30s and 40s. Through wadiz funding, we were able to reach not only male supporters from different age groups but also, surprisingly, a large number of female supporters.

Harris Tweed coats and jackets were originally designed for men, but as we launched the project, we received many inquiries from women. Realizing we could expand our customer base, we prepared the project with a focus on gender-neutral clothing. That’s why we included photos of a female model wearing the products in our Story. 

Based on the insights we gained from wadiz, we plan to continue evolving as a brand that creates clothing that can be worn by anyone, regardless of gender.

PART 2. The Secret to Sustaining Our Brand

Killing Two Birds with One Stone: Reducing Inventory Burden and Boosting Profitability

Zero Lounge products currently available for purchase on the wadiz Store

Q. Let’s get back to the topic of the store. You mentioned that, unlike your own online store or other shopping platforms, you were able to reduce the burden of inventory.

Yes, that’s right. The wadiz Store offers a major advantage: we can generate a steady stream of revenuethrough the same Rewards as our funding campaigns , while reducing the burden of excess inventory.

In fact, even if a funding campaign ends with a high achievement rate, there’s always some leftover inventory. wadiz Store approached us directly with a purchase proposal, so we decided to list our products there—and we were grateful that we could sell even one more item from our inventory. As a fashion maker where inventory is a major burden, I think it was a great choice. 

Additionally, products are sold on the Wadiz Store at prices set higher than the funding price. We had customers who either missed the funding campaign or purchased the product after being recommended by backers. From the brand’s perspective, the higher selling price allowed us to generate a bit more profit.

Q. During the funding campaign, most rewards were offered in limited quantities. I’m curious about the benefits of this approach. 

Since it’s a limited-edition marketing strategy, from the supporters’ perspective, the satisfaction of owning exclusive products in limited quantities is a major benefit. 

For us, limiting production quantities relative to our limited budget was beneficial because it allowed us to avoid excessive investment. Since the production time per product was reduced, we could also devote time to developing other products. Thanks to this, we were able to meet the expectations of supporters who wanted to experience a variety of products.

Q. You’ve sold out more than 90% of the Rewards prepared for many projects, including the Harris Tweed jacket. What is Zero Round’s secret to funding success?

We put a lot of thought into positioning our products and brandwithin wadiz. We looked at what funding prices similar products were commanding, where there was a gap in the market that no other project had filled yet, and what our competitive price point and unique selling points were. I think our strategy of targeting that untapped market was a success in its own way. 

We also worked hard to establish a brand positioning that allows consumers to experience a new level of premium quality at a reasonable price by reimagining historic fashion heritage—such as Harris Tweed and Malarius fabrics—in a sustainable style.

 Q. The story that clearly conveys the various strengths of the Harris Tweed jacket to supporters is also impressive. How did you create that story?

From the planning stage of the Harris Tweed jacket, we kept in mind how we would craft the Story. The entire team—marketers, designers, and planners—collaborated to consider questions like, “What materials can convey a rich narrative?” and “What should the design look like?” As a result, we selected Harris Tweed fabric, which boasts a 120-year history and is certified by the British Royal Family, and used natural palm nut buttons as accents to ensure the design exuded luxury down to the finest details.

We also studied the stories of other projects from the perspective of Zero Lounge’s customers. Theentireteamput themselves in the shoes of Zero Lounge’s customers and scanned the thumbnails of other projects through that lens. We analyzed which thumbnails—with what images and titles—piqued the most curiosity, and why, from a supporter’s perspective, certain stories were so compelling that they couldn’t help but scroll all the way to the end. This was a huge help in crafting stories that effectively drive supporter engagement. 

PART 3. A Brand Recognized by Both wadiz and Supporters

Becoming a SUPER MAKER to Earn Supporters’ Trust

The “SUPER MAKER” label is displayed at the top of Zero Lounge’s maker profile.

Q. You were recently selected as a SUPER MAKER, a member of the wadiz Maker Club, based on your high service usage metrics. Has anything changed since you were selected as a SUPER MAKER?

I believe the “SUPER MAKER” labelat the top of the maker profile instills trust in supporters.The layout ensures thatsupporterscan’t help but notice the label when viewing Zero Lounge’s Story. 

Internally, we’ve developed a sense of pride in receiving this award from wadiz because we worked so hard preparing for the wadiz project. Going forward, we plan to emphasize in our stories that we’ve been selected for the wadiz maker club and recognized by wadiz.

It’s only been about three months since we joined the wadiz maker club, so we’re still learning about the benefits we’re eligible for. So far, we’ve found that there’s a 50% subsidy on venue rental fees for wadiz spaces—which can be used for new product showcases—as well as preferential rates on advertising services. I think these will be a great help when we run future projects.

Q. What advice would you give to makers who want to be selected for the wadiz Maker Club?

I’d recommend consistently trying your hand at funding, the wadiz Store, and pre-orders, while planning and proposing products that stand out from the crowd. On wadiz, it seems that when you launch a product that’s completely new to the world or has that one unique twist, you’ll receive a lot of love from supporters. 

Also, when developing a product or crafting its story, I think it’s helpful to consider why supporters choose wadiz—what needs aren’t being met by other online stores. I believe that’s exactly what we did, which is why both wadiz and our supporters responded so positively to us, leading to meaningful results and ultimately our selection for the Maker Club.

*Learn more about wadiz maker club members (SUPER MAKERS) (Click)

Try wadiz funding—Build Your Brand Without an Online Store!

Q. What do you think the current trends are in the fashion market or men’s casual wear?

Overall, the fashion market is becoming less defined by gender and occasion, with boundaries blurring and styles converging. These days, there’s no clear distinction between women’s and men’s clothing, or between what you wear to work and what you wear at home. I think the concepts of “genderless” and “unisex” are gaining attention in various aspects, such as design and materials. 

In the men’s casual market, classic items remain consistently popular regardless of changing times, so stylish looks that skillfully incorporate casual elements are gaining popularity.

For example, while suits used to be neatly pressed and worn to maintain formality at the office or during business meetings, these days people seem to prefer them only if they incorporate casual elements that allow them to be worn in everyday life—even after work during their free time.

Q. I’m curious about Zero Lounge’s future plans or goals. 

First, we plan to continue introducing a variety of products on wadiz this year and grow alongside the platform. We’re actively discovering materials and designs that our supporters will love and that will meet their expectations. So, we hope to be chosen by even more people and raise even more funding. (Laughs) Additionally, our goal for this year is to launch Zero Lounge’s own online store to create a space for ongoing communication with consumers.

Q. Finally, could you offer some advice to those preparing to launch a funding campaign for fashion accessories?

In the fashion industry, trends in materials, fits, and colors change rapidly. There’s no guarantee that a product that performed well in a funding campaign this year will do well next year. 

That’s why I believe the most important task for fashion makers is to constantly think about how to offer something new each season and deliver results.If you continually consideryour target audience’sneeds and your quantitative and qualitative positioning on wadiz, preparing for funding will be much easier. 

Consider where there are gaps in terms of price and product offerings. Then, think about which of those gaps offer a competitive advantage from your brand’s perspective. Ultimately, I want to emphasize that establishing your brand’s own unique criteria is what matters most. 

🧥 Makers looking to gain insights from Zero Lounge and participate in March Fashion Week!
(Until March 10) Learn more about Fashion Week benefits (Click)

Want to read more articles about [Fashion Funding]?

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Makers, check out the services you need! 

• Learn How to Start a wadiz Project
• Check out the [Maker Events] available now
• Sign up for [wadiz funding workshops] led by funding experts
• Launch a Project with a [wadiz Expert Partner]

Interviewee  Written by Team Leader Kim Jin-hyung, Edited by Nam Hyun-sol and Han Ji-hye