Smarter Spending for Small Brands: Reducing Costs in Knitwear Manufacturing

Running a small fashion brand often feels like a balancing act between creativity, quality, and cost. Knitwear, in particular, can be a surprisingly technical category, with prices influenced by everything from yarn composition to garment weight. Yet with the right approach, small brands can reduce their production costs without compromising on design or brand identity.

This guide explores how to spend more intelligently when producing knitwear, especially when choosing between ready‑made garments and custom manufacturing. It also explains how material choices, design decisions, and garment weight can significantly affect your final unit price.

1. Why Small Brands Overspend on Knitwear Without Realising It

Many emerging brands default to buying ready‑made knitwear because it feels simpler: no minimum order quantities, no development process, and no waiting for production. But this convenience comes at a cost.

Ready‑made garments often:

• Carry higher unit prices

• Offer limited design differentiation

• Restrict your brand identity

• Force you to compromise on fit, colour, and quality

In other words, you pay more for something that looks similar to what everyone else is selling.

Custom production, on the other hand, is often assumed to be “expensive” or “only for big brands”. In reality, when managed well, it can be the more cost‑effective route.

2. Custom Production: A Cost‑Saving Strategy in Disguise

At CH Cashmere, our custom knitwear production requires a minimum order quantity (MOQ) of 50 pieces per colour, with sizes divided into 3–4 ratios. For many small brands, this is entirely manageable—especially when compared with the cost of buying 50 ready‑made pieces at retail‑level wholesale prices.

Why custom production can cost less per unit

• You’re paying for manufacturing, not middle‑man mark‑ups

• You control the yarn composition, which directly affects cost

• You can design garments that suit your brand, reducing unsold stock

• You avoid overpaying for generic designs that lack identity

Even with a 50‑piece MOQ, the unit price is often lower than purchasing ready‑made garments of similar quality.

And the biggest advantage? Brand differentiation.

Custom production allows you to:

• Create unique designs

• Choose your own colours

• Adjust fit and proportions

• Add brand‑specific details

This is how small brands stand out from mass‑market competitors—without inflating their budget.

3. How Yarn Composition Influences Your Budget

Yarn is the single largest cost driver in knitwear manufacturing. Understanding fibre properties helps you make smarter choices.

Premium fibres (higher cost)

• Cashmere

• Cashmere blends

• Silk blends

These fibres offer luxury appeal but come with higher raw‑material costs.

Mid‑range fibres

• Wool blends

• Mohair blends

• Merino Wool

These offer a balance of quality and affordability.

Budget‑friendly fibres

• Cotton

• Tencel

These reduce cost significantly but may not align with every brand’s sustainability or quality goals.

Smart spending tip

You don’t need to choose between “luxury” and “cheap”. Blends can be your best friend.

Examples:

• Cashmere blend instead of 100%Cashmere

• Wool‑silk blend for softness and drape

• Cotton blend for loft and durability

Blends allow you to maintain a premium feel while lowering your yarn cost by 20–40%.

4. How Design Choices Affect Your Unit Price

Design complexity has a direct impact on production cost. The more labour‑intensive the garment, the higher the price.

Higher‑cost design elements

• Intricate cables

• Jacquard patterns

• Multi‑colour intarsia

• Fully fashioned shaping

• Hand‑finished details

These require more knitting time, more yarn, or more manual labour.

Cost‑efficient design choices

• Simple stitches (jersey, rib, garter)

• Minimal shaping

• Single‑colour designs

• Standard trims and finishes

These reduce knitting time and waste, lowering your unit price without compromising style.

Smart spending tip

If you want a premium look without the premium cost, focus on:

• Beautiful yarn

• Clean silhouettes

• Thoughtful proportions

• Strong colour choices

A simple design in a good yarn often looks far more expensive than a complicated design in a cheap fibre.

5. The Weight of the Garment: The Silent Cost Factor

Garment weight is one of the most overlooked cost drivers in knitwear.

Why weight matters

Heavier garments use:

• More yarn

• More knitting time

• More finishing time

This increases your unit price significantly.

How to control weight without compromising quality

• Choose lighter gauges (e.g., 12gg instead of 7gg)

• Use loftier fibres (mohair, brushed yarns)

• Opt for relaxed silhouettes rather than dense structures

A lighter garment can still feel luxurious—and often drapes better.

Smart spending tip

A 300g jumper can cost 30–50% more than a 180g jumper. Design with intention, not habit.

6. Why Smarter Spending Doesn’t Mean Cutting Corners

Reducing costs isn’t about making your product cheaper—it’s about making your spending more strategic.

Smart brands:

• Invest in the right materials

• Simplify designs without losing identity

• Use custom production to reduce unit costs

• Build collections that feel cohesive and intentional

This approach leads to:

• Better margins

• Stronger brand identity

• Higher customer loyalty

• Less unsold stock

In short, you spend less but achieve more.

Build a Brand, Not Just a Product

For small brands, every pound matters. But cost‑saving shouldn’t come at the expense of creativity or quality. By understanding how yarn, design, and garment weight influence your budget, and by embracing custom production where it makes sense, you can create knitwear that is both financially sustainable and uniquely yours.

Smarter spending isn’t about being frugal. It’s about being informed, intentional, and confident in your choices. And when you approach knitwear manufacturing with that mindset, your brand becomes stronger, more distinctive, and far better positioned for long‑term success.