I am wondering if she had a twin sister and a pole went into that hole. She faced out and the pole ran behind her and a twin of her was the other support for the pole on the other side, or if it were more sturdy, it was just a rectangular piece and they formed a rack. Since it would be low (unless she was an amazon), it would be for fine scarves on hangers, skirts, or maybe dresses that were hung from their waistbands. She might not stand on her own, but if there were two of them or something else on the other side, it would work. She could then have worn a blouse or something where the pole came out between her blouse and skirt, etc. Or maybe she was loaded with accessories. if she had arms, I could imagine that she could wear a blouse and it would be just like seeing it on a hanger. She could have also been decorated with wrapped fabric to simulate an outfit.
This may be far fetched, but its what I thought of first since the hole seems perfectly round and not jagged or irregular.
Also, in a practical sense, she could be used to load up with scarves or necklaces or to photograph such.
I would imagine if you made two pieces out of wood or metal that she could slip into like paper dolls do to stand up or made a piece whre her whole bottom edge slipped into, she would stand on her own.
I know, y'all must think I've been drinking...but I don't. It is just what came to mind. I have no documented basis for any of my warblings.
I do see how she could be used for draping fabric, but what else came to mind is that she was part of a sign - like a 3d piece on a big building. but maybe that's far fetched