The fashion industry seeks sustainable models and solutions

Consumer data tracker, PSFK Research, has analysed sustainable modelsand solutions to assist retailers as brands face unprecedented challengesin 2020.

Due to the toll Covid-19 is taking on the fashion industry, fashionbrands and retailers are placing new value on accessibility, circularityand efficiency. Sustainability is at the focal point of many retailers asthe resale market is projected to increase from 7 billion dollars in 2019to 36 billion dollars by 2024, according to PSFK Research.

E-commerce has become significantly more vital to the survival of brandsas those without an online presence are experiencing a decline inaccessibility. A perfect example of this is Zara owner, Inditex, who isreportedly investing 1 billion dollars between now and 2022 in itsecommerce operations, as a result of its surge in online sales duringlockdown.

PSFK Research investigated new forms of customer acquisition to helpretailers and brands predict what their demand will be, in ways such asdigital transformation, virtual and user-generated marketing, businessmodels and connected logistics: six trends stuck out to them.

Six trends which outline business practices and models

Alternative distribution models are methods in which existing servicesoffer customers new packages. For example, invite-only emarketplace, ItalicBlack, works by bringing manufacturers and consumers together to offer itsmembers access to unbranded luxury goods at wholesale prices.

Retailers are using co-created content between the brand and theirambassador to make use of both existing fan bases and communities to launchcampaigns and collections. Size-inclusive fashion brand, Eloquii,collaborated with influencers to model the retailer’s clothing from theirhome which gave them creative independence and original content for thebrand.

Technology providers are partnering with retailers to create internalsolutions in order to achieve a greater knowledge of their inventory, thisis called connecting inventory. Fashion outlet, Otrium, sells end-of-seasonclothing from other brands that would otherwise have to dispose of them.

Fit-tech creates an enhanced shopping experience by reducing the rate ofsize-related returns. Reality tech company, Vertebrae, develops virtualtools intended for users to try on products such as hats, jewellery andsunglasses.

Rotating closets is a movement that is becoming increasingly popular asconsumers still want the excitement of new clothing, but without thecommitment of wanting it forever. An Irish rental platform, Nuw, is aclothes-sharing app that is taking full advantage of this trend for asavings-focused consumer.

Virtual runways are becoming the new normal, even before the pandemic,as the traditional fashion show was in a state of confusion about where togo next. Wholesale platform, Joor, came up with Passport which is a virtualtradeshow portal where buyers and retailers can browse and place orders.

Photo credit: PSFK, Facebook