Thanks to its costs, Covid-19 is taking over the fashion industry, fashion brands and retailers offering new value in terms of affordability, roundableness and efficiency. Sustainability is ahead for many retailers as the resale market is projected to grow from $ 7 billion in 2019 to $ 36 billion in 2024, according to PSFK Research.
E-commerce has become much more important for brand survival as those without an online presence experience decreased accessibility. A perfect example of this is Zara’s owner, Inditex, which is reported to have invested $ 1 billion in e-commerce operations through 2022 as online sales increased during the blockade.
PSFK Research explores new forms of customer loyalty to help retailers and brands predict their demand in the form of digital transformation, virtual and consumer-generated marketing, business models and related logistics. Six trends remain.
Six trends that illustrate business practices and models
An alternative sales model is a method in which existing services offer new packages to customers. For example, the Italic Black e-invitation website brings together producers and consumers to give its members access to unbranded luxury goods at wholesale prices.
Retailers use co-created content between brands and their ambassadors to leverage existing fan bases as well as communities to launch campaigns and collections. The fashion brand Eloquii, which covers sizing, partnered with influential people to model retail clothing from their homes, giving them creative freedom and original content for the brand.
Technology providers work with retailers to develop in-house solutions that can help them better understand inventory. This is known as inventory connectivity. One fashion store, Otrium, sells end of season clothing from other brands that they are supposed to throw away.
Fit-Tech ensures a better shopping experience by reducing your return on investment. Reality Tech, Vertebrae, is developing virtual tools that consumers can use to try products such as hats, jewelry and sunglasses.
Changing wardrobes is an increasingly popular move because consumers still want the joy of new clothes but are without obligation to want them forever. Irish rental platform Nuw is a clothing sharing app that takes full advantage of this trend for the budget consumer.
Virtual runways were already the new normal before the pandemic as traditional fashion shows were confused about where to proceed next. The Joor wholesale platform has created a passport, a virtual exhibition portal where buyers and retailers can view and place orders.