The fashion world is in a state of flux. Companies face the challenge of adapting to new consumer priorities. However, there are a few things that leaders can do to reassess their position.
One key area is growth. In the coming year, executives expect consumers to release pent-up buying power and take advantage of stronger trading conditions. It will be a critical year for growth.
Another area of focus is digital. Digital is providing a nexus for growth. Investing in faster manufacturing systems, improving promotional methods, and diversifying sales channels are essential.
Fashion executives are facing growing pressure to deliver higher performance. Many are struggling with the shift toward digital. They are under pressure to increase productivity, improve performance, and accelerate demand for digital.
Fashion industry impacts include the environmental impact of production, carbon emissions, water use, and human rights. The industry produces 1.2 billion tonnes of CO2 equivalent per year. These are a significant percentage of humanity’s greenhouse gas emissions.
Some organizations are fostering international cooperation on the issue. A group of companies in Geneva is stepping up its efforts to shift the fashion economy.
While there are a few positive signs, the global fashion industry faces significant challenges. Despite a surge in growth, the industry is under persistent pressure on the bottom line.
There is a cultural shift needed to move away from fast fashion. This can only be achieved through international cooperation.
Fashion leaders can begin by rethinking their roles. Changing executive teams, talent allocation, and marketing are just a few ways to reassess. And they should also be aware of the macroeconomic issues that will shape the coming year.