Trends and challenges for fashion brands

Second Hand - Fashion Fulfillment

Changes on various levels will shape the fashion market in the coming years. While virtual influencers are gaining in importance, consumers are increasingly longing for sustainable fashion. Changes in consumer preferences and technology are influencing the way brands design, market and distribute their products.

Here are the key trends and challenges facing fashion brands in 2024:

Sustainability: resales could overtake fast fashion in 2029

Sustainability is no longer just a trend, but a fundamental requirement. Consumers not only expect stylish products from fashion brands, but also ethical and environmentally friendly practices. In 2024, brands that actively use renewable resources, promote a circular economy and maintain transparent environmental standards will have a competitive advantage. In addition, second-hand fashion, fashion subscriptions and rental fashion are the fastest growing sectors in the fashion industry, according to a study by ThredUp. Generation Z in particular is acting as a driver for second-hand shopping. Reselling could overtake the fast fashion sector for the first time in 2029. Numerous major brands, designers and platforms such as The North Face, Vaude , H&M, About You and Zalando already offer second-hand goods alongside regular collections.

Social media and virtual influencers

The importance of social media platforms and influencers will remain undisputed in 2024. A social media strategy will be essential for fashion brands to interact with their target group. Collaboration with influencers should be authentic and carefully planned in order to convey credible messages and build lasting customer loyalty.

According to the Influencer Marketing Trend Report 2024, virtual influencers are an up-and-coming trend. Unlike human influencers, creators retain control over image and behavior and benefit from consistent brand representation. What’s more, virtual influencers are always available. Provided with an exciting background story, virtual influencers increase the loyalty of followers.

Diversity and individuality

In the current era of mass production, individuality is becoming key. Fashion brands must increasingly focus on personalized solutions, be it through tailor-made clothing, personalized recommendations or the integration of customer suggestions into the design process. This not only emphasizes uniqueness, but also strengthens customer loyalty and sharpens brand identity. In addition, calls for more exclusivity and diversity in the fashion industry are becoming louder. Fashion brands should not only show diversity in their advertising campaigns, but also ensure that their employee structure is representative. The integration of different backgrounds and perspectives not only improves the brand image, but also opens up new target groups.

Fashion subscription & rental clothing

Individually curated fashion on a subscription basis – initially spilling over from America to the UK, this trend, which is simple and practical for consumers, is predicted to have growth opportunities throughout Europe. The idea of the leading providers: After a detailed briefing, a dedicated stylist puts together an individual fashion box for their end customers each month. Customers do not pay per item, but expand their wardrobe for a fixed price per month. The demand for rental clothing is constantly increasing, be it for luxury fashion, skiwear or outdoor equipment. While the initial focus in Germany is on wedding and maternity wear, the rental of everyday fashion is slowly increasing. Challenges such as cleaning and care, reliable quality controls and complex inventory management make it difficult for providers to enter the market quickly.

Dashboards and BI tools

In these difficult economic times, reliable real-time reports are essential for corporate management. The use of BI tools with customized dashboards is therefore becoming increasingly important in the fashion industry. To ensure that current sales figures, stock levels, supply bottlenecks and forecasts are available at the touch of a button, different management systems must be linked together in the background. According to a study by Mordor Intelligence, the BI market will grow by almost 10% annually over the next 4 years.

With a growing focus on sustainable and ethical fashion, online retailers are faced with the task of meeting these demands. This means promoting transparent supply chains, using environmentally friendly packaging materials and supporting socially responsible products. Despite these challenges, we see great potential for growth through adaptability and innovation. As your e-commerce service provider, we are ready to support you with these challenges and develop successful strategies together.

Together we are shaping the future of fashion e-commerce!

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