Are you aware of how technology is changing the Fast Fashion Industry?
It is a fact that the fast fashion industry has always been technologically advanced, as well as constantly innovating to keep up with consumer demand and increase profits. However, these days with the advancement in technology, it has become integral to the very existence of fast fashion, with AI and trend forecasting software allowing companies to copy designs from the runway and produce them at high speed. A survey carried out by The Fashion Academy states that 30% of shoppers use Instagram for inspiration on where to shop and what to buy. At an estimated value of $35.8 billion, the lucrative fast fashion industry is growing at a faster pace than ever. The question then is, what has been the impact of technology on the development of the fast fashion industry? Here is presenting a few facts highlighting it.
The arrival of sustainable fashion and its impact on the fast fashion industry:
While fast fashion makes shopping for clothes more affordable, it also carries an environmental price tag. Since 2000, clothing production has nearly doubled globally. The fashion industry produces 10% of all humanity’s carbon emissions and is the second-largest consumer of the world’s water supply.
As consumers become more conscious of fast fashion’s environmental impact, sustainability has become an emerging trend in consumer’s eyes. Companies like Zara and H&M, which have built their businesses on speed and agility due to the availability of technology, are listening to consumers and rolling out new green initiatives to reduce their environmental impact.
More importantly, Companies like Zara have continued to expand their supply chain operations by offering up to 25 collections each year, while the industry standard has typically been four. This has simply become a possibility because a few companies like Zara have developed efficiency in the supply chain and increased sustainability by simply investing in the latest technology.
Increase in adoption of advanced technology in the fast fashion industry:
As more fast fashion companies shift their practices to utilize more sustainable materials and processes, they are also adopting advanced technologies to improve supply chain efficiency and reduce their carbon footprint.
For example, when brands have access to more accurate forecasting, they can reduce the likelihood of excess inventory and returns, which in turn allows for more efficient use of materials and a reduction of waste. Artificial Intelligence, such as chatbots, touchscreens, and customizable designs by the consumer, enhance the customer’s shopping experience while accurately predicting trends, analyzing massive amounts of data, and therefore boosting sales. AI and advanced technologies can “allow for more efficient use of materials and cutting down on the volume of wasted resources — a historical problem in fashion supply chains”. When paired with AI’s powerful trend forecasting tools, inventory tracking can have real-time accuracy, giving brands a significant competitive advantage while reducing waste.
While AI is one example of how technology can reduce discarded products in manufacturing, there are many other technologies that can help reduce waste in each step of the fashion supply chain.
Use of 3D technology becoming a reality in fast fashion industry:
Over the past few years, brands have begun to explore 3D printing to create more personalized products at higher speed. As consumer demand grows for more current and trendy products delivered at breakneck speed, 3D printing has become a possible solution. Apparel brand Adidas (and others) has begun producing sneaker soles and custom knitwear using 3D printing, which allows the athleisure giant to bypass traditional prototypes and fittings while reducing their fabric waste by nearly 35%. Fashion Institute of Technology associate professor of Fashion Business Management Shawn Carter says, “This generation is very conscious of doing the right thing… They are holding these fashion supply chains accountable for making sure that it’s environmentally responsible, making sure it’s not made in sweatshop factories.” 3D printing delivers the speed and affordability consumers and retailers want, while at the same time reducing waste.
It is therefore obvious that technology is key to driving the visibility, speed and accuracy required to adapt to evolving customer demands and a changing competitive landscape. Better supply chain management helps get products to customers faster, which boost profitability. Vendors taking advantage of a cohesive end-to-end Supply Chain Management technology platform will be able to bring a higher quality product to market faster than ever before, with less waste and fewer returns. Fewer returns means less waste and which eventually means reduced environmental impact.