As the fashion industry moves towards fast fashion, global apparel companies are facing huge pressure for producing more products in less time and at lower costs. The traditional methods no longer meet these expectations. New technologies are emerging that can automate existing manual processes and achieve the desired efficiencies. Some of these tools are built on emerging technologies like AI and ML, thatare transforming the fashion industry’s approach to supply chain operations and control.
We are listing the top trends that will play a significant role in shaping the future of the fashion supply chain in 2022. The top 5 trends likely to disrupt the fashion business in the coming year are:
Nearshoring in the garment industry refers to a practice of transferring business operations to a nearby location which was earlier done in some other parts of the world due to any reason like cheaper labor, availability of raw materials, outsourced to distant, etc. By doing so, companies are more likely to reduce shipping costs and high taxes levied as per the international norms. The rise in e-commerce and online sales have also made it easier for companies to shift to this new trend as there is no geographical restriction on the end consumers.
2. Micro Brands
This new trend called Micro Brands refers to small-scale brands with geographical or market-specific focus. They have a targeted niche market and use personalization to appeal to the specific interests of this niche audience. They use influencers on social media as a part of their marketing campaigns and gain loyal followers.
As consumers become more and more environmentally conscious, fashion brands need to find sustainable ways to produce garments and leverage technology for achieving sustainability in the fashion supply chain. With advancements like virtual audits, sustainable sourcing, and buying closer to the market, fashion companies are reducing carbon footprints, air freight and ultimately taking a bold step towards sustainability in the industry.
With the rise in consumer interest in product information, brands are using traceability as a tool to educate the end-user through product tags. The entire product journey can be traced from fiber to finished garment and hence bringing transparency to the entire supply chain. Doing so will gain the support of sustainability-friendly and ethical inclined consumers who are concerned about how garments they plan to purchase were sourced and produced.
5. Fashion for the Metaverse
As the world moves towards more and more Zoom calls, virtual classes and online concerts, people have started paying attention to what their virtual avatar looks like. The collaboration of fashion with the gaming industry has taken this trend to another level for Gen-Z. Brands like Balenciaga and Fortnite have already entered this space.
As a result of a continuing pandemic, partial lockdowns across affected geographies and increasing supply chain disruptions, we will see even more irregularities emerging shortly. Technological advancements and data-led insights can help apparel companies in making the fashion supply chain fit for the future.