Consumer demand for digital, sustainability and engaging experiences are driving new trends and creating new growth opportunities for fashion businesses to explore.
Fashion executives are optimistic about the year ahead, with sales expected to pick up as consumers unleash their pent-up desire to shop. But in such a competitive market, retailers must explore new ways to differentiate themselves, with digital, sustainability and consumer engagement viewed as the greatest opportunities for brands to explore. From the emerging multiverse to augmented reality dressing rooms and green materials, discover the latest trends transforming fashion retail and how forward-thinking brands are already capitalizing.
Fashion executives are optimistic about the year ahead, with sales expected to pick up as consumers unleash their pent-up desire to shop. But in such a competitive market, retailers must explore new ways to differentiate themselves, with digital, sustainability and consumer engagement viewed as the greatest opportunities for brands to explore. From the emerging multiverse to augmented reality dressing rooms and green materials, discover the latest trends transforming fashion retail and how forward-thinking brands are already capitalizing.
Fashion sales are tipped to gather momentum in 2022 as consumers make up for lost time. This will be driven by Gen Z shoppers, who have demonstrated the strongest appetite for leisure spending during the pandemic recovery, with fashion at the top of their shopping lists.
Industry executives view digital (32%), sustainability (12%), and consumer engagement (11%) — which reflect the desires and values of these young consumers — as the biggest opportunities for fashion in 2022, according to McKinsey’s ‘The State of Fashion 2022’ report.
While digital and sustainability have been priorities for fashion retail for a number of years, consumer engagement represents a new opportunity, reflecting the growing importance of customer experiences — both online and offline — as a way for brands to differentiate themselves in the competitive fashion market.
With a focus on meeting increased demand for inclusivity and personalization through technology, ethical and eco-friendly business practices, and engaging customer experiences, these are the trends set to shape the future of fashion retail.
Our digital environments are beginning to evolve from 2D, linear spaces into multi-dimensional, 3D worlds. With young consumers spending vast amounts of time exploring these emerging online spaces — from virtual reality environments to popular online games such as Roblox — the metaverse is tipped for exponential growth in the coming years.
As these online worlds materialize, users will desire to personalize their online personas, offering new opportunities for fashion to explore.
With 63% of Gen Z consumers expressing a strong interest in the metaverse and among those the most likely to spend on digital garments, according to Sina, many brands are already starting to explore this trend, partnering with leading video game developers to bring their garments to the online world. Fortnite players can now dress their avatar in trendy Balenciaga outfits, while Roblox players spend thousands on virtual Gucci accessories.
Others are venturing into Non-fungible tokens (NFTs) — virtual assets, which govern ownership of digital items such as images, videos, or in-game items — with brands such as Dolce & Gabbana generating millions from exclusive digital collections. Meanwhile, emerging trendsetters such as DressX and The Fabricant, are showcasing the potential of digital garments that customers can ‘wear’ through augmented reality (AR).
Today, many consumers turn to social platforms in search of support and guidance, analyzing the outfits of influencers on Instagram and TikTok, combing through user-curated boards on Pinterest, and sending snaps through Snapchat asking for advice.
The pandemic has accelerated reliance on social media, with 74% now more influenced to shop through these channels than they were before the pandemic, according to Business of Fashion (BOF) and McKinsey, while 70% highlighted clothing as the product they shop for most.
As consumers explore new social shopping channels, annual social commerce sales are expected to surge by 51% in the US over the next two years, reaching $56bn. By 2027, worldwide social commerce sales are estimated to total $600bn.
The demand for personalized retail experiences is growing. Some 80% of consumers now expect retailers to accommodate their preferences, with brands turning to technology to reshape their customer experience (CX).
Artificial intelligence, in particular, is playing a leading role. In stores, trendsetters such as Amazon are exploring the potential of cashier-less checkouts that streamline the buying process. This technology tracks customers, recognizes the products they select, and bills them automatically as they leave.
Online AI technology is providing new, efficient ways to communicate with customers. Chatbots, for instance, can now answer customer queries and help them find products instantly without the support of a customer service operator. Through the KIK messaging platform, H&M’s chatbot asks customers questions about their clothing preferences and provides personalized recommendations based on their responses. With 40% of Gen Z and Millennial customers preferring to speak to a chatbot over a human representative when in a hurry, according to Zendesk, the demand for these solutions is growing.
Likewise, the number of voice assistants in use globally is set to double from 4.2bn in 2020 to 8.4bn in 2024, with 43% of those with access to the technology using it to shop, according to Review42. Last year, Amazon began to allow a select few industries to create their own intelligent assistants powered by its Alexa voice technology. In the fashion space, the leading retailer envisions an online clothing shopping experience where customers can seek styling advice and recommendations through voice features created by brands. Voice e-commerce could be big business in the coming years, with transactions reaching $19.4bn by 2023, according to Juniper Research.
Mobile body scanning technology is also having a transformative impact on businesses of all shapes and sizes. Solutions such as Mobile Tailor, which allows businesses to collect body measurements contactless and remotely using just two photos of the customer, are enabling made-to-measure businesses to expand their reach and provide a safe and comfortable in-store measuring process. Likewise, solutions such as YourFit are overcoming fashion e-commerce’s sizing challenges by matching online shoppers with their perfect size and fit.
Fashion’s struggles with sustainability are well documented: A leading cause of harmful emissions, shocking water consumption, and approximately 40 million tonnes of textile waste each year. With half of young consumers planning to buy fewer, better quality garments, the industry must explore slow, sustainable and circular manufacturing processes and materials.
Sustainability-focused retailers such as the Pangaia are exploring the potential of alternative textiles. The London-based apparel brand recently introduced two 100% bio-based alternatives to its material line-up — “PlntFiber” and “FrutFiber” — made from renewable and biodegradable plant blends and agricultural waste. Many are beginning to work with natural fibers, such as hemp, bamboo and ramie as cotton alternatives. Meanwhile, brands such as Stella McCartney have pioneered closed-loop solutions using innovative materials such as bio-based fur, which requires up to 30% less energy to produce and causes 63% less greenhouse gas than conventional synthetics. Likewise, leather alternatives, such as muskin, are helping to reduce the use of environmentally-damaging chemicals during production.
In 2022, plenty more will look to improve their sustainability credentials, with 60% of fashion executives planning to invest in closed-loop recycling next year, according to McKinsey.
Regulatory action will only increase the sense of urgency. In January, the New York State Senate unveiled the ‘Fashion Sustainability and Social Accountability Act’, which, if passed, will require global apparel and footwear companies with revenues exceeding $100m doing business in the state to map their supply chain, disclose their environmental and social footprint, and set out plans to reduce their impact. Likewise, businesses would also have to disclose their material production volumes and make this information available online, providing many companies with the push they will need to clean up their supply chains.
In order to improve sustainability and transparency while tackling long-standing issues such as counterfeiting, brands plan to invest in solutions that will help maintain and share product information digitally.
Known as ‘product passports’, these solutions leverage technologies such as blockchain, radiofrequency identification (RFID), QR codes and near-field communication (NFC) to assign a unique identifier to each garment, store valuable information, and enable access to that information over the web.
Product passports can store information on materials, how and where a garment was made, and working conditions in said factories, offering greater transparency to eco- and ethically-conscious partners and customers.
Using systems such as Eon’s Connected Product Platform, retailers such as Net-a-Porter are assigning ‘Digital IDs’ to their products, which customers can scan to access information on provenance and design, and instructions on maximizing the longevity of the garment. Over the next 12 months, this application will become far less niche, with 40% of fashion executives planning to adopt product passports in 2022.
Some 42% of insiders rate fashion’s performance as ‘poor’ or ‘very poor’ in prioritizing diversity and inclusivity (D&I) as a core value, according to BOF. However, there are signs of positive change — A recent Council of Fashion Designers of America survey found most industry employees believe fashion’s attitudes towards D&I are ‘evolving’ and ‘improving’.
But there’s still plenty to improve. In 2021, plus-size clothing made up just 21% of the US fashion market, despite 70% of women wearing size 14 and up, according to Coresight Research. This represents a huge growth opportunity for brands. However, in the years ahead, improving D&I will be less about growing profits and more about sustaining them. According to McKinsey, 75% of young consumers will boycott brands that they judge to discriminate against races or sexualities, for instance.
Brands such as 1822 Denim are leading the way in creating a more inclusive fashion industry, offering 100 different styles in sizes ranging from 00 to 24W. Using 3DLOOK’s YourFit, 1822 Denim customers can scan their body and receive a tailored size and fit recommendation, helping those that have long been overlooked to find garments they love.
These trends will shape the future of fashion retail, but why wait to make changes that will help to make the industry more green, personal and inclusive?
Using tools such as YourFit, businesses can implement positive digital transformation in fashion retail today. Combining personalized size recommendations with virtual try-on technology and body data analytics, retailers can overcome the consumer sizing challenge, provide a fun and engaging shopping experience, and lead the way in sustainable practices — all through one easy-to-implement solution.
Tackle inefficiencies in fashion and do your part to create a better tomorrow — Speak to a 3DLOOK expert to find a solution that supports your brand goals and objectives.
Cookie | Duration | Description |
---|---|---|
__hstc | 1 year 24 days | This cookie is set by Hubspot and is used for tracking visitors. It contains the domain, utk, initial timestamp (first visit), last timestamp (last visit), current timestamp (this visit), and session number (increments for each subsequent session). |
_ga | 2 years | This cookie is installed by Google Analytics. The cookie is used to calculate visitor, session, campaign data and keep track of site usage for the site's analytics report. The cookies store information anonymously and assign a randomly generated number to identify unique visitors. |
_gat_UA-92309701-1 | 1 minute | This is a pattern type cookie set by Google Analytics, where the pattern element on the name contains the unique identity number of the account or website it relates to. It appears to be a variation of the _gat cookie which is used to limit the amount of data recorded by Google on high traffic volume websites. |
_gcl_au | 3 months | This cookie is used by Google Analytics to understand user interaction with the website. |
_gid | 1 day | This cookie is installed by Google Analytics. The cookie is used to store information of how visitors use a website and helps in creating an analytics report of how the website is doing. The data collected including the number visitors, the source where they have come from, and the pages visted in an anonymous form. |
_hjFirstSeen | 30 minutes | This is set by Hotjar to identify a new user’s first session. It stores a true/false value, indicating whether this was the first time Hotjar saw this user. It is used by Recording filters to identify new user sessions. |
hubspotutk | 1 year 24 days | This cookie is used by HubSpot to keep track of the visitors to the website. This cookie is passed to Hubspot on form submission and used when deduplicating contacts. |
Cookie | Duration | Description |
---|---|---|
__hssrc | session | This cookie is set by Hubspot. According to their documentation, whenever HubSpot changes the session cookie, this cookie is also set to determine if the visitor has restarted their browser. If this cookie does not exist when HubSpot manages cookies, it is considered a new session. |
cookielawinfo-checbox-analytics | 11 months | This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics". |
cookielawinfo-checbox-functional | 11 months | The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional". |
cookielawinfo-checbox-others | 11 months | This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other. |
cookielawinfo-checkbox-advertisement | 1 year | The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Advertisement". |
cookielawinfo-checkbox-necessary | 11 months | This cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary". |
cookielawinfo-checkbox-performance | 11 months | This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance". |
JSESSIONID | session | Used by sites written in JSP. General purpose platform session cookies that are used to maintain users' state across page requests. |
viewed_cookie_policy | 11 months | The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data. |
Cookie | Duration | Description |
---|---|---|
__hssc | 30 minutes | This cookie is set by HubSpot. The purpose of the cookie is to keep track of sessions. This is used to determine if HubSpot should increment the session number and timestamps in the __hstc cookie. It contains the domain, viewCount (increments each pageView in a session), and session start timestamp. |
bcookie | 2 years | This cookie is set by linkedIn. The purpose of the cookie is to enable LinkedIn functionalities on the page. |
lang | session | This cookie is used to store the language preferences of a user to serve up content in that stored language the next time user visit the website. |
lidc | 1 day | This cookie is set by LinkedIn and used for routing. |
Cookie | Duration | Description |
---|---|---|
_fbp | 3 months | This cookie is set by Facebook to deliver advertisement when they are on Facebook or a digital platform powered by Facebook advertising after visiting this website. |
bscookie | 2 years | This cookie is a browser ID cookie set by Linked share Buttons and ad tags. |
fr | 3 months | The cookie is set by Facebook to show relevant advertisments to the users and measure and improve the advertisements. The cookie also tracks the behavior of the user across the web on sites that have Facebook pixel or Facebook social plugin. |
IDE | 1 year 24 days | Used by Google DoubleClick and stores information about how the user uses the website and any other advertisement before visiting the website. This is used to present users with ads that are relevant to them according to the user profile. |
personalization_id | 2 years | This cookie is set by twitter.com. It is used integrate the sharing features of this social media. It also stores information about how the user uses the website for tracking and targeting. |
test_cookie | 15 minutes | This cookie is set by doubleclick.net. The purpose of the cookie is to determine if the user's browser supports cookies. |
Cookie | Duration | Description |
---|---|---|
_ga_NXNB16WGX6 | 2 years | No description |
_hjAbsoluteSessionInProgress | 30 minutes | No description |
_hjid | 1 year | This cookie is set by Hotjar. This cookie is set when the customer first lands on a page with the Hotjar script. It is used to persist the random user ID, unique to that site on the browser. This ensures that behavior in subsequent visits to the same site will be attributed to the same user ID. |
_hjIncludedInPageviewSample | 2 minutes | No description |
_lfa | 2 years | This cookie is set by the provider Leadfeeder. This cookie is used for identifying the IP address of devices visiting the website. The cookie collects information such as IP addresses, time spent on website and page requests for the visits.This collected information is used for retargeting of multiple users routing from the same IP address. |
_pin_unauth | 1 year | No description |
_pinterest_ct_ua | 1 year | No description |
AnalyticsSyncHistory | 1 month | No description |
RUL | 1 year | No description |
UserMatchHistory | 1 month | Linkedin - Used to track visitors on multiple websites, in order to present relevant advertisement based on the visitor's preferences. |