Less predictable, more demanding consumers.
New fashion consumers are feeling increasingly comfortable with digital interactions and online purchases. Encouraged by new technologies, needs and behavior patterns of clients, they are becoming more and more sophisticated and, while brands are constantly trying to keep up with them, they are increasingly harder to predict.
The ‘always on’ client
By being ‘always on’, customers are more knowledgeable and in contact with other consumers. Thus, they are more aware of the brands’ values and authenticity, and they have certainly become, as we mentioned before, less predictable and more demanding. This is a customer with a novel profile who is globally and constantly connected, has immediate access to information, selects a mix of products from different companies, has no brand loyalty, makes purchases in different segments of the market, wishes customization and is connected to deeply rooted values.
Discovering the current desire of a client presents a huge opportunity.
What at first sight looks like a tough challenge is nothing but an excellent opportunity for those brands that manage to discover what the consumer wants and desires at this very moment. As costumers use technology to improve their shopping experience, companies need to leverage this situation to obtain more information and create defined profiles of their own clients. Now more than ever, fashion brands need to have a global perspective of their costumers to understand what they want, what they like and how they buy.
Most probably, from now on, the winning brands will be those who invest in innovation and the right technology to help them understand and cater to the current, unmet needs of consumers.
Immediate gratification is a synonym to speed in the supply chain
A more demanding customer and the fashion brands permanent attempt to create additional demand have forced the supply chain to increase the speed of product delivery. Companies try to boost sales by responding quickly to the demands of the end customer.
This system does not show any sign of slowing down; on the contrary, brands have jumped into the digital era and never looked back, whether by creating immediate gratification or new distribution channels. For example, global customers have virtual access to fashion runways and they purchase items from the collection online under the new system of “see-now, buy-now”.
Innovative online sales platform positioning
During the last year, we have seen digital strategies and platforms develop, become more sophisticated and integrated. One of the clearest examples is Amazon, which has emerged strategically in the fashion business thanks to its own, growing skills. Amazon already owns seven fashion labels sold exclusively on their website.
It is quite evident that online purchases are boosting the competitive DNA of the fashion industry, changing again its life-cycle; we see the rise of the innovative use of digital tools to engage customers in a new way, with goal of increasing sales. All these changes have direct impact on the supply chain of the brand, its offices in origin and its usual suppliers.
A new model of product design spawns a change in the fashion cycle.
At this point, a series of totally disruptive consequences for the sector can be distinguished. We will analyze them through these questions that we will answer in the next article in the blog.
What competitive advantage does an online sales platform have over traditional brands to “produce fashion” and be successful?
Why will this new model alter the cycle of fashion and change forever product creation and its supply?
Why will a large portion of the fashion industry –most likely—focus on trends defined by this company and its brands?
Let’s meet again in the next article to analyze these disruptive changes in our exciting fashion industry.
See you then! Thanks!
This article was originally published in Modaes.es Blog.