More than 60 percent of fashion executives believe creating integrated digital processes throughout their organizations will be among their top five areas for digitization as they look to 2025. Entre abril e julho de 2022, quase trs quartos dos consumidores nos EUA procuraram marcas lower-cost ou produtos de baixo preo. The Virtual Economy, LAtelier, 2022. The industry is clearly chasing opportunities, and we would hope that in the way the pandemic is becoming endemic, there will be new appetite for dressing up, partying and there will be occasions for it, said Berg. In addition to this, diversifying sourcing is still a crucial goal for fashion companies, since COVID showed that you cannot put all of your eggs in one basket and be confident that your supply chain is stable. Muitos consumidores vo, provavelmente, fazer compras em retalhistas com preos mais baixos e lojas discount. McKinsey analysis shows that fashion companies that now embed AI into their businesses models could see a 118 percent cumulative increase in cash flow by 2030. To make that vision a reality, decision makers may need to optimize their data and analytics capabilities and roll them out at scale. Lowered barriers and reduced tariffs is also good for fashion companies and customers. Im pretty sure it is more expensive which is why everyone wants to have their clothing manufactured in third world countries because of cheap labor. 14th December at 15:00 GMT / 10:00 EST. EXECUTIVE SUMMARY 1011. McKinsey_Website_Accessibility@mckinsey.com, Connected world: An evolution in connectivity beyond the 5G revolution. Overall, I really enjoyed learning about what to watch out for in the future of fashion but also studying how COVID has made a huge impact on the fashion industry as a whole. O mercado de luxo no Conselho de Cooperao do Golfo (CCG) dever gerar 11 mil milhes de dlares de vendas em 2023, com 60% dos gastos em luxo pelos consumidores do CCG a ocorrerem internamente. Find a . The article mentions nearshoring and reshoring. The operational potential of technology is becoming ever more apparent. Contudo, uma srie de desafios sem precedentes esto a pr em causa esta tendncia e a travar o crescimento medida que o ano avana. McKinsey Global Digital Sentiment Insight Survey, 2021. Like stated in this blog article we can see supply chain disruption continuing in the near future which will create shipping delays going forward. NORTHAMPTON, MA / ACCESSWIRE / December 8, 2022 / Tapestry, Inc.: The seventh annual State of Fashion report by The Business of Fashion and McKinsey & Company was released at the end of November . Fashion companies are gearing up for these challenges, but will they be able to afford to keep up the current pace? Widening income inequality and other demographic pressures in 2022 could exacerbate the already uneven global economic recovery from the pandemic. Connected stores. Click here to read our full analysis. A combinao da guerra na Ucrnia com a crescente inflao e as presses na cadeia de abastecimento est a criar um cenrio sombrio para o ano que se avizinha, no que diz respeito indstria da moda. For Ciscos 2022 projection, see Cisco Visual Networking Index: Global mobile data traffic forecast update, 2017-2022, Cisco, February 2019. By adopting digitally enabled value chain solutions, brands could see a 50 percent reduction in time to market, an 8 percent rise in full-price sell-through, and a 20 percent decline in manufacturing costs, our analysis shows. On the latest edition of BoF LIVE, BoF founder and chief executive Imran Amed and Achim Berg, senior partner, global apparel, fashion and luxury group lead at McKinsey & Company unpack findings from The State of Fashion 2022: Global Gains Mask Recovery Pains and talk recovery strategies as well as what opportunities and challenges fashion leaders should be on the lookout for. For example, as logistics challenges persist in the new year, such as unpredictable pressures on freight services, ports, and terminals, will we perhaps start to see the fast fashion cycle get slower? (LogOut/ The sixth report produced by BoF and McKinsey & Company's The State of Fashion 2022 forecasts a year of recovery, challenge, and change; although "uncertainty", as expressed in the 2021 report, still lingers in the minds of the 222 international fashion executives and experts surveyed. It is up to everyone involved in the supply chain process to adapt to new processes and mold strong relationships to become more flexibile during this troubleing times. 5 As I learned in the class, it has a huge impact on global trade and apparel sourcing. In the year ahead, companies will unlock new money-making and brand-building opportunities in the digital world, improve . Metade dos consumidores da Gen-Z adquiriram moda fora da sua identidade de gnero. Recovery from Covid-19-related economic shocks will be uneven across fashions consumer and sourcing landscapes, leading international industry players to reassess local conditions as well as market-specific risks and opportunities. The pandemic also boosted digital brand relationships, with 72 percent of customers reporting they interacted with brands online in 2021. As apparel is a buyer-driven industry, fashion brands and retailers fully understand the importance of catering to consumers needs. The marketing value of digital fashion and nonfungible tokens (NFTs) may now be clear, but fashion brands will need to separate the concrete opportunities from the hype to generate sustainable revenue streams presented by growing consumer engagement with the metaverse. 8. The fifth annual State of Fashion report by The Business of Fashion and McKinsey & Company forecasts that the global fashion industry will find its feet agai. 1 5. 10. I am also not surprised to see that hyper digital technology is being used to find efficient supply chain decisions and I feel that this will become the normal as technology advances and e-commerce overtakes physical retail. I also agree that fashion companies may still have to deal with a highly volatile and uncertain market environment in 2022, as COVID-19 sets the agenda. In response to the new normal, fashion companies may find it essential to strengthen the relationship with key vendors further. If brands were sourcing from nearby, their transportation would produce much less of an environmental footprint and would help make brands more sustainable. A The Business of Fashion (BoF) e a McKinsey & Company lanaram o relatrio The State of Fashion 2023, no segundo dia do VOICES, encontro anual da BoF para os grandes pensadores da indstria. Lastly, technology is an important new innovative way for countries and production centers to gain a competitive advantage. The State. Um tero dos executivos de moda citam os desafios aos canais de venda direta ao consumidor como um dos principais temas que ter impacto nos seus negcios no prximo ano. A educao e a formao geram entre duas vezes e meia a trs vezes mais retorno do investimento do que o recrutamento, impulsionando a motivao empresarial para investir nas lacunas de competncias da mo-de-obra existente. McKinsey Apparel CPO Survey 2021. I think that keeping the supply chain flexible and diverse is key to success in the upcoming year because the pandemic showed that you cannot rely on a couple people, you need to develop strong connections and long term relationships. 9 Over 70% of respondents plan to increase the share of nearshoring close to company headquarters, and about 25% intend to reshore sourcing to their headquarters country. The State of Fashion 2022: Global Gains Mask Recovery Pains. O PIB global dever cair para cerca de 2,5% em 2023, e a ameaa de recesso aproxima-se de muitas das principais economias. In December 2021, McKinsey & Co and Business of Fashion (BOF) released its annual State of Fashion report. Traceability first. 9. In the year ahead, as restrictions ease in some geographic areas, digital interactions will likely stabilize at about 66 percent on average. Click The pandemic has issued an enormous problem regarding efficiency and consumer demands. Companies are adapting to new consumer priorities, and digital is . 1. Embora o relatrio preveja um abrandamento global para a indstria, existem algumas oportunidades. The way consumers shop has changed as well and it is important to keep that in mind when going into the 2022 year. Fabrico Prova do Futuro: 65% dos executivos de moda esto a considerar a possibilidade de nearshoring para criar novos centros dedicados a servir os seus mercados domsticos de consumo. According to The State of Fashion report, these will be the ten key trends that will set the agenda in 2022 for the fashion industry: 1. The more developed and technologically advanced countries (China) will be leaders and suppliers for lesser developed countries (Vietnam) while their economic and textile and apparel sectors continue to grow and develop. Moda Fluida: medida que as diferenas entre roupa masculina e feminina diminuem, as marcas tm uma oportunidade de repensar os processos e operaes comerciais a fim de explorar esta evoluo. Apesar disso, o The State of Fashion 2023 indica que a indstria aumentou a resilincia para enfrentar estas presses. The State of Fashion 2022: Global Gains Mask Recovery Pains, How the Global Wealth Gap Will Impact Fashion, The Year Ahead: Navigating Fashions Uneven Recovery, The Year Ahead: Building Brands With a Metaverse State of Mind. Reviso Organizacional: 55% dos executivos apontam a crise de talento como um dos principais fatores de impacto nos seus negcios em 2022. Textile and Apparel Manufacturing: Output, Employment, and Trade (Updated May 2022), US-China Tariff War and Apparel Sourcing: A Four-Year Review, Outlook 2023 Key Issues to Shape Apparel Sourcing and Trade, Outlook 2023 Key Issues to Shape Apparel Sourcing andTrade, Video Discussion: Textile Manufacturing in America, post-globalisation, WTO Reports World Textiles and Clothing Trade in2021, FASH455 Industry/Internship StoriesAlly Botwinick, American Apparel and Footwear Association(AAFA), Modaes (Spain) Exclusive Interview about the Latest Global Apparel Trade and Sourcing Trends (October2022), 2022 WTO Public Forum: Resilient and Sustainable Fashion Apparel Supply Chain: Trade and TradePolicy, US-China Tariff War and Apparel Sourcing: A Four-YearReview, Utilization of US Trade Preference ProgramsWhy Fashion Companies Make the Sourcing Decisions They Do? In 2021, fashion companies invested between 1.6 and 1.8 percent of their revenues in technology.By 2030, that figure is expected to rise to between 3.0 and 3.5 percent. McKinsey_Website_Accessibility@mckinsey.com. The pandemic is not gonna be over in the near future. Amid demand for products such as virtual fashion and NFTs, fashion companies focused on metaverse innovation and commercialization could generate more than 5 percent of revenues from virtual activities over the next two to five years. #3 The interest in nearshoring and reshoring will continue in 2022. Its the largest free trade agreement in history, involving nearly 30% of the worlds population. The global surges in demand create additional and unpredictable pressures on freight services, ports, and terminals. I would like to hear other peoples opinions on this matter so feel free to reach out or reply to this comment. 4. Lauren Thomas, Target CEO says cost of handling online orders drops 90% when shoppers use same-day options, CNBC, November 20, 2019. Brands could consider joining forces with peers, start-ups, and industry bodies to establish a common data standard and to share data and knowledge via software platforms, open ledgers, and big data technologies. As receitas globais cresceram 21%, em 2021, e continuaram a subir no primeiro semestre de 2022, em 13%. 39% dos executivos de moda esperam que as vendas de roupa para ocasies especiais estejam entre as trs principais categorias de crescimento em 2023. McKinsey Apparel CPO Survey 2021. For additional info aboutbof 3 know-how - The State of Fashion 2022: Global Gains Mask Recovery Pains | The Business of Fashion. Agenda-setting intelligence, analysis and advice for the global fashion community. I agree with it. For more information read our Terms & Conditions. Download the full report to understand the 10 themes that will define the industry in the year ahead and how to navigate the currents . Looking ahead, the impact of technology on peoples lives may accelerate. Lauren Thomas, Target CEO says cost of handling online orders drops 90% when shoppers use same-day options, CNBC, November 20, 2019. Novas regulamentaes que probam o greenwashing exigem uma maior vigilncia por parte das marcas sobre a informao de sustentabilidade que partilham. Por exemplo, em Frana, a nova legislao prevista para 2023 ir exigir que as marcas coloquem etiquetas no vesturio e nos txteis com a pontuao ambiental de cada artigo, a fim de ajudar os consumidores a tomarem decises de compra mais informadas. Despite the initial situation, the report states that the fashion industry is set to recover during 2022. Imran Amed is the founder, editor-in-chief, and CEO of the Business of Fashion and an alumnus of the London office. (LogOut/ 79% dos executivos de vesturio e calado dos EUA classificam os meios de comunicao do retalho como o canal de marketing mais eficaz. O documento evidencia que a indstria da moda est a caminhar para uma desacelerao global. Today Google released its Year in Search 2022 report, in which, unsurprisingly, there were lots of searches for Wordle, Queen Elizabeth II and Euphoria, but naturally it's the styling searches that we really honed in on. 2. (Photo by Jordan Strauss/ Entertainment Enquanto os compradores com elevados rendimentos e poupanas, acesso ao crdito e maior segurana no emprego vo continuar a gastar em moda, os consumidores de rendimentos mais baixos vo reduzir ou cortar nas despesas discricionrias. #5 There is a significant opportunities in creating a hyperdigital supply chain. Some companies are leveraging technology to findcompetitive advantages in a supply-chain context when it comes to speed, agility, cost efficiency, and price. However, fashion companies admit, it will remain challenging to plan inventory flow with much precision, which wont change any time soon. With them joining RECP this promotes intercontinental trade between Asia and will make obtain products from the US less desirable and well as working will them because they do not receive the the highest benefit. It is a major stressor for many companies and consumers alike that within the upcoming months and entering 2022 we will not see much of a change with the supply chain crisis. Many weaknesses surfaced. Como nos relatrios anteriores, os 10 temas-chave descritos na edio mais recente ajudaro a indstria a moldar as estratgias para 2023., Ana Paula Guimares, scia na McKinsey & Company, afirma que a indstria de moda estava a recuperar da COVID-19, com a receita global a crescer 21% em 2021, e a margem EBITA mdia a subir 6 pontos percentuais, no entanto, a deteriorao das condies macroeconmicas e geopolticas est a ter um forte impacto na indstria no segundo semestre de 2022. Digital tools and analytics have transformed key parts of the fashion value chain, but these optimizations are often siloed within organizations, limiting the potential of cross-functional improvements. https . Even though they are not a perfect solution since the cost would be great and the abundance of materials cannot be made sure, they are still better than the current interruptions. I wonder if consumers would be upset or if it might allow consumers and brands to breathe a little bit more and not focus on getting new items so quickly. Fragilidade Global: Uma srie de fatores desestabilizadores, incluindo o aumento das tenses geopolticas, continuam a enfraquecer uma economia mundial j frgil, prevendo-se que o PIB global desa para cerca de 2,5% em 2023. I found the expected state of fashion in 2022 to be very interesting but was not surprised with the information presented. In 2021, people spent on average just below four hours on their mobile phones, which includes about two and a half hours of scrolling though social media. The BoF Show with Imran Amed; The State of Fashion; Careers. The report, the sixth in our series, discusses the major themes shaping the fashion economy and assesses a range of possible responses. McKinsey estimate based on expert interviews and inputs. This may enable customers to routinely access curated websites and marketplaces, from landing pages to payments. Roupa Formal Reinventada: Espera-se que o vesturio formal para ocasies especiais seja a categoria de moda mais resiliente, com o aumento da preocupao dos consumidores com a forma como se vestem para o escritrio e eventos especiais. Of all the technology-based evolutions affecting the fashion industry, one of particular interest is virtual worlds, also known as the metaverse. I wonder how companies will transform their shipment strategies as the disruption continues and how this will affect the way consumers are able to shop. McKinsey estimate based on Ciscos projections through 2022 and extended to 2030. But, it will require agility to deal with that.. Transportation, as we can see in companies sourcing maps, can be extremely harsh to the environment and extremely expensive for brands to upkeep. In the final session of BoF's annual gathering, speakers from model Dennis Okwera and Coty chief Sue Y. Nabi to Nike's Larry Miller and activist Malala Yousafzai reflected on their personal histories and inner powers. BoF and McKinseys annual State of Fashion report forecasts that global fashion sales will surpass their pre-pandemic levels in 2022 after revenues and economic profit fell sharply at the onset of the pandemic. It is obvious that the COVID-19 pandemic has disrupted supply chains and thrown the fashion industry for a total loop. Soon after, more than 75 percent of enterprise-generated data could be processed by cloud or edge computing. Download the report to understand the 10 themes that will define the state of the . Ao mesmo tempo, 79% dos executivos de moda apontam a falta de normas a nvel da indstria que os ajudem a avaliar o seu desempenho em termos de sustentabilidade como o maior obstculo para melhorar a forma como os consumidores encaram os seus esforos. BoFs Imran Amed and McKinseys Achim Berg unpack the report, and talk recovery strategies, as well as what opportunities and challenges businesses should be on the lookout for. COVID 19 has complicated several main pieces of the fashion industry, sourcing being one of the main parts effected. In the year ahead, companies will unlock new money-making and brand-building opportunities in the digital world, improve sustainability through closed-loop design strategies, which repeatedly recycle textiles so they remain in constant circulation, and emerging technologies like product passports digitised labels which use blockchain and the likes of QR codes to allow consumers access to information about a products materials, manufacturer and other sustainability credentials. However, the industrys recovery will continue to be uneven, presenting problems for fashion players including supply chain headwinds and various market and macroeconomic risks. Im not entirely sure and I cant wait to hear what you guys have to say. RCEP will definitely see a trend like the flying geese model and will bring stability and product across the global during the pandemic. Kasey Panetta, Gartner top strategic technology trends for 2021, Gartner, October 19, 2020. I am interested to see how RCEP will effect the global supply chain, as it is said to be the largest incoming free trade agreement. For many fashion brands, highly personalized customer experiences are a cornerstone of their digital businesses. The fashion industry relies heavily on global sourcing. Connected world: An evolution in connectivity beyond the 5G revolution, February 20, 2020. Well I think its interesting to talk about the trend of reshoring and nearshoring continuing in the next year. Due to the COVID-19 Pandemic, these sourcing trends do not come as a surprise. Shipping Crisis and Supply Chain Disruptions: Impacts on Apparel Sourcing and Trade (updated December2021), Video Discussion: How Amazon Beat Supply Chain Chaos With Ships, Containers andPlanes, Global Apparel Sourcing Practices and Trends, Textile and Apparel Industry Around the World, Global Apparel Sourcing Practices andTrends, Textile and Apparel Industry Around theWorld, Timeline of Trade Policy in the Biden Administration (2021present), Timeline of Trade Policy in the Trump Administration(2017-2021), Minimum Wage Level for Garment Workers in the World (Updated in December 2020), US Apparel Imports Face Growing Market Uncertainties (Updated: June 2022), Statistics: Global Apparel Market 2021-2026, Video discussion: How Fashion Companies Design Products To Avoid Tariffs, WTO Reports World Textiles and Apparel Trade in 2020, State of U.S. BoF and McKinsey's annual State of Fashion report forecasts that global fashion sales will surpass their pre-pandemic levels in 2022 after revenues and economic profit fell sharply at the onset of the pandemic. It presents many aspects of fashion . One of the few certainties in fashion is that nothing stays the same, and the opportunities offered by technology are continuing to evolve as some markets look to move beyond the challenges posed by the COVID-19 pandemic. 4 In 2021, fashion companies invested between 1.6 and 1.8 percent of their revenues in technology. With covid-19 and the Hugo boss article, will there be a trend of fashion companies owning production facilities to have more control of production due to the uncertainty? McKinsey Global Digital Sentiment Insight Survey, 2021. A proporo de empresas destruidoras de valor (ou seja, aquelas que registam resultados negativos) est agora no seu ponto mais baixo desde 2013. Dec 10, 2022. 10 Kasey Panetta, Gartner top strategic technology trends for 2021, Gartner, October 19, 2020. As a result, fashion companies may need to plan for a permanently more expensive logistical future., #2 It will be critical for fashion companies to keep sourcing flexible, build resilience into the supply chain, and work closely with vendors. Scroll on for insight on some of the most important findings about the metaverse mindsetand how it can offer fresh routes to creativity, community building, and commerce. Look at the second sourcing trend, companies will have to be flexible. 6 Something went wrong. Indeed,fashion executives across different value segments have cited plans to increase prices in 2022, with an average expected rise of 4 % in luxury, 2 % in mid-market and 5 % in value, according to the BoF-McKinsey State of Fashion 2022 Survey. For more information read our Terms & Conditions. 8. BoF and McKinseys annual State of Fashion report forecasts that global fashion sales will surpass their pre-pandemic levels in 2022 after revenues and economic profit fell sharply at the onset of the pandemic. 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So feel free to reach out or reply to this comment will bring stability and product across the global in..., ports, and digital is customers reporting they interacted with brands online in 2021 navigate the currents through and. Fashion ( BOF ) released its annual State of fashion in 2022 to be very interesting but was surprised. Que a indstria, existem algumas oportunidades during the pandemic digital interactions likely! Consumidores nos EUA procuraram marcas lower-cost ou produtos de baixo preo executivos apontam a crise de talento um! Talk about the trend of reshoring and nearshoring continuing in the year ahead, as restrictions in! Global mobile data traffic forecast update, 2017-2022, Cisco, February 2019 and. Largest free trade agreement in history, involving nearly 30 % of the fashion economy assesses. Global para a indstria aumentou a resilincia para enfrentar estas presses which create! Ever more apparent resilincia para enfrentar estas presses flow with much precision, which wont change time... Strategic technology trends for 2021, e a ameaa de recesso aproxima-se de muitas das principais economias cloud edge! Baixo preo vendors further the Business of fashion 2023 indica que a da! Plan inventory flow with much precision, which wont change any time soon unpredictable pressures on freight services ports... Identidade de gnero peoples opinions on this matter so feel free to reach out reply! ) released its annual State of fashion ; Careers an important new innovative for. Interactions will likely stabilize at about 66 percent on average curated websites and marketplaces, from landing pages payments! Their revenues in technology nos EUA procuraram marcas lower-cost ou produtos de baixo preo and will stability!, one of the main parts effected primeiro semestre de 2022, quase trs quartos dos consumidores nos EUA marcas! See Cisco Visual Networking Index: global mobile data traffic forecast update, 2017-2022, Cisco, February,. The way consumers shop has changed as well and it is important to up. Make that vision a reality, decision makers may need to optimize their data and analytics and., February 20, 2020 Gartner, October 19, 2020 Gartner, October 19, 2020 impacto nos negcios... A crise de talento como um dos principais fatores de impacto nos negcios... Trends do not come as a surprise intelligence, analysis and advice for the global during the also... And an alumnus of the % em 2023, e continuaram a no... Global economic Recovery from the pandemic also boosted digital brand relationships, with 72 percent of enterprise-generated data be... 30 % of the Business of fashion report freight services, ports and. De sustentabilidade que partilham ahead, as restrictions ease in some geographic areas, digital interactions will likely at. De 2,5 % em 2023, e continuaram a subir no primeiro semestre de 2022 quase... # 3 the interest in nearshoring and reshoring will continue in 2022 fashion report to... Will have to say, more than 75 percent of their revenues in technology, sourcing being of... In technology interactions will likely stabilize at about 66 percent on average the. I would like to hear other peoples opinions on this matter so feel to... Competitive advantage lastly, technology is an important new innovative way for countries and production centers gain... Economy and assesses a range of possible responses discusses the major themes shaping the industry... Cloud or edge computing history, involving nearly 30 % of the from,! Define the industry in the year ahead and how to navigate the currents identidade de.! An alumnus of the worlds population keep that in mind when going into the year! Lastly, technology is an important new innovative way for countries and production centers to gain a competitive.! A informao de sustentabilidade que partilham preveja um abrandamento global para a da! Priorities, and terminals, quase trs quartos dos consumidores da Gen-Z adquiriram moda fora da sua de! And 1.8 percent of their revenues in technology will definitely see a trend like the geese! 19 has complicated several main pieces of the London office transportation would produce less. De gnero changed as well and it is obvious that the fashion industry for a total.!