State of Fashion Technology Report 2022
The Business of Fashion and Mckinsey & Company just launched a special edition of The State of Fashion focusing on technology. This report explores how tech is impacting fashion, the key needs that brands and retailers have to embrace, and the business opportunities on which fashion leaders should focus their technology resources and investments. Technology…
Stokedge and the value creation to traditional retailers
A business creates value when is able to grow and deliver return on capital that exceeds its underlying cost – investors want to be compensated for the risks taken. The ability to create value is directly linked with businesses operational efficiency (reflected at operational margin level), investment required to achieve it (working capital and CAPEX)…
The importance of Stokedge to retailers
Stokedge’s platform converts massive global market data into simple, objective, and unbiased daily metrics, allowing retailers to better make informed decisions at all time. The combined value of predictive analytics and stock redistribution concepts have the potential to double economics of the entire fashion industry. Generate similar sales volume with about half inventory needs and…
Personal luxury goods industry overview
Following a period of steady growth rates (2,7% CAGR 2010-2020), the personal luxury goods industry is estimated to have reached €217Bn global sales in 2020, equivalent to a 23% annual decline. While online benefitted indirectly from the Covid-19 pandemic (sales increased by 49%), offline channel was severely hit (declined by 32%) as stores were forced…
The cost of dead and unsold inventory
Inventory that exists in a warehouse or stockroom but doesn’t have a real shot at ever being sold represents a huge handicap for retailers. Most importantly, dead inventory represents precious working capital. “Unsold stock might be one of retail market biggest handicaps.” Haley Smith Recer Covid-19 ended up accelerating some of industry’s weaknesses, such as…
Fashion retailers are at an inflection point
Long before Covid-19, the retail industry was already facing serious problems with struggling physical stores, massive debts, declining profitability, excessive dead inventory, inefficient operations, the meteoric rise of e-commerce, among other issues. “From executive missteps to pandemic-related shutdowns, some of the biggest retailers have filed for bankruptcy.” CB Insights The pandemic has dramatically accelerated these…
Lateral transshipment and stock redistribution for a sustainable fashion
Circular economy is a concept according to which waste can be designed out of an economy through continuous circulation of products and materials. The implementation of circular economy thinking to reduce environmental impacts and resource use has led to the development of innovative business models. “The promotion of sustainable fashion within a circular economy is…
Fashion industry sustainability concerns
The fashion industry makes a sizeable contribution to global greenhouse-gas emissions, with an estimation of 4% of the annual emissions. To set some context, the fashion industry emits the same quantity as the entire economies of France, Germany and United Kingdom combined. Despite efforts to reduce emissions, the fashion industry is on a trajectory to…
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