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ustainability attracts younger customers sustainability. Brands are under increasing pressure to create
Sustainability has become more critical than ever. transparency on their social and environmental sustainability
SAround €350 billion worth of clothing is prematurely performance internally. Consumers expect that brands will
discarded every year. In addition, 108 million tons of non- share this specific information with them. Finally, brands
renewable resources are used annually to produce items of will need to invest in supplier relationships to become more
clothing. Not only does the government pressure brands sustainable and efficient in their supply chain. Collaboration
to increase their sustainability, but Millennials and Gen Z across the entire value chain is essential for achieving an
consumers are also demanding more sustainable products. industry-wide sustainable transformation.
It is possible to attract these younger generations by
using sustainably harvested materials, recycled packaging Fast fashion is being outpaced by second-hand clothing
and efficient shopping and delivery methods. Also, this Even though fast fashion has experienced and will continue
responsible and forward-thinking strategy will help to build to grow over the years, second-hand clothing has grown
brand loyalty and lifetime value among these younger groups. 21 times faster over the past three years. The second-hand

Customer expectations market has gone mainstream. Within the luxury industry,
Consumers are becoming more environmentally conscious the luxury resale market is the fastest-growing sector. And
by the day. More than half of consumers want the fashion it is not only second-hand clothing that has experienced a
industry to become more sustainable. In addition, 59% of rapid increase, but the online clothing rental market has also
purchasers expect fashion brands to create clothes ethically. grown in the last few years and will probably continue to do
50% also plan to switch brands in the future to one that so. Renting clothes offers a more sustainable model which
acts more environmentally-friendly than their usual choice. still gives shoppers access to new styles and garments to wear
Across many categories, consumers have shown an appetite regularly.
for shifting away from traditional ownership to newer ways to
access certain products. Overall, sustainability has become an essential aspect not
only for consumers but also for brands. Sustainability is an
Sustainability from a brand’s perspective exceptional added value in terms of environmental and social
Currently, brands are investing more and more in benefits to the consumer and thus enables differentiation
sustainability. More than 60% claim that they spent more on from competitors. ••
sustainability in 2019 compared to 2018. Around 20% claim
that they have invested the same amount, and only
2% state that they are not investing in sustainability
this year. In addition, 55% aim to source at least
half of their products with sustainable materials by
the year 2025. 66% expect sustainable sourcing to
increase costs by between 1%-5% by 2025.

Challenges for brands
Even though sustainability is getting more
important, there are some challenges for brands
to reach a responsible and forward-thinking
strategy to get it right. They will have to move away
from mass-produced cheaper materials in favour
of less water and chemical-intensive materials.
Also, brands need to decide whether to shoulder
the costs or pass them onto the shopper when it
comes to the availability of materials, which are seen as the Adapted from the eShopWorld Market and Innovation Review 2020. Full report available at:
biggest hurdles to sourcing sustainable materials at scale. https://learning.eshopworld.com/whitepapers/market-and-innovation-review/
Transparency and traceability are also a crucial aspect of

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