The world of retail is changing rapidly and fashion industry is no exception. With growing internet and smartphone penetration worldwide, ecommerce has seen explosive growth in last few years. While brick and mortar stores still hold importance, online fashion shopping is fast emerging as the preferred mode of shopping for many consumers. Let’s take a deeper look at some key trends driving growth of global fashion ecommerce.
Emergence of Global Online Fashion Giants:
Some ecommerce giants have established strong dominance in global fashion retail by focusing exclusively on apparel and accessories category. Companies like ASOS, Zalando, Lyst and Farfetch have revolutionized how fashion is discovered and bought online across borders. These online retailers offer huge product variety from multiple brands along with personalized recommendations and curation. Their focus on customer experience through localized websites, mobile apps and exclusive designer collections have helped gain widespread popularity and strong brand recall among global shoppers.
The success of these online fashion specialists has also inspired other large ecommerce marketplaces like Amazon, Flipkart and JD to ramp up their focus on fashion categories. They are aggressively onboarding popular fashion brands and influencers to drive more traffic and purchases in apparel sections. The widespread availability of fast and affordable delivery options by these retailers have made online impulse buying of latest fashion trends very convenient for consumers across the world.
Growth of Emerging Markets in Fashion Ecommerce:
While North America and Europe still account for lion’s share of global online fashion sales currently, emerging markets in Asia, Latin America, Middle East and Africa are presenting huge greenfield opportunities for expansion. Countries like China, India, Brazil, Indonesia, Mexico, Saudi Arabia, South Africa etc are witnessing accelerated rates of internet and smartphone growth which is fueling massive increase in online shopping activity including fashion.
Local ecommerce giants like Flipkart, Shein, Shopee, Jumia, Bukalapak and Namshi are spearheading this boom by providing localized shopping experiences tailored for these diverse markets. They are offering strong payment options, multiple local languages, affordable shipping costs and integrating social selling platforms like WhatsApp, Instagram to drive wider reach. International fashion brands are also opening regional online stores and ramping up marketing campaigns to tap into rising spending power of millennials and Gen Z consumers in growth territories.
Overall apparel categories are among the fastest growing online segments across emerging regions indicating fashion ecommerce has strong potential for exponential expansion looking at untapped large consumer bases and their growing digitization. This presents lucrative opportunities for fashion retailers to establish early strongholds and capture significant market shares in future.
Personalization and Technology Driving Consumption:
Advanced technologies are allowing fashion ecommerce channels to understand shoppers better and provide highly personalized experiences fueling more frequent purchases. Data analytics tools are helping online stores optimize product recommendations, curation and targeted marketing based on past browsing history, order patterns and interest signals from social media.
AI powered virtual try-on and AR/VR fittings are also revolutionizing online shopping journey by replicating physical trial experience digitally. This has boosted purchase confidence for apparel categories which were previously difficult to buy online without touching and feeling products. Chatbots, live video and social selling have further enhanced engagement and impulse purchases on fashion retail websites and apps.
Overall such personalization tactics focused on convenience, inspiration and impulse-friendly features are addressing key barriers to online apparel shopping. They are making it easier for consumers to discover new styles, get inspired and confidently buy fashion items sight unseen through digital shopping channels leading to higher repurchases and stickiness with preferred brands and retailers over time.
Sustainability Focus Gaining Importance:
With growing environmental concerns, online fashion companies are recognizing increased demand for responsibly sourced and eco-friendly products from digitally-savvy shoppers. Retailers are ramping up communication around initiatives like using recycled fabrics, reducing plastic packaging, sponsoring community farming projects. They are also surfacing dedicated sustainable styles upfront and educating shoppers on brands with strongest green credentials through content marketing efforts.
Some pioneering sites offer advanced filters to browse only ethically produced goods or recommend eco alternatives to items in cart. Blockchain based traceability solutions are providing full production transparency across supply chains right upto fabric and material source supporting sustainability claims. Such focus on sustainability is resonating well with millennial and GenZ shoppers who are willing to pay premium for brands demonstrating strong environmental and social responsibility. Over time, this emphasis will become major competitive advantage for fashion ecommerce channels able to develop authentic sustainable reputation among conscious online shoppers globally.
Conclusion: With internet access and digital devices continuing to penetrate widely worldwide combined with rising disposable incomes, global fashion ecommerce is poised for exponential growth in the next decade. While macro uncertainties like inflation can impact short term spending power, the underlying drivers of personalization, search and discovery convenience through digital channels, emerging market opportunities and rising sustainability focus indicate overwhelming long term potential. Fashion brands and retailers will need innovative strategies to gain loyal customer base from this new generation of global digitally native shoppers. Those establishing leadership early through localized operations, inspired curation and authentic responsible practices will be best placed to tap into future of global online apparel and accessories retail.