In today’s market, the decline of fast fashion brands from their peak is an undeniable reality. Over recent years, major fashion names such as Forever 21, Topshop, New Look, H&M, Zara, GAP, and Uniqlo have all faced significant setbacks and retreated from the Chinese markets.
In response, fast fashion giants like Inditex and H&M Group have initiated a sfhit toward high-end fashion, hoping to elevate brand positioning and improve profit margins
For established fast fashion brands, the transition to high-end and sustainable fashion has been an effective and successful strategy, offering them the chance to redefine their identity and carve out a distinctive path forward.
- Higher-End Brand Image
Take Zara as an example, the brand has made significant progress in repositioning itself withing the fashion market. In early March 2022, Zara’s high-end product line, Zara Studio, unveiled in 2022 spring/summer collection for men and women, emphasizing refined clothing craftsmanship and expertly tailored silhouettes. Subsequently, Zara introduced the Atelier series, featuring coats and dresses priced around RMB 2,710, signaling the brand’s commitment to shedding its traditional fast fashion image
Fast fashion brands have often been likened to the “pretty bad girls” of the fashion world, widely adored yet acknowledged for their potential drawbacks. This awareness has driven fast fashion brands to revamp their brand image. By elevating their price points and focusing on sophisticated craftsmanship, these brands aim to distinguish themselves from ultra-fast fashion competitors and position themselves as more premium alternatives.
Participating in fashion weeks is another strategy to bolster brand image. For instance, in September 2022, Swedish fast fashion label COS debuted at New York Fashion Week with its runway collection available for immediate purchase. The event attracted high-profile attendees such as singer Anderson .Paak, actor Angus Cloud, and model Emily Ratajkowski. COS showcased evening wear, dresses, and accessories priced around £200 (approximately RMB 1,650), further cementing its identity as a premium fast fashion brand.
As fast fashion brands adopt pricing closer to high-end labels, consumers demand transparency in material selection and production processes. True craftsmanship and added value become crucial for standing out in a competitive market. While consumers may occasionally enjoy the convenience of fast fashion, they are increasingly willing to invest in unique, high-quality pieces with distinctive designs and lasting appeal.
- The Essence of Fast Fashion lies in “Fashion”, not “Fast”
During the peak years of international fast fashion, domestic clothing brands in China face significant challenges. For post-80s consumers, the arrival of international brands offering high-fashion designs at relatively affordable prices provided an enticing new choice, creating stiff competition for local brands.
In recent years, particularly during the pandemic, “ultra-fast fashion” has emerged, characterized by brands with exceptionally high production efficiency. The distinction between ultra-fast fashion, led by Chinese brand Shein, and traditional fast fashion has become increasingly clear. According to a report by McKinsey & Co., Shein’s website introduces nearly 6,000 new items daily, with an average turnaround of just three days from design to shelf.
While ultra-fast fashion dominates in terms of speed and affordability, fast fashion brands are no longer confined to their traditional identity of simply being quick. Competing solely on production speed is no longer enough, as Chinese consumers, now more aesthetically savvy, seek higher quality and more innovative designs. Being both fast and fashionable, with “fashion” as the central element, has become imperative.
China’s clothing industry boasts a highly mature supply chain, contributing to the rise of various sectors. However, many domestic clothing brands have historically experienced a short-lived peak, often excelling in sales but falling short in fashion-forward appeal. This lack of sustained creativity and style has been a key factor in the decline of numerous Chinese brands.
For overseas fast fashion brands, competing purely on speed is insufficient to establish a strong foothold. The true essence of the clothing industry lies in fashion, where creative and aesthetic innovation is paramount. This dual focus, leading fashion trends while maintaining mass appeal, represents not just the core competitiveness of brands like UR but the industry. To thrive, products must strike a perfect balance between aesthetic value and business success.
- Prioritize Sustainability
While fast fashion remains to be popular among Generation Z, its impressive growth has been accompanied by significant environmental costs. Today, high prices no longer define high-end brands, and consumers, especially the eco-conscious Generation Z, expect more transparency and responsibility from brand supply chains and production processes.
Fast fashion has been linked to accelerated global pollution. According to UN research, the fashion industry contributes 8% of global carbon emissions, with the production of a single polyester dress releasing approximately 17 kilograms of carbon dioxide into the atmosphere. Polyester fabrics, commonly used in fast fashion, rely heavily on oil and coal for production, exacerbating the depletion of non-renewable resources and driving up energy prices.
Carbon emissions, a key driver of climate change, are compounding environmental challenges and creating an increasingly hostile living environment. As awareness of these issues grows, consumers are demanding change.
In the future, the fast fashion industry will likely branch into two distinct categories: one catering to the mass market with affordable product lines, and the other targeting the high-end segment by offering premium clothing that delivers a heightened sense of quality and value. To adapt to these shifts in consumer preferences, fast fashion brands are working to reposition themselves by integrating sustainable practices into their operations. These efforts not only aim to mitigate environmental harm but also to enhance their brand image. The pandemic has further amplified consumer awareness of sustainability, prompting a surge in second-hand clothing purchases and driving the growth of the resale market. In response, fast fashion brands are exploring green initiatives such as resale platforms, repair services, and eco-friendly collections.
