Retail is undergoing unprecedented changes. The internet has led to new sales channels and new opportunities to reach out to customers, and globalization has opened markets and introduced new competitors. Then COVID-19 happened, rocking the industry to its core, as stores around the world closed and consumers had no choice but to order online. At the same time, sustainability and conscious shopping grew in the buyer's mind.
In a recent report by consulting firm McKinsey, BOF showed that fashion sales in the US fell off a cliff edge in March. Fashion companies' year-on-year profits declined by approximately 90 percent in 2020, following a 4 percent rise the year before.
As people sat at home, living, and working from one space, the need or desire to consume decreased significantly amongst consumers. This shifting reality was a change of mindset that has been a long time coming. Loungewear and comfortable clothing replaced office attire and luxury purchases. For the last few years the industry has noted an emphasis on ethical and sustainable production, but 2020 was the year that finally altered the fashion landscape. We as a larger community struggling through job insecurity, changing global economies and isolation, became incentivised to support local and become conscious shoppers. This shift immediately changed the industry's impact, as without the demand the demand for fashion, there is no supply. The sourcing locally, making locally, shopping locally mentality reduces waste and empowers the local economy, community, artisans and local supply chains.
Therefore the new way of shopping is marketplace shopping. Selling and shopping at marketplaces allows for the brand/consumer to be VALUE driven. At Clutch Bags, we curate locally made designers who are making sustainably and ethically, making it even easier to sell and shop in a conscious manner. Check out our latest releases on our SHOP page!