Profit
Profit is the third pillar of sustainability related to the fashion industry and economics. Global fashion industry statistics show that the industry could reach between 103% to 108% of its 2019 in 2022. (McKinsey 2022) The industry has a labor force of 3,384.1 million. Its value is equivalent to 3 trillion dollars. That means, it corresponds to 2% of the world’s Gross Domestic Product. (Fashion United 2021)
Fashion’s largest companies across luxury, high street, and sportswear have yet to gain sufficient momentum with their sustainability policies and practices to transform the industry by 2030. （BOF 2022）Recycling is economically beneficial, yet much of the discarded clothing and textile waste in the United States fails to reach the recycling pipeline. The United States textile recycling industry annually salvages approximately 12 pounds per capita, but 70 pounds per capita still goes to our landfills (Council for Textile Recycling 2014). A recently established program, wear, donate, recycle has been established by the Council for Textile Recycling to reach zero post-consumer textile waste entering our landfills by 2037. The updated release of the Global Recycled Standard Version 3 has implemented changes that encourage companies to be transparent in the use of reclaimed materials and to be more transparent throughout their supply chain (Lamicella 2014)
The percentage of survey respondents who expect global economic conditions to improve in the next year has fallen from 49 percent in 2019 to nine percent in 2020. （BOF &McKinsey 2020）One way to excite audiences in an age of overstimulation is to create a bit of healthy competition between shoppers. For example, you can set up a hashtag or Instagram contest (with an alluring prize, of course), and ask your audience to submit their own content. The competitive spirit drives engagement rates up at a low cost to your brand because you only need to deliver a handful of rewards. (Tamas 2020) With Instagram Shopping, you should incentivize customers to give you their consent and opt-in to a loyalty program and newsletter. These rewards should be chosen carefully to keep your profit margin safe. (BOF & McKinsey 2020)
What is needed to create an advantage goes deeper and beyond the trading of artifacts and skills. It is the habitual sharing of interdisciplinary ways of thinking that empowers companies to innovate. Community-minded entrepreneurs and artists working with interactive technology are much closer on the commerce/arts spectrum than the tired stereotypes of the corporate tycoon in the corner office and the oil painter in the garret. (What is needed to create advantage goes deeper and beyond the trading of artifacts and skills. It is the habitual sharing of interdisciplinary ways of thinking that empowers companies to innovate. Community-minded entrepreneurs and artists working with interactive technology are much closer on the commerce/arts spectrum than the tired stereotypes of the corporate tycoon in the corner office and the oil painter in the garret. (MATT 2020)
References:
FASHION INNOVATION 2022 FASHION INDUSTRY STATISTICS: THE 4TH BIGGEST SECTOR IS WAY MORE THAN JUST ABOUT CLOTHING Available at: https://fashinnovation.nyc/fashion-industry-statistics/ Accessed: October 23, 2022
Dunja, R.2022 The Most Important Fashion Industry Statistics in 2022 Available at https://fashiondiscounts.uk/fashion-industry-statistics/ Accessed: October 23, 2022
MATT 2020 Why We Need to Bridge the Gap Between Art and Commerce Available at: https://www.thehippocket.com.au/bridge-gap-art-commerce/ Accessed: October 23, 2022
Janet, H and Connie, U 2015 Sustainable Fashion Economic Impact of Textile and Clothing Recycling 204-230 Available at: October 24, 2022https://www-bloomsburyfashioncentral-com.arts.idm.oclc.org/encyclopedia-chapter?docid=b-9781501312250&tocid=b-9781501312250-chapter9&st=Economic+impact+of+textile+and+clothing+recycling Accessed: October 24, 2022