Following a very difficult year, the likes of which had not been seen for decades, in Fashion and in Luxury a wave of optimism can finally once again be felt in the air. During the most recent weeks, in fact, various reports have been released demonstrating how Fashion & Luxury has already started their recovery: let’s take a look in this overview.
Deloitte: in 2-3 years, Luxury will return to pre-Covid dimensions
100% of investors will continue to bet on Luxury in 2021, while for 94% of those interviewed the pre-Covid size and growth levels will be achieved within 2-3 years. The percentage which have emerged from the “Global Fashion & Luxury Private Equity and Investors Survey 2021” by Deloitte seem to leave few doubts. The report, which analyzes trends and market operations basing itself on data and interviews to top managers, outlines basically a rosy scenario.
The respected auditing firm observes how the pandemic has accelerated the adoption of innovative technologies in all sectors of Fashion and Luxury. The objective is that of keeping up with the virtual clientèle, through instruments such as the Internet of Things, Robotics and Blockchain, considered the most important in 2021 according to those interviewed. The digital sales channel and artificial intelligence are just as important.
In this regard, the statement issued by Elio Milantoni, Deloitte partner, is eye opening: “Thanks to the adoption by the major industry players of technologies such as Big Data & Analytics, Artificial Intelligence and Augmented Realty, making it possible to fully take advantage of the online channel, which has become the principal touchpoint with consumers, the business model of Luxury companies has evolved and has adapted itself to the challenging market conditions. This evolution, together with the significance given to trends such as sustainability, has made it possible to connect with one’s own customers, laying the basis for recovery”.
The National Chamber of Italian Fashion: the sector will close 2021 with a +17% growth
From the study by the prestigious English company to the analysis by an important Italian institution, the climate of optimism remains the same. According to “Fashion Economic Trends” prepared by the National Chamber for Italian Fashion, the closing of 2021 expects a Euro 80.4 million share for the industry and related sectors, with a 17% progression compared to 2020.
In particular, the sales in February and March have marked a turning point and a significant trend reversal. Especially in March, when Fashion was among the most dynamic manufacturing sectors since the beginning of the year. More specifically, sales during the month rose by 50% compared to 2020, with peaks of +70% in clothing and footwear. Positive trend also for the related sectors of: eyewear, jewelry, fashion jewelry and cosmetics.
Altagamma and BCG: Fashion & Luxury at pre-Covid levels by 2022
We end our review with the eighth “Consumer Insight” by Altagamma, a panel conducted in collaboration with Boston Consulting Group. Also according to this survey, the entire market is preparing to start again, the forecast, optimistic but likely, is that it can get back to pre-Covid levels by 2022.
The comment by Matteo Lunelli, president of Altagamma is emblematic: “The Consumer Insight by Altagamma shows positive signals and higher than expectations for 2021. The industry is showing solidity and it is quickly responding to new socio-cultural trends. Among these is certainly sustainability, but what is also striking is the pronounced virtualization of the Luxury experience witnessed by the success of sales in live-streaming and the entry of brands in gaming, an industry reaching a value of 178 billion dollars in 2020”.
Additionally, the report observes how the transition towards a ‘digital first’ system, the only one able to lead Fashion and Luxury toward the ‘New Normal’, is by now irreversible. Big Data, Artificial Intelligence and digitalization: all trends that thanks to the Bizeta solutions for omni-channel become a reality.
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