Industries rise and fall for many reasons. The automotive industry in the United States in the 1960s and 1970s became severely disrupted by the arrival of well-made vehicles, primarily from Japan, that had better quality, a better ride, better motors, and more reliability. What’s fascinating is that Japan didn’t build their cars in secret. Japanese companies like Honda, Suzuki, and Toyota frequently hosted visitors to their factories. Who didn’t show up to take a tour? Executives from America’s largest car companies. That changed when the U.S. auto industry realized they were in big trouble – they could no longer build cars that American consumers wanted.
I believe we are witnessing something very similar take place but in fashion and apparel, not cars. Retailers like SHEIN and Primark have turned apparel retailing upside down with their ability to design and deliver fashions in weeks vs. months. TikTok has changed the game of how consumers search and order fashions. The entire fashion and apparel industries are under siege but for some reason, very few executives in the industry either believe it or think it’s sustainable. Note to fashion executives: Things are about to go from bad to worse for you.
In my opinion, I believe the fashion industry is going to gradually and then suddenly witness a massive disruption driven by an insatiable desire for custom fashions, but also an insatiable desire for all things technology across many demographics.
An example of what I mean can be found by watching this video. The company Kornit Digital, an Israeli-American international manufacturing company, produces high-speed industrial inkjet printers, and pigmented ink and chemical products for the garment and apparel, home goods, and textile accessories decorating industry.
Kornit has created what I refer to as a hyperlocal micro-factory that is capable of taking fashions from concept to delivery in hours, not days or weeks. LinkedIn members who read my posts know that I am a believer in the growth of 3D printing supported by nano and microfulfillment centers. Kornit is a company that fits perfectly into the mix.
I believe Kornit will tap into Gen Z’s desire for high-quality fast fashion. This will pull customers away from Shein, Primark, or possibly a new fashion entrant like Temu. Gen Z will collaborate with others who share their interest in fashion and sustainability to open many micro-factories around the U.S. Kornit should start advertising this model on TikTok and include an option franchising micro-factories.
Nothing lives forever. The fashion industry is about to find this out the hard way.
