How Slow Fashion is transforming fashion in the United States and why it's worth investing in

The consumption habits of young Americans are challenging the business model of the fashion sector. Companies selling clothing in the United States must radically rethink their business.

In the United States, the future of shopping looks a little more vintage. It is expected that a growing slice of second-hand stores will overturn the reigning “fast fashion” industry, or the quick fashion industry.

The fast fashion in America has a huge environmental impact, both upstream and downstream. Clothing production requires a massive amount of energy and resources and relies on the use of dyes and other chemicals that can cause allergic reactions and contaminate water; downstream, it's difficult to dispose of products because garments are typically worn only ten times before being discarded, and disposal facilities end up with large amounts of waste with a significant ecological footprint that, when burned, are responsible for additional and avoidable carbon dioxide emissions.

The new report from ThredUp, one of the largest online retailers in the world, paints a picture of a booming U.S. second-hand market that could surpass H&M and Zara: according to the report, 40% of American consumers of used items reported replacing their fast fashion purchases with second-hand clothing, and resale is expected to more than double compared to fast fashion by 2030. Moreover, in a global survey conducted on 27,000 people in October, GlobeScan found that 77% of consumers were interested in durable products and 53% were interested in having brands reuse, repair, and recycle their purchased products; more than half were interested in buying fewer things in general.

 

American Millennials and Gen Z are driving the vintage fashion trend in the USA, and Italian companies need to seize the opportunity

This fact is not surprising given the consumption preferences in favor of sustainability among young people in all sectors in the USA

U.S. Millennials and Gen Z have shown a greater demand for sustainable products since large retail chains have been condemned for their significant environmental impact and the waste they generate. For example, buying a used item saves almost 8 kg of carbon emissions typically released during clothing production, reducing the carbon footprint by 82%; according to ThredUp, used clothing consumers purchased an average of seven second-hand items in 2020, saving the emission of 4 billion kg of CO2.

However, the strong push in the second-hand market in 2020 originated for a different reason, mainly concerning the purchasing power of American consumers. Many more people found themselves with little money to spend and reported being more mindful of saving compared to before the pandemic swept through the USA.

 

Many American companies are open to the idea of offering second-hand products to consumers

Vintage sales will become an important part of their business in the coming years

To keep up with market trends in America, innovation must be embraced. Thus, the U.S. clothing industry is transforming in myriad ways. In recent months, companies like Express, J. Crew, and Urban Outfitters have started collaborating with outside sellers on their websites, creating marketplaces dedicated to those wanting to reduce their ecological footprint while saving money. Even the denim giant Levi’s, aware of the environmental cost of jeans production, has launched a campaign in favor of quality over quantity, “Buy Better, Wear Longer.”

Fundamentally, the goal is to create revenue streams not based on the sale of new products, inspired by the principles of the circular economy. This principle is also slowly taking hold in Italy, where both physical and online vintage clothing businesses are emerging.

In short, when consumers have less purchasing power, merchants must be able to respond to their need to save. Vintage fashion offers a perfect solution to this problem: the most forward-thinking entrepreneurs with good taste can tap into an endless supply of beautiful, high-quality garments suitable for all targets, giving a boost to one of the sectors in America that has suffered the most from the Covid pandemic crisis.