NOW THAT WE ARE FULL STEAM AHEAD INTO THE NEW YEAR, IT’S TIME TO EXAMINE WHAT IS RELEVANT IN FASHION, WHAT TRENDS LIE AHEAD, AND HOW TO BETTER ENGAGE WITH THE CONSUMER.
WE ARE ALL SEEKING COMFORT…
IT’S THAT TIME OF YEAR AGAIN WHERE EVERYONE PURSUES COMFORT, AND MAYBE, FOR THIS YEAR, MORE WAYS THAN ONE. SEE WHAT KEY APPAREL ITEMS ARE TRENDING FOR THESE CHILLY WINTER MONTHS...
LET’S EVALUATE THE BIZ!
WITH THE NEW YEAR COMES DISCUSSIONS OF WHITE SPACE AND OPPORTUNITY. SOME RETAILERS ARE ALREADY DIVING INTO NEW BUISNESS INITIATIVES FOR 2025 AND BEYOND. LET’S TAKE A LOOK AT HOW THESE VENTURES CAN INFLUENCE YOUR RETAIL BUSINESS...
NEW PROGRAMS ARE NOT ONLY BRINGING NEW OPPORTUNITY BUT ALSO NEW CHALLENGES...
Target has reported strong performance in holiday sales for the November and December periods, with total sales rising 2.8% over LY. Digital sales were particularly strong, increasing nearly 9%.
ABERCROMBIE SALES GROW
Abercrombie & Fitch expects to complete the year with net sales growth ~ 15%, as well as a strong operating margin ~15%. LY Q4 sales were up 21% for the retailer.
LULULEMON RAISES PROJECTIONS
For the fourth quarter, Lululemon Athletica now expects net revenue will be in the range of 3.560 billion dollars to 3.580 billion dollars, representing growth of 11% to 12%.
MACYS TO CLOSE 66 STORES
Macy's has confirmed the closure of 66 locations across New York City and surrounding regions as a part of the bold new chapter strategy.
The company said that the plan is designed to return the company to sustainable, profitable sales growth while investing in its 350 go-forward Macy’s locations through fiscal 2026.
J.JILL CONTINUES TO EXPECT DECLINE OF NET SALES
Reiterating its fourth quarter outlook, J.Jill said that the company continues to expect net sales to be down 4% to 6%.
J.Jill claims that the full year outlook reflects the negative impact from the loss in Q4 of 7.9 million dollars in net sales and 2.2 million dollars in adjusted EBITDA, as well as investments to support profitable sales growth.
NEW EXHIBITION“LOUVRE COUTURE”INTERTWINES
HIGH FASHION & FINE ART
Opening on January 24, the show is expected to illuminate the historical relationship between couture and the decorative arts.
Spanning nearly 9,000 square meters within the museum's Department of Decorative Arts, the exhibition will showcase 65 carefully curated fashion designs alongside historical masterpieces dating from the Byzantine era to the Second Empire.
PRIMARK OPENS HOME STORE
Primark’s first store, dedicated entirely to its home segment, will open in Belfast, March 2025. The store will be over 800 square meters in size. Primark’s home offerings will include bedding, towels, ceramics and homeware.
PRADA TO TAKEOVER
Speculation surrounding Versace’s sale continues, and it is now believed that Italian luxury giant Prada is eyeing a takeover of the brand.
This is according to a report by Italian newspaper Il Sole 24 Ore, which said Prada is looking into the deal with banking firm Citi.
DOLCE & GABBANA EXHIBITION OPENS AT THE GRAND PALAIS IN PARIS, FRANCE
The Grand Palais in Paris has opened a new exhibition dedicated to Italian fashion house Dolce&Gabbana exploring its “creative universe” which runs until March 31, 2025.
WHY:
Retailers should invest in wellness products in 2025 because consumer demand for health and wellbeing is rapidly growing,with a significant portion of the population prioritizing wellness across various aspects of their lives, making it a substantial market with increasing spending power;this means that offering a diverse range of wellness products can attract a wider customer base and boost sales.
H OW:
Focus on the expansion of wellness in beauty, personal care,nutrition, beverage, tech, & food. Offer products that allow consumers to take care of themselves at affordable prices.
“Google searches for self-care and self-care products have increased 315% since 2017.”
W H O:
One major American retailer to continue on the self-care bandwagon is Target.The retailer is kickstarting 2025 with an expansion to its wellness category,adding more than 2,000 new items,including over 600 exclusives.
T R E N D I
Experience Economy
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STYLE #E20149
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WHATS THE LATEST IN A.I.
WHEN IT COMES TO R E T A I L ?
BENEFITS
•Faster design cycles :Designers can iterate on ideas quickly, which can lead to more SKUs and less overstock.
•More realistic product visuals: Designers can create more realistic product visuals, which can help clients visualize the final product.
•Save time and money: Designers can save time and money by avoiding the need to order physical samples.
RASPBERRY A.I.
HOW IT WORKS
•Design research: Designers can gather and organize trend research.
Sketch translation: Designers can upload sketches, and Raspberry AI can translate them into photorealistic renderings.
•Technical drawings: Raspberry AI can automatically create technical drawings for manufacturing.
•Text prompts: Designers can use text prompts to generate new designs.
•Image references: Designers can use image references to generate new designs.
Raspberry AI is a design platform that uses artificial intelligence to help fashion designers create products.
The program can generate images, translate sketches, and create technical drawings. The company has recently secured 24 million USD in funding which will be used to accelerate its product development and expand engineering, sales, and marketing teams.
WHAT IS GOOGLE GEMINI?
This program is an AI-powered assistant that can help with coding, design, research, and more. It's available in Google Cloud, Google Workspace, and as a mobile app.
WHAT AFFECT DOES IT HAVE?
•The rise of AI in search engines, particularly Google Gemini, is dramatically increasing cost per lead for advertisers, sometimes by over 100%.
•This increase is due to AI's improved ad targeting, which reduces visibility for traditional ads and intensifies competition.
Google Gemini is disrupting advertising costs and marketing strategies. The program uses AI to improve ad targeting and offer even more relevant content to users. However, this increased precision weakens the ability of traditional advertisements and increases competition causing advertising costs to skyrocket.
GOOGLE GEMINI
WHAT IS ARE WAYS FOR BRANDS TO PIVOT?
Diversify strategies by focusing on social media, search engine optimization (SEO), and alternative platforms like Microsoft Advertising to alleviate rising Google ad costs and adapt to the changing digital landscape.
