🌀 In 2024, fast fashion is only going to get faster 🚀

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1. 📰 News of the week

In 2024, fast fashion is only going to get faster 🚀

2024 is witnessing an unprecedented sprint in the fast fashion world, with Shein and Temu at the forefront. The Business of Fashion and McKinsey's latest "The State of Fashion" report indicates a whirlwind of activity. The term 'fast' is almost an understatement when describing Shein's production of 2,000 to 10,000 items daily and Temu's similar staggering numbers. The fashion frenzy has escalated to an average of over a million packages shipped daily by each retailer.

💸 Pricing Wars and global embrace
Price is the battleground for these fast-fashion titans. Shein's average SKU price is a mere €12 (from $14), significantly undercutting the €30 (from $34) of Zara and €23 (from $26) of H&M. Temu's pricing strategy goes even further, offering discounts of up to 40%. This brutal pricing war has captured the attention of 40% of US consumers and 26% in the UK over the past year, indicating a considerable shift in shopping behavior. Their allure is so potent that the net future purchase intent for these brands is 18 percentage points higher than that of their predecessors. The allure of fast, affordable fashion is undeniable, and these brands are leading the charge.

💡 Innovation at the Core
The secret sauce to their success? A blend of agile manufacturer-to-consumer supply chains and data-driven product design. This innovation isn't just about keeping the racks filled; it's about creating a seamless, rapid production line that keeps these brands always a step ahead. As we plunge into 2024, these innovations continue to propel the industry forward, but not without impending challenges from regulatory and consumer shifts focusing on sustainability and fair trade practices.

🔗 Building Brand Loyalty
Deep, engaging customer bases aren't built overnight. Shein and Temu have harnessed the power of multilayered affiliate marketing and community building to drive viral growth and reduce acquisition costs. It's not just about selling; it's about creating a brand lifestyle that consumers want to be a part of. Temu, in particular, has ramped up its game, investing nearly €500M in marketing, including a striking $14M for Super Bowl ad slots, signaling their intent to capture and captivate a global audience.

🌿 Navigating a Future of Challenges
As 2024 unfolds, the fast-fashion landscape is riddled with potential pitfalls. The very innovations that propelled Shein and Temu to stardom are now under the microscope as regulators and consumers demand more sustainable and ethical trade practices. The question remains: Can these brands adapt and reinvent themselves to align with a more conscientious consumer base without losing their core appeal?

The fast fashion narrative of 2024 is more than a story of clothes; it's about consumer culture, innovation, and the global market's dynamic shifts. As Shein and Temu navigate these waters, their journey will likely redefine not just their destiny but the entire fashion industry's future. With the world watching, the next chapter promises to be as unpredictable as it is exciting.

2. 📊 News of the week

Polish Consumers Can't Get Enough of Marketplaces🤩

Admitad's affiliate network has dissected a whopping 120 million affiliate-generated orders globally, with over 32 million of

those rooted in Poland's thriving marketplaces for the year 2023. The mission? To pinpoint the pivotal shifts in the e-commerce sector over a tumultuous year and stack up Polish shopping habits against the global backdrop. Cracking open data from over 150 marketplaces, including the colossi Alibaba and Amazon, as well as Poland's front-runners, the findings sketch out current consumer leanings and forecast the e-commerce trends poised to shape 2024.

📈 Marketplace Momentum
In the throes of 2023, Poland's e-commerce didn't just walk; it sprinted. Marketplace spending by Polish consumers smashed through the roof with a 20% surge, outpacing the global average growth of 7%. Even with wallets not as fat as their global counterparts, Poles are betting big on marketplaces, proving that when it comes to e-commerce, they're not just in the game—they're playing to win.

💶 The Spending Spree
When you dive into the zlotys and cents of it, the average Polish shopper dropped around €14 (approx. 70 PLN) per order. That's just a hair shy of the €16 global average order value. It's not about the numbers; it's about the narrative—the Polish consumer is spending more, faster.

👗 Fashion Forward
Let's talk fashion. It's not just a category; it's a statement. Dominating 36% of Poland's marketplace transactions, fashion isn't just leading; it's reigning supreme. But it's not alone on the throne. Home and garden, electronics, and cosmetics are jostling for room, each carving out their slice of the marketplace pie.

🛍️ Local Nuances
Poland's not just following global trends—it's setting its own. Poles are swiping right on fashion and sports goods more than the rest, while household and electronic wares are playing a bit of catch-up. Footwear kicks up 29%, electronic accessories buzz with a 28% increase, and lighting brightens the market with a 25% growth. For the kids? A cozy 12% uptick.

📱 Mobile Moves
If you're not talking omnichannel, you're not talking e-commerce in Poland. Shopping's gone mobile, and the Poles are swiping and tapping at a rate that's leaving the global average in the dust—44% mobile purchases in Poland versus 34% worldwide. It's a digital dance, and Poland's got the moves.

💡 Discount Delights
In the high-stakes game of inflation and savvy shopping, Poles are not just playing; they're playing smart. Discount codes and coupons are the weapons of choice, with their use doubling the global average growth rate. Why pay more when you can pay less and still get more?

3. 📖 Headlines of the week

That’s all. See you next week!

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