'Inflation Is Going To Eat The Pie'
Business Of Fashion|February 2022
With the advance of the internet and globalisation, it has become easier for consumers to buy products online and receive them at their doorstep. This has led to a significant increase in demand for fashion products, which has increased the cost of production. To keep up with this increasing cost of production, many brands have been forced to raise prices in order to maintain profit margins.
Karan Bose
'Inflation Is Going To Eat The Pie'

The fashion industry is an exceedingly competitive and fast-paced market. It is constantly struggling with increasing input costs because of factors such as rising wages, materials, energy costs, transportation costs, regulations and other factors that can influence supply chain bottlenecks. These rising input costs have been putting pressure on the producers and consumers who are being forced to pay higher prices for their products.

High input price in fashion has a significant impact on both producers and consumers. The producer has to deal with higher production costs, so they have to raise their retail price as well as allocate more resources towards marketing and advertising. This affects both retailers and customers who have to pay more for their clothing items, which is ultimately bad news for them.

Reason for High Input Cost and Inflation

The fashion industry is one of the most dynamic industries in the world. It is a multibillion-dollar business that has been growing steadily over the last few decades. However, the industry has been facing several problems, such as high input costs, inflation and lack of transparency.

Its complexity can explain the reason for high input cost in the fashion industry. Fashion requires a lot of creativity and technical know-how to produce, which requires time and investment. It has been difficult for brands to manage their supply chain in a way that they can get their products out to consumers at a low cost while keeping their brand image intact. This is because of the large number of stakeholders involved in production - such as designers, fabric suppliers, manufacturers, retailers and consumers themselves.

The major reasons for the increase in input prices are:

هذه القصة مأخوذة من طبعة February 2022 من Business Of Fashion.

ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.

هذه القصة مأخوذة من طبعة February 2022 من Business Of Fashion.

ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.

المزيد من القصص من BUSINESS OF FASHION مشاهدة الكل
Alia Bhatt's Ed-a-Mamma expands offline with first store at Jio World Drive, Mumbai
Business Of Fashion

Alia Bhatt's Ed-a-Mamma expands offline with first store at Jio World Drive, Mumbai

Ed-a-Mamma, Ed the eco-conscious clothing brand founded by Alia Bhatt, has launched its first standalone store at Jio World Drive in Mumbai. The brand specialises in sustainable kids and maternity wear, aiming to promote responsible fashion choices among families.

time-read
1 min  |
November 2024
Foot Locker comes to India with Metro Brands Ltd, launches first store at Select City Walk
Business Of Fashion

Foot Locker comes to India with Metro Brands Ltd, launches first store at Select City Walk

Foot Locker inaugurated its omnichannel launch in India on October 19th with Metro Brands Ltd managing physical stores and Nykaa Fashion overseeing its e-commerce operations.

time-read
1 min  |
November 2024
Timex Group India Ltd reports record-breaking quarter, surges 37% in revenue
Business Of Fashion

Timex Group India Ltd reports record-breaking quarter, surges 37% in revenue

Timex Group India Ltd has recorded its most successful quarter to date. With the company marking its 170th year, TGIL reported an all-time high revenue of Rs 172 crore for Q2 FY25.

time-read
1 min  |
November 2024
Honasa Consumer Ltd. names Dr.Kaustav Guha as Vice President of R&D
Business Of Fashion

Honasa Consumer Ltd. names Dr.Kaustav Guha as Vice President of R&D

Hana onasa Consumer Limited has Lannounced the appointment of Dr. Kaustav Guha as Vice President of Research & Development. In this role, Dr. Guha will enhance the company's R&D capabilities and drive product innovation across Honasa's portfolio, which includes brands like Mamaearth, The Derma Co., Aqualogica, Bblunt, and Dr. Sheth's.

time-read
1 min  |
November 2024
TechnoSport expands retail footprint with largest store in Tiruppur
Business Of Fashion

TechnoSport expands retail footprint with largest store in Tiruppur

Active sportswear manufacturer, TechnoSport launched its largest retail store in Tiruppur, marking a step forward in its expansion strategy across India. This store, spanning 1,500 square feet, aims to meet the rising demand in Tiruppur and surrounding areas.

time-read
1 min  |
November 2024
Cantabil expands nationwide with 13 new stores
Business Of Fashion

Cantabil expands nationwide with 13 new stores

Cantabil antabil Retail India Ltd. has announced the opening of 13 new stores in October, increasing its store count to 569 across India. This expansion adds locations in cities such as Zirakpur, Dehradun, Pilibhit, Pune, Jaipur, Jodhpur, Lucknow, Prayagraj, Vadodara, Aurangabad, and Sagar.

time-read
1 min  |
November 2024
IFF Sustainability Conclave: Rishi Suri on How LYCRAⓇ XTRA LIFE™ Improves Garment Lifespan
Business Of Fashion

IFF Sustainability Conclave: Rishi Suri on How LYCRAⓇ XTRA LIFE™ Improves Garment Lifespan

In a presentation by Rishi Suri, Business Development Director (South Asia), The LYCRA Company, the audience was treated to insights on 'Embracing Durability with LYCRA® XTRALIFE. The presentation highlighted innovations contributing to sustainable fashion practices... In a presentation by Rishi Suri, Business Development Director (South Asia), The LYCRA Company, the audience was treated to insights on 'Embracing Durability with LYCRA® XTRALIFE. The presentation highlighted innovations contributing to sustainable fashion practices...

time-read
4 mins  |
November 2024
Duke Fashions (India) Ltd.
Business Of Fashion

Duke Fashions (India) Ltd.

Founded in 1966 by Komal Kumar Jain, Duke Fashions has established itself as a pioneering brand in the Indian apparel and footwear industry.

time-read
2 mins  |
November 2024
THE INDIAN DENIM MARKET IN 2024: An Analytical Overview
Business Of Fashion

THE INDIAN DENIM MARKET IN 2024: An Analytical Overview

The Indian denim market is poised for significant growth, with a projected compound annual growth rate (CAGR) of 15% from FY2023 to FY2028. By FY2028, the market size is expected to reach USD 7.82 billion...

time-read
10+ mins  |
November 2024
Orry x Flying Machine capsule collection launches in Bengaluru
Business Of Fashion

Orry x Flying Machine capsule collection launches in Bengaluru

Apparel brand Flying Machine has launched its limited-edition Orry x Flying Machine capsule collection in Bengaluru after a successful debut in Delhi.

time-read
1 min  |
November 2024