Fast fashion leads the charge in India’s retail market in 2024
In 2024, fast fashion has emerged as a standout performer in India’s retail market, according to a data by by Redseer Strategy Consultants. While the overall fashion sector in India experienced a modest year-on-year growth of approximately 6 per cent in FY24, fast fashion surged ahead, growing at an impressive rate of 30-40 per cent.
In 2024, fast fashion outperformed in India’s retail market with 30-40 per cent growth, according to Redseer Strategy Consultants.
Despite a $10 billion market size, it’s projected to reach $50 billion by FY31.
Key drivers of the fast fashion growth in India include supply chain agility for ultra-value brands and brand loyalty for premium brands.
However, this rapid growth is just the beginning for fast fashion in India. Despite its current market size of around $10 billion, it remains more than three times smaller than Shein, one of the largest fast fashion brands globally. Driven by the vast potential for growth, fast fashion in India is projected to become a massive $50 billion-plus opportunity by FY31.
For ultra-value brands like Zudio, supply chain agility is crucial. These brands can launch low-priced products profitably by operating on a large scale, which helps offset certain costs. Consequently, building a scalable brand in this segment will necessitate substantial investments, likely spearheaded by larger conglomerates, as per Redseer.
For premium brands such as Zara, brand recall and customer loyalty serve as their greatest strengths. As India’s premiumisation trend gains momentum among affluent consumers, this segment is expected to attract a healthy influx of both global and Indian designer brands.
The mid-value segment, featuring brands like H&M and Snitch, is witnessing a high proliferation of digital-first brands. With low entry barriers, this segment attracts experimental customers, making it highly competitive. Brands with unique and value-adding propositions are likely to resonate strongly with consumers.
Regardless of their segment, fast fashion brands in India share a common core driver: the ability to identify and capitalise on new and viral fashion trends.
In men’s fast fashion for FY24, trends included oversized T-shirts, graphic tees, printed shirts, trousers, and cargo pants. The next major trend is expected to be co-ords and summer/all-time jackets. For women’s fast fashion, dresses, wide-legged trousers, and co-ords dominated the buying choices. The next big disruptors in this category are anticipated to be occasional wear and shapewear.
Fibre2Fashion News Desk (DP)
