The pandemic turned the world upside down. Governments were forced to adopt different preventive measures that resulted in global economies taking a hit with fashion logistics being a major part of the crisis. Almost every industry was affected directly or indirectly by the COVID-19 pandemic. And the fashion industry is one of the biggest industries worldwide with a revenue of $2.5 trillion. Fashion logistics has changed significantly through the pandemic in many aspects. Let’s get to know about it in depth.
- Saving mentality
Due to the pandemic, people have changed from a spending mindset to a saving mindset. The pandemic has significantly disrupted life, and for once, it’s not just in one part of the world. The expectation of seeing a downfall in the economy changed consumer behavior significantly. People became focused on spending on essential products, and fashion got excluded from the essentials as it wasn’t deemed as ‘essential’.
- Fashion has lost its importance
Due to the pandemic, lockdowns became a very common measure to slow the spread of the virus. So, people started working home for a living and barely left their premises. Events, where fashion had the utmost importance like parties, weddings, or even vacations, were postponed or even not held at all in many instances. So, it made people less motivated to spend on fashion apparels and fashion has lost its importance to some extent.
- Online based marketplace
E-commerce has been significantly accelerated due to the pandemic. Because people were under lockdown and they had no other way to get their desired goods. So, people started buying products online and started getting dependent on them. The eCommerce industry is one of the industries that went through significant growth even in the crisis, and it was able to compensate for some of the hit that fashion industries took. These eCommerce platforms are equipped with smart warehouse management software for handling workload efficiently.
- Workload decline
The garment industry is a major portion of fashion logistics. And the pandemic resulted in a significant decline in workload in many garments around the world. Leading garment exporting industries like Chinese garments witness a huge drop in international orders and garments in Bangladesh had to cancel orders worth $3.18 billion resulting in an existential crisis for many garment factories. This made buyers shifting towards the garments industries of North Africa, Turkey, and Europe.
- Supply Chain Crisis
This is one of the most important fashion logistics that has been significantly affected by the COVID-19 crisis. Fashion industries heavily rely on the import of fashion apparel from countries offering cheap labor. But due to the pandemic, state-imposed bans on imports and export resulting in a huge supply chain crisis. Many orders were not being able to be exported because of the restrictions. This made clients think to relocate their supply nearby or to source their supplies from a local manufacturer. Beyond this, logistics software assisted many fashion businesses with navigating the implications caused by the pandemic, as did many other technologies in the fashion logistics space.
In conclusion, fashion logistics took a significant turn throughout the pandemic, maybe not in a bad way, nor good. It’s a chance that people might eventually adapt. The ultimate aftermath is yet to be seen.