Customers expectations are always rising and sometimes companies struggle to

Customers expectations are always rising and

This preview shows page 59 - 61 out of 108 pages.

Customers’ expectations are always rising, and sometimes companies struggle to keep up. But by taking the time to invest in new technology and capabilities, companies can rapidly create valuable new customer experiences, manage them cost-ef- fectively and continue evolving them to keep pace with a rapidly changing world. The authors are part of Digital McKinsey, which brings together all of McKinsey’s technology and digital capabilities in one cohesive organisation. 59 An example of how existing software and platform services can be integrated to transform the customer experience: Source: Digital McKinsey
Image of page 59
60 The State of Fashion 2019 07. RADICAL TRANSPARENCY Fashion companies must come to terms with the fact that a more distrusting consumer expects full transparency across the value chain. Given the need to regain that trust, fashion players cannot afford not to examine long- standing practices across their businesses. The fashion industry suffers from a rising trust deficit. Recent high-profile data breaches at a number of online fashion companies, and in other industries, have left consumers wondering whether they should share information with brands and retailers. As a result, they are demanding to know much more about a range of issues, from where and how items are made to the design provenance and the item’s quality. As Mike Smith, chief operating officer of Stitch Fix, asserts, “If you don’t have trust, you don’t win the customer over time.” Yet surveys suggest that trust in businesses fell in 40 percent of countries in 2017, with more than two in five consumers saying they didn’t know which brands to trust. It makes sense that as trust has eroded, consumers have become more active in scrutinis- ing the brands they do business with. Millennials are at the vanguard, with 52 percent agreeing that they always research for background information before buying, compared with 45 percent of Gen Z consumers and 41 percent of baby boomers. Reviews and articles are common sources of information. 77 “Social media has enabled a certain transparency,” says Farfetch chief strategy officer Stephanie Phair. “You can no longer control your luxury messaging within borders.” We expect the critical dimensions in which fashion players will be most scrutinised include: creative integrity, sustainable supply chains, value for money, treatment of workers, data protection and authenticity. From a creative standpoint, brands need to show they bring something to the table that is based on their own intellectual property. Copycats are increasingly called out on social media. For example, @DietPrada, an Instagram account that boldly names brands that have lifted styles from other designers, has over 830,000 followers at the time of printing. Cases of cultural appropriation — described by The Economist as instances where a “‘dominant culture’ wearing or using things from a ‘minority culture’ is inherently disre- spectful because the objects are taken out of their native context” 78 — have gained instant notoriety on social media. Consumers are increasingly
Image of page 60
Image of page 61

You've reached the end of your free preview.

Want to read all 108 pages?

  • Winter '14
  • Prof.HeikovonderMosel

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes