The 10 challenges fashion needs to face in 2023 From the fragility of the economy to the fluidity of collections

The annual report The State of Fashion 2023 co-signed by Business of Fashion and McKinsey was released yesterday. The title of this year's edition is Resilience in the Face of Uncertainty, explicative of a situation that, after a phase of brisk recovery from the two-year lockdown, is once again looking uncertain and complex due to political, social, and environmental tensions that have never been more evident than this year. In 2021 and 2022, the entire fashion industry saw global growth of 22 percent and 13 percent, respectively, thus preparing to enter 2023 with increased strength albeit with some well-founded concerns. Between the continuation of the war in Ukraine, the energy crisis, and rising inflation, the fashion industry will face quite a few challenges including luxury spending growth fluctuating between 5 percent and 10 percent that is likely to be concentrated in the United States but especially in the Middle East - a region where cultural differences, however, will require work to adjust and localize brand language. Behind the scenes, strategizing supply chains, distribution and warehousing will require trade agreements and the adoption of new technologies while the topic of digital marketing in a society that will be economically challenged remains hot.

That's why the report outlined 10 challenges the fashion industry needs to face in 2023 if it is to survive one of the most uncertain and complex periods of the past decade.

1. Socio-political fragility

Optimizing management teams, cultivating talent, and increasing the push on departments dedicated to digital growth and sustainability will be critical. In general, to cope with the priorities and potential emergencies of the new situation, every company must build strong and functional management teams capable of responding with agility and decisiveness to each new challenge.