Direct sales models have become popular alternatives to traditional retail in fast moving consumer goods, fashion, grocery, consumer electronics, home and personal care, home improvement or pet & animal assortment to name a few. Whereas traditional brick-and-mortar retail sales have been either stable or declining, online retail turnover has recently increased in many developed markets. The overall technological advancements and the rise of (inexpensive and fast) home delivery services provided a fertile ground ever greater number of items, which are at large individually packaged and delivered to customers. Direct sales models offer brands greater control over their customer relationships and brand narratives. As consumer expectations continue to evolve dynamically, direct sales models are likely to remain a key strategy for brands looking to thrive in an increasingly digital and competitive retail landscape.
Direct sales models empower brands to differentiate themselves in a crowded market and maintain control over their product offerings, pricing strategies, and marketing initiatives. Brands can directly convey their unique value propositions, tell their brand stories, and build deeper connections with their target audiences. Furthermore, direct sales models generate valuable data and insights that help brands understand consumer behavior, preferences, and purchasing patterns. By leveraging data analytics, brands can optimize their offerings, marketing strategies, and customer engagement efforts, hence deliver personalized customer experiences.
Direct sales model is believed to have a lower carbon footprint compared to traditional retail models, primarily due to shorter supply chains bypassing warehouses and intermediaries. Direct sales models often operate on a “made-to-order” or “just-in-time” basis, hence reduce the need for excessive (potentially disposable) inventory. Many online marketplaces utilize advanced IT systems, optimize shipping and delivery routes. Several prioritize or offer sustainable transportation methods and packaging.
While direct sales models generally tackle sustainability benefits in terms of carbon footprint compared to traditional retail models, it’s essential to consider other factors beyond transportation emissions, such as material sourcing, production technologies, labor practices, and/or product durability. Despite the sustainability claims made by many product and store brands operating under direct sales models, there is a growing concern about greenwashing. Exaggerated claims about sustainable practices, misleading marketing tactics, or the use of vague and unsubstantiated sustainability labels are not uncommon. Others do not emphasize sustainability in their operating practices whatsoever.
For instance, the fashion industry has witnessed a seismic shift towards Fast Fashion 2.0. E-commerce giants like Temu and Shein have disrupted the fashion landscape with their fast-paced, trend-driven business models and operate directly out of China. The Spanish fashion giant Inditex and its Zara brand are behind most of the cargo traffic at Zaragoza airport and have been repeatedly accused of excessive transport emissions. The reliance on air cargo for transporting fashion goods from distant manufacturing hubs poses significant environmental challenges. Air freight emits higher levels of greenhouse gases compared to other modes of transportation, contributing to climate change and air pollution. Manufacturing in developing countries also raises concerns regarding sustainability, ethical sourcing, and labor practices. Balancing the convenience and affordability of online shopping with sustainability and social responsibility remains a pressing challenge for these emerging players.
Fast Fashion 2.0 represents a paradigm shift in the fashion industry, characterized by a renewed focus on sustainability, transparency, and direct-to-consumer sales models. While these developments hold promise for a more responsible and ethical fashion ecosystem, challenges persist, particularly concerning the environmental impact of air cargo and the practices of e-commerce giants like Temu and Shein. Addressing these challenges will require collaboration, innovation, and a concerted effort from brands, consumers, and policymakers alike. Ultimately, the future of fashion lies in striking a balance between profitability and sustainability, where ethical considerations are woven into the fabric of every garment. By cutting out intermediaries in direct distribution models, brands can lower costs, improve profit margins, and respond more swiftly to consumer demands. And the speed of bringing latest trends to market seems to be the decisive feature.
Résumé
Vzestup modelů přímého prodeje rychlé módy 2.0: Udržitelný greenwashing?
Fast Fashion 2.0 představuje změnu paradigmatu v módním průmyslu, která se vyznačuje důrazem na rychlost přinášení trendů spotřebitelům a přímé modely prodeje. Modely přímé distribuce pomáhají snižovat distribuční náklady, zvýšit ziskové marže a rychleji reagovat na požadavky spotřebitelů. A právě rychlost uvádění nejnovějších trendů na trh se zdá být pro módu rozhodujícím prvkem. K překonání nemalých vzdáleností mezi místy výroby a místy spotřeby je však často využívána letecká přeprava, mající vysokou uhlíkovou stopu. Praktiky gigantů elektronického obchodu, jako jsou Temu a Shein, kteří operují přímo z Číny, jsou často veřejně označovány jako neetické, co se týká pracovní síly, plýtvání materiály pro výrobky i obaly nebo dumpingové ceny. Řešení těchto problémů bude vyžadovat spolupráci, inovace a společné úsilí značek, spotřebitelů i tvůrců politik. Budoucnost módy nakonec spočívá v nalezení rovnováhy mezi ziskovostí a udržitelností, kdy jsou etické aspekty vetkány do struktury každého oděvu.