As we’ve just wrapped up the various fashion weeks in London, Milan, New York, and Paris, brands are working to produce and sell the designs they’ve just showcased on runways—and they’re starting next season’s collections. In the future, it’s entirely possible that those designs will blend the prowess of a creative director with the power of generative artificial intelligence (AI), helping to bring clothes and accessories to market faster, selling them more efficiently, and improving the customer experience.
While the fashion industry has experimented with basic AI and other frontier technologies—the metaverse, nonfungible tokens (NFTs), digital IDs, and augmented or virtual reality come to mind—it has so far had little experience with generative AI. True, this nascent technology became broadly available only recently and is still rife with worrisome kinks and bugs, but all indications are that it could improve at lightning speed and become a game changer in many aspects of business.
In the next three to five years, generative AI could add $150 billion, conservatively, and up to $275 billion to the apparel, fashion, and luxury sectors’ operating profits, according to a McKinsey analysis. From codesigning to speeding up content development processes, generative AI creates new space for creativity. It can input all forms of “unstructured” data—raw text, images, and video—and output new forms of media, ranging from fully-written scripts to 3-D designs and realistic virtual models for video campaigns.
Thus, generative AI is not just automation—it’s about augmentation and acceleration. That means giving fashion professionals and creatives the technological tools to do certain tasks dramatically faster, freeing them up to spend more of their time doing things that only humans can do. It also means creating better systems to serve customers better.
AI is affecting everything and offering Fashion-related businesses new opportunities to streamline their operations and reach new heights. But like with any technology, the impact of AI in fashion is not without its challenges. Today, I’ll take a closer look at the impacts of AI in fashion and what they mean for the industry as a whole.
Supply Chain Management
One of the biggest impacts of AI in fashion is in the area of supply chain management. With AI models capable of being trained by historical inventory levels and sales performance to predict future sales, businesses can make more informed decisions about what to stock and when. This can help reduce waste, improve customer satisfaction, and increase profits. I personally think this is one of the most significant benefits of AI in fashion, as it has the potential to streamline the entire supply chain process.
Marketing
AI is also changing the way fashion businesses market their products. With AI-powered marketing tools, businesses can analyse data to determine the best marketing strategies, target the right customers, and maximise the impact of their advertising. This not only saves time and money but also helps businesses get ahead of the competition by identifying new trends and emerging markets.
This is an exciting development for the fashion industry, as it means businesses can now reach new customers and generate more sales.
Design
Another area where AI is having a significant impact is in the design process. With AI algorithms predicting trends and analyzing customer preferences, fashion businesses can create designs that are more likely to be popular with their target market and reduce the risk of producing designs that don’t sell. I think this is particularly exciting, as it opens up new opportunities for businesses to create innovative and market-driven designs. However, despite these benefits, there are also challenges to consider when it comes to AI in fashion.
The Potential Challenge
Homogenization
Another challenge is the potential for AI to make fashion more homogenized. With AI algorithms driving design and marketing decisions, there is a risk that fashion will become less individual and less creative. This could lead to a decline in the quality of fashion products, as well as a decline in the popularity of the overall industry. This is a genuine concern, and it’s up to the industry as a whole to ensure that AI is used in a way that promotes creativity and diversity.
Despite these challenges, much of the fashion industry is embracing AI with open arms. With its ability to analyze data and make predictions, AI is offering businesses new opportunities to streamline their operations and reach new heights. From improving supply chain management to revolutionising the design process, AI is transforming the fashion industry and changing the way businesses operate.
So, what’s the verdict? Is AI in fashion a love or a hate relationship? The truth is, it’s a little bit of both. While AI has the potential to revolutionize the fashion industry, it also poses new challenges that businesses will need to address. However, as with any technology, the benefits and drawbacks of AI in fashion are all a matter of perspective. And with the right approach, businesses can leverage on AI to drive growth and improve their bottom line.
