Fast fashion is not cheaper in the long run, says new report

The world cannot afford fast fashion.

This is the conclusion of a new study from Vestiaire Collective, the world's leading second-hand luxury fashion platform.

THE report argues that beyond the devastating climate consequences of fast fashion, the idea that fast fashion is more affordable is false. While price barriers remain an important factor for consumers, Vestiaire has introduced a new approach to understanding the true value of fashion: measuring cost per outfit.

Cost per wear measurement aims to show the true cost of an item based on its frequency of use, total lifespan and resale value. Although fast fashion items may initially seem more financially attractive, the report claims that second-hand fashion items are a more financially sound investment in the long term.

“In the current climate of inflation, it is obvious: neither people nor the planet can afford fast fashion. We want to raise awareness among consumers about the benefits of circularity, while sounding the alarm on the devastating impact of fast fashion. This report is a wake-up call to combat overconsumption and excessive spending, fueled by low and tempting initial prices,” said Fanny Moizant, president and co-founder of Vestiaire Collective, launched in Paris in 2009 and certified B Corp.

Vestiaire's March 2024 study, conducted in collaboration with Vaayu, delves into consumer behavior, analyzing responses from 13,400 participants, as well as data from 250,000 transactions and insights from 28 qualitative interviews across major markets worldwide. Through this study, Vestiaire aims to change consumers' perceptions of the price of an item, by encouraging them to invest in pieces that are sustainable both financially and environmentally. The report encourages fashion customers to take better care of their items due to their resale value and invest in durable, quality items.

According to Moizant, the second-hand industry is growing “ultra-fast” and is a $200 billion industry that is growing at a rate of 15 to 20 percent.

Discussing the reasons behind this research, Moizant said: “This industry has changed dramatically. Fifteen years ago we witnessed enormous waste created by something quite new, namely overconsumption. We were seeing our peers consume more and more… overconsumption was skyrocketing and the number of times people wore their clothes was decreasing.

She said it was the creation of Vestiaire. “At the time we weren't even talking about sustainability, but we saw a huge amount of waste,” she said. She said they believed in sustainability, longevity and craftsmanship and what fashion should represent.

She said Vestiaire undertook the study “so people understand the true cost of fashion and the true bad cost of fast fashion”.

“There are hidden costs behind fast fashion, beyond the shiny price tags you see in stores,” Moizant continued. Three years ago, Vestiaire, which focuses on designer, premium and high-end brands, decided to take a stand against fast fashion and banned fast fashion brands such as Asos, Shein, Burton, Fashion Nova , Pretty Little Thing, Missguided, Topman. , TopShop, Zara and Gap from its site, as indicated. It launched the fast fashion ban campaign in November 2022 (banning 33 brands), experienced another wave last November (banning 30 brands) and is planning another this fall.

When asked if she felt she had to tackle fast fashion to create Vestiaire, she replied: “For us, it's the model that introduced overconsumption.”

Is she trying to get rid of fast fashion?

“I would honestly love to.” I wish these companies no longer existed. And so that consumers are more aware,” Moizant said. According to her, 40% of orders on Vestiaire are less than 100 euros. And these are brands that are not fast fashion. The average basket is around 350 euros.

The circularity report, titled “Exposing the True Cost of Fast Fashion,” reveals the environmental and social impact of businesses. He points out that 60% of fast fashion items end up in landfills within a year of purchase. And 92 million tonnes of textiles are thrown away every year. “It’s an environmental and social disaster,” she said.

The report claims that strong demand for pre-owned luxury goods shows no signs of slowing, with Vestiaire Collective reporting revenue growth of 25% in 2023, compared to a 4% increase across the luxury industry. The study also found that one in three shoppers use Vestiaire Collective to source unique and hard-to-find items, with nearly a quarter of a million searches for vintage in 2023, a 40% increase from the previous year.

According to Vestiaire, fighting fast fashion is their number one priority. In 2023, Vestiaire worked with a team of industry experts to define fast fashion for the first time with a set of five key criteria (very low prices, high promotional intensity, rapid collection renewal rate, extremely wide and record speed). at the market). “When you have an enemy, you should be able to define it,” Moizant said.

The report highlights that after the fast fashion ban, consumers did not leave their platform. Instead, they changed their habits and turned to more premium brands. The study found that 92% of affected buyers stayed with Vestiaire and 88% of affected sellers stayed with Vestiaire.

The report indicates that fast fashion is not a niche market. Seven out of ten items of clothing sold in France come from fast fashion brands, “which makes it the dominant mode of consumption”. Vestiaire believes in buying better quality pre-owned pieces, using better fabrics and more flattering cuts. “And while they may not be as cheap, they are more cost effective in the long run, with a longer lifespan and lower cost per wear,” according to the report.

The study also claims that shopping on Vestiaire costs 35% less in the long term than buying brand new fast fashion products.

Among the main assertions in the report comparing Vestiaire to fast fashion:

“Affordable fast fashion is a false economy. Buying cheap fast fashion is misleading because ultimately you end up replacing items over and over again. We champion circularity because it not only benefits consumers' wallets, but also protects our planet. Used luxury items are more profitable over time and have a longer lifespan. Our mantra “Think first, buy later” makes more sense than ever,” said Dounia Wone, Vestiaire Collective’s Chief Impact Officer.

When asked what Moizant hoped consumers would take away from the report, she said, “Fast fashion is no longer an option for them. They need to think about the planet and their own wallets. We hope that through this study they will be much more sensitive to their own wallets and think wisely and carefully when purchasing their next item,” she said.

To mark the launch of the report, Vestiaire has revealed the next installment of its 'Think First, Buy Later' campaign, which features a series of videos, testimonials and memes, appearing across social media from Monday. Five months after the initial launch – which went viral on Instagram – this campaign will showcase the cost-per-wear approach and challenge perceptions to break the illusion of fast, affordable fashion, encouraging conscious consumption to protect at home. both personal finances and the environment.