AI in Fashion Market Trends

Growth Drivers

• Surging trends in the fashion industry - Brands such as Zara, G-Star Raw, & H & M are using AI tools to help fashion designers create new designs in reshaping the fashion industry. AI analyzes the amount of fashion data from various sources, such as fashion blogs, online retail sites, social media platforms, and others to keep up with the upcoming fashion trends. Based on this data, AI uses machine learning and algorithms to generate unique designs, patterns, and styles for the upcoming trends in the fashion industry. In July 2024, Adobe Inc. announced innovations in its professional design apps Photoshop, and Illustrator to empower the designers to realize their visions faster. Innovations enable designers to quickly bring their vision to life across product packaging, logos, brand graphics, and pattern creation.

• Increasing use of AI tools in online shopping platforms - The rising use of AI tools in online shopping platforms such as social media and e-commerce platforms has significantly shaped the fashion industry. Consumers prefer the convenience of selecting products from online retail platforms over extensive catalogs. AI in online shopping platforms generates a virtual model that allows the customer to see how exactly the clothes will fit them. For instance, in March 2023, Deep Agency launched an AI algorithm that can generate photorealistic virtual model photos. This algorithm lets the customers place the fashion model against the digital backdrops to increase the diversity of models.

Challenges

• Lack of technical expertise among fashion professionals - There is a requirement of skilled professionals to use AI solutions in the fashion industry to cater to the consumer’s needs. Rising concerns about job security in the fashion industry are one of the major issues that companies face. In addition, AI is a new concept in the AI in fashion market, making it difficult to find AI expertise for the fashion industry. Businesses operating in the fashion sector needs to collect and analyze large amounts of data to leverage AI effectively. However, fashion professionals may not have the necessary skills to handle, and analyze large data sets.

• High investment in cybersecurity - Fashion businesses face the challenge of securing sensitive information such as customer data, new designs, and technology innovations from their competitors, adding unnecessary expense to the business operation.