If you kept up with the fashion world in 2024, you already know that things weren’t exactly easy for retailers.

From waning consumer interest and sales numbers to battling legal issues, fashion brands were forced to work extra hard. However, just because 2024 was less than positive for the industry, it doesn’t mean retailers can’t prepare for a better 2025. With a little help from retail analysts and experts, we’re breaking down what fashion should prepare for in the new year.

Experiential economy for the win

You’ve probably heard a lot about how consumers increasingly value experiences, and this inclination is likely to remain true.

Nora Kleinewillinghoefer, partner and North America lead for fashion and luxury at Kearney’s Consumer practice, told Retail Brew that wellness has been a huge priority for customers across the luxury sector, “paving the way for brands to innovate and grow in the hotel, spa, and health-related services spaces in 2025.”

Matthew Katz, managing partner of global consulting firm SSA & Company, agreed, adding that “as consumers may be shifting their spending from gifts back toward experiences, brands that capitalize on this trend—with curated travel accessories, experiential gifts, or offerings that prioritize moments over material items—will do better.”

Keep reading here.—JS

Last year, big CPGs from PepsiCo to P&G continued to institute price hikes, sending sales volumes dipping as many consumers cut back on spending or sought more value-priced items. Looking to the year ahead, many CPG execs are recognizing their pricing strategies may have to change, according to a new report from Deloitte, which predicts 2025 “could be a pivotal year” for the CPG industry.

In a survey of 250 CPG executives across food and beverage, household goods, personal care products, and fashion and apparel, 51% of respondents agreed they cannot rely on price hikes for revenue growth this year, with the highest volume of execs who hold this belief coming from household goods companies (62%). Just 30% said they could boost prices over 3% without impacting sales volumes. Nearly half of execs also agreed that retailers will oppose more price hikes from CPGs. Deloitte also found that 64% of execs agreed that consumers are still negatively comparing today’s inflated prices to lower, pre-Covid prices.

CPGs, instead, will largely focus on portfolio and product mix to drive profitable growth this year, per Deloitte.

Keep reading here.—EC

This week in fashion news: One major fast fashion retailer incites backlash, and some vintage watch prices hit a three-year low

Shein accused of “wilful ignorance”

The new year has brought fresh trouble for the already troubled Shein. In a recent exchange, British members of Parliament accused the fast fashion retailer’s EU general counsel, Yinan Zhu, of “wilful ignorance” after she refused to respond to whether Shein has used cotton produced in Xinjiang, China, in its production.

Why this matters: The region has been the focus of concern for its alleged use of forced labor to produce cotton. Zhu, however, said she wasn’t qualified to answer questions related to Shein’s supply chain and manufacturers prompting the MPs to say she has been “unhelpful and disrespectful.” It’s not the first time Shein has garnered criticism from government authorities. The retailer, which initially planned on launching an IPO in the US, reportedly switched to listing on the London Stock Exchange instead after bipartisan lawmakers pushed the SEC to investigate accusations of “mistreatment of Uyghurs, a marginalized group in China,” Retail Brew previously reported.

Keep reading here.—JS