Domain expertsFashion retail industry should shun discounting to embrace hyper-personalisation

The fashion retail industry is contemplating moving away from ‘‘discounting’‘ and embracing hyper-personalisation (close to bespoke model) to shore up its balance sheet and stop margin erosion, hinted industry captains.

Domain experts, who spoke at the India Fashion Forum (IFF), an industry intelligence summit, held in Bengaluru, further said several pressing challenges constantly confronted the industry and therefore urged the fashion retail community to move away from conventional discounting practices and embrace data-driven personalisation which may lead to better business impacts and enhanced customer satisfaction.

Suparna Mitra, CEO, Titan Watches & Wearables, highlighted the detrimental impact of unsold inventory resulting from heavy investments in large-scale production.

Echoing similar sentiments, Shailesh Chaturvedi, Managing Director and CEO of Arvind Fashions cautioned the industry against discounting and commoditisation.

By harnessing disruptive technologies such as generative AI and customer data algorithms, fashion brands would know consumer desires more precisely, Shailesh Chaturvedi, who is also the Chairman of IFF, added.

Shivanee Dutt, Director, Brand Marketing & Merchandising, Snapdeal, emphasised the critical role of personalised experiences in engaging discerning consumers.

According to participants, the integration of generative AI, from chatbots to personalised content creation and data visualisation is revolutionising marketing strategies and reshaping the entire fashion retail landscape in India and globally.

Amid the evolving nature of consumer behaviour and the importance of leveraging technology to meet changing demands, technology would be the largest value creator, observed Saloni Nangia, President & MD of Technopak Advisors while adding, ‘‘AI will be an enabler and a disruptor, and sustainability will continue to hold importance.’‘

Murali Balan, Co-founder of Tenovia, an e-commerce analytics firm, emphasised the transformative power of data analytics in guiding strategic decision-making.