Reinventing Fashion … Aster to Balenciago, Inditex to Fabricant, Uniqlo and Unspun … How fashion brands and retailers are becoming platforms for identity and culture, driven by community and sustainability

March 4, 2025

Reinventing Inditex

Pablo Isla has arguably created a blueprint for 21st century fashion retail.

I recently sat down with him, to talk about his career (he was twice ranked by HBR as the world’s #1 CEO) and the future of fashion retailing. We talked about the changing world and transformational change, AI and sustainability, faster fashion and much more. He struck me as quiet and thoughtful, but also visionary, provocative and clearly an inspiring leader.

For 16 years Pablo Isla was CEO (and chairman) of Inditex (one of the world’s leading fashion retail groups with brands like Zara, Bershka, Massimo Dutti, Pull & Bear, and Stradivarius) and grew the market value of the company by over 450% (from €13 billion to over €100 billion, 2005 to 2019), while doubling sales and tripling profitability.

I asked him how. As business leader over these years, was his mindset largely about selling more, doing the same thing better and better. Or was it about reinvention, from product and process innovation, all the way to reinventing brand concepts and business models?

He was emphatic … “In retail, you can never stand still. You have to reinvent yourself constantly, not just every year, but every season, every week” … with the changing aspirations and influences of consumers being the biggest driver.

Zara, of course, was a pioneer of fast fashion. Yet in today’s markets, with challenger brands like Shein and Temu, fast has become ultra-fast. And, at the same time, other agendas have become important, such as sustainability and performance – from reducing emissions and waste, to developing high-tech fabrics and consumer loyalty.

“Innovation is not just about technology. It’s about rethinking how we design, produce, distribute, and communicate — faster, smarter, and more sustainably” he reflects.

He transformed Inditex into the world’s most agile, digitally integrated, and sustainable fashion retailer, with a major shift toward digital retail, investing early and heavily in integrating online and physical retail. He also positioned Inditex as a leader in sustainable fashion, committing to 100% sustainable cotton, linen, and polyester by 2025. Plus zero landfill waste and use of renewable energy across logistics and manufacturing.

Global retail to thoughtful fashion

While Inditex is one of the world’s largest fashion retailers, the much smaller Aster Textile is one the most interesting manufacturers of fabrics and clothing. Having worked with the leadership team of the fast-growing Turkish business for the last 7 years, I’ve watched the rapidly changing opportunities and priorities of the fashion industry.

Aster started as a business designing and producing vast ranges of basic cotton tees and sweats for companies like H&M and M&S (and typically as the lowest cost). Today it has transformed into a company that puts high performance, sustainable fabrics first. And now partners with leading brands like Hugo Boss and Lacoste, On and Zegna.

“Thoughtful fashion” is Aster’s purpose statement. And in strategy workshops, trend analysis and business planning, I help them to think deeply and differently about what it takes to win in the fashion world today, and tomorrow. Indeed, a very practical symbol of this change is Aster’s acquisition and development of its subsidiary business, Artesa, a futuristic state-of the-art fabric development business.

Some of Aster’s future is obvious. We know fashion is relentless. And increasingly it not just how things look, but how they perform too. New materials, innovative fabrics, new techniques, innovative designs.

But it’s also about how brands and retailers work together, and how they work differently with consumers. For example in terms of new business models like Stitch Fix, delivering new types of experiences like Coke 3000, built around new communities like Nike’s SNKRS.

What’s the future of fashion?

The global fashion industry is undergoing a profound transformation. Faced with growing pressure to address climate change, shifting consumer values, and the rise of technology, brands and designers are rethinking every aspect of the fashion value chain—from the materials used to make clothes to how they’re designed, sold, and worn. This reinvention is not just about sustainability or aesthetics—it’s about building entirely new models of fashion that are smarter, fairer, and more future-ready.

1. Bio-Based, regenerative, and circular materials

Textiles are at the heart of fashion’s transformation. Emerging companies are developing innovative fabrics that challenge traditional norms.

For instance, Matereal recently launched Polaris, a bio-based replacement for polyurethane, dramatically reducing the environmental footprint of coated fabrics. Similarly, Modern Meadow and Bolt Threads are leading pioneers in biofabrication. Bolt Threads has developed Mylo, a leather alternative made from mycelium (mushroom roots), already used by brands like Stella McCartney and Adidas.

Circular innovation is also taking hold. Companies like Refiberd use AI and hyperspectral imaging to analyze discarded garments for recycling, helping to close the loop on textile waste. In parallel, Renewcell in Sweden recycles worn-out cotton and viscose into new fabric feedstock, branded as Circulose, which H&M and Levi’s have incorporated into their collections.

These material innovations reduce fashion’s reliance on oil-based synthetics, toxic dyes, and water-intensive natural fibers—marking a fundamental shift toward regenerative fashion systems.

2. Agile, on-demand, and AI-powered production

One of fashion’s greatest inefficiencies has always been its inventory problem—producing too many garments, too far in advance. That’s beginning to change.

The concept of agile retail, pioneered by platforms like MannyAI, uses real-time consumer data to forecast demand and trigger production only when needed. This minimizes overstock and waste while allowing brands to respond more quickly to trends.

Some labels are taking this even further. Unspun, a San Francisco-based startup, uses 3D scanning to create jeans custom-fitted to each shopper—produced on-demand with minimal waste. Similarly, PlatformE, a Portuguese tech company, enables luxury brands to personalize products at scale, powering the rise of “mass customization.”

AI is also transforming supply chains. Tools like Tilkal and TrusTrace provide transparency and traceability across suppliers, helping brands ensure ethical sourcing and verify sustainability claims.

3. Secondhand, rental, and resale models

Resale is no longer niche—it’s one of the fastest-growing segments of the fashion industry. According to ThredUp, the secondhand market is projected to grow three times faster than the global apparel market by 2030.

Luxury and high-street brands alike are embracing resale. Gucci has partnered with The RealReal, while COS Resell, Patagonia Worn Wear, and Lululemon Like New offer platforms for customers to buy and sell pre-loved garments directly.

Meanwhile, rental platforms like HURR (UK), Rent the Runway (US), and Style Theory (Southeast Asia) are shifting consumer behavior by promoting access over ownership. These services allow people to rotate wardrobes without contributing to overproduction or clutter.

This trend reflects a deeper mindset shift: clothes are no longer disposable, but valuable assets to be shared, traded, or revived.

4. Digital fashion and virtual garments

The rise of the metaverse and digital identity has given birth to a bold new category: digital-only fashion.

Companies like DRESSX and Tribute Brand design 3D garments that exist purely in virtual environments. Consumers can “wear” these digital clothes on social media, in video games, or augmented reality experiences. This creates new forms of self-expression without the environmental impact of physical production.

Luxury brands are experimenting, too. Gucci launched its Gucci Vault as an experimental space blending NFTs, digital wearables, and metaverse experiences. Meanwhile, digital-native fashion houses like The Fabricant collaborate with artists and brands to create couture for avatars, while building new economic models around NFTs and blockchain-based ownership.

Digital fashion also plays a role in design prototyping, enabling brands to visualize and refine garments before cutting any fabric—saving time, money, and materials.

5. Inclusive and purpose-driven brands

Inclusion, transparency, and values-led branding are now competitive advantages.

Emerging designers are leading the way. The 2025 CFDA/Vogue Fashion Fund finalists include names like Ashlynn Park (Ashlyn) and Julian Louie (Aubero), who are exploring themes of gender fluidity, cultural identity, and mental health through fashion.

Social innovation is also rising. Brands like Fashion Revolution and Tonlé prioritize ethical labor, zero-waste production, and community empowerment. In Africa, Studio 189 (co-founded by Rosario Dawson and Abrima Erwiah) promotes artisan-made fashion while supporting economic development in Ghana.

Even larger companies are responding. Nike has launched adaptive apparel for people with disabilities, and Tommy Hilfiger Adaptive continues to expand its universally designed collections.

Consumers—especially Gen Z—are demanding accountability, diversity, and purpose in the brands they support. The fashion industry is responding by building deeper connections, not just pushing products.

6. Localism, upcycling, and craft

Global fashion is becoming more local—and personal. The slow fashion movement, long popular in Scandinavia and Japan, is now gaining traction worldwide.

Brands like E.L.V. DENIM in London make high-end jeans entirely from upcycled materials, hand-cut and tailored in East London. In India, designers like Kriti Tula of Doodlage create one-of-a-kind pieces from factory waste, preserving craft traditions while reducing textile landfill.

Elsewhere, Bode in New York celebrates vintage fabrics, storytelling, and embroidery in menswear; while Cecilie Bahnsen in Denmark handcrafts romantic, voluminous pieces with timeless quality.

These models challenge the idea of “newness” and elevate slowness, repair, and authenticity as fashion ideals.

Inspired by ideas from beauty, entertainment, sports

Fashion, once a seasonal and product-centric industry, is now under pressure to become faster, more digital, and more emotionally connected to consumers. As trends accelerate and consumer values shift, the most forward-thinking fashion brands are increasingly looking outside their sector—to beauty, entertainment, and sports—for inspiration on how to innovate and reinvent. These adjacent industries offer valuable lessons in agility, engagement, platform thinking, and purpose-led growth.

From the beauty sector, fashion can learn the power of community and co-creation. Brands like Glossier have built empires not on advertising but on direct customer dialogue and user-generated content. Glossier invited fans into the product development process, listened to feedback, and created a feedback loop that feels authentic and empowering. Similarly, Fenty Beauty disrupted the cosmetics world by embracing radical inclusivity, launching 40 foundation shades and redefining representation. Fashion brands are now following suit—SKIMS, for example, applies similar inclusivity and community-building to shapewear and loungewear, creating cultural resonance and loyalty.

In entertainment, innovation revolves around storytelling and immersive worlds. The rise of the “experience economy” has shown that people want more than products—they want narratives and emotional connection. Luxury fashion houses like Balenciaga and Gucci have embraced this by launching collections inside video games, such as Fortnite and Roblox, or staging surreal digital runway shows that feel more like film than fashion. Moncler’s Genius project is another standout, using artist and designer collaborations to reimagine the brand’s DNA in ever-evolving drops—blurring the lines between fashion and cultural performance.

The sports industry, particularly brands like Nike, offers a masterclass in ecosystem thinking. Nike doesn’t just sell sneakers—it sells a lifestyle powered by community, data, and performance. Through apps like Nike Run Club and SNKRS, it combines social connection, personalized recommendations, exclusive content, and gamification. The result is a highly engaged customer base that sees the brand not just as a retailer, but as a partner in personal progress. Fashion brands like Lululemon and On Running have adopted similar models, blending retail, wellness, events, and digital tools into unified ecosystems that build long-term loyalty.

Globally, brands are also experimenting with cultural hybridity and hyper-localization—learning from K-pop, anime, streetwear, and sneaker culture. Japanese brand Ambush, founded by Korean-American designer Yoon Ahn, fuses fashion with music, gaming, and pop culture, while India’s Sabyasachi combines traditional craftsmanship with global luxury aesthetics, using storytelling to elevate heritage into modern desirability.

The key lesson across sectors is that innovation is not just technological—it’s cultural and strategic. Fashion brands must embrace agility, purpose, and participation, evolving from static labels into dynamic platforms. By learning from the beauty industry’s inclusivity, the entertainment world’s immersion, and sport’s ecosystem thinking, fashion can reinvent itself for a future defined not just by style, but by meaning, emotion, and connected experience.

Reinventing fashion brands and retail

To reinvent themselves for the future, fashion retailers and brands must move beyond just selling clothes — toward becoming platforms for identity, culture, and sustainability. The future of fashion lies in fusing creativity with technology, sustainability with scalability, and personalization with global relevance. Reinvention isn’t just about new products, but new value propositions, business models, ecosystems, and mindsets.

Fast Fashion to Smart Fashion

  • Shift from mass production to on-demand, data-driven production.
  • Use AI and predictive analytics to design and stock what consumers actually want.
  • Reduce overproduction and waste.

Example: Zara has integrated RFID and real-time inventory systems to better align demand and supply.

Brand-Centric to Community-Driven

  • Build fashion communities — not just customer bases.
  • Engage fans in co-creation, feedback, and shared values.
  • Leverage UGC, creators, and digital influencers.

Example: Glossier in beauty built a brand entirely on community feedback and engagement.

Ownership to Access

  • Embrace rental, resale, and circular models.
  • Monetize fashion through subscription services, digital wardrobes, and lifetime value.
  • Promote circularity as a premium experience.

Example: Rent the Runway and Vestiaire Collective have redefined fashion access and reuse.

Stores to Experience Hubs

  • Reinvent physical retail as immersive, multi-sensory spaces.
  • Combine storytelling, technology, and social media appeal.
  • Offer in-store exclusives, events, or services that can’t be found online.

Example: Nike’s House of Innovation in NYC blends AR, personalization, and real-time customization

Apparel to Identity Platforms

  • Expand into lifestyle, wellness, beauty, gaming, or even mental health.
  • Fashion becomes part of the creator economy and self-expression across channels.

Example: SKIMS by Kim Kardashian blends fashion, pop culture, body positivity, and functional design.

Physical Fashion to Digital Fashion

  • Tap into virtual fashion, NFTs, avatars, and metaverse experiences.
  • Brands create virtual collections, sell skins for avatars, or dress influencers’ AI twins.

Example: Balenciaga launched digital collections in Fortnite, while Drest lets users style virtual models with real luxury looks.

Linear to Regenerative Fashion

  • Regenerative farming for raw materials (cotton, wool).
  • Brands invest in take-back schemes, upcycling, and closed-loop production.

Example: Patagonia’s “Worn Wear” and Allbirds’ carbon accounting per product.

What to do next?

Fashion brands and retailers need to reframe their thinking. To move beyond the conventional mindsets of clothing and stores, to reimagine how they can most effectively add value:

  • Think like a tech company: agile, iterative, data-rich.

  • Act like a media brand: emotional, story-led, culturally attuned.

  • Operate like a sustainability pioneer: transparent, circular, responsible.

  • Move like a lifestyle platform: fluid across categories, channels, and markets.

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