FASHION INDUSTRY

MAPPING &
SEGMENTATION:
AToolkit
Why map the fashion
industry?
• Mapping provides an overview of
the industry’s economic value.

• A map shows the web of

connections between players
within the fashion industry and its
convergence with entities
belonging to allied industries
within the same creative
economy. 2
Creative Industry
Mapping:
The Singapore Model

3
4
Creative Industry
Mapping:
The World Intellectual Property
Organization’s Model

5
6
Creative Industry
Mapping:
The (U.K.) Department
of Culture, Media, &
Sports Model

7
8
Creative Industry
Mapping:
The Creative Business Models
Approach

9
10
Fashion Industry
Mapping:
The Common Objective
Model

11
Fashion is a multi-trillion dollar
industry:
• which employs millions of
workers
• whose supply chains span
continents
• which consumes resources and
produces goods on a massive scale
• with a vast potential to either do
good or inflict harm on its
stakeholders

12
The Common Objective Model:

• The Retail Market

• Global Production
• Impact on people
• Impact on the
Environment
• Solutions
13
THE RETAIL MARKET

14
The Size of the Global Fashion Retail Market
• The global apparel market – not including
footwear or jewelry – is worth $1.34
trillion a year in retail sales.
• Womenswear accounts for more than
half (53%) of that spending.
• Ten national markets dominate retail,
notching up 69% of all fashion sales, with
the USA and China seeing the most
spending.
• Future growth in these markets is
forecast to be modest or declining, except
for India. 15
Volume and Consumption: How Much Does The
World Buy?

16
17
Including footwear
and jewelry, the
global fashion
industry is worth
around $2-trillion.

18
The top 10
fashion brands
by sales value
account for
around 8% of
global apparel
sales or about
$105 billion per
year.

19
Fashion and luxury jewelry account for about 17% of apparel spending.
Fashion jewelry dominates in terms of value, and is set to grow modestly
worldwide except in North America.

20
• The global footwear market is worth $352
billion in sales. Ten countries in Asia, the
Americas and Europe dominate sales, and
global retail growth is forecast at 3.3%.
• Consumers around the world buy an
estimated 14.5 billion to 19 billion pairs of
shoes per year - roughly equal to two pairs
per person on the planet.
• Consumers in the Asia-Pacific region buy
about 1.7 pairs per year costing $14.88
per pair, while North American consumers
buy 7.4 pairs at $32.27 per pair on
average.
21
22
GLOBAL PRODUCTION

23
Apparel Production: From Fiber to Fabric to Fashion
• According to the UN there are nearly 1.3 million
factories and mills involved in garment supply
chains. Approximately half produce garments
and the rest other stages of the supply chain
including spinning and fabric mills.
• More than half the world’s supply of fibers and
fabrics comes from Asia, with China producing
more than a quarter.
• Global textile mills are worth $667.5 billion,
similar in size to the Swiss economy and that
value is set to grow by more than 26%, while
fiber production could rise by up to 5% per year
to 2025.
24
Producing Fashion: Tracing the Links

Raw fiber-yarn-fabric

Cut-make-trim

Finished stocks are shipped

locally and/or globally
25
Garment Trade Flows

• A country can simultaneously produce

garments, export garments and import
garments.
• Many countries are involved in the
international trade of basic inputs and
final product in the fashion industry, but
relatively few countries dominate.
• 92 countries reported cotton exports in
2016, but just four countries accounted
for 79.5% of these exports.
26
Garment Trade Flows

• The USA dominates cotton exports and fashion

imports. As the largest retail market in the
world, the USA dominates the import of both
knitted and woven apparel and footwear. It
imports roughly double the amount of clothes
and shoes as the next biggest market, Germany.
• China is the largest garment and footwear
manufacturer in the world and so dominates
the export of these by a wide margin.
• China is also the leading importer of raw cotton
fiber and man-made fiber. It is among the top
10 importers of garments and footwear.
27
28
IMPACT ON PEOPLE

29
How the fashion industry
functions – from raw material
production and processing to
the manufacture and supply
of goods – directly
affects the people
involved.
30
For the vast majority of adult workers
involved, the industry is a mixed
blessing at best. It creates
millions of jobs – especially
for women – in places where
work is key to survival.
31
One could assume, therefore, that
fashion could have a clear, positive
impact, helping millions to
work their way out of poverty.

32
However, the reality is that many of these
workers are at the harsh end of fashion,
expected to undertake difficult,
menial or hazardous work for long
hours in poor conditions for low
pay, or even as forced laborers.

33
34
35
36
37
• It is estimated that 181 million
people are in vulnerable, or
insecure, work.
• The average workday in
Bangladesh for garment
factory workers is 17.4 hours.
• 22-M children in China are left
behind at home because
parents have to migrate
elsewhere for work.
38
In addition, there is frequent
use of child labor (i.e. India,
Bangladesh),and forced labor
(i.e. Uzbekistan), as well a
prohibition against union
membership(i.e. Bangladesh)
among workers.

39
IMPACT ON THE ENVIRONMENT

40
Figures from the Pulse of the Fashion
Industry report show that the fashion
industry currently:
• uses enough water to quench the
thirst of 110 million people for an
entire year
• creates the same amount of emissions
as 372 million cars driving for one year
• creates 13kg of fashion waste for
every person on the planet each year
• takes up a land mass roughly 1.3 times
the size of France.
41
42
KEY
ENVIRONMENTAL
ISSUES IN FASHION:

WASTE • More than 100 billion items of clothing and 14

billion pairs of shoes were sold in 2016.
• Yet only 20 per cent of textiles are recycled and
fewer than 10 per cent of garments are made into
new clothing each year.
• Every ton of discarded textiles that is reused or
recycled can save up to 11 tons of CO2 from
entering the atmosphere.
• Every 1,000 tons of used textiles collected are said
to create about seven full-time jobs and 15 indirect
jobs.
43
KEY
ENVIRONMENTAL
ISSUES IN FASHION:

WATER • Cotton, an extremely water-intensive crop,

accounts for 90 per cent of all natural fibers used in
the textile industry.
• Growing cotton requires a minimum of 10,000
liters of water to produce one kilogram of cotton.
• The Water Footprint Network calculates that
approximately 2,500 liters of water are required to
produce one cotton shirt.
• Huge amounts of water are also used in the wet
processing of clothes, for example for dyeing and
washing.
44
KEY
ENVIRONMENTAL
ISSUES IN FASHION:

ENERGY • Clothing accounts for around 4.8% per

cent of globally produced CO2
emissions; this is during both
manufacturing and consumer use.
• Around half of the CO2 emissions are
produced from wearing, washing,
tumble-drying and ironing clothes,
mostly by North American, European
and Japanese consumers. 45
KEY
ENVIRONMENTAL
ISSUES IN FASHION:

CHEMICALS • An estimated 20 per cent of water pollution comes

from textile dyeing and treatment, according to the
World Bank.
• Even after wastewater has been treated, residual
chemicals from the dyeing process remain in water
supplies. These residues can be carcinogenic, toxic,
mutagenic and have detrimental effects upon
human reproductive systems.
• Pesticides used to grow the raw materials for
textiles can be a major health and environmental
hazard according to the Pesticide Action Network.
46
SOLUTIONS?

47
48
 • Established standards of practice which companies must follow and their
CERTIFICATION/STANDARDS
compliance is audited

• Collaborative, multi-stakeholder coalitions of businesses, workers, NGOs, and

INITIATIVES
governments

• Rating system which ranks fashion brands and retailers according to established
RANKINGS
sustainability criteria

• Mass actions and lobbying for companies and governments to address specific
CAMPAIGNS
problems

• Materials, pamphlets, & training programs developed to assist fashion businesses

TOOLS
in measuring their social/environmental impacts

• Formation of trade unions where workers formally join together to protect their
WORKER ORGANIZATIONS
rights and bargain collectively
49
REFERENCES
BOP Consulting and the British Council’s Creative and Cultural Economy Series (2010).
Mapping the creative industries: A toolkit. In britishcouncil.org.
Business and Human Rights Center (2019). Tailored Wages 2019: Surveys show major
global clothing brands failing to deliver on living wage commitments to
garment workers. In business-humanrights.org.
Common Objective (2019). Mapping the Global Fashion Industry: Key Findings for
2018. In commonobjective.org.

50
Thank you