What: Off-price retail is increasingly becoming an important source of growth for the fashion sector as inflation has hit a high post-pandemic.

Why is it important: According to an analysis of global data on the off-price market and a survey of 11,000 consumers in 10 European countries, it appeared that this segment grew faster than the fashion market as a whole, and it was hit less hard during the pandemic. Off-price retail will likely grow five times faster than the market overall between 2025 and 2030.

The study also revealed that off-price enthusiasts, who are interested in products in the luxury, affordable luxury and premium categories and do their shopping on specialized platforms like Dress-for-less, BestSecret, Brands4friends, or Scarce enjoy comparing prices and spend 2.3 times more on their purchases than other groups of fashion customers.

To fully capitalize on the opportunity across all levels, the study suggested that “brands must take a multipronged strategy to maximize revenues for both channels and to secure their brand equity — without cannibalizing full-price offerings.”

Off-price retail fuels fashion growth