Chair of Strategy and Marketing

Prof. Dr Martin Fassnacht quoted in Business Insider

What future do textile discounters have in the light of the Corona crisis?

The fashion industry has been hit hard by Covid-19. Coronavirus is also transforming consumers' lives across all spheres and thus, buying behavior is changing. For discount clothing retailers, the challenges are even bigger if we think of topics like sustainability or E-commerce. Solveig Gode from Business Insider asked Prof. Dr. Martin Fassnacht to comment on this topic. "E-commerce has been putting the fashion discounters under pressure for years and now the Corona crisis is tapping them out," says Prof. Fassnacht. At the same time, he also states that it is hardly worthwhile to build up an online business due to the low margins in the textile discount sector. An increasing awareness of sustainability may also be another area of concern for these retailers. "In the long run, very low-priced and non-sustainably produced clothing no longer really fits the times because of consumers' increasing awareness of sustainability," Fassnacht says.

Read the full article here