industry is facing a radically different landscape compared to just a decade ago, with evolving consumer behaviors, economic fluctuations, and new market entrants reshaping the sector., shares insights into the unique challenges and opportunities currently influencing the sector, from the impact of inflation on buying patterns to the adoption of data-driven decision-making and sustainability practices.
The expansion of e-commerce has brought greater opportunities for many brands but has also squeezed traditional mom-and-pop stores that may have been the local go-to shoe stores just a decade ago. For example, even Nike is experiencing weak revenues and seeing shares drop nearly 20 percent. Footwear is an expensive business due to the vast array and combinations of sizes, fabrications, lasts and heels. The best way to foster success is with customer-driven data combined with predictive analytics. For instance, using digital samples to solicit Voice of Customer data before physical samples are made reduces sample costs by as much as 30 percent.
The best leaders today succeed because they make data-driven decisions. The days of using “gut instinct” and historical data to make decisions are gone.Integrating the customer into every decision will improve results throughout the business. For example, using predictive consumer insights to set pricing strategies will give brands a greater understanding of how to price their footwear collections for maximum sell-through.