Farfetch unveils third annual sustainability trends report

Luxury fashion platform Farfetch has unveiled its third annual Conscious Luxury Trends report revealing a rising global demand for conscious fashion and beauty products and growth opportunities in the luxury industry.

The annual report looks at how consumers are shopping more responsibly and reveals the significant opportunities and innovations in the luxury industry’s sustainability landscape and notes that Farfetch has a 10 percent higher conversion rate for its conscious products compared to non-conscious products.

In 2022, 27 percent of Farfetch customers purchased at least one conscious product, a significant increase from 16 percent in 2021. It also notes that conscious sales grew 16 percent points faster than overall sales on the Farfetch Marketplace, with the US leading in terms of the number of conscious products sold and pre-owned sales. It also revealed that Kuwait and China have the highest joint proportion of Conscious sales, accounting for 17 percent of GMV, while the United Arab Emirates experienced the highest growth in sales of pre-owned products, with a year-on-year increase of 246 percent in GMV.

In general, Farfetch adds that searches for conscious-related product terms on its platform increased 78 percent year-on-year, with words including linen, vegan, and organic among the top conscious-related fashion search terms. Similarly, for beauty products, the top conscious-related search terms last year were vegan, clean and organic.

Farfetch reveals rising global demand for ‘conscious’ fashion and beauty products

Pre-owned is also attracting and retaining high-value consumers, added Farfetch, with authenticity a top consumer concern before buying. The report found that 34 percent of survey respondents reported buying a pre-owned or vintage item in 2022, an increase from 20 percent in 2021. While Private Clients accounted for 53 percent of the GMV mix for pre-owned in 2022, up from 31 percent in the previous year.

Farfetch also reports that its circular initiatives which extend the life of fashion items are continuing to grow in popularity, with nearly half of its customers participating in resale in 2022. It adds that the number of customers who sold a fashion item through Farfetch Second Life more than doubled year-on-year from 22 percent in 2021 to 46 percent last year, while consumers who repaired a fashion item increased from 13 percent to 34 percent.

Farfetch senior director of sustainable business, Thomas Berry, said in a statement: “At Farfetch, we are committed to driving positive change in the luxury industry. This year’s Conscious Luxury Trends Report showcases the remarkable progress being made in this space across the industry and the significant opportunities for brands to align with consumer values and help to deliver positive social and environmental progress.

“By embracing sustainability as a strategic imperative, brands can not only meet the growing demand for Conscious products and circular services, but also shape a more sustainable and inclusive future for the luxury industry.”