Circular Fashion Isn’t Just a Trend – It’s the Next Business Model

The fashion industry is at a turning point. Regulatory shifts, evolving consumer expectations, and economic pressures are pushing brands to rethink their approach towards sustainability. Circular fashion focuses on designing products with longevity, reuse, and recyclability in mind. It is no longer just an ethical choice but a core business strategy. Companies that embrace transparency and traceability are staying compliant, while also unlocking new revenue opportunities and strengthening customer loyalty.

Why Circular Fashion is More Than a Trend

For years, sustainability in fashion was seen as a marketing angle or an optional add-on rather than a business necessity, but that is changing fast. With increasing regulation like the European Union’s ESPR (Ecodesign for Sustainable Products Regulation) and upcoming Digital Product Passports (DPPs), brands must provide clear, verifiable data on materials, sourcing, and life cycle impact.

Consumers are also demanding more accountability. According to a 2024 PwC survey, over 80% of consumers are willing to pay more for goods that are sustainably produced or sourced, but they also want proof (PwC, 2024). Circular business models such as rental, resale, repair, and recycling provide ways to extend product life while building new revenue streams. The challenge lies in managing the data and transparency needed to make these models scalable and reliable.

The Role of Transparency and Traceability

To successfully transition to a circular model, brands need real-time insights into their products’ materials, usage, and end-of-life options. This is where traceability becomes a game-changer, helping brands optimise operations and build stronger customer trust.

How Brands Can Benefit:

• Resale & Rental Growth

Clear product histories enable authenticated resale and rental markets, increasing customer trust and retention.

• Compliance Readiness

Brands with robust traceability systems are better prepared for future regulatory requirements.

• Cost Savings & Efficiency

A structured approach to material tracking reduces waste, improves inventory management, and enhances overall supply chain efficiency.

How Kinset Helps Brands Stay Ahead

Kinset’s platform enables brands to embed traceability and transparency into their supply chains, making circularity not just feasible, but also profitable. With automated sustainability data management, brands can:

• Generate Digital Product Passports that provide verifiable lifecycle data for resale and recycling.
• Streamline compliance tracking with evolving regulations.
• Enhance consumer trust by offering real time sustainability insights.

Circular fashion isn’t just the future, it’s happening now. Brands that invest in transparency and traceability today, will be the ones leading tomorrow’s fashion industry.

Want to learn how your brand can build a scalable circular strategy? 

Contact Kinset today.