- Study finds global fashion industry’s response to environmental urgency lacking
- The top 3 ranking companies have remained unchanged in all 3 editions of the CFX
- 7 circularity metrics are measured; companies have not extensively activated any
- 5 of the top 10 ranked brands are US-based; France has the top CFX score
- On the consumer side, 30 to 40% of fashion customers remain unaware of recycling/upcycling options
CHICAGO, May 31, 2023 /PRNewswire/ — Today global management consulting firm Kearney released the 2023 Circular Fashion Index (CFX), its third study measuring the global fashion industry’s progress toward circularity and sustainability. Based on proprietary analysis, the CFX acts as an objective tool helping companies understand where they rank in their sustainability practices and which circularity levers remain to be pulled. Notwithstanding the Fashion Pact launched at the G7 Summit in France in 2019, the industry remains one of the highest global polluters—hence the value of measuring progress. Kearney’s 2023 CFX finds that the needle has barely moved since last year’s report, with the 200 global brands analyzed barely reaching an average of 2.97 on a circularity scale of 10.
“Consistent with our 2022 results, brands are not extensively activating any of the seven circularity levers; rather, all are operating in the 2 to 6 percent range. Beyond this, they are failing to educate consumers not only about the importance of sustainability, but about actions such as recycling, upcycling, and renting apparel,” observed report co-author and Kearney partner Brian Ehrig. “More than a third of consumers remain unaware of these options. There is so much more to do, and brands can be upping their game.”
The report also cites a recent Kearney Consumer Institute (KCI) consumer survey showing the extent of American, French, and Italian consumers’ lack of knowledge around more sustainable possibilities for their interactions with the fashion industry.
Other findings from this year’s Circular Fashion Index include:
- Brands showing the strongest improvements, and the most successful brands newly joining the ranking
- CFX scores by country, with more than 80% of brands hailing from the United States, France, Italy, India, Germany, and the UK
- Scores by category, across six categories
- Top 10 performers/best practices, and what they could be doing better
- Year-over-year comparison of CFX rankings between 2022 and 2023
“Brands are still showing low scores across geographies and market segments,” said report co-author and Kearney principal Dario Minutella. “Only 19 of the 200 global brands we looked at scored above 5 out of 10, and only the top three scored above 7 in any areas. This year’s CFX shows that concrete action is required to close the gap and move the industry toward greater sustainability and circularity.”
The 2023 Circular Fashion Index is available here.
About Kearney’s Circular Fashion Index
Now in its third edition, the 2023 Circular Fashion Index has expanded to analyze 200 global fashion brands from 20 countries over six apparel categories: sports and outdoor, underwear and lingerie, luxury, premium/affordable luxury, mass market, and fast fashion. Each company’s CFX score is based on seven dimensions affecting the circularity impact of the brand: share of garments made from recycled fabrics, repair and maintenance availability, “circularity” in brand communications, detail/accessibility of care instructions, breadth/depth of secondhand sales, breadth/depth of rental services, and the availability of drop-off locations for worn clothing.
Kearney is a leading global management consulting firm. For nearly 100 years, we have been the trusted advisor to C-suites, government bodies, and nonprofit organizations. Our people make us who we are. Driven to be the difference between a big idea and making it happen, we help our clients break through. www.kearney.com
Media Contacts: Meir Kahtan, MKPR, [email protected], +1 917-864-0800
Originally published at https://www.prnewswire.com/news-releases/kearney-releases-2023-circular-fashion-index-average-cfx-score-across-200-global-brands-stymied-at-below-3-on-a-scale-of-10-301838151.html
Some images courtesy of https://pixabay.com