Artificial Intelligence with respect to its Application, Benefits, Impact and Future of Fashion Business.

1. ARTIFICIAL INTELLIGENCE IN
FASHION BUSINESS
Presenter
Niveditha A S
Assistant Professor
Army Institute of Fashion & Design
NATIONAL CONFERENCE
on
“Innovative Management Practices towards Business excellence”
Koshys Institute of Management studies, Bangalore on 16th Nov 2019

3. Content:
 Introduction to Artificial Intelligence
 Application of Artificial Intelligence in Fashion
 Benefits of Artificial Intelligence in Fashion
 Impact of Artificial Intelligence in the Fashion business
 Future of Fashion with Artificial Intelligence

4. Introduction toArtificial Intelligence
 Artificial Intelligence is a broader
field of computer science dealing
with emulating the human mind
and reasoning.
 It focuses on training machines to
use algorithms that discover
patterns and generate insights and
make predictions based on
already existing data.

5. Fashion Industry
 The fashion industry is a big
business, and globally it is valued
at an estimated $3 trillion
according to Fashion United,
representing 2% of global Gross
Domestic Product.
 Fashion has always been a hotbed
for innovation from the invention
of the sewing machine to the rise
of e-commerce.

7. Application ofAI in Fashion
 Retailers estimates on prior year sales and
some intuition about what will be hot sellers,
but these are really just educated guesses.
 They can be off due to a number of factors
such as changes to customers' buying
patterns, certain colors or styles being less
popular this year than in years past, or other
hard-to-predict factors.
 AI-based approaches for demand projection
have the ability to reduce forecasting errors
by up to 50%, according to some projections
by business of fashion.

8. Better buying and planning
 For many fashion buyers and planners, a
difficulty that is commonly faced is
knowing exactly which material to buy
for designers.
 Ordering too much of one thing might be
detrimental to the business, especially if
that product does not sell as well as they
hoped.
 Yet, with advanced predictive analytics,
buyers can effectively learn from
customer behaviour, and in turn plan with
greater accuracy. By knowing which
items are best and worst sellers, you
can buy and plan with precision.

9. Managing Inventory
 Today, companies like Chain of Demand
use machine learning algorithms to make more
accurate predictions and choices.
 While demand forecasting techniques have been
around for years, traditional methods only used
historical sales data. The majority of calculative
work needed to be done by humans and with
limitations when the data sets go over 10,000.
 Yet, with machine learning, you can reduce
forecasting errors by up to 50%, and are not
restricted to how many data points and sources
are used, thereby making more precise
predictions.

10. AI helps with manufacturing and transport
 Artificial Intelligence has been
gaining momentum over the last two
decades, in the apparel industry in
different areas.
 The automation of various
departments by the application of AI
in spreading, cutting, sewing, and
material handling can reduce the
production cost and minimize faults.

11. AI -> Customization
 Many successful fashion websites
are able to keep a log of the
browsing patterns of their
customers, and in turn suggest
similar items based on color, style,
and design.

12. Improved customer service & communication:
chat-bot technology

13. AI enhances the clothing & buying experience
 Online and physical retailers are
launching applications and virtual try-
ons that allow shoppers to model a pair
of jeans, a dress or even makeup from
the comfort of their couch.
 Stitch Fix, the online personal styling
service that delivers monthly outfits to
your door

14. Improved product discovery
 Shoppers are now able to upload a photo
of a product that they desire and get
instant feedback on whether that item
exists in the specified stores.
 There are also solutions that help scan
the photo to give recommendations of
where they can buy said product and at
what retailer.

15. Future of Fashion withAI: Luxury shoppers want a seamless and
personalized shopping experience
 That is particularly the case with
Millennials and Gen Z consumers
who often start their brand
discovery experience online.
 It’s the same generations of young,
affluent consumers that are
driving 85 percent of the global
luxury sales growth and now
represent over 30 per cent of all
luxury spending.

16. Future of Fashion withAI
 Estimates global artificial
intelligence business value to
reach $3.9 trillion in 2022

17. MARKET REVENUE IN BILLION US DOLLARS
9.51
14.69
22.59
34.87
51.27
70.94
94.41
118.6
2018 2019 2020 2021 2022 2023 2024 2025
Global AI revenues will see a massive growth from just
USD 9.51 billion in 2018 to an excess of USD 118.6 billion in 2025.

18. “CanAI become my fashion designer?”

20. Future of Fashion withAI
 AI tools are likely to support and
augment much of the work
currently done by designers, rather
than replacing creative’s altogether.
 And while some tasks may
disappear, AI will also create new
opportunities.

21. Future of Fashion withAI
 The potential of AI is on the rise,
and the future promises more
advance technologies.
 Amazon is already testing
cashier-less stores in the US and
ROI says research could make it
possible for consumers to upload
their image online and try on
garments.

22. Artificial intelligence is set to be a game changer in luxury retail.
Opportunities for integrating AI into luxury e-commerce are seemingly
endless. There is indeed scope for AI to be used for personalization at all
stages of the customer journey, from discovery to checkout.

23. Question Hour…

24. Thank you !!!