Generative AI in Fashion Market to Expand at a CAGR of 36.9%, Witnessing a Surge in Growth Opportunities by Providing Unique Experiences

According to, Personalization and social media influence identified as crucial factors driving growth in the Generative AI in Fashion Market, this creates new opportunities for market players.

New York, April 03, 2023 (GLOBE NEWSWIRE) -- The global generative AI in the fashion market size accounted for USD 69 million in 2022. It is expected to grow at a CAGR of 36.9% and is predicted to reach USD 1,481 million by 2032.

The global AI in the fashion market is a high-growth combination of artificial intelligence and the clothing industry. The generative AI in fashion firms has also improved the uniqueness and customer experience, helping customer demand to grow. In addition, it has made it easier to analyze customer product demand while reducing unnecessary inventory costs.

Generative AI in Fashion Market By Component

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Key Takeaway:

  • By component, the solution segment accounted for a significant share of the global generative AI in the fashion market in 2022.
  • By application, the supply chain management & demand forecasting segment held the largest market share during the forecast period 2023 to 2032.
  • By deployment, the cloud segment dominated the market in 2022.
  • By category, the clothing segment dominated the global generative AI in the fashion market in 2022.
  • By end-User, the fashion stores segment will account for a significant share of the global generative AI in fashion market growth during the forecast period.
  • In 2022, North America dominated the market with the highest revenue share of 42.0%.
  • Asia-Pacific held a 25% revenue share in 2022.
  • Europe will grow at the fastest CAGR from 2023-2032.

AI digital platforms are used to suggest apparel to consumers as per their current style, height, weight, and form. When customers give accurate measurements in the AI system, it can quickly provide the desired results.

Factors Affecting the Growth of the Global Generative AI in the Fashion Market

Several factors can affect the growth of the global generative AI in the fashion market. Some of these factors include:

  • Increasing Consumers' Demand for Personalized Experience: The rising demand for personalized experiences has increased the adaption of artificial intelligence in the global fashion market. The tremendous use of e-commerce sites for shopping for clothing, footwear, cosmetics, and other accessories has boosted the market's growth. The major brands must change their content depending on recent fashion trends. This technology helps to select the appropriate product in the least time.
  • High Social Media Influence on the Global Fashion Industry: The rapid growth in social media adaptation has led to increased social media accounts, mainly for youngsters. As per the global analysis, there are now 5.77 billion active social media users worldwide, but that global number is a 9.9% increase from the previous year. As per analysis, 400 million new people may have logged in to at least one social media account within the last year. A large number of actively available audiences has boosted the fashion market. Social media benefits for this market include useful interactions, comfortable shopping criteria, rising recommendations, and accessibility.

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Top Trends in the Global Generative AI in Fashion Market

One of the major trends in the global generative AI in fashion is 3D rendering, which means the AI generates 3-dimensional fashion models that can be rotated and viewed from multiple angles as per requirement. Generative AI also increased marketing capabilities by utilizing data in a better way and using machine learning to generate a highly personalized product as per the target audience.

Another trend is in designing emails, specific website pages, related captions, and supportive ads that are created to a specific individual’s interests and requirements.

Regional Analysis

The global generative AI in the fashion market is dominated by North America, which is anticipated to have the largest share during the forecast period (2023-2032), owing to the presence of the major key players such as Oracle, IBM, Facebook, Google, Microsoft Corporation AWS, Adobe, Vue.AI, Lily AI, Mode.AI, Stitch Fix, and Findmine, and others. The huge growth of the social media & entertainment industry has also boosted the market's revenue.

The Asia-Pacific region is anticipated to be a fast-growing sector in the global generative AI in the fashion market due to the high acceptance of smartphones, continued use of social media, and novel AI websites. Additionally, supportive government policies to boost digitization in some countries like China and India are also propelling market development.

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Scope of the Report

Report AttributeDetails
Market Value (2022)USD 69 Million
Market Size (2032)USD 1,481 Million
CAGR (from 2023 to 2032)36.9%
North America Revenue Share42.0%
Asia-Pacific Revenue Share25.0%
Historic Period2016 to 2022
Base Year2022
Forecast Year2023 to 2032

Market Drivers:

Rising applications in end-user companies

Generative AI has the capability to alter business fundamentals. This core technology can basically describe industries and businesses at play because it generates fresh and high-quality content from the history and data it is fed with. The generative AI technology can boost the efficiency of the output, reduce costs, and supply new growth ideas as it requires fewer human interventions, which is less prone to human errors, and can multitask too.

Market Restraints:  

Existence of Traditional Systems

The fashion industry has always been directly connected with common people. Due to the advantages of social media and e-commerce, it has become easier for various brands to reach each individual. Additionally, some of the famous traditional brands have been targeting in-house methods and market strategies. The restricted use of some simple trending methods is basically due to some of these methods being inconvenient to make up with the recent technological innovations, thereby facing issues in replacing the old systems. Additionally, the low utilization of recent technology by these major companies and some other prominent brands has reduced their output and audience. This is how the traditional method systems have restrained the global generative AI in fashion market growth.

Market Opportunities:

The early design or ideation stages is one the most curious area to use artificial intelligence in the fashion market. When creating the desired outfits, designers mainly start with the study of desired trends and identifying recent opportunities. In this process, they form mood boards, specific sketches, and low-description prototypes, depending on the requirement. The overall design concepts are basically limited by the designer's abilities, designers experience, field knowledge, and time constraints. But with artificial intelligence, generating novel ideas from a simple input, such as images from a specific fashion show, a photograph by a bestseller photographer, or a certain text description of the required concept, has become much easier.

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Report Segmentation of the Global Generative AI in the Fashion Market

Component Insight

The global generative AI in the fashion market by component segmented into solutions and services. During the forecast period, the solutions segment is expected to dominate the global generative AI in the fashion market. Fashion individuals are rapidly moving to novel technologies that can make a platform for their business and help to gain new customers. Additionally, analyzing recent trends through different social media pages and gathering information about customers' essential requirements has become more difficult for fashion organizations. Therefore, fashion organizations and brands are rapidly using AI-based products, platforms, and different software tools.

Application Insight

The high impact of AI in fashion is mainly in the sector of supply chain management & demand forecasting. By using AI technology, it is possible to predict future sales and product performances. The fashion businesses can make more deliberate decisions about what & when to make and deliver. This reduces unnecessary waste, improves consumer satisfaction, and increases the market value of Generative AI.

Deployment Insight

The cloud segment is expected to have the highest CAGR over the forecast period. The use of generative AI with cloud-based 3D imaging technology is growing due to its advantages, such as simple and effective management, picture data maintenance, flexible nature, low cost-effectiveness, and scalability. The on-premises segment anticipates a one-use license purchase, a global internal network that can be performed anytime, and data is stored generally with high security.

Category Insight

The segment of clothing is expected to grow the fastest during the forecast period 2023-2032. Virtual try-on in the Generative AI is used to create virtual representations of different fashion products that are superimposed onto actual images of people, helping customers to "try on" outfits virtually.  The AI models can be personalized to differentiate a large range of body types, skin colors, and sizes, making it an easy way for customers to see how exactly the outfits would look overall on them.

End-User Insight

A high percentage of generative AI is used in fashion stores. Basically, the upcoming and leading fashion designers flaunt their idea to the customers in their personalized way. This generative AI makes the easiest way for the designers to showcase different ideas in the frame.

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Market Segmentation

By Component

  • Solutions
  • Services

By Application

  • Product Recommendation
  • Product Search and Discovery
  • Supply Chain Management and Demand Forecasting
  • Creative Designing & Trend Forecasting
  • Customer Relationship Management
  • Virtual Assistants
  • Others (Fraud detection, fabric waste reduction, and price optimization)

By Deployment Mode

  • Cloud
  • On-premises

By Category

  • Clothing
  • Accessories
  • Beauty & Cosmetics
  • Others

By End User

  • Fashion Designers
  • Fashion Stores

By Geography

  • North America
    • The US
    • Canada
    • Mexico
  • Western Europe
    • Germany
    • France
    • The UK
    • Spain
    • Italy
    • Portugal
    • Ireland
    • Austria
    • Switzerland
    • Benelux
    • Nordic
    • Rest of Western Europe
  • Eastern Europe
    • Russia
    • Poland
    • The Czech Republic
    • Greece
    • Rest of Eastern Europe
  • APAC
    • China
    • Japan
    • South Korea
    • India
    • Australia & New Zealand
    • Indonesia
    • Malaysia
    • Philippines
    • Singapore
    • Thailand
    • Vietnam
    • Rest of APAC
  • Latin America
    • Brazil
    • Colombia
    • Chile
    • Argentina
    • Costa Rica
    • Rest of Latin America
  • Middle East & Africa
    • Algeria
    • Egypt
    • Israel
    • Kuwait
    • Nigeria
    • Saudi Arabia
    • South Africa
    • Turkey
    • United Arab Emirates
    • Rest of MEA

Competitive Landscape

The competitive landscape of the market has also been examined in this report. Some of the major players include

  • Microsoft Corporation
  • Adobe Inc.
  • IBM Corporation
  • Catchoom Technologies S.L.
  • Huawei Technologies Co., Ltd.
  • Facebook, Inc.
  • SAP SE
  • Amazon Web Services, Inc.
  • Google LLC
  • Oracle Corporation
  • Other Key Players.

Recent Development of the Global Generative AI in the Fashion Market

  • In March 2018, the company launched one of the first AI-based human model generators, creating the way of end-to-end trading and calendar automation.
  • In January 2020, The AI company Lily AI grew up to USD 12.5 M Series A made by Canaan to line up its e-commerce technology.

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  • Generative AI in the Music Market was valued at USD 229 million in 2022. Between 2023 and 2032, this market is estimated to register the highest CAGR of 28.6%.
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  • Generative AI in Animation market was valued at USD 0.9 billion in 2022. It is projected to achieve a remarkable CAGR of 35.7% during the period from 2023 to 2032 and is anticipated to reach USD 17.7 billion by 2032.
  • Generative AI in business market was worth USD 1.2 billion in 2022. This market is expected to reach USD 20.9 billion by 2032 with a CAGR of 33.5% in the forecast period of 2023-2032.
  • Chatbot Market size was valued at USD 4.92 billion in 2022 and is expected to reach USD 42 billion by 2032 with a CAGR of 23.91%.

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