On-Demand Production
On-Demand in the fashion domain refers to a production model where products are manufactured or created in response to specific user orders. Unlike traditional mass production methods, where products are made in large quantities based on anticipated demand, on-demand production focuses on producing items as they are purchased. This approach offers several benefits and opportunities within the fashion industry.
Reduction of deadstock
One of the primary advantages of on-demand production in the fashion domain is the significant reduction in deadstock. Deadstock refers to unsold inventory that remains in storage or goes to waste, leading to financial losses and environmental impact. By producing items only in response to user orders, fashion companies can minimize the risk of overproduction and avoid excess inventory. This not only saves costs but also reduces waste and contributes to a more sustainable and efficient supply chain.
Personalization and customization
On-demand production enables the creation of personalized and customized products in the fashion domain. Users can have the option to customize various elements of a garment, such as color, fabric, fit, or design, based on their preferences. This customization enhances the overall shopping experience and allows users to own unique, one-of-a-kind fashion pieces that align with their individual style. It also fosters a deeper connection between users and the brand, leading to increased user satisfaction and loyalty.
Faster time-to-market
On-demand production offers faster time-to-market for fashion brands. Instead of waiting for the entire production cycle to complete before launching new products, companies can begin manufacturing as soon as orders are received. This agile production model allows fashion brands to respond quickly to emerging trends and changing user demands. It enables them to introduce new collections or designs in a shorter timeframe, staying ahead of competitors and capturing market opportunities more effectively.
Reduced inventory holding costs
With on-demand production, fashion companies can minimize inventory holding costs. Since products are produced based on actual user orders, there is less need for storage and warehousing facilities to hold excess inventory. This reduces the associated costs of inventory management, such as warehousing, transportation, and potential write-offs due to unsold stock. As a result, fashion brands can optimize their financial resources and allocate them more efficiently towards other aspects of their business, such as marketing, research, and development.
Sustainability and waste reduction
On-demand production aligns with sustainability goals in the fashion industry by reducing waste and minimizing environmental impact. By avoiding overproduction and excess inventory, fashion companies can contribute to the reduction of textile waste and the consumption of finite resources. On-demand production also allows for more precise inventory planning, which minimizes the need for clearance sales or unsustainable discounting practices that can devalue products and contribute to wasteful consumption.
Improved supply chain efficiency
On-demand production can enhance the efficiency of the fashion supply chain. By aligning production with actual user demand, companies can optimize their manufacturing processes, reduce lead times, and improve resource allocation. This leaner and more efficient supply chain benefits both the fashion brand and its customers, ensuring that products are delivered in a timely manner and with minimized waste throughout the production cycle.
Case studies
Unmade – UnmadeOS demand-driven knitwear production
Unmade is a London-based fashion technology company that developed UnmadeOS, a software platform that links online customization interfaces directly to industrial knitting machines. Brands use UnmadeOS to produce knitwear and apparel only after an order is placed, enabling individualized products while avoiding overproduction and excess inventory.
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Ministry of Supply – In-store 3D Print-Knit on demand
Ministry of Supply piloted in-store on-demand production using a Shima Seiki 3D knitting machine in its Boston flagship. Customers could order a blazer that was knit to specification in-store within hours, demonstrating how near-user micro-factories and on-demand knitting can reduce inventory risk, shorten lead times, and align production volumes with actual demand.
Project link
Rapanui / Teemill – Print-on-demand circular T-shirts
Rapanui, a UK-based fashion brand, operates a print-on-demand system through its Teemill platform. Garments are only produced when an order is placed, using organic cotton and renewable energy, and each product carries a take-back code so worn-out items can be returned, recycled, and reprinted. This on-demand, circular model reduces unsold stock and ties revenue directly to realized demand rather than forecasts.
Project link
Nike – Nike By You made-to-order customization
Nike By You (formerly NIKEiD) allows users to configure colours, materials, and performance features for footwear and apparel online. These customized items are made to order, shifting part of Nike’s business towards demand-driven production while capturing a price premium for personalization and reducing deadstock risk.
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Printful – On-demand print and fulfilment infrastructure for fashion brands
Printful is an on-demand print and fulfilment service that produces apparel, accessories, and home textiles only after end-users place orders through client webshops. By combining just-in-time digital printing and distributed fulfilment centres, Printful enables brands to offer extensive product catalogues with zero finished-goods inventory, turning fixed manufacturing and warehousing costs into variable per-order costs.
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References
Nachtigall, T. R., Tomico, O., Wakkary, R., Wensveen, S., van Dongen, P., & Tentoff van Norten, L. (2018). Towards ultra personalized 4D printed shoes. Extended Abstracts of the 2018 CHI Conference on Human Factors in Computing Systems (CHI ’18), 1–9. https://doi.org/10.1145/3170427.3174369
Pal, R., & Gander, J. (2018). Modelling environmental value: An examination of sustainable business models within the fashion industry. Journal of Cleaner Production, 184, 251–263.
Shen, B., Li, Q., Dong, C., & Perry, P. (2017). Sustainability issues in textile and apparel supply chains. Sustainability, 9(9), 1592.
Zhang, X., & Zhang, Y. (2020). Mass customization in the apparel industry: A review of operations, technologies and business models. International Journal of Clothing Science and Technology, 32(5), 701–719.
Jin, B., Jung, S., & Matthews, D. (2012). Retailing sustainability: On-demand production and emerging business models in fashion. Journal of Fashion Marketing and Management, 16(2), 140–156.