How ZYOD is Using AI to Make Fast Fashion Sustainable | Entrepreneur

When it comes to the fashion industry, innovation and creation is at the heart of it. The global fast fashion market stood at USD 93.66 billion in 2022, while the Indian fast fashion industry is poised to reach over USD 50 billion by FY31.

Keeping up with the demands, the pace of designing new apparel has increased dramatically. From seasonal runway styles to monthly trends, we’ve reached an era of fast fashion where store shelves are ungraded overnight, producing about 92 million tonnes of textile waste annually. This figure is expected to rise to 134 million tonnes by 2030, largely contributed by retailers such as Zara, H&M, Forever 21, and Shein.

In order to make the industry more sustainable, global players are integrating modern technologies to solve problems such as launching new styles quickly, minimizing inventory risks, catering to diverse markets and consumers globally.

Ankit Jaipuria and Ritesh Khandelwal co-founded ZYOD in 2023 with an aim to make the fast fashion manufacturing space eco-friendly. Transforming this space with technology, the brand is known for its comprehensive design-to-delivery services tailored to fashion brands globally and its sustainable approach.

The venture has received patronage from institutional investors such as Panthera Peak Capital, RTP Global, Lightspeed, Alteria Capital, Stride Ventures, Stride One, and Trifecta Capital.

ZYOD’s core mission is to address the inventory challenges faced by fashion brands in the age of fast fashion. Ankit explains, “Post-COVID, there was a significant shift in consumer behaviour. People started visiting their favorite fashion stores online expeditiously, instead of monthly. This put immense pressure on brands to launch new styles faster, which in turn increased the risk of inventory losses.”

To solve this problem, ZYOD developed a three-pronged approach. First, they became an end-to-end design-to-delivery player, allowing brands to quickly pick and launch styles in the market. By streamlining the process, it was able to reduce the time to market from six months to 30 days. Second, they introduced flexibility in order quantities, allowing brands to experiment with new styles without the risk of large inventory losses. “Where the market was doing about 2,000 pieces per style, we can do as low as 100-150 pieces,” Ankit shares.

Third, it operates through a combination of its own factories and a unique model of acquiring and operating other factories, similar to the Marriott hotel chain or OYO townhouse model. This allows ZYOD to maintain consistent quality and efficiency across its operations, ensuring a seamless experience for its clients.

Leveraging AI and IoT

The start-up has been able to consolidate all data into one place, creating its ERP (enterprise resource planning) solution and a portal where brands can place orders and manufacturers can manage them. It leverages predictive Artificial Intelligence into objective attributes such as colour, neckline, and sleeve type, where its AI can predict which combinations will fit the most. This not only helps brands make more informed decisions but also optimizes the efficiency of the entire process. “We are developing IoT (Internet of Things) solutions for stitching machines that can automatically determine the optimal fabric tension and stitching rate to maximize production. No one has to go to the factory floor to arrange, and set up the lines,” he adds.

Further, he hints that the company is also working on solutions like IoT-enabled stitching machines and RFID (Radio-Frequency Identification) traceability. “This will allow us to track every step of the production process and further integrate AI into our operations,” he shares.

Future Outlook and Trends

ZYOD has made significant strides in the global market. In addition to India, they serve 17 other countries, including Japan, the Middle East, the US, and the UK. Now, the company is ready for further expansion. “Our latest round of funding will help us expand into 40 more countries. We are targeting underserved markets like Africa and South America, as well as regions with strong growth potential like Russia,” Ankit shares.

Looking ahead, Ankit envisions a future where the apparel industry will adopt a Consumer-to-Manufacturer (C2M) model, with brands acting as mediators. “You order a piece from a brand, and you receive a customized garment directly at your doorstep. I think that’s where the industry aims to be.” He also emphasizes the growing importance of traceability in the industry, especially as carbon credits become more significant. “From an AI automation point of view, there are two major aspects to consider: predictability and overall traceability,” Ankit concludes.