A deep dive into industry's top performers of 2024

The global apparel industry, worth a staggering 1.79 trillion dollars, stands as one of the most vibrant and fiercely competitive sectors in the global economy. In 2024, the landscape has been shaped by a fascinating interplay of luxury powerhouses, fast fashion trailblazers, and athleisure innovators, each rewriting the rules of success. But what defines a brand’s dominance in such a multifaceted industry? Is it market capitalization, revenue, brand value, or the ever-growing influence of social media?

This article takes a closer look at the year’s standout performers through these critical lenses to uncover the trends and strategies driving their success.

Luxury dominates market capitalization

In 2024, luxury fashion solidified its supremacy, with industry titans LVMH, Hermès, and Dior leading the charge. LVMH, the unrivaled global leader, achieved a breathtaking market capitalization of 321.6 billion dollars, according to FashionUnited Combined Top 200 Index, which gathers the largest fashion companies in the world by market value. Boosted by the brand Louis Vuitton, LVMH’s market capitalization alone would represent 21.7% of the combined market cap of the top 112 apparel companies, reports Uniform Market. But is such dominance of the market cap game truly surprising for a powerhouse that owns 75 brands, including 16 iconic fashion and leather goods maisons—a portfolio that defines the very essence of luxury? Hermès followed as a close contender with a valuation of 240.7 billion dollars, driven by a remarkable 15% growth fueled by its iconic leather goods and ready-to-wear collections. Inditex, the parent company of Zara, completes the top three, underscoring the enduring appeal and adaptability of luxury and fast fashion giants alike.

Why have these luxury brands thrived?

Differentiation and timeless appeal

The luxury sector’s post-pandemic recovery, further complicated by fluctuating demand in the Chinese market, has been uneven, with the greatest successes reserved for brands capable of achieving significant differentiation across diverse categories while reassuring buyers of the enduring value of their investments. And this concept of ‘value’, as further explored in this article, is assuredly critical.

Iconic luxury players like Louis Vuitton, Hermès, and Chanel excel at blending innovation with timeless appeal. These brands offer not just products but experiences that resonate with both traditional luxury values and contemporary consumer expectations. This strategy is particularly important in today’s volatile economic environment, where consumers are more selective in their spending. Despite noticeable price hikes on certain iconic items and occasional criticisms of declining quality, these brands maintain their dominance by delivering an aspirational yet reliable value proposition.

The rise of mega-brands

The concept of the “mega-brand”, epitomized by Louis Vuitton, Hermès, and Chanel, is the benchmark that others, like Dior and Gucci, are striving to achieve. Gucci’s recent pivot—marked by a change in creative leadership—is emblematic of the industry’s need to adapt. Moving away from the “geek chic” aesthetic that once defined its identity, Gucci now aims to appeal to a broader audience in pursuit of ambitious revenue targets. This shift reflects a critical balance luxury brands must strike: preserving a distinct brand image while ensuring its relevance to a wider, often younger, demographic.

Emerging markets, particularly India and Southeast Asia, are becoming critical growth engines for luxury brands. Here, the ability of mega-brands to differentiate themselves takes center stage. In Southeast Asia, younger consumers are embracing a more experimental approach to luxury, heavily shaped by internet-driven trends and virality. Meanwhile, older consumers in the region prioritize loyalty to established brands, valuing quality and heritage. To thrive, luxury brands must adopt a dual strategy: capturing the attention of digitally savvy younger audiences while reinforcing their legacy and timeless appeal for more traditional, established buyers.

The rise of non-luxury and Asian powerhouses in global fashion

While high-end Western brands dominate discussions on market capitalization, a closer look at other metrics reveals more nuanced insights. Let’s explore one such metric: brand value. Brand value represents the financial worth of a brand as perceived by consumers, reflecting the premium they are willing to pay for products or services associated with it. In contrast, market capitalization (or "market cap") calculates the total value of a company’s outstanding shares by multiplying its stock price by the number of available shares, providing an evaluation of the company’s market performance and investor confidence.

Nike and Inditex shine as non-luxury powerhouses

If one looks at how much consumers perceive a brand, its 'brand value', then Nike is still a big winner: the brand has maintained a top spot in brand value, reaching an impressive 37.6 billion dollars, according to FashionUnited. This success is driven by innovative marketing strategies and a loyal customer base. Meanwhile, Inditex, boasting a market cap of 177 billion dollars, demonstrates resilience through its diversified portfolio, with Zara (brand value 16.2 billion) contributing 72.52% of its revenue.

Athleisure and and fast-fashion gain momentum

Why have these brands excelled? A significant factor is the continued rise of athleisure and fast fashion in 2024. The athleisure sector has indeed continued to thrive, with Lululemon ranking third in brand value among fashion brands at 20.6 billion dollars. Its premium activewear and expanding global presence have solidified its position as a key player. Meanwhile, Shein, a fast-fashion disruptor, has made significant strides with a 16 billion dollars brand value, demonstrating an unparalleled ability to capture trends and deliver affordability at unprecedented speeds. Most notably, Shein could emerge as the biggest winner in terms of revenue growth, with an estimated increase of 30% for 2024.

The rise of Asian players

The 2024 landscape offers another intriguing shift: Chinese sportswear giant ANTA, valued at 2.9 billion dollars, exemplifies the rising influence of Asia’s domestic champions. ANTA’s focus on innovation, quality, and its stronghold in the booming Chinese market has propelled it into the global spotlight. Similarly, Japan’s Uniqlo, with a brand value of 15.1 billion dollars, continues to expand its global footprint, leveraging its reputation for minimalist design and superior quality. These brands reflect the maturation of Asia’s fashion market, where rising consumer affluence, digital sophistication, and cultural confidence are driving robust growth. As Asian brands gain ground, they challenge traditional Western dominance, signaling a more diversified and competitive global fashion ecosystem.

For Western luxury brands, this translates into crafting strategies that resonate with a younger, tech-savvy demographic while preserving their global allure. As brands increasingly focus on engaging the younger generation, this shift in focus naturally highlights a critical arena: tech - and its indispensable partner, social networks.

The other metric at play: TikTok and Instagram

TikTok and Instagram have not just become platforms for engagement but powerful engines driving brand visibility and revenue. The GoatAgency’s provocative question — “Who are the top fashion brands on TikTok, and why should you care?” — underscores the seismic shift in how trends are born and consumer loyalty is cultivated. For brands, it’s not just about being present; it’s about leveraging these platforms to shape culture and, ultimately, their bottom line.

TikTok, in particular, has redefined how fashion trends emerge and spread. Viral challenges and hauls have propelled fast fashion brands like Shein and Zara to the forefront of the cultural zeitgeist. Hashtags such as #SheinHaul or #ZaraOutfits garner millions of views, functioning as organic advertisements while empowering consumers to act as brand ambassadors. These grassroots campaigns are hyper-effective in translating visibility into conversions, often in record time.

However, the platform’s impact isn’t confined to fast fashion. Luxury brands are also finding creative ways to carve their niche. Burberry’s interactive challenges or Gucci’s AR-driven filters show how high-end labels can use TikTok’s features to blend exclusivity with approachability, capturing a younger demographic without diluting their brand identity.

FashionUnited’s business intelligence indexes confirm the value of this strategy by consistently tracking brand performance on social networks. The insights reveal a direct correlation between social media dominance and market success, further validating the importance of these platforms in the marketing mix.

For businesses, the takeaway is clear: investing in social-first strategies is no longer optional. TikTok and its counterparts are not merely tools for engagement but pivotal arenas where consumer preferences, brand equity, and future revenues are being shaped. The brands that lead in this space are those that understand the nuances of social storytelling and adapt to the fast-evolving digital landscape with agility and authenticity.

Certain brands, like Shein and Temu, are rewriting the rules by revolutionizing both the production chain and the consumer experience. Shein, for instance, has mastered the art of “extreme fast fashion,” launching a staggering 315,000 new products in 2022, reports Foxintelligence—far outpacing Zara’s 6,850. This unmatched ability to respond almost instantly to micro-trends allows Shein to capture consumer attention and spending while rendering each collection quickly obsolete. Their strategy is as aggressive as it is effective, relying on real-time data analytics, optimized logistics, and hyper-targeted digital marketing. But what is the big picture of this extreme online popularity?

How exactly did some brands explode in popularity?

The meteoric rise of mass market and fast fashion brands on social networks is a testament to their savvy use of digital platforms to engage with a global audience. Brands like Shein and Zara have mastered the digital landscape, using social media to capture a global audience through targeted ads, influencer partnerships, and user-generated content. The speed and immediacy of fast fashion align perfectly with the visual nature of platforms like Instagram and TikTok, driving engagement and fostering a community of loyal followers. This feedback loop enables brands to quickly respond to consumer demand, reinforcing the appeal of fast fashion.

Toward a new era of distribution and marketing

Building on this digital success, brands are now embracing the broader digital landscape. The fashion and luxury industries are undergoing a strategic transformation, with entertainment playing a central role in engaging and captivating consumers. By launching its own podcast, Kering didn’t just embrace an innovative format—it redefined its dialogue with audiences, creating content that transcends products to tackle issues like sustainability, ethics, and broader societal questions. It’s no longer just about selling but establishing a role as a culturally relevant and engaged player.

This strategy goes beyond mere experimentation. It reflects a broader trend where brands embed themselves in the entertainment landscape to remain central to cultural conversations. Whether through collaborations with K-Pop icons or ambitious ventures like the Apple TV+ series The New Look (focused on Christian Dior), luxury brands are building bridges between products and storytelling. Saint Laurent’s foray into film production exemplifies how such initiatives can transform a brand into a creator of cultural experiences rather than just a purveyor of goods.

This “marketing entertainment”, or brand entertainment, is not a passing fad. It’s a bold response to advertising saturation and evolving consumer expectations. In a world where attention is the ultimate currency, weaving compelling narratives and strong values into marketing strategies is no longer optional—it’s imperative. Tomorrow’s successful brands will be those that position themselves as cultural and emotional touchstones while rising to the challenges of a more conscientious world.

What’s the deal with Reelshort?

Meanwhile, for brands catering to the hyper-connected audience—including both youthful consumers and the new “stay-at-home” mom archetype—the shift in media habits is undeniable. And this shift has most likely already been named: Reelshort.

Touted as the “next generation of HD streaming platforms,” ReelShort—a Chinese short-form video app owned by COL Group—specializes in serialized dramas designed for mobile consumption. Its content is unapologetically fast-paced, prioritizing rapid plot twists, emotional highs, and cliffhangers over deep character development. With minimalistic production values, unknown actors, and simple sets, these 1-minute episodes adhere to the aesthetic and pacing of reels and shorts: immediate engagement, heightened drama, and a lingering “what happens next?” appeal.

Some of Reelshort’s mini-series align seamlessly with popular trends, such as the "Old Money" aesthetic, though they diverge from the more subtle “quiet luxury” movement. For instance, shows like The Double Life of My Billionaire Fiancé tap into aspirational tropes: young and wealthy women, ambitious upstarts, old-money families, and the archetypal charismatic billionaire. These settings naturally lend themselves to fashion trends and collaborations, creating fertile ground for brands to engage with audiences. With such shows gaining traction across TikTok and Instagram, it’s easy to imagine how their visual storytelling could inspire new style waves.

The Double Life of My Billionaire Fiancé, produced and distributed by Crazy Maple Studio on Reelshort, has garnered over 419 million views, according to TIME Magazine. For context, that surpasses Netflix's Squid Game season one, which reached 265 million views as of November 4. Reelshort’s TikTok account has 1.4 million followers, with another 1.7 million on Instagram. Regional accounts, like “ReelShortLat” for Latin America, expand its global reach with over 12.4 million likes. Besides, the recent launch of “ReelTalk-Podcast” further signals podcasts’ growing role in brands’ future strategies.

China’s full circle of influence and power

So what’s the deal with Reelshort? Well, the story being written by Reelshort and TikTok is one of China's growing dominance in the global digital and cultural landscape. Through platforms like Reelshort and TikTok, China is not only shaping entertainment but also influencing consumer behavior, fashion trends, and digital commerce in profound ways.

Reelshort is crafting a narrative of fast-paced, mobile-first entertainment that resonates with today’s hyper-connected, on-the-go audiences. With its bite-sized, dramatic series designed for quick consumption, Reelshort is redefining how stories are told and experienced. The platform’s content—featuring quick plot twists, emotional highs, and aspirational themes—appeals to a global audience, particularly younger consumers. It integrates seamlessly with fashion trends, allowing brands to tap into its massive reach, and signaling how entertainment and commerce are becoming increasingly intertwined.

On the other hand, TikTok has evolved into a powerful global force that transcends mere social media. It has become an engine for fashion and pop culture, allowing brands to thrive by reaching millions through viral content, influencer partnerships, and user-generated campaigns. TikTok’s format, driven by short-form videos, taps into an audience’s craving for immediacy, with trends emerging and evolving at lightning speed. The platform has also become a key tool for brands to engage directly with consumers, using entertainment and culture to drive brand awareness and loyalty.

Connecting these dots paints a clearer picture: China is emerging as a dominant force in reshaping global industries. Its influence now stretches beyond technology and entertainment to include fashion, consumer behavior, and digital commerce. Platforms like TikTok and Reelshort are at the forefront of this transformation, symbolizing China’s ability to shape cultural trends and redefine how businesses engage with consumers. With its control over entertainment, technology, e-commerce, and payment systems, China is completing a full circle of global influence, seamlessly blending entertainment with commerce in ways previously unimaginable.

China is now achieving a full circle of influence and power, with giants in technology, e-commerce, payment platforms, entertainment, and fashion. This integrated ecosystem reduces the reliance on external platforms for success. With Alibaba, AliExpress, and Alipay leading e-commerce and financial services, and platforms like Douyin (TikTok) and Reelshort shaping social media and entertainment, China has built a self-sustaining infrastructure that propels its own homegrown powerhouses.

This interconnected ecosystem creates an ideal environment for promoting homegrown brands like Anta, where the synergy between e-commerce, social media, and fintech allows Chinese brands to thrive independently. However, challenges persist—particularly the need to move beyond the "Made in China" label and break free from Western influences. Yet, our presence at CHIC Shanghai this summer brought into sharp focus China’s unwavering commitment to nurturing a new wave of national designers. The event spotlighted an emerging generation of creative talent poised to set original trends, hinting at a future where China’s fashion industry is driven by homegrown innovation rather than imitation.

One can only commend the strategic efforts deployed by China over the years to solidify its position as a global powerhouse, now populated by impressive giants ready to compete across multiple key sectors. Yet, this growing dominance raises critical questions about the future landscape of global fashion. As brands like Shein rise to prominence, there is a broader conversation to be had about the implications of this shift. The success of Chinese tech and entertainment giants like TikTok and Reelshort underscores the increasing influence of Chinese companies on a global scale. An influence which extends beyond technology and entertainment into fashion, where Chinese brands are not only competing but setting new benchmarks for speed and responsiveness.

The dominance of these brands prompts reflection on several fronts: sustainability, ethical production, and the balance of power in the global fashion industry. As Chinese brands continue to rise, their strategies and practices will likely shape the future of fashion, compelling established players to adapt and innovate to maintain their foothold. The integration of advanced analytics, AI-driven personalization, and digital-first strategies will be crucial in thriving this evolving landscape.

Trends set in 2024’s fashion landscape

As we look ahead, the broader trends that defined 2024’s fashion industry are also worthy of attention. The global fashion scene in 2024 has been a canvas of transformation, shaped by technological innovation, sustainability imperatives, and the shifting priorities of consumers.

Among the most defining trends are the acceleration of digitalization and the rise of direct-to-consumer (DTC) models, which are reshaping how brands engage with consumers. Brands like Shein and Zara exemplify this shift, leveraging robust online platforms and data-driven decision-making to cater to an increasingly tech-savvy audience. Shein’s rapid-response model, where trends go from concept to consumer in mere days, has set a new benchmark for agility in fashion, challenging traditional supply chain norms.

At the same time, sustainability has evolved from a value-added proposition to an industry standard. Consumers are demanding transparency, and brands like Uniqlo and Adidas are responding by investing in sustainable materials, ethical sourcing, and circular fashion initiatives. Uniqlo’s ongoing focus on quality over quantity and its environmentally conscious campaigns highlight a broader trend where longevity and purpose are beginning to outweigh fleeting trends.

Another defining shift has been the growing influence of lifestyle brands like Lululemon and Gymshark. These companies have bridged the gap between fashion and functionality, catering to the athleisure movement that prioritizes comfort, wellness, and style. Such brands thrive in a post-pandemic world where hybrid lifestyles demand adaptable wardrobes.

Luxury brands, too, are navigating the demands of modern consumers. Heritage names like Dior, Hermès, and LVMH have embraced digital channels and global outreach while preserving their artisanal appeal. The expansion into emerging markets, particularly in Asia, underscores a strategic pivot to tap into regions with growing affluence and an appetite for luxury.

Finally, collaborations and cultural alignments remain pivotal strategies. From sportswear brands partnering with celebrities and designers to high-fashion brands embracing streetwear aesthetics, 2024 emphasizes the blending of worlds to create unique, resonant products.

Lessons from 2024’s fashion industry

The 2024 fashion industry tells a tale of contrasts and convergence. On one side, mass-market players like Zara and H&M continue to dominate with scalable operations, while on the other, niche luxury brands like Hermès and Dior maintain allure with exclusivity. The divergence in strategies is a testament to the diverse demands of modern consumers, who seek both accessibility and aspiration. A common denominator for both luxury and non-luxury brands seems to be relatability and engagement. Nike’s unparalleled dominance in brand value, at 71.6 billion dollars, reflects its ability to consistently innovate and engage audiences across demographics. Its focus on storytelling, sustainability, and inclusivity has made it a universal favorite. Similarly, Zara’s rapid growth in brand valuation underscores the power of fast fashion when paired with operational efficiency and trend responsiveness.

Luxury’s enduring appeal, as evidenced by LVMH’s towering market cap of 392.66 billion dollars, shows that exclusivity and heritage remain unmatched in their ability to command consumer loyalty. The sector’s adaptability—embracing digital channels, sustainability, and younger audiences—ensures it stays relevant.

The emergence of Shein as a major player highlights the disruptive potential of digital-first strategies and price accessibility. However, its model also raises critical questions about environmental and ethical standards, an area where legacy brands are increasingly focusing their efforts.

Athleisure and functional fashion are no longer trends but staples. Brands like Lululemon have reshaped fashion’s narrative, proving that comfort and style are not mutually exclusive. This shift aligns with broader societal changes emphasizing wellness and work-life balance.

Geographically, Asia continues to shine as the new growth epicenter. With rising disposable incomes and a burgeoning middle class, markets like China and India are driving the industry’s next growth phase. Global brands are realigning their strategies to capture this demographic, leading to tailored product offerings and localized campaigns. The rise of Chinese brands adds another layer of complexity, signaling a shift in the global balance of power that will undoubtedly influence the future of fashion.

Technology remains the ultimate enabler of transformation. From advanced analytics to AI-driven personalization, brands are investing in tools that refine customer experiences and streamline operations. The integration of virtual try-ons, AR-enhanced shopping, and digital fashion further cements the industry’s shift into a hybrid reality where physical and digital worlds coexist seamlessly.

What next?

2024 has been a landmark year for the apparel industry, showcasing a mix of steady luxury growth and disruptive innovation. As the world emerges from economic uncertainties, brands with a clear focus on sustainability, digital transformation, and consumer engagement are poised to thrive. Will luxury houses like Louis Vuitton continue their dominance, or will disruptors like Shein redefine the industry? One thing is certain: the apparel industry remains as dynamic and unpredictable as ever.