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DHL urges retailers to master omni-channel trade to remain competitive

'Fashion in Flux' report cover

The fashion and retail industry is developing dynamically while the trend towards multi-channelselling through physical and online channels is gradually turning into omni-channel retail, which

retailers need to adapt to remain competitive, the latest white paper by DHL Supply Chainshows.

Conducted by Lisa Harrington, President of the lharrington group LLC, in collaboration with DHL,the report ‘Fashion in Flux: Mastering the omni-channel supply chain’ reveals that shoppers nowexpect retailers to deliver a seamless experience including buying, delivering and returningproducts. This means that retailers need to be able to offer the same product selection, purchaseand fulfillment options and level of service regardless of how, where or when the shoppers interactwith them.

The white paper explains that a seamless experience for the customers requires a high degree offlexibility on the part of the retailers and urges them to develop strategies for combiningin-store operations with the traditional and e-fulfillment supply chains in a profitable andefficient way.

“This shift to an omni-channel approach means the traditional fashion supply chain must step upits game – to become fast, agile, responsive, accurate, optimised and innovative. Previouslyseparate channels must now converge into a single channel that can deliver the goods and enable thesale and the return – with complete visibility and control at a sustainable cost structure. Noretailer or fashion brand has mastered these challenges of convergence yet. In fact, most are stillin the early stages of this journey,” the report explains.

The report underlines that while the shopper doesn’t care how the retailer solves itsomni-channel ‘buy-deliver-return’ shopping behaviours internally – e.g. what systems and processesare required – he/she simply expects the retailer to provide a high-quality service.

The white paper covers a range of fashion and lifestyle topics including current state anddriving trends, key supply chain challenges as well as the ‘fit-for-purpose’ omni-channel supplychain.

Marcel Beelen, VP Global Business Development Fashion & Lifestyle, DHL Supply Chainconcludes: “Getting the supply chain right, from inventory management to delivery and returns, willnot only satisfy customers but drive profitability for brands in the future”.

The white paper is based on content from roundtable discussions with global industry leaders whotook part in a Fashion Masterclass earlier this year. Companies involved in the event includedleading brands such as Adidas, Nike, TOM TAILOR and WE Fashions.

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