How Digitalization Is Transforming the Industry – Insights from Linda Pimmeshofer
Technology is undoubtedly transforming the fashion and footwear industry at its core. But how is this change happening in practice, and why are certain technologies gaining critical traction right now? We spoke with Linda Pimmeshofer, an expert in tech, digitalization, and business development, about AI’s role in the future of retail, new digital customer behaviors, and what the industry must do to keep up.
How do you see the role of digitalization in fashion and footwear over the next five years?
I believe digitalization is about to fully take hold and impact the entire value chain—from assortment planning and production to how customer experiences are created through content and personal shopping assistance. AI is the unifying concept here and will be integrated into everything from product lifecycle management to marketing. Technologies like RFID are also becoming increasingly important, as they help brands track product performance all the way to the end of the lifecycle. A good example is Zara, which today bases 85 percent of its design and assortment planning on data—how items are tried on and sold in stores.
Are there trends companies should already start preparing for?
Yes, agentic shopping is a clear trend. Traditional product searches have decreased while the use of ChatGPT and other generative models is increasing rapidly. This means that brands need to ensure visibility in these contexts as well and be able to act on orders coming through AI assistants
What challenges do you see in adopting new technology?
One major challenge is that IT and business often operate too far apart. IT drives innovation, while the business side holds the knowledge about customer behaviors and pain points. The industry is also traditionally very manual, which makes it hard to trust data, structure around processes, and make decisions based on insights rather than gut feeling. Automation and efficiency are easier to justify, but that doesn’t always create the most customer value. Self-checkout and digital inventory have their benefits, but imagine being able to pay directly in the fitting room when you already have the clothes on. With RFID and interactive screens, that’s entirely possible.
What can the fashion industry learn from the tech world?
To become more customer-centric. Everything should start with customer data. The tech world is great at starting small—testing, evaluating, adapting, and building solid foundations where data flows freely across functions. If the fashion industry adopts that way of working, it can create relevant assortments, communication, and campaigns—and avoid massive overstock.
How do you view technologies like AI, AR, and the metaverse being integrated into retail? Are they still experimental, or do we see real business value?
We’re clearly moving toward real business value. AI is being integrated into everyday tools—from product development to customer relations and logistics. There are examples of AI-generated prints at major retailers like Lindex. Google has launched its first agentic shopping engine, and H&M has tested digital models and garments in campaigns. AR is primarily used in grocery retail, while the metaverse has gained traction among luxury brands selling digital garments in virtual worlds. I believe we’ll see a strong return here once the industry finds a better balance between sustainability and profitability. AR also offers the ability to create a digital layer on top of the physical store—opening up a whole new level of personalized communication.
Personalization is often described as the key to future customer experiences. How far can we go without it becoming intrusive?
Personalization must happen on the customer’s terms and be genuinely relevant. If a brand knows who I am, what my family needs, and what sizes we wear, then in-store recommendations can feel like assistance—not a sales pitch. Getting suggestions for tops that match my favorite pants, or gift ideas for my kids when I’m standing by a shelf—that can be an experience. The problem today is that personalization often reflects what the brand wants to sell, not what the customer needs.
How is technology changing consumer expectations and behavior?
Expectations are rising. In the U.S., personalization is a baseline requirement. If you’ve made a significant purchase, you expect to be remembered and treated as a priority customer. That mindset is coming here, too.
Finally—how can digital innovation and sustainability be combined to create new business models in fashion?
Digital product information and AI will revolutionize the industry. By linking product data with its full lifecycle, we can create new ways of producing, using, and recycling garments. This opens the door to entirely new business models—and is a crucial piece of the puzzle in achieving future sustainability goals.
