Luxury Brands Slow on Circularity Amidst Repair Economy Growth

The average consumer bought 60% more clothing in 2014 than in 2000, yet kept each garment half as long, creating a rapid cycle of consumption and disposal. This acceleration of both purchasing and discarding highlights a critical environmental burden that demands urgent attention from industries, including luxury. Indian households, for instance, dramatically increased their spending on clothes by 181% in just eight years, from ₹1,924 billion in 2010 to ₹5,408 billion in 2018, according to WRI-India.

Consumers are increasingly buying more and keeping less, creating a massive waste problem, but most luxury brands are still not widely adopting service-based circular models like repair and resale. While some luxury brands will continue to explore eco-friendly materials and support external innovation, a widespread, fundamental shift to integrated service-based circular business models for sustainable luxury is likely to remain slow without stronger market or regulatory pressures, despite the clear need for circular economy adoption by luxury brands in 2026.

Luxury fashion brands possess the inherent capability to integrate eco-friendly materials and processes into their operations, as noted by ScienceDirect. This potential, however, often remains overshadowed by business models that prioritize new sales over product longevity, contributing to the very waste stream that circularity aims to mitigate.

The Rise of the Repair Economy

An estimated 4,000 repair groups operate worldwide, collectively carrying out over 190,000 repairs annually, signaling a growing consumer inclination towards extending product lifespans. This grassroots movement is complemented by venture-backed initiatives, with startups like Sojo, Save Your Wardrobe, and The Seam raising over $5 million in disclosed funding for dedicated repair services, according to Atmos Earth. The proliferation of repair groups and venture-backed initiatives underscores a significant shift in consumer behavior, where durability and longevity are gaining traction.

A WRAP survey further confirms this trend, finding that repairing an item displaced the purchase of a new one 82.2% of the time, demonstrating the tangible environmental impact of repair over new consumption. The burgeoning repair economy, supported by both community efforts and capital investment, proves that consumers actively seek ways to extend product life, directly challenging the traditional linear consumption model prevalent in many industries. The data suggests a clear consumer preference for repair, indicating a market demand that many luxury brands have yet to fully address.

241 — brands across 21 countries and five categories, including luxury, are evaluated by the Kearney Circular Fashion Index (CFX) report, providing a comprehensive overview of sustainability efforts, according to WWD. This broad assessment highlights the varied approaches and inconsistent progress within the fashion sector.
Below 3 — is the score most brands achieve in service-based models for circularity, such as repair and resale, indicating a general lack of widespread uptake in these critical areas. This low performance contrasts with the growing consumer interest in extending product life through services.
175,000 — Patagonia garments were repaired worldwide in 2025, an increase from approximately 120,000 in 2023, showcasing a successful brand-led repair service that meets significant consumer demand, according to Atmos.earth. This growth demonstrates the viability and consumer appetite for robust repair programs when brands commit to them.
82.2% — of new purchases were displaced when a consumer opted to repair an item, highlighting the direct environmental benefit and consumer preference for repair services, as found by a WRAP survey reported by Atmos.earth. This figure directly challenges the industry's continued reliance on new production.
4,000 — independent repair groups operate globally, performing over 190,000 repairs annually, according to Atmos.earth. This widespread independent activity further demonstrates a robust demand for repair services that extends beyond brand-specific initiatives.