This chapter features case studies from adidas and Gucci on Scaling Traceability.

A 2019 McKinsey survey of sourcing executives found that 65% expected to achieve full traceability from fiber to store by 2025. To achieve this, not only do we need to see an ambitious rate of investment, but a complete system redesign that holds brands and retailers accountable for their commitments.

According to the 2021 FTI, 32% of brands have permanent, year-round take-back schemes, but only 22% of brands disclose what happens to clothes received — i.e how much is resold locally, resold into other markets, downcycled, upcycled, recycled into new textiles. Increased transparency on what happens to clothes received through takeback schemes is needed to help reduce the amount of waste sent to landfills. Embracing traceability at scale means investing in the circular economy.

To achieve an economy where little is wasted and clothing stays in use for longer, consumer adoption is crucial. Whether that’s buying secondhand and renting clothing, or disposing of clothing through take-back schemes and donation initiatives, there is no circular economy without the participation of the business sector, consumers, and governing bodies.