Why circular fashion is the future – and how brands can adapt

The fashion industry is a critical turning point. For decades, we’ve operated on a model that involves take, make and waste – a system that’s ingrained in the way brands think, plan and operate.

But the cracks are showing, and the pressure to change is mounting.

Consumers are demanding more accountability, governments are introducing tighter regulations, and the environmental impact of the current model is impossible to ignore.

It’s no longer enough to fluff around the edges. Brands need to rethink everything, and that starts with embracing circularity.

Flipped future

Circularity flips the traditional system on its head, reimagining the entire process. Instead of designing products with a built-in expiry date, circularity focuses on keeping materials in use for as long as possible.

This could mean upcycling deadstock, designing garments that can be easily repaired or recycled, or even introducing take-back programs that allow old items to come back into the system.

It’s a massive shift, especially for brands that are used to doing things a certain way. But, it’s also an opportunity to create something genuinely transformative.

This need for change was brought into sharp focus after watching The True Cost (2015) and more recently Buy Now! on Netflix. These documentaries pull back the curtain on some of the most harmful practices in the fashion industry, including planned obsolescence. Brands intentionally designing garments to fall apart to ensure customers have to return and buy again is so wrong. It’s a model built on waste, deception and exploitation, and it’s completely unsustainable.

The current system isn’t broken, it’s designed to fail. And it’s time for brands to commit to being better.

Consumers, particularly younger generations, are already there. If they’re not already buying vintage or second-hand, they’re asking the tough questions like, Where was this made? Who made it? and What happens to it when I’m done? They want to buy into the core values of the brand.

Circularity offers a direct way to meet these rising expectations. When customers know their garment was made with the right labour conditions, from upcycled or recycled materials, and that they can be directed to the right place for end-of-life use, it fosters consumer trust and a deeper connection.

This approach changes a one-off purchase into an ongoing relationship, building lasting loyalty.

Circularity is also a smart business move, turning waste into value is one of the most immediate benefits. Deadstock and surplus inventory are no longer just a cost burden, they become the materials for new, sellable products and as governments around the world begin to crack down on waste and demand more accountability, brands that adopt circular practices now will be ahead of the curve.

Scaling circularity

At Reborn by HoMie, we’ve taken excess, deadstock, returns and faulty garments and turned them into over 5000 new garments, saving over 3400kg of textiles from potential landfill.

Each piece is unique; we’re rethinking waste and doing things differently. Collaborating with brands like Champion and Country Road has shown us there’s a real appetite for this kind of work. These partnerships are about trying something new and committing to doing better. And for customers, the appeal is clear. They’re not just buying a piece of clothing, they’re buying into a system that challenges the old way of thinking.

That said, circularity isn’t without its challenges. Scaling processes like upcycling or repair isn’t easy. They’re labour-intensive and require a level of creativity and commitment that not every brand is ready to take on. Educating consumers is another hurdle. Circularity often comes with higher upfront costs and customers need to understand why that investment is worthwhile. And then there’s the infrastructure. Building systems for taking on stock for upcycling, implementing take-back programs or creating recycling facilities requires time, resources, and, most importantly, a willingness to experiment and innovate.

At Reborn by HoMie, we’ve faced these challenges over the past 12 months. We’ve been working closely with a local manufacturing partner, ABMT Textiles, to develop scalable systems for upcycling. Together, we’ve explored processes that allow us to handle higher volumes of excess stock while maintaining the creativity and quality that defines the Reborn brand. It’s been a collaborative effort, rethinking how surplus garments are processed, redesigned and reintroduced as unique, market-ready products at an affordable price.

By investing in these systems, we’ve shown that upcycling isn’t just a boutique process, it’s a viable commercial solution at scale. It’s been a year of trial, error and adaptation, but the progress we’ve made and the solution we now have proves that the hurdles are made to be jumped. Brands that are willing to roll up their sleeves and have a crack will not only stand out but also set themselves up for long-term success as the shift to circular solutions becomes the norm.

Later this year, I’ll be starting my Winston Churchill Fellowship to explore circularity on a global scale. I’ll be visiting countries and learning from brands that are already leading the way in adopting circular practices. I want to understand how they’re scaling their efforts, engaging their customers and addressing the challenges that come with stepping into the unknown. My goal is to bring those lessons back to Australia and help more brands take those first, critical steps toward circularity.

But we don’t have to wait for global insights to act. Circularity is something every brand can start working on now. It doesn’t have to be perfect right out of the gate. Just start. Commit to the process and adapt along the way.

The truth is, the old way of doing things doesn’t work anymore. The world is moving forward, and brands need to move with it. Circularity is challenging. It’s uncomfortable. It’s a leap into something unfamiliar. But it’s also necessary. The brands that take that leap will be the ones that thrive – not because they’ve done what’s easy, but because they’ve done what’s right. The question isn’t whether circularity is worth it, it’s whether your brand is ready to commit.

This story first appeared in the February 2025 issue of Inside Retail Australia magazine.

The post Why circular fashion is the future – and how brands can adapt appeared first on Inside Retail Australia.