Luxury brands Gucci and Dior sit Malaysian celebrities like Neelofa in the front row – are millennials making Kuala Lumpur the new fashion capital of Southeast Asia?
Initiatives like Kuala Lumpur Fashion Week (KLFW) and Fashion Revival help region bounce back and also promote local designers like Moto Guo, Pearly Wong and Zakwan Anuar
For years, Asian fashion has been centred on a few distinct locations, namely Seoul, Tokyo, Shanghai, Hong Kong and Singapore. But the balance is starting to shift, with Asia in general riding a wave of global fashion influence, the region’s developments in retail are sparking a fresh vibrancy and diversity. As a result, many are searching for a new leader to keep the revolution rolling. And one place that has for some years been an unlikely contender, is now proving its worth – Malaysia.
Self-branded “Truly Asia” in the tourism sector for some years, the country is now looking to extend the slogan to cover the fashion industry as well. Despite Malaysia’s relative lack of resources compared with rivals, industry participants are increasingly noting the nation’s efforts, particularly the progressive fashion climate of the capital, Kuala Lumpur.
As a city with an abundance of massive shopping centres and fashion retailers, and with a steadily increasing number of foreign brands opening flagship stores, Kuala Lumpur’s trajectory is on the up. Even with the tough climate that has hit the entire fashion industry this year, the Malaysian apparel and accessories industry continues to grow, driven by consumer confidence and rising affluence, particularly among women. There’s also an emerging demographic of young (under 25), affluent and sophisticated shoppers, who make up 40 per cent of the population in Southeast Asia’s six core markets (of which Malaysia is one), according to McKinsey’s “The State of Fashion 2020” report. This 40 per cent is expected to be a key driver of growth, and in overall importance, rival the same demographic in China, where they make up only 28 per cent of the population.
Malaysia’s spending power is forecast to lift the value of retail sales to US$12.4 billion nationally by 2022, with particular growth in status symbol segments of fashion such as sunglasses and accessories, according to the Hong Kong Trade Development Council. This is already visible with the growing presence and penetration of brands such as Versace and Celine, looking to grab their piece of the projected annual growth rate in Malaysian fashion of 21.6 per cent between this year and 2024.
Even with the slump in worldwide physical retail, Malaysia continues to make ambitious plans to erect more of the giant shiny mega malls it is famed for, in light of seemingly unaffected interest among foreign brands to enter Malaysia.