Mapping and descriptions of current business models in selected pilot sites

The EU Strategy for Sustainable and Circular Textiles aims to transform the textile sector into a more sustainable and circular economy by 2030, addressing environmental impacts and promoting responsible consumption. The CRAFT-IT4SD project (Craft Revitalization Action for Future-proofing the Transition to Innovative Technologies for Sustainable Development, 2024–2026) supports this strategy and the EU's twin transition by leveraging the potential of Europe’s cultural and creative sectors (CCSI), particularly in fashion and clothing.

This deliverable report of the project (D5.1) maps and analyses current fashion business models and emerging sufficiency-based models across the project’s four pilot sites—Denmark, Finland, Romania, and Spain—with a focus on micro and small-to-medium enterprises. It identifies key drivers such as environmental and social impacts, as well as significant barriers including financial constraints, limited market access, and competition from fast fashion.

The report also highlights customer benefits in sufficiency-based fashion business models such as improved product quality, achieved through carefully selected materials, design for longevity, and high production standards. However, it notes challenges like higher costs and limited availability. The findings underscore the importance of collaboration, policy support, and investment in sustainability to enable a successful transition to sustainable fashion ecosystems.