In 2026, the fashion industry faces a fundamental realignment of the relationship between brands and retailers. Nico Wartenbergh, former chief technology officer (CTO) of the Dutch department store chain de Bijenkorf and the also Dutch cosmetics company Rituals, notes that the traditional shopping model has become unsustainable. In his presentation during the ‘GS1 – WAIR 24h Circular Fashion Journey’, Wartenbergh highlights the need to shift working capital and the critical role of technology in optimizing margins.
Transformation of business models and data integration
The biggest challenge facing the fashion industry in 2026 is the outdated structure in which retailers buy inventory months in advance and pay within ten days of delivery. This model places disproportionate risk on retailers, whose margins are under pressure due to weather dependency and early markdowns. According to Wartenbergh, the solution lies in an improved flow of master data between brands and retailers.
In the IT sector, the biggest challenge is the effective implementation of electronic data interchange (EDI). Although the industry has been talking about it for 30 years, acceptance by major international brands and department stores remains limited. For 2026, fashion brands need to focus on standardizing product data, while fashion retailers should prioritize customer master data. Identifying previously unknown store visitors is crucial to limiting sales losses and making marketing more efficient and sustainable.
AI as a predictive factor and the role of the CTO
The biggest surprise in IT is the proven power of artificial intelligence (AI) for forecasting. By combining sales data with general market trends and environmental influences, systems can minimize inventory levels and increase profitability. Wartenbergh emphasizes that retailers should not develop AI themselves but should rely on specialized partners.
The Chief Technology Officer (CTO) will have strict principles to manage these landscapes in 2026:
- Best-of-breed: Choose the most appropriate specialized solution for each business function.
- Leading technology: Choose proven, cutting-edge technology over risky experimental innovations.
- Dismantling ERP: Reduce the enterprise resource planning system (ERP) to a pure financial consolidation tool.
- Sourcing strategy: Keep all knowledge of the architectural landscape in-house (insourcing), but outsource the technological execution (outsourcing).
When it comes to ‘the new way of working’ in IT organizations, Wartenbergh advises a focus on integration as the conductor of the landscape. You need to understand exactly how business processes flow through different microservices to remain agile in a dynamic market.
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