'We're living in the age of the remix': Fashion brands are making major changes to appeal to Gen Z in a new era of luxury

• The fashion industry has been undergoing some major changes recently.
• Some luxury brands, like Ralph Lauren, have been partnering with streetwear brands to reach younger shoppers and experiment with different business models. 
• Other brands, like Michael Kors, have looking to build more global portfolios.
• "It feels like we're living in the age of the remix," Brian Trunzo, senior consultant at WGSN's consultancy division, Mindset, recently told Business Insider.

The fashion industry has been undergoing some major changes recently.

Polo Ralph Lauren recently revealed a collaboration with the London-based streetwear brand Palace. Ralph Lauren said in a July earnings release that winning over a new generation of customers is a key part of its growth strategy. Partnering with a more accessible streetwear brand will likely help it to reach younger shoppers.

Polo Ralph Lauren isn't the only fashion brand making partnerships in this vein. Louis Vuitton recently partnered with the wildly popular brand Supreme on a limited-edition line, and Fendi and Fila launched a limited line combining the two brands' logos. 

"There's an emerging brand of luxury, built around the Gen Z and Millennial mindset, whereby luxury is no longer tethered just to price and perception," Brian Trunzo, senior consultant at WGSN's consultancy division, Mindset, recently told Business Insider. "It feels like we're living in the age of the remix." 

Though luxury brands have been in a strong place recently, Coye Nokes, a partner in management-consulting firm OC&C Strategy Consultants, told Business Insider that that growth can't continue forever, which could explain a growing interest in streetwear collaborations.

"I think it's about acquisition of new customers and recruiting people into your brand. Streetwear brands definitely have a different audience, but this is a great way to maybe increase your awareness among a different set of consumers. In that way, these collaborations can be quite powerful," Nokes told Business Insider.

Here are some of the other major changes happening in the fashion industry:

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Luxury brands have been partnering with streetwear brands, in part to recruit younger customers, and in part to experiment with different business models.

Most recently, Polo Ralph Lauren teamed up with London-based streetwear brand Palace for a limited-edition product line.

Trunzo told Business Insider that Polo choosing to work with Palace was a smart decision. Since Palace doesn't do collaborations very often, there is a level of exclusivity that helps it keep its luxury appeal.