Yes, It was done with cloth simulation, then I sculpted some cute wrinkles by hand and made stronger the ones created with the cloth, then simplified the mesh to be lowpoly, then baked the normals from the hi-res to the lowpoly and finally the textures. I made a bunch of texture variations, you can see them in the stalls that are already in atlas, this red cloth is just for visualization. I tried with a custom decal, if it's too intrusive I'll simply go with the standard sand-dirt with the carpets baked so they do not clip in uneven terrain. EDIT: changed the screenshot