The apparel market consists of sales of fashion items by different entities. This includes sole traders, partnerships, and many more businesses that produce apparel. These companies cut and sew clothes by first knitting the fabric and then cutting and sewing the fabric into an outfit. The apparel industry also includes brands with ready-to-wear apparel and custom outfit collections. Market size and growth usually depend on apparel industry trends, and therefore, fashion brands need to understand these factors.
Some of the top types of apparel are womenswear, kidswear, and menswear. Apparels made explicitly for ladies are known as women’s clothing. Producers create these items using different fibers like cotton fibers, vegetable-based fibers, artificial fibers, and animal-based. Manufacturers distribute these fabrics through online stores, retail stores, etc. In this article, we’ll explore apparel industry trends, the market size, and more.
Apparel Industry Trends – Market Analysis
Apparels include various types of clothes with multiple styles and different fabrics. End-users segment the market into kids, men, and women. When segmenting by type, the apparel industry is segmented into casual wear, sportswear, formal wear, evening wears, and many more. Finally, industry experts also segment it by geography, including Asia Pacific, Middle East, North America, Africa, and Europe.
According to reports, the global apparel market is set to record a CAGR of 5.8% during the forecast period, 2022 – 2027. The pandemic affected several industries in the world, including the apparel industry. Consumption was at a standstill, and products were piling up in warehouses for a while. As a result, businesses changed their goal from liquidation and inventory management to monitoring consumer behavior modification. Some of the fashion companies impacted by the pandemic were sportswear and formal wear because consumers shifted from discretionary spending toward essentials. This was due to the lower consumer need and increased unemployment rates.
Customers’ adoption of a luxury lifestyle significantly influenced the purchasing power amongst millennials opting for luxury wear. There are also increasing apparel industry trends that become the main factor of success in the apparel market when coupled with the evolving retail scene by brands. Competition is also relatively high in the apparel industry; this led to fashion collaborating to present a united front to consumers. In addition, successful advertising strategies and focus on specialized markets help apparel companies increase revenues in the competitive industry.
Key Apparel Industry Trends
Knowing the market size and analysis, it is crucial to learn what apparel industry trends are. In addition, fashion companies and consumers are continually wondering what the future holds for the apparel industry. While some people expect harsh conditions in the industry, others predict an improved economic condition and an overall boost in the industry. Despite the mix of the apparel industry forecasts, there are key apparel industry trends that you can expect in the coming years. Below, you’ll find an exploration of several future apparel industry trends; let’s take a look.
Apparel Industry Trends – Digital Marketing and Unique Designs in the Market
In addition to a perfect marketing strategy, it helps innovative designs to increase revenue in the industry. Higher exposure to the internet, in addition to e-commerce, has improved fashion consciousness amongst consumers. It has also increased the availability of limited-edition products and high-end brands. One of the top apparel industry trends is the use of influencers to promote a product. This has an impact on how beauty companies market products and increase sales.
71% of social media marketers report that they always include influencer marketing in their budget. Therefore, it is clear that marketers find influencers valuable in their marketing strategies. Additionally, local startups that focus on sustainable approaches are gaining interest from consumers worldwide. These startups usually provide varying styles from casual and traditional to formal wear with unique concepts and designs to their audience. These designs and ideas are to drive customers’ interests, which it does successfully.
In addition to this, online clothing sales have also been quite popular in recent years. This is because consumers are becoming more comfortable with making purchases from their various devices and in the comfort of their own homes. One of the factors driving online apparel sales is online startups which include many fast fashion brands.
Brands are also learning to utilize data and analytics to provide customers with personalized solutions and stay ahead of market trends. Some of the ways fashion companies are showing their adoption of a digital world are through live streaming and customer service. Brands are also implementing technological advancements like virtual fashion into their brands. This is to increase customer experience and keep up with ever-changing trends in the industry. As technology evolves, we expect that fashion will keep up with the evolution.
Apparel Industry Trends – North America Controls a Prominent Share
Among the significant markets controlling the apparel industry, you will find the North American market at the top. Canadian apparel companies continue to make a considerable shift towards niche markets. They also focus on designing and producing high-end outfits and specialty garments like performance clothes. Some of these apparel include protective clothing, sportswear, and many more. Large fashion companies usually outsource their clothing production to help cut down costs. Such companies typically operate replenishment and short-run facilities in the area to speedily catch up with the ever-changing apparel industry trends in the retail industry.
To keep up with the competition in the global market, top apparel manufacturers also utilize new technologies and automation throughout their supply chain. Another adoption in the sector that is fast becoming popular is the utilization of digital technology. This usually includes creating multichannel approaches to sales.
Apparel Industry Trends – The Market Offers a Competitive Landscape
The global fashion industry is fragmented because several minor and major players are present. In developing regions, the market offers a strong unorganized market where marketers provide various products. The distribution network of global brands also influences the international market. However, local manufacturers always have steep competition, affecting fashion preferences and prices. Some of the top players in the apparel market that make up the competitive landscape include Inditex, Kering S.A, LVMH, and PVH Corp.
Apparel Industry Trends – The Significance of Social Justice and Sustainability
One of the vital apparel industry trends that fashion brands also need to note is sustainability. This is already a growing concern amongst consumers due to apprehension for the planet’s future. As a result, consumers begin to pressure fashion companies that don’t practice an eco-friendly production method. Due to this, many apparel companies modify their business models and create more sustainable products. An example is Adidas, which turns plastic trash in the coastal area into recycled polyester. The brand then utilizes recycled polyester in the production of shoes and clothing. Chanel, an apparel brand, also invested in the startup Evolved by Nature. This brand’s goal is to replace synthetic additives with eco-friendly alternatives.
One of the ways customers also put in the work and keep apparel out of landfills is by buying secondhand and renting rather than purchasing new products. It also provides consumers with a way of affording luxury fashion pieces. As a result of this, resale and rental apparel companies are expanding. In addition to significant concerns about climate change and the planet’s condition, customers promote social justice. There’s a growing awareness about the exploitative working conditions in factories. Due to this, consumers are demanding that apparel companies provide better wages and safer working conditions for their employees.
There are serious allegations about human rights abuse in Xinjiang in China. This factory makes up 85% of China’s raw cotton production. These allegations created challenges for major brands and the fashion brand H&M after their company voiced its concern about the treatment of most ethnoreligious minorities.
Apparel Industry Trends – Clothes Are Becoming Genderless
Conversations about gender and the norm are continually changing and evolving. For many centuries men and women were in two distinct boxes that were easy to distinguish. However, many growing cultures are blurring the lines. Due to this, most people choose to wear apparel that they’re comfortable in rather than what they believe is best for their sex. This move has led to the creation of genderless clothing.
Additionally, most fashion brands are implementing unisex lines in their apparel. Some startup brands also identify as genderless, including One DNA, Blindness, and even Muttonhead. Of course, the majority of the industry continues to separate their items by gender; there are unisex options that allow people to avoid these gender labels if they want.
Apparel Industry Trends – An Increasing Growth in Athleisure
One of the key apparel industry trends we cannot ignore is the increasing growth of the athleisure sector. Consumers are swapping their business casual and professional apparel for t-shirts and yoga pants. As a result, leading athleisure brands like Calvin Klein, Dick’s Sporting Goods, Lululemon, Tommy Hilfiger, and many more reported strong sales. On the other hand, apparel chains that offer former apparel are struggling, with many filing for bankruptcy during the pandemic.
We can’t say the athleisure trend is new, as the growth of wellness trends over the years gave yoga-inspired outfits a unique staying power. These trends have remained for years and are expected to continually grow in the coming years.
Apparel Industry Trends – A Shift Towards Size-Inclusive Fashion
Recently, there’s been a higher demand for trendy, plus-size fashion pieces. Size-inclusive brands are noticing an increase in sales, while brands with limited offerings in terms of size. This is because, in the past, there were limited clothing options for plus-size consumers. Most retailers relegated plus-size women to the maternity wear section. However, this is continuously changing as more and more size-inclusive initiatives grow in popularity. Target, Nordstrom, and many more apparel retailers are expanding their sizes in their stores. However, the case is different with luxury brands that are not making such moves.
It can be quite challenging to predict how the apparel industry will turn out. However, by looking at the market size and analyzing its growth, we can discover key apparel industry trends that will help brands increase sales. It’s clear that the apparel industry tends to relate to social consciousness, and digitalization will carry on for quite a while. This is because technology is continually improving, and the awareness of social consciousness continues to grow amongst consumers.