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LONDON, UNITED KINGDOM–(Marketwired – Mar Ten, 2014) – Global market research company Euromonitor International released today fresh data on the global apparel and footwear industry.
Despite subdued consumer confidence in Western Europe, excessive discounting impeding profits and the slowdown in China, the global apparel and footwear industry generated incremental retail growth of US$85 billion in 2013, a growth rate of 5% (current terms, motionless exchange rates). However, the industry’s growth has become intensely dependent on the BRICs, which poses a risk going forward.
“BRIC countries generated over a quarter of the world’s apparel and footwear sales and are expected to account for over 64% of projected global sales over the next five years,” said Magdalena Kondej, Head of Apparel and Footwear Research at Euromonitor International. “This carries risk because of the vulnerability of the economy in Brazil and Russia and the slowing economic growth in China. While the emerging markets are throwing invaluable lifelines to the apparel industry at a time of sluggish Western request, diluting dependency on that growth will be a challenge.”
In 2014, one of the main difficulties for the apparel industry will be violating the cycle of discounting and enlargening margins. Since the recession, apparel unit prices have decreased 5% globally, negatively impacting profitability. Consumer attitudes and perceptions of value will need to shift as people have been trained to expect discounts. Alternatively, “quick style tiredness” means more consumers are now paying enhanced attention to quality and longevity.
Footwear was one of the most dynamic categories in 2013, growing by 6.1% compared to Four.8% growth in apparel, according to Euromonitor research. The footwear market has consistently outperformed apparel sales for the past decade, driven by the pic of footwear as an essential style statement, especially in the women’s category. With 6.4% growth in 2013, childrenswear proved to be another lucrative category, driven by enhancing spend per child as a result of later parenthood and smaller family sizes.
Live Twitter Talk with Apparel Experts
Have questions about our Apparel & Footwear data? We are holding a live Twitter talk to reaction all of your questions. To participate, simply Tweet your questions to @Euromonitor using the #EMIAPPAREL hashtag on Wednesday, March 12th from three to 4pm GMT .
Magdalena Kondej, Head of Apparel and Footwear Research and Ashma Kunde, Apparel and Footwear Analyst at Euromonitor International, will response your questions. You can go after them now on Twitter: @EMI_MagdalenaK and @ashma_kunde.
To learn more about our Apparel and Footwear data, please visit http://www.euromonitor.com/apparel-and-footwear.
About Euromonitor International
Euromonitor International is the world’s leading provider for global business intelligence and strategic market analysis. We have more than forty years of practice publishing international market reports, business reference books and online databases on consumer markets.
We produce market research solutions to support strategic planning for today’s increasingly international business environment. Our research offers in-depth market analysis on consumer goods and services industries worldwide, as well as economic, demographic and socio-economic data and insight on countries and consumers.
Euromonitor International is headquartered in London, with regional offices in Chicago, Singapore, Shanghai, Vilnius, Sao Paulo, Santiago, Dubai, Cape Town, Tokyo, Sydney and Bangalore, and has a network of over eight hundred analysts worldwide.