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2024 was a challenging year for Nike Inc, with global sales declining in both apparel and footwear. The decline in its primary product category, coupled with shifting industry and macroeconomic factors, highlighted the need for a strategic re-evaluation across the business. Nike Inc is already taking active steps to address these challenges.
Global consumers have been trying to live sustainably in recent years, but modern life presents significant challenges. The fast fashion boom, driven by e-commerce, has been highly successful but at significant costs to the environment. This creates a paradox: consumers are increasingly concerned about the environment but continue purchasing fast fashion products that they know are highly polluting and wasteful.
This infographic highlights recent trends in apparel and footwear and Euromonitor's projections for the industry.
As the first generation to be fully born in the 21st century, they are growing up in a world marked by rapid technological advancements, social changes, and environmental consciousness and while they do not yet earn their own money, they’re already very influential on their parents’ spending decisions and by 2040, they will become the largest generation of active consumers. Connecting with these younger consumers becomes therefore a strategic decision to ensure one’s business future.
With the current uncertainty, fashion businesses might be tempted to reduce sustainability investments. But regulation is still changing in various parts of the world and in the current context of economic challenges and consumers seeking value, fashion labels should position themselves as more responsible and show their efforts to reduce their negative impact on the environment.
As 2024 draws to a close, we reflect on the key developments that have significantly impacted the fashion industry in the past 12 months and what they tell us for the year(s) to come.
As Global Fashion Agenda’s Global Fashion Summit 2024 is about to take place in Copenhagen during 21-23 May, Euromonitor International looks at the EU Right to Repair and how, more generally, the regulation shaping up in Europe is increasingly trying to limit high-volume fast fashion models and pushing for added-value services such as repairs, rental and resale to drive circularity in fashion.
During the COVID-19 pandemic, apparel and footwear e-commerce witnessed a strong boost in sales, as customers were forced to turn to online shopping owing to restrictions and store closures. Yet, since the easing of restrictions, in-store shopping has bounced back and, with it, the share of online sales dropped. This has left many luxury online players struggling under the pressure of either slowing or declining sales.
In 2024, global sales of apparel and footwear are set to experience moderate growth of approximately 2% in constant terms, and expected to recover to pre-pandemic levels by late 2025/early 2026. The impact of inflation remains persistent and will translate into cautious discretionary spending levels.
The African clothing and footwear industry, estimated at over USD30 billion is dynamic, presenting abundant opportunities for stakeholders. Moreover, it stands to gain significantly from the evolving socioeconomic landscape of the continent, primarily propelled by a substantial demographic of young, stylish, and aspirational consumers.
As COP28 recently concluded in Dubai, with promising commitments from fashion players, it is undeniable that there has been an acceleration in the pace towards positive change across the industry since the pandemic, with a growing number of market players improving their efforts in terms of diversity and inclusion, while taking measures to address their negative environmental footprint.
Mixed performance across fashion categories in 2023 makes us wonder what to expect for the industry in 2024. In this article, we'll explore what trends would drive sales in 2024 and which categories will benefit or be impacted by those.
Male consumers in Hong Kong are becoming increasingly fashion-conscious and seek diverse options to express their personal style, thereby driving the future growth of menswear. With greater time spent at home and more casual dress codes, male consumers are prioritising comfort and fit for apparel items.
As the pandemic and the war in Ukraine have placed intense stress on global supply chains, purely efficiency-based models have shown their limits in the fashion industry. Since then, luxury and fashion players have pivoted their business models to build their resilience for tomorrow, and beat the impact of inflation, while they also need to anticipate regulatory shifts in terms of sustainability to plan for the future.
As the global economy faces slower growth and high inflation, the challenges and uncertainties facing both luxury consumers and key players are escalating. The extraordinary global disruptions over the last few years have led to the rise of a new economic reality that is shaping the consumption of luxury goods and business outcomes today, but is similarly setting the benchmark of what we should expect for the short-term outlook.
Sportswear outperformed apparel and footwear over 2017-2022. However, not all brands capitalised on this favourable trend. On the bright side is lululemon, the brand that keeps surprising with strong growth even in markets where others struggle. What makes the difference to compete - and win - in the competitive sportswear industry?
As Global Fashion Agenda’s (GFA) Global Fashion Summit is about to take place in Copenhagen on 27-28 June, Euromonitor International looks at today’s key market pressures that are driving positive change in the fashion industry and, in particular, discusses the next generation of sustainable man-made fibres and how they hold the potential to change the way fashion is produced, marketed, and consumed.