Apparel Market Size, Share & Industry Analysis, By Type (Casual Wear/Fashion Wear, Formal Wear, Swimwear, Outerwear, Sportswear & Activewear, Agricultural Work Clothing/Farm Apparel, Work Wear, Ethnic Wear, Sleepwear, and Others), By Material (Synthetic, Cotton, Wool, Leather, Denim, Satin, and Others), By End-User (Men, Women, Children, and Unisex), By Category (Mass/Economy, Premium, and Luxury), By Distribution Channel (Supermarkets & Hypermarkets, Specialty Stores/Branded Stores, Department Stores, Online/E-commerce, and Others), and Regional Forecast, 2024-2032

The global apparel market size was valued at USD 1,700.52 billion in 2023. The market is projected to grow from USD 1,749.67 billion in 2024 to USD 2,307.04 billion by 2032, exhibiting a CAGR of 3.52% over the forecast period. Asia Pacific dominated the apparel market with a market share of 40.44% in 2023.

The global apparel market is a dynamic and expansive sector, encompassing a wide range of products from everyday casual wear to high-end fashion. Product lifecycle management in this market plays an important role as it allows clothing companies to manage and organize key information effectively. The global clothing market has witnessed robust growth, driven by several key factors, including the rise of fast fashion, increasing consumer spending, advancement in production technology, and wide acceptance of e-commerce platforms as preferred distribution channels, among others. As discretionary spending on clothing increased, shopping became a form of entertainment, which in turn has revolutionized the clothing industry. Companies such as Zara and H&M are leading the charge in bringing trendy, fashionable clothing to consumers at unprecedented speeds. This model caters to the increasing consumer demand for up-to-date styles, resulting in higher purchase frequency.

Apparel Market Trends

The growing middle class in emerging economies such as India, China, Brazil, Argentina, South Africa, and many Southeast Asian countries further significantly boosts clothing sales. The rise in the working population has increased consumer purchasing power, contributing to market expansion. For instance, according to the Periodic Labour Force Survey (PLFS), employment in India surged from 46.8% in 2017-18 to 56% in 2022-23, accompanied by a noteworthy rise in labor force participation from 49.8% to 57.9%. Simultaneously, the unemployment rate shrank from 6% to 3.2%, highlighting a favorable job market shift.

According to the report published by the Development Commissioner Ministry of Micro, Small & Medium Enterprises in 2021, the COVID-19 pandemic affected the garment industry negatively, shrinking the market size by around 30%. The mass closure of public places and offices, along with the cancellation of big events and celebrations, caused garment sales to plummet, cited the head of Harry Rosen, one of Canada’s leading men’s clothing retailers. However, the long-term growth trend of clothing remains intact and the industry is rebounding post-COVID-19 as restrictions have been lifted across countries. 

Sustainability and Ethical Fashion Accompanied by Increased Transparency

Sustainability and ethical fashion have become central pillars of the apparel industry. Consumers, particularly Millennials and Gen Z, are increasingly concerned about the environmental and social impact of their clothing choices. Consumers are keenly interested in knowing and understanding where their clothes come from and what and how they are made of. As a result, brands are focusing on a transparent supply chain, eco-friendly materials, and ethical labor practices to meet this demand. This is driven by consumer willingness to pay more for eco-friendly and sustainable upcycled clothing. One of the key aspects of this trend is the rise of circular fashion, where garments are designed with their entire lifecycle in mind. This includes creating clothing from recycled materials, promoting repair and reuse, and developing business models centered on rental, resale, or upcycling.

Major brands such as H&M and Levi’s have introduced recycling programs and second-hand sales channels. This shift has led to greater transparency, with brands publishing reports on their supply chains, providing certifications, and engaging in responsible sourcing. For instance, in September 2023, Loro Piana, the Italian luxury apparel brand part of LVMH Group, announced the launch of a conscious and sustainable carryover capsule collection named “Loro”. The collection is made with recycled cashmere from the company’s knitwear surpluses and is available in full size range, from 8-year-old children to 4XL for women and men. In response to this trend, companies are rethinking traditional fashion models. While fast fashion remains popular, sustainable practices are becoming a competitive differentiator. This trend has accelerated post-pandemic, as consumers rethink their consumption patterns and seek purpose-driven brands that align with their values.

Request a Free sample to learn more about this report.

Apparel Market Growth Factors

Increasing Technological Integration and Product Innovation are Driving Market Growth

The apparel industry has recorded significant growth in technological integration in recent years, a significant factor driving global market growth. The manufacturers are launching innovative product ranges, utilizing the rapidly changing technological landscape by integrating new and advanced technologies. These new product launches are driving the demand for an advanced product range. The changing technological landscape with the launch of new innovative fabrics and product ranges significantly influences consumer behavior leading global market growth.

For instance, in October 2023, Brooks, a well-known running shoe company, announced its partnership with Hewlett-Packard Company by releasing an Exhilarate-BL sneaker, incorporated with a 3D printed midsole technology called "3DNA". Furthermore, in June 2023, Nike unveiled Aerogami, its latest performance-apparel technology intended to improve breathability precisely when athletes need it.

Rising Participation in Sports and Outdoor Activities to Drive Apparel Market Growth

Participation in outdoor sports and recreational activities is not specific to a certain age group, as individuals of all ages participate. However, the participation of the geriatric and young age groups aged 65+ and 10-24 has shown significant growth since 2015 and has been driving the development of the apparel industry in North America. For instance, as per the Outdoor Industry Association, since 2019, the geriatric population in the U.S. has recorded a growth of 2.5 million or 16.8% in participation in outdoor recreational activities

RESTRAINING FACTORS

Increasing Competition from Local Brands Emphasizing Affordable Pricing May Threaten International Market Players’ Growth

International brands often face intense competition from domestic manufacturers due to regional fashion preferences and more affordable pricing factors, which hampers apparel market growth. Local manufacturers have a better understanding of regional tastes, cultural nuances, and traditional styles. They can design their products to meet local demand more efficiently than international brands. In addition, local brands quickly adapt to changing trends and customer preferences within their region. In contrast, international brands may have longer lead times due to centralized decision-making and global supply chains further pose challenges to the market expansion. Furthermore, local manufacturers typically have lower production costs due to cheaper labor and materials, allowing them to offer more affordable pricing when compared to international brands, which may have high overhead and logistical costs. These factors restrain the further penetration of international brands into the local market, impeding market growth.

Apparel Market Segmentation Analysis

By Type Analysis

Wide Selection of Sizes in Casual Wear/Fashion Wear to Favor Segmental Growth

By type, the market is divided into casual wear/fashion wear, formal wear, swimwear, outerwear, sportswear & activewear, agricultural work clothing/farm apparel, work wear, ethnic wear, sleepwear, and others. The casual wear/fashion wear segment held the largest share in 2023 and is projected to maintain its leading position during the forecast period. The changing lifestyles of consumers, placing greater emphasis on comfort and utility, supplement the growth of the segment. In addition, the wide selection of designs, sizes, styles, and shades reflecting inclusivity enables consumers to match their clothing as per their taste and current fashion trends, leading to market expansion.

The sportswear & activewear segment is forecast to grow at the fastest CAGR during the study period 2024-2032. The increasing need for sports and fitness activities owing to the growing health consciousness and hectic work routines fuels the demand for sportswear & athletic apparel. Moreover, active lifestyles and increased participation of the population in outdoor and social activities accelerate the demand for sports apparel and activewear or other outdoor apparel globally. Golf apparel, basketball apparel, and snow sports apparel are among the fastest-growing segments within the sportswear & activewear apparel category.

While the increasing demand for surgical apparel fuels the growth of the work wear segment, the increasing adoption of motorcycle apparel and intimate clothing favors the expansion of the others segment.

Given the intensifying competition in the dominant product categories, including casual wear and ethnic wear, prospective market players will likely focus on penetrating the high-growth intimate apparel market in the coming years.

To know how our report can help streamline your business, Speak to Analyst

By Material Analysis

Superior Functional Characteristics to Bolster Demand for Synthetic Clothing

By material, the market is divided into synthetic, cotton, wool, leather, denim, satin, and others. The synthetic segment dominated the global apparel market share in 2023 and is projected to maintain its strong position throughout the forecast years. Synthetic fiber has gained prominence for its versatility, durability, ease of dyeing and printing, wrinkle resistance, and quick-drying nature. These properties make synthetic materials highly suitable for a variety of applications. In addition, due to enhanced properties, synthetic materials find extensive applications in casual wear or fashion wear, sportswear, activewear, workwear, and sleepwear, among others.

The cotton segment is forecast to witness rapid growth throughout the projected timeframe. Factors contributing to segment’s growth include the materials' natural attributes, such as breathability, comfort, hypoallergenic nature, and timeless appeals to consumers of all age groups. Furthermore, the increasing demand for eco-friendly and sustainable fabric materials among environment-conscious consumers is likely to support the segment’s growth over the coming years.

By End-User Analysis

Availability of Diverse Range of Options to Fuel Demand for Women’s Wear

By end-user, the market is divided into men, women, children, and unisex. The women segment captured the highest market share of around 40% in 2023 and is projected to retain its dominant position during the forecast period. The female fashion industry has experienced a surge in demand compared to men owing to accessibility to a wide array of clothing collections, including dresses, jeans, skirts, blouses, shorts, leggings, crop tops, bralettes, and scarves, among many others. The increased demand prompts designers and retailers to prioritize women's fashion, catering to the ever-altering preferences of a large audience. Moreover, their willingness and tendency to invest more in clothing and accessories make women's fashion a more lucrative sector.

The unisex segment is expected to exhibit the fastest CAGR over the forecast timeframe. Expanding young generation, including Gen Z and Millennials, seeking clothing options that blur the lines between traditional gender categories boost the demand for unisex clothing. This transition in customers' preferences has generated a strong demand for unisex clothing across various age groups and demographics.

By Category Analysis

Wide Range of Patterns and Designs to Create Significant Demand for Mass Garments

Based on category, the market is segmented into mass/economy, premium, and luxury. The mass segment held the largest share of all in 2023 and is poised to grow continuously over the forecast period. Mass garments are produced in a variety of patterns and designs with shorter turnaround time and affordable pricing which contributes to higher revenue generation by the segment. In addition, their easy availability and accessibility encourage consumers to visit stores more often, leading to increased purchases. Fascinatingly, in a mass category, rather than restocking inventory, retailers swap sold-out items with new arrivals, which further prompts purchasing frequency. Moreover, mass options have made fashionable clothing more convenient, offering innovative and stylish options.

On the other hand, the premium segment is set to flourish at the highest CAGR during the projected years, owing to the growing middle-class population. The growing interaction between consumers and brands through social media platforms and online retail channels is a crucial aspect driving market expansion.

The luxury segment is estimated to grow at a significant CAGR during the forecast period owing to the rising number of millionaires and the growing perception among consumers that luxury goods contribute to greater social acceptance.

By Distribution Channel Analysis

Availability of Sizable Discounts to Accelerate Product Sales through Supermarkets & Hypermarkets

By distribution channel, the market is segregated into supermarkets & hypermarkets, specialty stores/branded stores, department stores, online/e-commerce, and others. The supermarkets & hypermarkets segment accounted for the largest share of the market in 2023. The availability of sizable discounts makes supermarkets & hypermarkets a prominent distribution platform for apparel worldwide. Brick-and-mortar stores and offline retail formats enable face-to-face interaction, imparting a more personalized experience.  Sales executives present in such stores offer tailored assistance, suggesting styling advice and complementary items, and address any related concerns that further add to the experience. Consumers can touch and feel the fabric's quality of the materials, examine the craftsmanship, and have a trial experience to access the clothing.

The online/e-commerce segment is forecast to grow tremendously during 2024-2032. Online shopping platforms have made it easier for consumers to access a wide variety of clothing and shop from the comfort of their homes. The shopping experience has become hassle-free by offering the convenience of adding a list of shipping addresses and varying payment options, thus further intensifying the growth of the market. Along with traditional retail channels, brands are focusing on expanding in the online apparel retailing market and direct-to-consumer models in order to establish a direct relationship with customers, enabling personalized marketing and better consumer insights and feedback.

REGIONAL INSIGHTS

Geographically, the market is divided into North America, South America, Europe, Asia Pacific, and the Middle East & Africa.

To get more information on the regional analysis of this market, Request a Free sample

Asia Pacific accounted for the largest market share and gained the highest revenue in 2023. The large audience base is the primary reason driving the regional growth. Growing disposable income, increasing middle-class population, increase in the number of working women professionals, and rising participation of individuals in sports and other outdoor activities are among the few factors fueling the Asia Pacific market growth. A significant number of young individuals embrace online shopping, leading to a substantial increase in garment sales by giants such as Tokopedia, Lazada, and Shopee. This trend highlights the evolving consumer demands and underscores the pivotal role of technology in shaping the industry landscape.

Various cultures and styles influence the Asian market, offering lucrative growth opportunities for manufacturers to innovate their product offerings. Furthermore, the rapidly evolving trend of minimalist fashion creates an opportunity for fashion brands known for their simple yet elegant designs to stay competitive, favoring global market growth.

To know how our report can help streamline your business, Speak to Analyst

Europe is growing rapidly, driven by multiple factors, including the rising emphasis on sustainability, shifting fashion trends, expansion of e-commerce channels, and innovation in manufacturing and design techniques.

North America is anticipated to grow significantly over the forecast period, led by the U.S. The emergence of the athleisure trend positively influences the North American market trends. At a macro level, the increasing demand for sportswear and activewear fuels the regional market growth.

South America and the Middle East & Africa are growing at a considerable rate due to the increasing popularity of sustainable clothing. Furthermore, increasing apparel imports make these regional markets attractive for international businesses to penetrate in the coming years.

KEY INDUSTRY PLAYERS

Key Players Employ Multiple Growth Strategies to Stay Competitive

The global market is highly competitive and fragmented, with a large number of domestic and international players. Market players are undertaking several organic and inorganic growth strategies to compete and have a strong foothold within the industry. These strategies include geographical expansion, product innovation and launch, merger, partnership agreement, or acquisition, among many others. The deeply rooted distribution network of global brands influences the international market but faces steep competition from local manufacturers. Some industry players also invest in digital capabilities and increase their reach through social media and other online platforms to stay competitive. Celebrity and influencer marketing is one of their strengths, enabling them to reach a wider audience.

List of Top Apparel Companies:

• VF Corporation (U.S.)


• Burberry Group plc (U.K.)


• Puma SE (Germany)


• Adidas AG (Germany)


• Nike Inc. (U.S.)


• H&M Hennes & Mauritz AB (Sweden)


• LVMH (France)


• KERING (France)


• PVH Corp. (U.S.)


• Inditex (Spain)

Key Industry Developments:

• December 2023: Ensemble, an Indian luxury fashion store, launched its new store in Ahmedabad, India.


• September 2023: H&M India inaugurated its third store in Hyderabad, revealing its expansion plans. At present, the company has 55 stores in 28 cities in India.


• August 2023: Reliance Retail launched its youth-centered fashion brand "Yousta" with the opening of its inaugural store in Hyderabad's Sarath City Mall. The fashion label is also available on e-commerce platforms, including JioMart and Ajio.


• June 2023: Nike unveiled Aerogami, its latest performance clothing technology intended to improve breathability precisely when athletes need it. 


• February 2023: Adidas launched a new label, SPORTSWEAR, in collaboration with producer, actor, writer, and style icon Jenna Ortega. This label features the Tiro Suit Collection, including the Express Dress, tracksuit, Coach Jacket, Avryn shoe, and Express Jersey.

REPORT COVERAGE

The research report provides a detailed analysis of the market and focuses on key aspects such as the competitive landscape, regional analysis, and leading product types. Besides this, the report offers market insights and highlights key industry developments. In addition to the aforementioned factors, the market report encompasses several factors that have contributed to the growth of the market in recent years.

To gain extensive insights into the market, Request for Customization

Report Scope & Segmentation