US Fashion Industry Growth Over the years

With production lines becoming more efficient and the increasing availability of clothing at lower price points, the fashion industry has been experiencing an unprecedented boom. In the clothing and apparel industry, the US apparel market is the biggest in the world. In this article, we will discuss various statistics about the growth of the US apparel industry over the years. We will also include projections concerning the future of the fashion industry in the US.

Growth of the US apparel industry

The US fashion industry: past, present and future

The US fashion industry generates the most revenue out of any other country’s apparel industry in the world. The value of the US apparel market amount to $349,555 million in 2020,. Even though the value has reduced by 2.9% from the previous year due to the effects of the Covid-19 pandemic, future projections portray a picture of further growth.

• The apparel market in the United States is expected to grow by 3.6% each year from 2020 to 2025.

• By 2025, the market in the United States is projected to reach a value of $390 billion.

Women’s fashion

Women’s fashion has long been the most profitable category of the clothing and apparel industry. With the rise of the internet and the emergence of many different kinds of fashion movements, the women’s apparel market in the US is expected to experience increasing growth over the years, retaining its spot as the most lucrative clothing market.

• Revenue in the women's apparel market amounts to $182,502 million in 2020, the most out of any other category in the fashion market.

• The value has decreased by 2.8% from 2018 when the market generated a revenue of $187,761 million. This decrease has been attributed to the effects of Covid-19 pandemic, which has affected sales and production all over the world.

• Future projections predict steady growth, with the estimated value of the US women’s fashion market reaching $193,077 million in 2021, and a whopping $217,827 million by 2025.

Subcategories

• Currently, the biggest subcategory of women’s fashion in terms of revenue is sportswear and swimwear, which generated a revenue of $39,427.6 million in 2020.

• Sportswear is expected to remain the largest subcategory in women’s fashion in the future. Future projections estimate women’s sportswear to yield a revenue of $42,695.8 million next year. The number is expected to reach $52,065.6 million by 2025.

• Even though sportswear is the biggest source of revenue in women’s fashion, the subcategories with the most volume produced are socks, t-shirts, night-wear ,and underwear respectively.

Men’s fashion

While men’s fashion has lagged behind women’s fashion in terms of both popularity and profit, that is expected to change in the future. As more and more men become interested in style and fashion, the men’s apparel market in the US is expected to see explosive growth in the coming years.

• Revenue in the men's apparel market amounts to $112,251 million in 2020.

• Similarly to the women’s market, the value of the men’s apparel market is slightly less than last year, when the revenue generated was approximately $115,384 million.

• Men’s fashion is expected to see slightly more growth than the women’s fashion segment in the future, with a rate of growth of 3.7% from 2020 to 2025.

• The estimated value of the US men’s fashion market is expected to reach $118,870 million in 2021 and a whopping $134,699 million by 2025.

Subcategories

• Currently, the biggest subcategory of men’s fashion in terms of revenue are trousers, which generated a revenue of $26,382 million in 2020.

• Trousers are expected to remain the largest subcategory in men’s fashion in the future. Future projections estimate men’s trousers to yield a revenue of $27,748.6 million next year. The number is expected to reach $30,694.2 million by 2025.

• The subcategories with the most volume produced are socks, t-shirts, and trousers, respectively.

Children’s apparel

A smaller but still quite lucrative market, the babies’ and children’s apparel market in the US generated a revenue of $54,803 million in 2020.

• The children’s apparel market in the US is expected to experience slower growth than both the women’s and men’s apparel markets. The children’s apparel market is estimated to grow with a rate of 3.1% from 2020 to 2025.

• Future projections predict the revenue generated by the children’s apparel market to be $57,694 million next year. The value is expected to increase to $63,826 million by 2025.

• The categories generating the most revenue in children’s clothing are sports and swimwear, baby clothes, and trousers, in that order.

• The subcategories with the most volume produced are nightwear and underwear, baby clothes, and trousers.

Sportswear

As evidenced by the statistics given above, sportswear in one of the key categories in the general apparel market. Sportswear includes clothes made from special features to facilitate the wearer’s athletic performance. The reasons for the boom in the sportswear market are attributed to the following:

• The high quality demanded by sportswear also confers a higher price range to it.

• The rise of streetwear and the formation of ‘athleisure’ as a clothing category has led to an increase in sales through overlapping with the sportswear department.

• Athletic footwear, such as sneakers, has become a pop-culture staple in recent years, with limited collections adding to the elusiveness and exclusivity of certain brands.

Currently, the sportswear market in the US is valued at approximately $72.5 billion. With these factors in mind, the sportswear market in the US forecast to exceed $95.7 billion U.S. dollars by 2025.

E-commerce

With the prevalence of online shopping and the ubiquity of smartphones, E-commerce is a sector that is expected to see exponential growth in the future. In 2019, clothing and apparel E-commerce revenues amounted to $102.5 billion. The value is projected to increase to reach $153.6 billion in 2024.

With its relative novelty, E-commerce is one of the most potentially lucrative markets for investors. E-commerce is a rich field for entrepreneurs who are looking to make a profit.

Conclusion

The United States fashion and apparel market is the biggest in the world. Despite the detrimental effects of the Covid-19 pandemic, the US clothing industry is projected to experience steady, positive growth over the coming years. The rise of e-commerce and emerging markets in East Asia signal positive developments for the fashion industry in the near future.