SPORTSWEAR INDUSTRY INSIGHTS
- The global sportswear market size was valued at USD 362 billion in 2020 and is expected to reach USD 544 billion by 2026, growing at a compound average growth rate (CAGR) of 7% during 2021-2026.
- The rising demand for athleisure wear is surging in India, China, Japan.
- In 2020, the sale of athleisure wears in the sportswear market to witness a growth of around 70%-80%.
- Apparel is leading the product category, accounting for over 67% of the overall share.
- On average, sportswear companies spend around 7%-12% of their total revenue on marketing activities.
- In 2020, more than 47% of people switched from denim jeans to athleisure bottoms.
- The sportswear market share in Canada is expected to reach over USD 17 billion by 2026.
- Around 64% of the fabrics used by Patagonia for manufacturing sportswear are made from recycled materials.
- In Italy, more than 65% of the population is inclined towards sustainability.
The demand for sportswear is expected to witness rapid growth due to the changing lifestyle and growing fitness trend. The sustainable sports apparel market is gaining high momentum and attracting a huge number of customers. Did you know that Patagonia, a sportswear manufacturer, is developing eco-friendly products to contribute towards a sustainable environment? Following factors ensure the sustainable production of sportswear:
- Minimizing ecological footprint
- Proper management of resources such as water and energy
- Making use of sustainable raw materials
- Reducing negative impact on the planet
The rising demand for athleisure wear is surging in India, China, Japan, and other APAC countries, as it provides benefits to the users. Retailers such as Amazon are introducing athleisure wear, adding a new product to their portfolio. The ongoing sportswear market trends of athleisure wear are generating high revenues from the various brands. The increasing participation of women in sports activity creates lucrative opportunities for the players to grow in the sports apparel market. The changing perception of the people in the Middle Eastern countries about athletics products is driving the growth of the market.
H&M is collaborating with the Swedish Olympic team to expand its product line into athletic products. The advent of COVID-19 across regions is forcing the companies to work from home, encouraging people to involve more in fitness activities. The UK government is taking steps to organize women's sports, create awareness about the benefit of sports and fitness activities, and launching various campaigns and programs. With the increase in participation and government initiatives, the market for women's sports and activewear will continue to grow YoY during the forecast period. Sportswear companies focus on marketing and sales, as this plays a significant role in enhancing their products' visibility.
SPORTSWEAR INDUSTRY GROWTH FACTORS
- Many schools are making it mandatory by introducing physical education as a subject in the curriculum leading to the growth of the sportswear market.
- The demand for outdoor sportswear such as hiking shoes, jackets, and other products drives the market growth.
- The increasing cost of medical expenses encouraging people to adopt various fitness activities for their wellbeing, which is expected to result in an impressive growth rate in the sports apparel market.
- In Europe, out of the total number of sports coaches, women constitute only 20%-30% share.
SPORTSWEAR MARKET SEGMENTATION
This research report includes a detailed segmentation by
- Distribution Channel
- Activity Type
- The sports apparel to occupy around 68% revenue market share by 2026
Over the years, demand for sportswear apparel is continuously fueling across regions. The US is dominating the sportswear apparel and footwear segment and generating the highest market share globally. COVID-19 impacted the demand for athleisure wear as people adopted more of these products, as they are comfortable to wear while working from home. The demand for types of apparel depends upon the weather condition of the region. Owing to the easy availability of raw materials, cheap labor, and low electricity cost, most of the sportswear brands such as Nike, Lululemon, and others are operating in APAC countries includes Vietnam, China, India, and more. Compression clothing is becoming popular in the sportswear apparel market. Top brands such as Nike have launched their ACG apparel collection, 85% of which is made up of 90% recycled materials.
The introduction of various sports events is propelling the demand for sports footwear across the globe. The use of sports shoes is not only limited to sports activities and is used for leisure purposes. Nike was the first brand to understand this trend and to lead among the other sportswear brands. Around 30% of the sports shoe buyers use them for casual purposes rather than sports. Youths are the largest contributing segment towards the sports footwear market, and more than 25% of the total Indian population is youth.
- Men’s sportswear accounted for over 62% of the share in 2020
Men contribute a higher share in the global sportswear market compare to other end-user segments. The US is the leader in the men’s activewear market. More than 10 million men are involved across the globe performing yoga out of the total yoga practitioners. The women's sportswear segment to witness substantial growth in the upcoming years. The age growth between 25-34 years contributing major share towards the market.
The participation of women in various national and international sports will boost the demand for sports apparel and footwear in the global market. Athleisure wear among women is becoming popular owing to comfort and fashion. APAC to witness higher demand for women's sportswear worldwide. Women sportswear segment to contribute incremental growth of over USD 56 billion by 2026.
- The offline segment to account for a market share of around 77% by 2026
The offline channels comprise exclusive brand outlets and multi-brand outlets. Before 2020, offline retailing dominated the activewear market. In Q2 2020, Nike added a new product to its portfolio in Melrose and New York, planning to expand to 150-200 small stores in North America, MEA, and Europe.
The increase in internet penetration is fueling the demand for online distribution channels in the market. Smartphones are becoming a popular medium for the growth of e-commerce activities. Online distribution channels create lucrative opportunities for the players to expand their market presence worldwide by collaborating with other e-commerce channels or by creating their own websites.
- The US is the largest market for gym wear as nearly 21% of the entire population have a gym membership
The majority of the population has a great interest in sports. In 2019, Adidas planned to prioritize focus on various categories of sports on the local level. Adidas to adopt this strategy to become the best brand in the market. The rising popularity of football across all regions is boosting the demand for football shoes and apparel. Various brands are launching football shoes with several features benefiting the end-users while playing.
The US is the leading market for gym wear followed by Germany, the UK, and Brazil. People in India are increasingly adopting gym culture to be a part of this trend. Several private label brands such as Gap, H&M, and various online retailers such as Amazon and others are launching their line of gym wear which is intensifying the competition in the region.
The US sports bottom wear imports increased by around 8.7% in May 2020 compared to April 2020.
Countries like the US, China, Germany, India, and the UK are some of the major contributors to the sportswear industry, generating revenues of over USD 12 billion. With the higher involvement of people in fitness and sports activity, North America will likely dominate the global sportswear market share. Nearly 77% of the American are preferring to make a purchase of activewear that is environmentally conscious and giving priority to sustainability in 2020. Eco-friendly sportswear to drive the market in the near future.
Some brands are focusing on making 100% sustainable sportswear to gain a competitive advantage.
The presence of various international and local players is intensifying the competition in the global sportswear market. Some of the key vendors globally are Nike, Adidas, Under Armour, Lululemon, VF Corporation, Puma, Anta, Jockey International, and others. Players compete in terms of quality, variety, availability, price, and other factors. New players are entering and catering to a niche segment and later expanding to different segments to gain traction in the market. Companies with high financial resources are enjoying several advantages over the players with less financial resources.
The sportswear market research report includes in-depth coverage of industry analysis with revenue and forecast insights for the following segments:
Segmentation by Product Type
- Footwear & Accessories
Segmentation by End-User
Segmentation by Distribution Channel
Segmentation by Activity Type
Segmentation by Geography
- North America
- South Korea
- Latin America
- Rest of Latin America
- Middle East & Africa
- Saudi Arabia
- South Africa