10 Mar The Sportswear Industry: An Analysis of The Athletic Apparel Market
There’s no denying that the sportswear industry has become one of the biggest markets around the world. Worth around an estimated $1.3 trillion, it’s one of the greatest places for investors looking for strong brands in an increasing industry.
With this much growth in mind, researchers have tried to crack the secret behind the sports apparel industry. Each year, several studies are conducted in an attempt on the analysis of the sportswear industry.
In light of the new year, it’s only apt we take an overview of the sportswear industry — from the key players that dominated 2019 to its different distribution channels! Having a greater understanding of the current climate helps prepare new brands to conquer 2020.
An Overview of the Sportswear Market in 2019
There was an increasing awareness about leading a healthier lifestyle and a growing trend of getting into sports and fitness. Moreover, the popularity of sports activities like the Soccer World Cup, Olympic Games and the Cricket World helped boost the market.
As a result, it drove the industry into an estimated worth of $239.78 billion around 2018. But as the following year came, so did fresh demands. Consumers are now looking for fashionable and trendy athletic wear contrasting to their previous needs. Demand for sports apparel that aren’t restricted to athletes also grew as the general public’s awareness regarding their health and fitness.
Correspondingly, brands started manufacturing more innovative products for the new needs of their consumers. This trend grew further, resulting in commonly known technologies such as insulators, microfibers and nano-technology to be used alongside new materials.
The industry’s market shares in Asia Pacific also grew significantly because of growing population and increasing disposable income of customers. With this in mind, the competition between brands became more saturated than ever. Marketing tactics have reached new heights as the internet and modern technology continued to take over.
With the new decade coming in, budding brands are expected to have increased participation. And how do you make sure you end up in the coming 2020 research reports? By gaining access to last year’s sports apparel industry overview.
Prominent Athletic Wear Products
Though the industry had a spectacular year in summary, research has revealed two product segments has boosted both the revenue and overall market growth of sportswear; apparel and footwear.
The segment of shoes consistently held the largest market share as it did in 2018. Additionally, it’s also expected to grow further as demands continue to rise. The sports footwear is categorized into tennis shoes, football shoes, basketball shoes, alongside other casual sports shoes.
The industry also saw a trend of brands using high-end technology to create footwear. To illustrate, Nike started using foams like blown polyurethane to give their shoes extra cushioning.
The clothing segment also played a key part in the increased revenue of the athletic apparel industry. The segment is expected to register a compound annual growth rate of 10.7% starting 2019 and up until 2025 — making it the highest CAGR of the market. Key driving factors were said to be technological advancements such as fast-drying textile and upper garments that can track heart rates. In like fashion, Nike created a new collection of tights that manages body heat and improves circulation.
New Regions, New Consumers
2019 also saw an incredible expansion in the global sportswear market. Following Asia Pacific’s increased market size, the two other key regions that helped the sportswear industry grow further is North America and Europe, according to market reports.
North America became the largest regional market in 2018 and maintained its dominance the following year as predicted. Both Nike and Adidas had the largest share in the said region in terms of sales in sports apparel.
At the same time, Europe’s own sportswear market also grew that year. The region’s local industry is now worth an estimated $115,709 and is anticipated to reach $172,315 million by 2025. Moreover, experts are also predicting a CAGR growth of 5.5% from 2018 to 2025.
In comparison to North America and Asia Pacific, Europe’s sports equipment saw a rapid increase in demand. This is partially due to the increasing adoption of emerging sports technologies among the younger population.
Key Players in the Field
Aside from Nike, Adidas, Under Armour, and Lululemon Athletica, other brands like Puma, Umbro, Fila, Columbia and Anta were the key players of 2019.
Recent market research has revealed a trend of manufacturers brainstorming strategic initiatives in hopes of gaining competitive advantage in the market aside from competitive digital marketing strategies. With this in mind, some brands decided to merge with other upcoming companies or acquire upcoming manufacturers, newer product development as well as launches.
Preparing for the Future
The forecast period of a large number of market reports from 2019 start from the year itself until 2025. And aside from more innovative technologies and competitive strategies, researchers are predicting an increased participation from the Internet and social media itself.
While it may be true that the market wouldn’t have grown into what it is now without the help of factors such as changing trends, growing population and disposable income. It’s important to realize that 2019 was the year wherein almost everyone in the sports apparel industry jumped into the bandwagon of digital marketing. More and more brands have spent larger sums of money just to reach their customers and would-be buyers — be it through Google Ads, Facebook Ads, or just pure organic search.
Consequently, it was also the same year that its scope expanded into more than just social media management. Search engine optimization strengthen its relevance in the game, forcing the market to include omni-channel promotion.
Nowadays, it’s not enough for brands to DIY their marketing strategies. Key players are constantly observing the overview of the market for undiscovered gems and competitive advantage. Newcomers who hope to prepare for the coming years are better off seeking the advice of marketing experts!
New Year, New Friends
One of the greatest advantages of partnering with digital marketing agencies is that they can help you map out your future!
Before jumping to any brainstorming sessions for SEO campaigns or PPC, they often ask you first about your short-term and long-term goals. With the help of goal setting and planning, you can easily build your game plan for the coming years.
Furthermore, those having a hard time figuring the right branding for their sports store can rest easy knowing sports marketing companies nowadays help their clients cultivate omnichannel success!
A point often overlooked in branding is the importance of consistency. Starting from your web design down to your content, everything should be coherent with what your brand stands for. If not, your consumers would have a hard time separating you from the rest of your competition.
With the help of your new found friends from sports marketing firms, you can implement one cohesive online marketing campaign. They will ensure everything about your brand is aligned, starting from its graphic design down to its content marketing.
The sportswear industry’s future is bright — and will only get brighter as the years come by. It may be scary to run alongside giants but there are people more than willing to help you reach your goals!