Home / Knowledge / News / Apparel/Garments / IBISWorld predicts mens clothing sales to take off in 2013
IBISWorld predicts mens clothing sales to take off in 2013
04
May '13
The Men's Clothing Stores industry has proven to be especially sensitive to the economic recession. Sinking consumer sentiment, brought about by skyrocketing unemployment and a slowdown in personal disposable income growth, limited downstream demand for apparel during the recession. 
 
As a result, IBISWorld expects revenue to decline at an average annual rate of 1.6% to $8.7 billion since 2008. “A turnaround in sentiment and high-end purchases, however, is expected to push revenue up 1.4% through 2013,” says IBISWorld industry analyst Nikoleta Panteva.
 
A pattern of merger and acquisition activity has also characterized the Men's Clothing Stores industry over the past five years, and is expected to continue through 2018. The number of firms has declined at an average annual rate of 1.5% since 2008, totaling an estimated 8,193 in 2013. 
 
“Industry major player Phillips-Van Heusen finished its acquisition of Tommy Hilfiger in 2010,” adds Panteva. “This event, along with similar ones earlier in the decade, indicates a more highly concentrated industry where the companies are fewer but larger.” IBISWorld forecasts this trend to continue. 
 
The industry is expected to have a medium market share concentration; over the five years to 2013, this percentage has increased. Due to the poor economic environment and the shrinking size of the industry, employment and wages have declined since 2008. In an effort to cut costs, employers have slashed aggregate wages at an average annual rate of 3.5% during the five-year period, bringing wages to $1.3 billion in 2013. The number of workers has declined at an average rate of 4.2% per year in the same time.
 
The future looks a little brighter for industry operators. Revenue is forecast to rebound over the five years to 2018. As consumers regain their purchasing power and unemployment returns to near-normal levels, discretionary spending on apparel will begin to grow. 
 
With the rise of offshoring and importing in the upstream manufacturing industry, input costs will likely fall. This will allow for low-cost purchases for apparel retailers and consumers. Clothing is, of course, an essential part of daily life, so although this industry is currently experiencing a downturn, revenue will return to growth once the economy fully recovers.
 

IBISWorld

Must ReadView All

Apparel/Garments | On 28th May 2017

Over 45% US retailers to use AI in next 3 years: Report

Over 45 per cent retailers in the US plan to utilise artificial...

Neelesh Hundekari speaking at the event. Courtesy: Subir Ghosh

Textiles | On 27th May 2017

Fabric of Change initiative announces €250000 scaling fund

The Fabric of Change initiative of Ashoka and the C&A Foundation is...

Apparel/Garments | On 28th May 2017

Naked Brand, Bendon sign agreement to reorganise

Naked Brand Group, a fashion and lifestyle brand, and Bendon Limited, ...

Interviews View All

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search