Press release
Comprehensive 2025 Fashion Retailing Market Overview: Trends, Forecasts, and Growth Drivers
Fashion Retailing Market
What Is the Expected CAGR for the Fashion Retailing Market Through 2025?
The size of the fashion retail market has seen substantial growth over the recent years. The market, currently valued at $92.58 billion in 2024, is expected to increase to $99.31 billion in 2025, witnessing a compound annual growth rate (CAGR) of 7.3%. Factors such as the rise in disposable income, the affordability, and availability of fast fashion items, a shift towards online shopping and eCommerce platforms, an upsurge in the creation and procurement of business clothing, coupled with key fashion houses transitioning to online retail, are influencing the market's growth during the historic period.
What's the Projected Size of the Global Fashion Retailing Market by 2029?
The size of the fashion retail market is anticipated to undergo a significant surge in the coming years, soaring up to $132.25 billion by 2029 with an annual compound growth rate (CAGR) pegged at 7.4%. The projected growth during the forecasted phase is attributed to the escalated demand for fashionable goods, expansion of online sales, heightened focus on product novelty, increased preference for sustainable fashion items, and the growing acceptance for digital payment methods. The prediction period also denotes major trends such as technological advancements, the rise of both global and local online fashion vendors, the enhancement of the retail experience, the introduction of AR and VR tech for fashion shopping, and the emergence of environmentally-conscious and ethical clothing.
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Top Growth Drivers in the Fashion Retailing Industry: What's Accelerating the Market?
The burgeoning working demographic is anticipated to fuel the expansion of the fashion retail market. This surge in the working population can be attributed to factors such as changes in demographics, urban development, economic growth, augmented education, the swell in female participation in the workplace, and migration. Fashion retail plays a crucial role for the working demographic by offering easy access to attire that is both professional and stylish, enhancing self-assuredness and fitting in seamlessly in business settings. For example, the Office for National Statistics in the UK, a government bureau, approximated that the total count of Workforce Jobs (WFJ) in the UK saw an upsurge of 431,000 in March 2024 as compared to the previous year, tallying up to 37.2 million. Consequently, the rising number of working individuals is propelling the development of the fashion retail market.
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What Trends Will Shape the Fashion Retailing Market Through 2029 and Beyond?
Major fashion retail corporations are exploiting artificial intelligence (AI) to maintain a competitive edge in the market. They use AI algorithms in retail fashion to tailor customer shopping experiences, improve stock control, and elevate customer service quality. For example, Zyler, a virtual fashion try-on enterprise based in the UK, rolled out an AI-enabled tool in May 2023 that makes shopping experiences more personalized. This clever tool uses sophisticated AI to assess customer preferences and physical dimensions, providing features such as personalized clothing suggestions and virtual try-ons, making the shopping experience more immersive and lifelike. This innovation not only increases customer gratification by providing fashion advice tailored to individual needs but also enables retailers to better manage their inventory by recognizing in-demand trends and sizes, subsequently reducing instances of overstocking and stock shortages.
What Are the Main Segments in the Fashion Retailing Market?
The fashion retailingmarket covered in this report is segmented -
1) By Product: Bag And Accessories, Clothing And Apparel, Footwear
2) By Price Range: Luxury, Mid Range, Budget
3) By Application: Department Stores, Variety Stores, Independents, Supermarkets, Discount Stores, Online, Other Applications
4) By End-User: Children, Men, Women
Subsegments:
1) By Bag and Accessories: Handbags, Backpacks, Wallets, Belts, Sunglasses, Jewelry, Watches, Scarves and Gloves, Hats and Caps
2) By Clothing and Apparel: Men's Apparel, Women's Apparel, Children's Apparel, Casual Wear, Formal Wear, Sportswear, Outerwear, Lingerie and Sleepwear, Activewear
3) By Footwear: Men's Footwear, Women's Footwear, Children's Footwear, Casual Footwear, Formal Footwear, Sports Footwear, Boots, Sandals and Flip-Flops
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Which Top Companies are Driving Growth in the Fashion Retailing Market?
Major companies operating in the fashion retailing market are Christian Dior SE, LVMH Moët Hennessy Louis Vuitton S.E., Nike Inc., Industria de Diseño Textil S.A., Adidas AG, H & M Hennes & Mauritz AB, Kering S.A., Uniqlo Co. Ltd., Chanel Inc., Gap Inc., John Lewis Partnership plc, Hermès International S.A., PVH Corp., The Swatch Group Ltd., Hanesbrands Inc., Ralph Lauren Corporation, Levi Strauss & Co., Prada S.p.A., ASOS plc, Burberry Group plc, Gildan Activewear Inc., Boohoo Group Plc, VF Corporation, Jockey International Inc., Golden Lady Company S.p.A.
Which Regions Will Dominate the Fashion Retailing Market Through 2029?
North America was the largest region in the fashion retailing market in 2024. The regions covered in the fashion retailing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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