The Global Sports Apparel Market Anticipated to generate a Revenue of $267,576.3 Million, Growing at a CAGR of 4.8% from 2021 to 2028Download Sample Reports Overview
The global sports apparel market is estimated to be valued at $267,576.3 million by 2028, surging from $183,609.7 million in 2020 at a noteworthy CAGR of 4.8%
Impact Analysis of COVID-19 on the Sports Apparel Market
The global market for sports apparel is estimated to experience a negative impact amid the COVID-19 pandemic. The growth is declining amidst the pandemic times due to complete lockdown restrictions that has led to closure of gyms, fitness centers, hypermarkets, discount stores, and others. In addition, the cancellation or postponements of several international sports events such as 2020 Tokyo Olympics, Euro 2020, Copa America, and others has led to decline in demand for sports apparel and huge revenue loss. In addition, the import-export restrictions have led to stock piling of goods, shortage of raw materials. In addition, reduced spending on the purchase of non-essential goods due to financial uncertainties laid down by the pandemic has greatly affected the demand for sports apparel market. In addition, the people following home workout regime were reluctant to purchase the branded apparel and were focusing on use of normal active wear to perform home workouts. All these factors have negatively affected the demand and growth of sports apparel market during the pandemic.
Various initiatives have been taken by the manufacturers and government to support the sports apparel manufacturer during the pandemic. For instance, as stated on May 25, 2021, in Business Line, the popular news website, Yulu, the e-mobility platform has established a partnership with PUMA, the leading footwear and sports apparel manufacturer, to provide 100 free oxygen concentrators to COVID-19 patients at their doorstep. This is the part of company’s ‘Pranvayu’ initiative. In addition, as stated on June 24, 2020 in livemint.com, the popular new website, Decathlon, leading sporting goods retailer, has stopped the product trials to curb the spread of coronavirus. The company now provides the ‘phygital stores’ that combines the experience of physical retail stores and digital touch points with the use of virtual reality, self-checkout, and digital payment options. Such contactless shopping experience and various company initiatives are estimated to create lucrative investment opportunities for the sports apparel market during the forecast period.
Global Sports Apparel Market Analysis
The enormous growth of the global sports apparel market is mainly attributed to increase in health-conscious individuals. In addition, the working individuals are actively involved in various fitness regimes such as yoga, gym, swimming, running that helps them to stay healthy and lead an active lifestyle. Increase in disposable income has helped people to buy quality, branded, and trendy sports apparel. In addition, apart from the use of branded sports apparel as a fashion statement, also improved the overall performance. The highest quality sportswear is designed to support your muscles, and to train you harder. For instance, Kymira Sport, the infrared performance and recovery sportswear manufacturer have developed new smart sportswear namely men’s infrared core 3.0 short sleeve top, men’s infrared core ¾ length thermal leggings, and others that are made from infrared-emitting fabric that regulates the body temperature and helps in blood circulation during the exercise. In addition, it also sweat-proof workout experience. Hence, sports apparel has a major influence on how your body and muscles move during a workout. All these are predicted to create a positive impact on the sports apparel market growth during the forecast period.
The presence of fake and low-priced products known as counterfeit products that imitate the design of the original brands are estimated to restrain the market growth during the forecast period. The branded products from renowned brand have high prices that are not affordable for some people. Hence, the local suppliers copy the same style and design of the original brands and sells that at lower prices.
The launch of new sports apparel with innovative design, sustainable materials, and increase participation of women in sports is estimated to generate huge opportunities in the global market. Various local and international brands are working to develop the sustainable products that are made from natural and recycled fabrics. For instance, Organic Basics, the manufacturer of basics & activewear, uses only sustainable materials that are made from natural, renewable, recycled, biodegradable, and low-impact textiles. For instance, Tencel tank tops includes a fiber that is sourced from wood pulp. Also, the yoga shorts manufactured by the company are made from recycled nylon. Furthermore, Tentree, the Canada-based brand popular for hoodies & graphic athletic tees, plants 10 trees for every purchase and company aspires to plant more than 1 billion trees by 2030 and more than 51 million trees have been planted already. The company offers athletic wear with beautifully designed graphics for unique yet practical activewear. All these factors are estimated to drive huge growth opportunities in the global sports apparel market during the forecast period.
Global Sports Apparel Market, Segmentation
The global sports apparel market is segmented based on end user, distribution channel, and regions.
The end user segment is further classified into children, men, and women. Among these, the men sub-segment has acquired a dominant market share of $90,914.3 million in 2020 and it is estimated to surpass $128,300.3 million by 2028. This is owing to an increase in participation of men in outdoor sports such as football, running, swimming, and others. In addition, launch of innovative products that are made from comfortable & lightweight fabric such as lycra, mesh, neoprene, sports fleece, and others to boost the workout performance is estimated to drive the growth of men sub-segment during the forecast period.
The distribution channel segment is further divided into e-commerce, supermarket/hypermarket, brand outlets, discount stores. The discount stores sub-segment accounted for the dominant market share of $59,574.9 million in 2020 and is estimated to register a revenue of $84,981.6 million during the analysis timeframe. The discount stores offer branded products from different brands such as Nike, Puma, Adidas at discounted price. The consumer prefers shopping at discounted stores as these stores purchase the goods directly from manufacturer as well as the stores are equipped with latest & fresh arrival products. Also, these stores offer huge discounts on branded products due to which they are largely preferred by the consumers. All these factors are anticipated to generate lucrative revenue throughout the forecast period for the distribution channel segment.
The sports apparel market for the Asia-Pacific region is projected to witness rapid growth. This region generated a revenue of $59,283.0 million in 2020 and is further projected to reach up to $96,724.4 million by 2028. This region is anticipated for the fastest growth owing to an increase in disposable income, rise in fitness conscious individuals due to inclination towards healthy and active lifestyle. The developing countries such as India, China has shown huge growth potential due to increase in purchasing power of consumers and rise in the income of middle-class group. The successful marketing activities, launch of limited-edition products, and touch of local taste are estimated to drive the market demand.
Key Players in the Global Sports Apparel Market
Some of the leading global sports apparel market players
- Adidas AG
- Columbia Sportswear Company
- New Balance
- Nike, Inc.
- Lululemon Athletica Inc.
- PUMA SE
- Ralph Lauren Corporation
- Under Armour, Inc.
Along with the company profiles of the key players in the market, the report includes the Porter’s five forces model that gives deep insights into the competitive environment of the market.
Porter’s Five Forces Analysis for the Global Sports apparel Market
- Bargaining Power of Suppliers: The suppliers in sports apparel are moderate in number. The manufacturer focuses on developing quality products with the use of innovative technologies to stay ahead in the competition. This gives less bargaining power to the suppliers.
Thus, the bargaining power of the suppliers is low.
- Bargaining Power of Buyers: Buyers in the sports apparel market has various options to choose from due to presence of international as well as local brands. In addition, various platforms such as e-commerce, discount stores, hypermarkets offer attractive discounts to the customers.
Hence, the bargaining power of buyers is high.
- Threat of New Entrants: Startups entering this market has less legal barriers and they are focusing on the launch of innovative, sustainable product at an affordable price and to increase their market presence via business expansion.
As a result, the threat of the new entrants is moderate.
- Threat of Substitutes: The availability of counterfeit products that imitate the design of leading brands such as Nike, Puma, Adidas, and others increases the threat from substitution.
Therefore, the threat of substitutes is moderate.
- Competitive Rivalry in the Market: The ventures operating in the global sports apparel market are focusing on strategies such as product launch, partnerships, and geographical expansion to meet the increasing demand for sports apparel from various countries.
Therefore, competitive rivalry in the market is high.