The world`s sports apparel industry is expected to grow and eventually exceed $ 126 billion by the year 2015. This is mainly due to a noticeable trend towards a healthier and more active life-style. Older demographic segments, as well as women representatives mainly accommodate the change.
The global sports clothing industry is heavily fragmented with many different companies competing in it. Such brands range from basic discount brands to largely distinct high-end fashion names. Even the bigger already well-established brands have to change and adapt in order to keep up with the fluctuating needs of both wholesale and retail customers. This is extremely difficult, as consumers’ demands are becoming more and more versatile in terms of comfortable and functional apparel. This means that companies have to produce new styles of sport equipment to match those specific requirements. And pursuing such a strategy will ultimately preserve companies` market share in the industry.
The sports apparel industry is comprised of various enterprises which are responsible for the manufacturing and retailing of sport apparel, accessories and equipment such as running and training apparel, golf wear, baseball apparel and merchandise, soccer and basketball uniforms etc. The industry is so diverse in terms of market players, that the top 5 companies hold approximately 22% of the whole market. More and more companies partner up with fashion designers in order to come up with new appealing clothing styles and widen their product lines. This is surely a good thing, as consumption is bound to increase due to the recent trend of substituting formal and uncomfortable clothes in the office with more casual and sporty ones.
Sport Apparel Industry Today (Problems, Challenges, etc.)
In the years to come the sports apparel industry is going to face problems such as constantly changing fashion trends, changing end-user persona and tough competition by prospering companies.
Product innovation and perfection are going to play a key role in the industry, as brands will employ more technological resources in order to keep up with the fluctuating trends. Companies will surely invest more in research and development to offer their customers higher performance products.
Furthermore, the line between sports and fashion apparel is going to get more blurred. This encourages future collaboration between sporting and fashion industries and new prospective market opportunities, as well as new setbacks to overcome.
Secondly, the end-user persona is gradually changing. More women and elderly people are getting into the market. Their demands have to bet met by the companies, and that means managing wider product lines, implementing innovation strategies and coming up with cost reduction ones.
To supplement, brands are going to face even fiercer competitors. The business activity in the sector will get more fragmented, as more companies get into the industry. They follow the trend of...