In A Recent Report The rising demand for comfortable yet stylish apparel is driving the sports wearables market growth. During the lockdown, consumption has increased even more. Besides its usage while playing sports and exercising. These comfortable apparels can be worn in and off homes. Demand for joggers, hoodies, and sneakers has increased in large numbers and varieties by adults and kids. Thus, the market is expected to thrive remarkably during the forecast period
According to Fortune Business Insights™, the global sportswear market size is expected to gain momentum by reaching USD 267.61 billion by 2028 from USD 170.94 billion in 2021 while exhibiting a CAGR of 6.6% between 2021 to 2028. The report further explains that the market stood at USD 160.61 billion in 2020.
Rising Female Participation in Sports Aid Market Growth
Women’s sport is ripe for great monetization for active wears companies. As females’ involvement in sports such as basketball, football, athletics has increased over the years. Thus this is expected to drive sportswear market growth in upcoming years. For instance, the data issued by the Olympics.
Org, in 2018 stated that female participation in the Winter Olympic Games in Pyeongchang, South Korea was 41 percent, which was higher than the previous winter Olympics. Additionally, the rising number of tournaments for female sports, such as ICC Women’s World Cup, FIFA Women’s World Cup, Women’s FIH Hockey World Cup, is expected to escalate the consumption of active wear. There by fuelling the market growth.
North America to Remain at Forefront Backed by Booming Recreational Industry
North America is expected to hold the highest global sportswear market share during the forecast period. This is ascribable to the thriving recreational Fitness industry in the region. A report by the Bureau of Economic Analysis data mentioned that the U.S. recreational sector revenue accounts for 2.2% of its GDP. Additionally, the number of students inclined towards sport is rising.
The data from the National Federation State of High School Association stated that in 2018-2019 around 7,937,491 students were involved in the high school sports program. Thus the rising number of people participating in recreational and sports activities will promote the regional market. North America stood at USD 72.82 billion in 2020.
Asia Pacific is expected to experience significant growth during the forecast period owing to rising investments by the government to promote sports activity in the region. For instance, a report published by Economic Times in February 2020 reported that the Indian government allotted USD 401.6 million in its sports budget. This budget was USD 7.103 more than it’s previous year sports budget for the nation.
By the product type, the market for sportswear is divided into footwear, apparel, and wearable.
Based on product type, the footwear segment held a market share of 33.27% in 2020. This is attributable to increased sports activities worldwide and growing awareness about various fitness programs
On the basis of end-users, the market is segmented into men, women, and children. By distribution, the market is divided into eCommerce, store, and retail stores. Finally, based on region, the market for sportswear is categorized into North America, Europe, Asia-Pacific, and South America.
Key Players to Focus on Acquisitions to Strengthen Their Positions
The market for sportswear is consolidated by major companies striving to maintain their positions by focusing on facility expansion and acquisitions. For instance, in August 2019, Nike acquired a Boston-based Company named Celect, which is an AI-based predictive analytics firm. This acquisition will help Nike bring higher levels of personalization to its products through informed decisions and personalized requirements of its consumers to generate more sales and stay relevant in the sports and activewear industry. Moreover, other key players are adopting proactive strategies such as new partnerships, mergers, and collaborations to favor the market’s growth in the upcoming years.
Below are the two significant industry developments:
- March 2020: Adidas introduced its ‘Faster Than’ campaign and developed a new line of shoes that would help runners achieve their goals. The new SL20 design is lightweight and features a unique Light strike midsole.
- February 2019: Xiaomi unveiled its latest Mi Men’s Sports Shoes 2 in India. They are available online for Rs 2,999 in blue, dark grey, and black colors. These are best suited for jogging, walking, and running.