Key Insights
Essential data points from our research
The global apparel market revenue was estimated to amount to 1.74 trillion U.S. dollars in 2023
The global fashion market is expected to grow at a CAGR of 7.7% from 2023 to 2027
The luxury fashion sector is projected to grow between 5% and 12% in 2024 despite economic headwinds
Online fashion sales accounted for approximately 25% of total retail sales in the US in 2023
The global fashion e-commerce market is projected to reach 1.2 trillion U.S. dollars by 2027
Mobile commerce is expected to account for 60% of all fashion e-commerce sales by 2025
The global secondhand apparel market is expected to grow 3x faster than the global apparel market overall by 2027
The resale market value is projected to reach 350 billion U.S. dollars by 2027
60% of fashion executives have already invested in or plan to invest in closed-loop recycling by 2024
Gen Z and Millennials combined account for nearly 45% of global luxury sales
67% of consumers now consider the use of sustainable materials as a key purchasing driver
The participation of men in fashion shopping has increased by 14% over the last decade
Investment in AI by fashion retailers is expected to reach 4.4 billion U.S. dollars by 2027
50% of large fashion players are planning to adopt blockchain for supply chain traceability by 2025
3D printing in fashion is projected to grow at a CAGR of 19.8% to 2028
Consumer Behavior & Demographics
- Gen Z and Millennials combined account for nearly 45% of global luxury sales
- 67% of consumers now consider the use of sustainable materials as a key purchasing driver
- The participation of men in fashion shopping has increased by 14% over the last decade
- Consumers buying 'genderless' or 'unisex' fashion items increased by 30% in 2023
- 35% of female consumers say they are willing to pay more for custom-made apparel
- 84% of fashion consumers trust peer reviews over brand advertising
- Asian consumers are expected to drive 70% of the growth in the global luxury market through 2025
- 62% of shoppers say they would stop buying from a brand that does not offer inclusive sizing
- 50% of consumers discover new fashion brands through influencers or celebrities
- The demand for 'modest fashion' is driven by younger demographics and is set to match a 400 billion dollar spend by 2024
- Impulse buying accounts for nearly 20% of fashion purchases among consumers aged 18-24
- 71% of consumers expect personalized interactions from fashion brands
- The 'Silver Economy' (60+ age group) fashion spending is expected to grow by 1.5x by 2030
- Brand loyalty in fashion has dropped, with 36% of consumers trying a new brand in the last 6 months
- 58% of consumers are willing to pay a premium for locally made fashion products
- 25% of luxury purchases are now made by consumers who did not buy luxury 12 months ago (entry-level consumers)
- Korean fashion trends (K-Fashion) have influenced a 25% purchase increase in surrounding Asian markets
- 48% of consumers prioritize 'comfort' over 'style' post-pandemic
- Consumers engaging with loyalty programs spend 60% more per transaction than non-members
- 90% of Gen Z consumers believe companies should take a stand on social and environmental issues
Interpretation
Fashion is no longer just about trends but about values and fit: younger consumers and Asian markets now drive nearly half of luxury sales and most growth, while sustainability, inclusivity, genderless and modest offerings, personalization and peer influence dictate purchases, fueling first time luxury buyers, a willingness to pay more for custom and local products, rising male and silver-age spending and Gen Z impulse buys, even as brand loyalty declines unless companies earn trust through purpose and experience, so brands must dress for values not just the season.
E-commerce & Digital Fashion
- Online fashion sales accounted for approximately 25% of total retail sales in the US in 2023
- The global fashion e-commerce market is projected to reach 1.2 trillion U.S. dollars by 2027
- Mobile commerce is expected to account for 60% of all fashion e-commerce sales by 2025
- The Metaverse fashion market is projected to reach 6.6 billion U.S. dollars by 2026
- 72% of fashion brands have invested in social commerce strategies for Instagram and TikTok
- Digital fashion assets (NFTs and skins) generated over 200 million dollars in sales for luxury brands in 2022
- Returns in online fashion retail cost the industry approximately 38 billion dollars annually
- Live-stream shopping for fashion is expected to account for 20% of all e-commerce sales by 2026
- Cross-border e-commerce in fashion is growing at 2x the rate of domestic e-commerce
- Subscription box services for apparel are expected to grow to a 2.5 billion U.S. dollar market by 2026
- 55% of online fashion shoppers have used a 'Buy Now, Pay Later' service
- The virtual fitting room market is estimated to reach 15.43 billion U.S. dollars by 2028
- Online direct-to-consumer (DTC) fashion brands grew 15% faster than wholesale dependents in 2023
- 80% of luxury sales today utilize digital touchpoints during the customer journey
- The global smart clothing (wearable tech) market is projected to reach 5.3 billion U.S. dollars by 2024
- In-game fashion skins spending reached over 40 billion U.S. dollars across all gaming platforms globally
- 43% of consumers browse for fashion items on social networks before searching on search engines
- Brands using augmented reality (AR) for try-ons see a 40% decrease in return rates
- Amazon is now the largest apparel retailer in the US contributing over 15% of total apparel sales online and offline
- Personalized email marketing in fashion generates 3x higher revenue per recipient than non-personalized
Interpretation
Fashion has quietly turned into a tech-first industry where online sales already make up about a quarter of U.S. retail and are driving a global e-commerce boom toward 1.2 trillion dollars by 2027, mobile commerce and social platforms are becoming the new storefronts with roughly 60 percent of purchases expected on phones and 72 percent of brands investing in Instagram and TikTok strategies, immersive and digital goods from AR try-ons that cut returns by 40 percent to metaverse apparel and NFTs are spawning billion-dollar markets while virtual fitting rooms and smart clothing scale, live-stream shopping, cross-border commerce and subscriptions are monetizing engagement, BNPL and personalization are accelerating conversions, and incumbents from Amazon to luxury houses must adapt or risk losing ground as customers demand seamless digital touchpoints and the industry wrestles with roughly 38 billion dollars in annual returns.
Global Market Size & Revenue
- The global apparel market revenue was estimated to amount to 1.74 trillion U.S. dollars in 2023
- The global fashion market is expected to grow at a CAGR of 7.7% from 2023 to 2027
- The luxury fashion sector is projected to grow between 5% and 12% in 2024 despite economic headwinds
- The women's apparel segment accounts for the largest share of the global fashion market revenue, approximately 50%
- The menswear market is projected to reach 741.2 billion U.S. dollars by 2027
- The children's wear market is expected to register a CAGR of 2.9% from 2023 to 2028
- Revenue in the distinct 'Fast Fashion' market is projected to reach 185 billion U.S. dollars by 2027
- The global footwear market size was valued at 387 billion U.S. dollars in 2022
- By 2025, the luxury goods market in China is expected to account for 25% of the global total
- The sportswear market is expected to reach a value of 455 billion U.S. dollars by 2028
- India’s apparel market is projected to grow at a CAGR of 10% creating a 100 billion dollar market by 2025
- The global lingerie market size is anticipated to reach 78.66 billion U.S. dollars by 2027
- The global accessories market is expected to grow annually by 4.25% (CAGR 2023-2028)
- US fashion retail sales are forecasted to exceed 500 billion dollars by 2025
- The bridal wear market is projected to reach 79 billion U.S. dollars by 2027
- The global swimwear market is projected to reach 34.2 billion U.S. dollars by 2031
- High-net-worth individuals are driving the 4% annual growth in the bespoke clothing market
- The global workwear market is anticipated to reach 42.6 billion U.S. dollars by 2026
- Africa's fashion market is estimated to reach 6 billion U.S. dollars in valuation by 2024
- The global plus-size clothing market is valued at over 24 billion U.S. dollars as of 2023
Interpretation
The global fashion industry is a $1.74 trillion runway where women's apparel takes about half the spotlight, luxury and bespoke buyers keep the high end resilient, fast fashion, sportswear and footwear drive massive volume, and booming markets in China, India and Africa show that style has fully turned into serious economic muscle across categories from bridal to plus-size.
Sustainability & Second-hand
- The global secondhand apparel market is expected to grow 3x faster than the global apparel market overall by 2027
- The resale market value is projected to reach 350 billion U.S. dollars by 2027
- 60% of fashion executives have already invested in or plan to invest in closed-loop recycling by 2024
- The clothing rental market is forecasted to reach 2.08 billion U.S. dollars by 2025
- Sustainable footwear is growing at a CAGR of 6.2%, faster than the conventional footwear market
- 45% of Gen Z consumers claim to have bought second-hand clothing in the last 12 months
- The vegan leather market is expected to reach 89.6 billion U.S. dollars by 2025
- Only 1% of clothing globally is currently recycled into new clothing, highlighting growth potential for circular tech
- Searches for 'sustainable fashion' have increased by 71% over the last five years
- The organic cotton market is projected to reach 6.4 billion U.S. dollars by 2027
- Upcycled fashion products grew by 24% in retail listing volume in 2023
- 75% of consumers view sustainability as an important factor in their fashion purchasing decisions
- 88 billion dollars is the estimated value of deadstock fabric that could be utilized annually
- Legislation in the EU regarding Digital Product Passports is expected to impact 100% of textile imports by 2030
- Bio-based fiber production for fashion is anticipated to grow at a CAGR of 15% through 2028
- Resale of luxury goods grew 50% faster than primary luxury sales in 2023
- 40% of US consumers plan to buy less "fast fashion" in the coming years due to environmental concerns
- The market for waterless dyeing technologies is projected to surge to 3.5 billion dollars by 2027
- Repair services offered by fashion brands have seen a 14% increase in adoption year-over-year
- Carbon-neutral certification for fashion brands has increased by 120% since 2020
Interpretation
The fashion industry is staging a profitable comeback from its wasteful past, with resale, rental, vegan and bio-based materials and circular technologies sprinting ahead, yet with only 1% of clothing recycled and $88 billion of deadstock, brands that fail to pivot risk missing a massive market opportunity and inviting stricter regulation.
Technology & Supply Chain
- Investment in AI by fashion retailers is expected to reach 4.4 billion U.S. dollars by 2027
- 50% of large fashion players are planning to adopt blockchain for supply chain traceability by 2025
- 3D printing in fashion is projected to grow at a CAGR of 19.8% to 2028
- On-demand manufacturing models reduce inventory waste by up to 30%
- The digital textile printing market is expected to reach 7.9 billion U.S. dollars by 2030
- Product Lifecycle Management (PLM) software adoption in fashion grew by 12% in 2023
- RFID technology adoption in fashion retail reduces inventory stock-outs by 20% to 30%
- Automation in apparel manufacturing is predicted to cut production costs by 15% globally by 2026
- 35% of fashion supply chains will use AI for demand forecasting by 2025
- The market for robotic sewing machines is expected to reach 650 million U.S. dollars by 2028
- Virtual sampling in design reduces lead time by approximately 50%
- Nearshoring of textile production is on the rise with 71% of apparel executives planning to increase nearshoring
- Smart warehouse management systems in fashion are growing at a CAGR of 11%
- Nanotechnology in fabrics (stain resistance/antibacterial) is a market expected to hit 13 billion dollars by 2025
- Generative AI could add 150 to 275 billion dollars to the apparel, fashion, and luxury sectors' operating profits
- Laser cutting technology for denim finishing reduces water usage by 90% and is seeing 8% annual adoption growth
- Computer Aided Design (CAD) software market for apparel is forecasted to reach 1.4 billion dollars by 2026
- Digital ID technology for transparency is projected to be in 40% of all luxury items by 2026
- AI-driven visual tagging saves retailers up to 90% of manual data entry time
- Supply chain digitization investment increased by 31% year-on-year among top 50 fashion brands
Interpretation
Fashion is rapidly trading guesswork for gear and code, as billions in AI investment and generative gains, plus blockchain, digital IDs, RFID, PLM, 3D printing, robotic sewing, automation, digital textile and CAD growth, virtual sampling, laser finishing, nanotech, on-demand manufacturing and nearshoring, are converging to cut waste, water use, lead times and stock-outs while boosting profits and supply chain transparency.
References
Want to learn more about our methodology and data sources? Visit our About page to discover how we create these comprehensive statistic reports.