Jeans Market - Growth, Trends, COVID-19 Impact, and Forecast (2022 - 2027)
The global jeans market is expected to register a CAGR of 6.7% during the forecast period (2020-2025).
With the onset of COVID-19, much of the production, exports, and retailing of fashion-oriented apparel went to a halt after the strict lockdown measures worldwide, bringing a downfall in the jeans market. China is considered one of the largest jeans manufacturers globally, with the capability of producing raw materials and associated accessories. However, severe lockdown in the country and restriction toward trade led to the limited movement of products. Lately, the ease of lockdown worked positively for the apparel industry, and brands have benefitted the most from online channels.
Over the coming years, the major factors propelling the growth of the market include the globalization of fashion trends, changing consumer lifestyle, and the growing preference for high-end and premium design labels among the middle-class population.
With the growing customization trend, players started designing customized jeans to increase their customer base, increasing sales. Due to consumers' shifting lifestyles, like paying extra attention to the latest trend, the key players are expected to achieve a competitive advantage through customization.
The strategic collaborations among players in the denim jeans industry are the key factors contributing to the growth of the market studied. For instance, denim mills collaborate with jeans brands to achieve strategic objectives that are mutually beneficial.
Key players operating in the market studied use traditional and social media platforms for advertising. These players create campaigns and exhibition shows to promote their brands and offerings, reaching out to their target audience through TV commercials and social media platforms. Growing internet users in developing economies have changed the advertisement spending strategy of key players. For instance, players use separate pages for different countries on Facebook to cater to varying requirements of the customers. They also make their catalogs available digitally for desktop and mobile users. Apart from Facebook, the companies also try to make a strong presence on social media platforms, like Instagram, YouTube, and Twitter. Furthermore, as part of marketing initiatives, companies sponsor sporting, musical, and special events and hire athletes and personalities that promote their products.
The jeans industry witnessed significant growth in China and India, as shoppers focus on quality and style while purchasing apparel. India has a huge young population that makes up about 65% below 35 years of age, which stimulates the jeans market due to the exposure to the latest jeans collection by design and quality. In India, denim wear has seen a sharp resurgence, primarily driven by new and more comfortable fabrics, low pricing, and inclusive sizes offered by local and international brands. Denim brands are driving innovation on washes, colors, fits, and even vintage designs and styles. The key players are embarking on mergers and acquisitions as one of their key strategies to achieve consolidation and optimize their offerings in Asian countries.
The jeans market is highly competitive, with a strong presence of local and global players operating globally. Thus, the active players bring innovation in their product offerings to cater to changing consumers' fashion and sustain their position in the market. Key players are now focusing on social media platforms and online distribution channels for online marketing and branding of their products to attract more customers. Some of the major players in the market are Levis Co, Gap Inc., and Kontoor Brands.