Online children’s apparel: Key market research findings
· Increased spending on children’s clothing drives market growth
· Americas dominate the market geographically
· Key vendors – Amazon, Alibaba, JD.com, and Walmart
Technavio’s market research analysts predict the global online children’s apparel market to grow at a CAGR of almost 9% between 2016 and 2020. The market is driven primarily by the rise in the spending on children’s clothing. An increase in the penetration of a broad range of products and brands, supported by the growing presence of omnichannel retailing is triggering an upsurge in the consumer spending on children’s clothes worldwide. During 2015, the Americas occupied more than 37% of the overall market space to dominate the global online children’s apparel. Rise in demand for luxury, high-quality and new products, growing internet penetration and high competition among vendors are some of the factors that are likely to contribute to the growth of the online children’s apparel market in the Americas during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the online children’s apparel segments based on the distribution channel.
“Customization of children’s clothing is the latest trend in the market. Technological advances such as 3D printing, interactive product configurators, flexible sizing, and pricing algorithms are enabling brands to incorporate customization into their e-commerce models, offering consumers a variety of designs and fits at only slightly higher prices. Numerous vendors now offer customization options to attract sales and strengthen their foothold in the market. For instance, The Disney online store allows customers to personalize its range of children’s clothing by manually selecting the design, characters, and size of the logos printed on their apparel,” says Brijesh Kumar Choubey, Lead Analyst, Consumer & Retail, Technavio Research.
During 2015, the offline segment accounted for almost 90% of the market share to dominate the global online children apparel market. The offline mode consists of specialty stores and mixed retailers. The demand for the “touch and feel” element is the primary driver behind the growth of this segment. The projected increase in the presence of retailers in the e-commerce space is likely to slow the growth of the global offline children’s apparel market during the forecast period.
The key vendors in the market include Amazon, Alibaba, JD.com, and Walmart. This market is highly competitive due to the presence of several online players in the market. With several players opting for omnichannel retailing, the competition in the market is expected to intensify during the forecast period. Vendors are making their websites more user-friendly and are offering wide assortments of products. They are also improving payment options to bring more customers to this retail mode.
A more detailed analysis is available in the Technavio report, Global Online Children’s Apparel 2016-2020.
