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The industry is set to grow strongly, benefiting from a rising per capita disposable income and a decline in the healthy eating index. For these reasons, industry research firm IBISWorld has updated a report on the Plus-Size Women's Clothing Stores industry in its growing industry report collection.
New York, NY (PRWEB) July 17, 2014
Changes in consumer spending power and healthy habits are the primary drivers for the Plus-Size Women's Clothing Stores industry. The recession had a powerful effect on most consumer-facing industries. With the unemployment rate climbing, per capita disposable incomes waned, causing shoppers to tighten their purse strings and reduce demand for discretionary products, such as apparel. Additionally, shoppers turned to lower-priced retail outlets, such as mass merchandisers and internet-only retailers, for their clothing needs. Still, the increasing obesity rate in the United States has supported industry revenue growth during the past five years. Consequently, IBISWorld expects industry revenue to grow at an annualized rate in the five years to 2014.
Industry profitability fell to a recessionary low in 2009 and 2010 and remained constrained immediately following the recession. According to IBISWorld Industry Analyst David Yang, The weak profit margin is partly the result of consumers' lower-priced clothing choices during the recession, in addition to the rising cost of inputs. Floods in key cotton-supplying countries caused the commodity's price to skyrocket in 2010 and 2011, which raised the price of clothing. While retailers passed on a portion of the increase to consumers, they had to absorb the rest of it, diminishing profit margins. Since then, profit margins have improved as cotton prices declined and volatility moderated.
The industry is forecast to perform more strongly over the five years to 2019, as factors like per capita disposable income continue to grow. Moreover, with a rising focus on plus-size fashion, product choices are likely to expand and benefit specialty retailers. Indeed, industry operators will likely benefit from greater designer collaboration and greater availability of premium products, says Yang. As a result, despite potential competition from alternative retailers, the Plus-Size Women's Clothing Stores industry is forecast to grow at an average annual rate in the five years to 2019. Profit is also anticipated to rise as more high-end labels begin to offer plus-size styles.
For more information, visit IBISWorlds Plus-Size Women's Clothing Stores in the US industry report page.
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IBISWorld industry Report Key Topics
Retailers in this industry specialize in plus-size womens clothing, which is clothing proportioned specifically for larger women. Typically, sizes 14 and up are considered to be in the plus-size category, but not all brands and retailers follow this convention.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nations most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.
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