by Merchandise designing plays a vital role in branding and marketing of products for retail brands. It involves conceptualizing and planning product ranges along with selecting seasonally appropriate fabrics, prints, colors, and designs. The designing team works closely with suppliers and production units to translate creative ideas into retail-ready collections. Some key activities included in merchandise design are fabric selection, garment construction, quality control, costing and pricing. The global market for merchandise designing is primarily dominated by apparel and accessories manufacturers catering to clothing, footwear and fashion accessories. Major players design variegies of apparel from basic tees, shirts and denims to stylish tops, dresses, swimwears and activewears. They also offer season-specific lines for festivals, occasions like weddings and premium brands for formal and party wear.
The global Merchandise Designing Market is estimated to be valued at US$ 92.99 Bn in 2023 and is expected to exhibit a CAGR of 5.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Growing demand for trendy and fashionable apparels from millennial population globally is a key driver for merchandise designing market. Young consumers are highly influenced by fashion and style statements showcased through social media platforms and want to flaunt different designs within their budget. This has prompted major retail brands to invest substantially on creative design teams that can develop aesthetically pleasing collections reflecting the latest fashion trends every season. Surging popularity of fast fashion has further intensified competition, pushing companies to innovate continuously and refresh merchandise assortments more frequently. Another important driver is rising spending on branded casual and athleisure clothing for gym, travel or daily casual wear among urban population worldwide.
Segment Analysis
The merchandise designing market can be segmented into apparel designing, footwear designing and accessories designing. The apparel designing segment is currently dominating the market accounting for around 55% share owing to high demand for customized and seasonal clothing items. Consumers are increasingly looking for niche and trendy clothing lines and apparel designers are promptly catering to these evolving demands with quick turnaround designs and concepts.
PEST Analysis
Political: Stable political environment in major markets like North America and Western Europe has ensured policy support for the growth of small designers and entrepreneurs. However, COVID led disruptions and restrictions impacted production and demand cycles over the short term.
Economic: Inflationary pressures and high manufacturing costs post pandemic are increasing pressure on margins of mid-sized businesses. However, strong pent up demand and discretionary spending is driving overall market growth.
Social: Rising health consciousness has boosted demand for comfortable and athletic wear. Younger population are actively following influencers and adopting latest styles thereby shortening product life cycles.
Technological: Advancements in 3D design tools and digital sampling is helping designers experiment with multiple designs in short spans leading to efficient production management. Online fashion marketplaces have also enabled greater international reach for niche brands.
Key Takeaways
The Global Merchandise Designing Market Demand is expected to witness high growth over the forecast period driven by strong demand from both developed and developing countries. The global Merchandise Designing Market is estimated to be valued at US$ 92.99 Bn in 2023 and is expected to exhibit a CAGR of 5.5% over the forecast period 2023 to 2030.
Regional analysis
Asia Pacific region accounts for around 35% of the global merchandise designing market revenue led by countries such as China, India and Vietnam. Abundant manufacturing capabilities and availability of cheap labor have ensured dominance of Asian countries in apparel production. Rapid growth of domestic fashion markets along with growing exports to Western nations will continue to drive high demand from the region over the forecast period.
Key players
Key players operating in the merchandise designing market are Nike, Adidas, Puma, Under Armour, New Balance, ASICS, VF Corporation. These major players function in a fragmented competitive environment and are focusing on geographic and product portfolio expansion to leverage potential growth opportunities.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
