By Kyle Davidson | Updated: March 15th, 2023As outdoor enthusiasts, we often take for granted the gear and apparel that allows us to enjoy our favorite activities. It's easy to forget that the outdoor industry is a multi-billion dollar market that has seen significant growth in recent years. One of the most important segments of this industry is outdoor apparel, which includes everything from hiking boots to ski jackets. In this article, we'll take a closer look at the current state of the outdoor apparel market and explore some of the key statistics that are driving its growth.
Before we dive into the numbers, it's worth taking a moment to consider why outdoor apparel has become such an important part of the outdoor industry. One major factor is the increasing popularity of outdoor activities. As more people discover the joys of hiking, camping, and skiing, they need appropriate clothing and gear to keep them comfortable and safe. Additionally, advances in technology and materials have allowed outdoor apparel to become more versatile, durable, and stylish than ever before.
With that in mind, let's explore some of the key statistics that are shaping the outdoor apparel market today.
Market Overview
The outdoor apparel market is a major segment of the overall outdoor industry, which includes everything from camping gear to kayaks. According to a report by the Outdoor Industry Association, the outdoor industry as a whole generates $887 billion in consumer spending and supports 7.6 million jobs in the United States alone. Within this industry, outdoor apparel is a significant contributor to both revenue and job growth.
In 2019, the global outdoor apparel market was valued at $18.9 billion and is expected to reach $25.3 billion by 2025, growing at a CAGR of 4.5% during the forecast period. The United States is the largest market for outdoor apparel, accounting for over 30% of the global market share. Europe is the second-largest market, followed by China, Japan, and Canada.
One reason for the growth of the outdoor apparel market is the increasing demand for sustainable and eco-friendly products. Consumers are becoming more aware of the impact that their purchases have on the environment and are seeking out products that are made from sustainable materials and produced in an environmentally friendly way. This trend is expected to continue in the coming years, with more companies focusing on sustainability as a key factor in their product development and marketing strategies.
Key Players and Trends
One of the biggest trends in the outdoor apparel market is the rise of direct-to-consumer (DTC) brands. These are companies that sell their products directly to consumers through their own websites or brick-and-mortar stores, rather than through traditional retail channels. DTC brands are able to offer high-quality products at lower prices by cutting out middlemen and reducing overhead costs. Some of the most successful DTC outdoor apparel brands include Patagonia, The North Face, and Columbia Sportswear.
Another important trend in the outdoor apparel market is the increasing popularity of athleisure and performance wear. These are clothing items that are designed to be both functional and fashionable, allowing consumers to wear them for a wide variety of activities both indoors and outdoors. This trend has been driven in part by the rise of fitness and wellness culture, as well as by advancements in fabric technology and design.
Finally, sustainability is becoming an increasingly important factor for consumers when choosing outdoor apparel. Many companies are investing in sustainable materials and production methods, such as using recycled materials, reducing water usage, and minimizing waste. Consumers are also looking for products that are made ethically and with fair labor practices. Some companies that are leading the way in sustainability include Patagonia, REI, and The North Face.
Challenges and Opportunities
While the outdoor apparel market is growing, there are also several challenges that companies in this industry are facing. One major challenge is the increasing competition from DTC brands. As these companies gain popularity, traditional retailers are struggling to keep up and are losing market share. In order to stay competitive, many retailers are investing in their own online sales channels and improving their in-store experiences.
Another challenge for the outdoor apparel industry is the impact of climate change. As temperatures rise and weather patterns become more unpredictable, consumers may be less likely to engage in outdoor activities, which could lead to a decrease in demand for outdoor apparel. Additionally, companies in the industry may face supply chain disruptions and material shortages due to the effects of climate change on production and transportation.
Despite these challenges, there are also many opportunities for growth in the outdoor apparel market. One opportunity is the increasing demand for sustainable and eco-friendly products, which we discussed earlier in this article. Another opportunity is the growing interest in outdoor activities among younger generations, who are seeking out experiences that allow them to disconnect from technology and connect with nature. By focusing on innovation, sustainability, and quality, companies in the outdoor apparel market can position themselves for success in the years to come.
Other outdoor industry statistics and trends:
- The outdoor industry is a $887 billion global market.
- The United States is the largest outdoor market in the world, with a $646 billion market.
- The outdoor industry employs over 6.1 million people in the United States.
- The outdoor industry is growing at a rate of 5% per year.
- The most popular outdoor activities in the United States are running, camping, biking, and hiking.
- The average American spends $1,200 per year on outdoor recreation.
- The outdoor industry is a major driver of economic growth in the United States.
The outdoor apparel market is a dynamic and growing segment of the overall outdoor industry. As more people discover the joys of outdoor activities and become aware of the impact of their purchases on the environment, the demand for high-quality, sustainable outdoor apparel will continue to rise. By staying abreast of key trends and challenges in the industry, companies can position themselves for success and contribute to the growth and development of this important market.