Dressing down: Costume and Team Uniform Manufacturing in the US Industry Market Research Report Now Available from IBISWorld

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The Costume and Team Uniform Manufacturing in the US industry has competed intensely with imports recently, spurred by pervasive production outsourcing. Import competition met with weak consumer sentiment and low disposable incomes in this down economy, causing revenue to plummet over the five years to 2012. Most of the imports were baby clothes. Domestic players have responded with handcrafted and intricate designs, and reached out to consumers of theatrical costumes. For these reasons, industry research firm IBISWorld has added a report on the Costume and Team Uniform Manufacturing industry to its growing industry report collection.

IBISWorld Market Research

IBISWorld Market Research

Import competition will continue to hurt revenue, so firms will focus on high-value items.

The Costume and Team Uniform Manufacturing industry tells a similar story as the rest of the apparel-manufacturing sector in the United States. Intense import competition, spurred by pervasive production outsourcing, has pushed industry revenue down for more than a decade. The five-year period to 2012 is expected to be no different. In fact, the economic recession has exacerbated the decline. During the five years to 2012, aggregate revenue will drop by 9.6% per year to $906.6 million, according to IBISWorld industry analyst Nikoleta Panteva. In addition to weak consumer sentiment and low disposable incomes, mounting foreign competition stifled growth.

Foreign-made infant apparel dominates import values. Of the $3.6 billion worth of industry imports, 80.0% of the dollars come from babies' clothes. “This product segment has increasingly been outsourced to countries with low labor costs, specifically China, which accounts for 53.4% of imports,” Panteva said. Over the five years to 2012, this category has declined as a share of domestic revenue (from 16.0% to 2.8%) while growing as a share of imports. However, domestic manufacturers in the Costume and Team Uniform Manufacturing industry have begun shifting their product mix to include more handcrafted and intricate designs. Theatrical costumes have increased their share of US production and industry exports.

IBISWorld forecasts revenue to continue its downward trend. However, the severity of the declines is expected to be less drastic in coming years. Most outsourcing has already taken place, limiting new import competition. Moreover, remaining industry participants will focus on producing and exporting high-value items, mitigating revenue drops.

The Costume & Team Uniform Manufacturing industry has a low level of market concentration, reflecting a largely fragmented market that has a mix of small and medium participants. Most participants in this industry employ fewer than 20 workers. The only major player in the industry is Berkshire Hathaway Inc., which manufactures athletic apparel and underwear. Carter’s Inc., a maker of baby clothes, is another well-known name in this industry. The highly competitive nature of this industry, due to increased outsourcing, high import competition and dropping prices, will continue to place pressure on participants to close operations or merge facilities to maintain profitability. Consolidation of establishments may help firms increase their buying power, use larger production runs and decrease administrative and management costs. For more information, visit IBISWorld’s Costume and Team Uniform Manufacturing in the US industry page.

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IBISWorld industry Report Key Topics

This industry manufactures cut and sew apparel from purchased fabric, and products include fur apparel, leather apparel, infants' apparel, costumes and clerical vestments. Activities include buying raw materials, designing and preparing samples, arranging for apparel to be made from their materials and marketing finished apparel. The term "infant apparel" includes apparel for young children aged 24 months or less.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s 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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Gavin Smith
IBISWorld
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