High Collar: Men's Clothing Stores in Canada Industry Market Research Report Now Available from IBISWorld

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Although the industry is forecast to improve over the coming years after a period of recession, especially as operators strive to increase operational efficiency and cater to niche markets, the industry will experience an increase in external competition as international clothing retailers muscle in on the Canadian retail market. For these reasons, industry research firm IBISWorld has added a report on the Men's Clothing Stores industry to its growing industry report collection.

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As the economy continues to recover, revenue for men’s clothing stores will expand

Over the five years to 2013, the Men's Clothing Stores industry grew at an annualized rate of 0.7% to $2.7 billion. The industry's anemic growth can be attributed to the devastating effects of the global economic crisis over 2009. According to IBISWorld industry analyst Kiera Outlaw, “High unemployment and falling disposable incomes prompted many consumers to scale back discretionary spending over 2009.” The national unemployment rate rose to 8.3%, while disposable incomes fell 0.4%. Consequently, men's clothing stores experienced declining demand and many operators resorted to promotional and discount activity to bear the burden.

The Men's Clothing Stores industry did an about-face the following year, though, with the unemployment rate falling, disposable incomes returning to growth and consumers gaining back the confidence lost during the previous year. Moreover, “male consumers generally have different purchasing characteristics than their female counterparts, with males displaying a lack of price sensitiveness when compared with women,” Outlaw says. “For instance, women are more willing to shop around for the best price, while men are not as keen to this practice.” As a result, revenue in the Women's Clothing Stores industry returned to more modest growth over 2010.

In the five years to 2018, the national unemployment rate is expected to fall, while disposable incomes grow marginally. While industry profit margins are expected to stay elevated over the period, an expected rise in competition will likely offset any dramatic rise in profitability. IBISWorld forecasts the industry will experience an increase in external competition over the next five years, as international clothing retailers muscle in on the Canadian retail market. IBISWorld expects a number of large international companies, such as US-based Nordstrom Inc., will edge in on the clothing retail industry in Canada. Over the next five years the number of establishments and enterprises are expected to rise as new players enter the market. This will further fragment the industry before merger and acquisition activity begins to become more prevalent over the long-term. In response to competition, Canadian operators will strive to increase operational efficiency and cater to niche markets. For more information, visit IBISWorld’s Men's Clothing Stores in Canada industry report page.

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IBISWorld industry Report Key Topics

This industry retails a general line of new men's and boys' suits, formal wear, shirts, T-shirts, casual slacks, jeans, sport coats, blazers, sports apparel, sweaters, overcoats, raincoats and accessories. Services may also include basic alterations, such as hemming, taking in or letting out seams, and lengthening or shortening sleeves.

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 and Canadian 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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