Industry growth has coincided with the increasing ubiquity of internet access
New York, NY (PRWEB) July 15, 2014
The Online Designer Clothing Sales industry has grown furiously for more than a decade as consumers increasingly shift toward shopping online. Every year, more than 100 million Americans purchase goods from the online retail marketplace, one of the fastest-growing sectors in the United States. A recent survey by Nielsen indicates that clothing, accessories and shoes are the second-most popular category of items (after books) that consumers consider purchasing online. Furthermore, as traditional (i.e. brick-and-mortar) retailers have entered the online realm to recapture sales that exclusively online retailers have claimed, industry revenue has continued to expand. IBISWorld estimates that industry revenue increased at an annualized rate over the five years to 2014, including an astronomical revenue boost in 2014.
According to IBISWorld Industry Analyst Will McKitterick, “The growth of this relatively new industry has coincided with the increasing ubiquity of internet access, particularly broadband.” The easier and more affordable it is for consumers to connect to the internet, the more accessible online retailers become, making consumers more likely to purchase from these stores. According to internet market research firm ComScore, consumers who use broadband connections are more likely to make online purchases than those who use dial-up internet connections because broadband provides better speeds, bandwidth and connection stability. Various industry sources also attribute rapid industry growth to firms' emphasis on top-notch customer service. Successful customer satisfaction strategies have included free shipping for deliveries and returns, generous return policies and 24-hour customer service call centers.
The industry will continue expanding over the next five years, although an increasingly saturated market will result in relatively slower growth. “IBISWorld anticipates industry revenue will increase at an average annual rate over the five years to 2019,” says McKitterick. Many of the same factors that contributed to the industry's ascent in previous years will carry forward into the next five years, including the rising acceptance of online shopping. Furthermore, rising consumer confidence, and thus consumer spending, will aid the industry's long-term prospects.
For more information, visit IBISWorld’s Online Designer Clothing Sales in the US industry report page.
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IBISWorld industry Report Key Topics
This industry sells designer apparel, shoes and accessories online. Industry operators may offer a wide variety of brands or a single designer's collections. Designer clothing carries the logo or name of a recognized designer, but the actual designer does not always create the clothing. Often, designer apparel is created under a licensing agreement with a manufacturing company.
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 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.