Online Baby and Infant Apparel Sales in the US Industry Market Research Report from IBISWorld Has Been Updated

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Increasing consumer purchasing power, continued adoption of the internet as a shopping platform and declining free time will drive the industry over the outlook period. For these reasons, industry research firm IBISWorld has updated a report on the Online Baby and Infant Apparel Sales industry in its growing industry report collection.

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Falling birth rates during the recession caused industry demand to fall.

Revenue for the Online Baby and Infant Apparel Sales industry has increased significantly over the past five years. As the US economy bounced back from the recession, per capita disposable income increased slightly; however, prospects of even stronger growth boosted consumer sentiment, which translated to higher consumer spending over the period. Rising levels of overall spending bolstered industry revenue, which is estimated to grow at an annualized rate of 10.7% to $822.3 million over the five years to 2014. Revenue is expected to grow 11.5% in 2014 alone, aided by strong growth in consumer income.

Even though the US economy has followed a largely positive trajectory, overall economic growth has been sluggish over the past five years. Consequently, consumers have actively sought better deals and bargains in order to save money. “This industry has benefited from the prevalence of deal seeking consumers, who have increasingly started using the online platform to seek out bargains,” according to IBISWorld Industry Analyst Zeeshan Haider. Additionally, the industry has taken various measures to reduce buyer's remorse, which is a major problem for the online apparel sales sector. Such initiatives include free deliveries, online-only discounts, free and guaranteed returns, and these measures have further increased the popularity of the Online Baby and Infant Apparel Sales industry.

This industry enjoys various competitive advantages over traditional brick-and-mortar infant apparel stores. “The industry enables consumers to save time and money by delivering products to their doorsteps and by offering discounts to share some of the cost advantages of operating online such as lower utilities, rent and labor costs,” says Haider. Thus, revenue for this industry has grown much faster rate than revenue for Children's and Infants' Clothing Stores industry (IBISWorld report 44813) over the past five years, and this industry has also enjoyed higher profit margins due to lower overheads and labor costs.

Over the next five years, industry revenue is expected to follow a similar trend with revenue growing at an annualized rate of 8.9% to $1.3 billion. Increasing consumer purchasing power, continued adoption of the internet as a shopping platform and declining free time will drive the industry over the outlook period. Moreover, participants that can integrate mobile websites or applications into their shopping platforms are likely to benefit by catering to a relatively underserved market.

For more information, visit IBISWorld’s Online Baby and Infant Apparel Sales in the US industry report page.

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IBISWorld industry Report Key Topics

Companies in this industry sell baby and infant apparel online. The industry includes online-only e-tailers as well as brick-and-mortar stores that also have an online presence.

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 Inc.
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