Industry operators have struggled to retain the bargain-seeking customers they gained during the recession
New York, NY (PRWEB) February 10, 2015
Since its emergence in the mid-2000s, the Online Fashion Sample Sales industry has experienced rapid growth. The industry boomed during the recession, when consumers sought for deals on high-end apparel products and accessories. However, since the economic recovery, sales have slumped. According to IBISWorld Industry Analyst Will McKitterick, “though industry revenue is expected to grow between 2010 and 2015, the flash-sale model the industry relies upon has begun to falter.” The expected jump in industry revenue in 2015 is well below the increase achieved in 2011.
While the industry is expected to continue expanding during the next five years, growth in the number of new sample-sales websites is expected to slow. “The industry has become saturated with competition; more companies are fighting for the consumer's flash-sale dollar,” says McKitterick. As a result, operators have begun to diversify product offerings, tapping into the male consumer and the travel market. Other companies have merged to attain greater market share.
The Online Fashion Sample Sales industry is poised for continued growth over the five years to 2020. With per capita disposable income returning to solid growth, shoppers will be more likely to make higher-volume, higher-value purchases. Still, competitive threats from a saturated industry and from other online retailers will keep growth subdued. IBISWorld projects industry revenue to increase in the five years to 2020. To remain competitive, industry operators will likely enhance services, dabbling in personalized product selections and exclusive designer collaborations.
For more information, visit IBISWorld’s Online Fashion Sample Sales in the US industry report page.
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IBISWorld industry Report Key Topics
The Online Fashion Sample Sales industry offers flash sales (extremely limited-time discounts) on designer apparel, accessories and shoes; high-end makeup and precious jewelry. These websites are often members-only since they offer deep discounts that are not typically found in other outlets.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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