Analysts expect November to be big for apparel sales

Rakuten Intelligence estimates consumers want to spend a lot of money on fall and winter clothing in a category that sales are expected to increase 30% in the fourth quarter over a year ago and well above the pre-pandemic period.

November is expected to be the strongest month for e-commerce and apparel sales this year, reports Rakuten. Kristen Gall, president of Rakuten Rewards, said beyond clothing, shopping categories will be difficult to predict in the latter part of the year, which includes the holiday shopping season. He said there was a lot of off-season supplies that moved during the summer including snow suits or gear for winter activities, due to off-cycle sales. For inventories that were not sold last year, the company will provide incentives to customers to buy the product this year.

Gall also said the 2020 holiday shopping pattern will persist. He hopes to see consumers relying on e-commerce and shipping to order and get gifts. Likewise, the 2020 shopping challenges will be around for a while, he said.

During COVID, we are seeing persistent inventory issues, delivery delays, increased shipping costs, and hiring shortages. Consumers need to shop early to ensure they get the products they want on time, and retailers need to use new tactics to encourage early shopping, Gall said.

A separate report from the NPD Group was also bullish for the US clothing retailer. The market group said the US apparel industry was on track to surpass pre-pandemic levels by 2021. The NPD also said apparel retailers posted $13.3 million more in sales in the first eight months of 2021 compared to the same period in 2019.

The NPD survey found 61% of consumers say they need a wardrobe makeover because their clothes are old and worn, they’re changing sizes, and they’re going out more in that order. According to this need, the most developed apparel categories are bags of mixed sleepwear, underwear, socks, underwear, and other basic necessities.

The NPD said nightwear sales increased during the pandemic, as consumers opted for comfortable clothing for relaxing and working from home, making it the fastest-growing clothing category so far this year. The survey found 70% of women reported wearing pajamas and sandals for activities other than sleeping.

With vaccination rates rising, more consumers are moving out of their homes, driving demand for new clothes in different sizes. Shapewear for women is one of the top-selling categories in 2021, according to the NPD. The marketing group also found sales of men’s underwear and tops rose 21% this year. Men buying t-shirts as a stand-alone item grew at a faster rate, up 47% compared to 13% who said they were worn in a more traditional sense, under the shirt. Socks sales have also increased this year, with both men’s and women’s sales increasing by 27% compared to 2019 results.

Consumers are going back to basics, because they are returning to life the way we once knew it, said Kristen Classi-Zummo, director of apparel market insights at NPD. From bras and shapewear to socks and pajamas, consumers are prioritizing customizable clothing that provides benefits for everyday events that suit the work from home lifestyle, while making us feel comfortable, confident and smooth when we’re out of the house again. Agile brands that innovate with the consumer’s updated wardrobe will lead the growth of the apparel industry as we move forward.