Activewear has become one of the most dynamic and fast-growing segments in the fashion industry. With the rise of athleisure and the growing emphasis on health and wellness, brands are keen to understand the market’s size to evaluate new opportunities.
Accurate market research provides the foundation for strategic decision-making, helping entrepreneurs and investors understand potential revenue, competition, and growth trends.
Here’s a comprehensive guide to researching the size of the market within activewear.
1. Define the Market Scope
Before diving into research, it’s essential to define what constitutes the “activewear market.”
Activewear encompasses a wide range of apparel and accessories designed for physical activities, from yoga pants, sports bras and skiwear to running shoes and backpacks. Consider whether your focus is:
- Global or Regional: Are you analysing the worldwide market or specific regions like North America, Europe, UK, or Asia-Pacific?
- Product Segments: Are you concentrating on specific products like leggings, sports bras, or waterproofs?
- Sports sector: Are you focussed on 1 or more sectors of the market like cycling, boxing or general fitness and fymwear?
- Demographics: Will you explore market size by age, gender, or other demographic factors?
- Sales Channels: Are you focusing on e-commerce, brick-and-mortar stores, or both?
- USP: Define your USP and see how many other brands are working in this sector.
Clearly defining these parameters helps narrow your research and ensures more precise data collection.
2. Leverage Industry Reports
Market research firms and industry organisations publish detailed reports on the activewear market. These reports often include market size, growth rates, key trends, and competitive analysis. Some reputable sources include:
- Statista: Offers data on revenue, market trends, and consumer behaviour.
- IBISWorld: Provides in-depth market analysis and forecasts.
- Grand View Research: Specialises in market research across industries, including activewear.
- Allied Market Research: Focuses on industry insights and projections.
Although many reports are paid, their summaries and press releases often provide valuable insights. Investing in a comprehensive report may be worthwhile if you need detailed data.
3. Use Government and Public Data
Governments and public organisations frequently publish reports on industries, including textiles and apparel. Agencies like the U.S. Census Bureau or the European Commission offer free access to economic data that can be used to estimate market size. For example:
- Retail Trade Data: Offers insights into the performance of apparel retailers.
- Consumer Expenditure Surveys: Helps understand how much consumers spend on activewear.
- Import and Export Statistics: Useful for gauging international market dynamics.
4. Analyse Online Marketplaces
E-commerce platforms like Amazon, eBay, and Shopify are treasure troves of information. By analysing sales trends and popular products, you can infer market demand and segment size. Consider the following methods:
- Best-Seller Lists: Check categories related to activewear to identify popular products.
- Customer Reviews: Gauge the frequency and quality of reviews to estimate product popularity.
- Third-Party Tools: Tools like Jungle Scout or Helium 10 analyse Amazon sales data and can provide estimates on market size.
5. Conduct Competitor Analysis
Studying key players in the activewear industry can offer valuable insights into market size. Major brands like Nike, Adidas, and Lululemon often disclose revenue and growth data in their annual reports. Smaller brands may not publish financials, but you can assess their market presence through:
- Website Traffic Analysis: Tools like SimilarWeb or SEMrush reveal traffic data for competitors’ websites.
- Social Media Metrics: Follower counts, engagement rates, and ad campaigns indicate market reach.
- Retail Partnerships: Explore partnerships with department stores or online platforms to estimate distribution reach.
6. Survey Consumers
Primary research through surveys is a direct way to gather data on consumer preferences, spending habits, and brand loyalty. Use tools like Google Forms, Typeform, or SurveyMonkey to design your survey. Key questions might include:
- How often do you purchase activewear?
- How much do you typically spend on activewear in a year?
- Which brands do you prefer and why?
- Where do you shop for activewear (online, in-store, specific retailers)?
Analysing responses can provide granular insights into consumer behaviour and market demand.
7. Evaluate Market Trends
Market trends offer clues about potential growth and emerging opportunities. Some current trends in the activewear market include:
- Sustainability: Consumers increasingly demand eco-friendly materials and ethical production.
- Athleisure: The blending of athletic and casual wear continues to drive demand.
- Inclusivity: Brands are expanding size ranges and catering to diverse demographics.
- Technology: Smart fabrics and wearable technology are becoming popular.
Tracking these trends through news articles, fashion blogs, and industry publications helps estimate the market’s future trajectory.
8. Calculate the Total Addressable Market (TAM)
To estimate the market size, calculate the Total Addressable Market (TAM) using the following steps:
- Step 1: Determine Target Population: Use census data or industry reports to estimate the number of potential customers within your defined scope.
- Step 2: Identify Average Spending: Analyse consumer expenditure data or survey results to determine average spending on activewear.
- Step 3: Multiply Population by Spending: Multiply the target population by average spending to calculate TAM.
For example, if 50 million people in your target market spend an average of $200 annually on activewear, the TAM is $10 billion.
9. Validate Findings with Expert Opinions
Industry experts and consultants can provide validation and additional context to your research. Attend trade shows, webinars, or networking events to connect with professionals who understand the activewear market. Online platforms like LinkedIn or industry forums are also excellent resources for seeking expert advice.
10. Monitor Social Media and Search Trends
Social media platforms and search engines reflect consumer interest and behaviour. Use tools like Google Trends and social media analytics to:
- Track popular keywords related to activewear.
- Identify trending hashtags and topics.
- Monitor brand mentions and influencer campaigns.
These insights can help measure consumer demand and brand visibility, indirectly indicating market size.
11. Combine and Cross-Verify Data Sources
Relying on multiple data sources ensures a more accurate and holistic understanding of the market. Cross-reference findings from secondary research, primary surveys, and online tools to validate your estimates. For example:
- Compare industry reports with competitor revenue data.
- Verify survey results with government statistics.
- Check e-commerce sales estimates against social media trends.
12. Use Analytical Tools
Leverage analytical tools and software to organize and interpret your data. Tools like Tableau, Microsoft Excel, or Power BI can help visualise trends and calculate projections. For advanced analysis, consider predictive modelling to forecast future market size based on historical data.
Final Thoughts
Researching the size of the activewear market requires a systematic approach, combining quantitative data with qualitative insights. By leveraging industry reports, analysing competitors, surveying consumers, and tracking trends, you can build a comprehensive understanding of market dynamics. With accurate market size estimates, businesses can confidently plan product launches, marketing strategies, and growth initiatives in this lucrative sector.
If you are looking to develop into a new sector within the activewear market, then please get in touch.
At Blue Associates Sportswear, we work with around 50 start-up brands around the globe that are all looking to break into a new sector of the sportswear industry.
