Footwear Market by Product, End-user, Distribution channel, and Geography - Forecast and Analysis 2023-2027

Footwear Market Forecast 2023-2027

The footwear market is estimated to grow by USD 133.09 billion at a CAGR of 5.69% between 2022 and 2027. The market is experiencing robust growth, driven by various factors shaping consumer preferences worldwide. Innovations in design and materials are fueling product premiumization, attracting discerning consumers seeking both style and quality. Furthermore, the market is witnessing a surge in demand for exclusive designer collections, catering to fashion-conscious individuals looking for unique and trendy footwear options. Additionally, celebrity endorsements wield significant influence, further propelling the market's growth as consumers aspire to emulate their favorite stars' style and fashion choices. It also includes an in-depth market analysis and report of drivers, trends, and challenges. Furthermore, the market research report includes historic market data from 2017 to 2021.

 What will the Size of the Footwear Market be During the Forecast Period?

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The market is witnessing a transformative shift towards sustainability and environmental consciousness, driven by consumer demand and regulatory pressures. Torsional stability and traction remain key considerations in athletic shoes, ensuring performance and safety during outdoor activities and sports like gymming. Brands like the V-10 sneaker series are pioneering sustainable options, addressing concerns about water usage, non-biodegradable materials, and their impact on land resources. This evolution reflects the industry's commitment to environmental protection while meeting the fashion footwear needs of the growing population.

Market Dynamics and Customer Landscape

The market is experiencing a significant shift towards comfort and sustainability. Consumers seek athletic footwear offering cushioning, protection, and traction for outdoor activities like gymming and sports. Brands are responding with eco-friendly sneakers, sustainable designs, and V-10 sneaker series prioritizing comfort and performance. There's a growing concern about plastics usage, water consumption, and non-biodegradable materials, prompting the industry to embrace eco-friendly practices. With a focus on torsional stability and design, footwear designers are innovating while considering environmental protection. Despite challenges like labor costs and material supply, the market continues to thrive, driven by evolving consumer preferences and a commitment to sustainability. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

Design and material innovations leading to product premiumization are the key factors driving the global market growth. Market vendors are constantly innovating and introducing new patterns and designs due to market competition and evolving customer demand because of continuous changes in the fashion industry. Customers seek these items especially leather footwear, for formal wear and casual footwear, such as sports or canvas shoes. Therefore, the vendors regularly expand their brand and product lines.

The demand for premium leather footwear, which is designed and decorated with hard metals such as gold and silver and studded with precious stones such as diamonds, is high. Therefore, vendors are introducing that is designed and decorated with gold and silver. Most items that are made of metal and precious stones are usually customized according to the customer's requirements. Hence, the use of metal and precious stones and items personalization leads to product premiumization. Thus, with increasing demand for personalized products, the sports market will witness high growth during the forecast period.

Significant Market Trends

The increasing demand for customized options will fuel the global market growth. The customization of these goods is an emerging trend among target customers. Customization is available for various types of footwear. The customization of premium includes the use of hard metals, such as gold and silver, and precious stones, such as diamonds. In the last five years, the popularity of customized items has increased in developed regions such as North America and Europe. Emerging economies, such as China and India, are also experiencing a growing demand for customized premium goods.

In the premium footwear segment, the leading vendors offer customized products that have an aesthetic appeal. The extent of personalization can vary in terms of the design, logo, color, and buckles to embroidery or adding names. For instance, Nike, one of the key vendors, offers customized shoes under its 'Nike By You' segment. This allows customers to customize their shoes in terms of the color of the shoe, the design of the shoe sole, and the printing of custom text. The introduction of customization globally complements market growth analysis through new purchases. Thus, the customization is expected to increase the revenues of manufacturers during the market forecast period.

Major Market Challenge

The rising labor costs and fluctuating raw material prices are major challenges to global market growth. Several international vendors, such as Prada, Tapestry, and D&G, have their production facilities or original equipment manufacturer (OEMs) partners in Asian countries, such as China, India, Indonesia, Bangladesh, and Vietnam. This is due to the availability of low-cost manufacturing and the low cost of operations in these countries. However, in the last decade, the cost of labor in these countries has also risen rapidly, which has increased the cost of production. Evolving and dynamic economic conditions have also adversely affected the cost of labor in countries from which the vendors import their supplies.

Fluctuations in raw material costs are another challenge for vendors. The process of manufacturing includes the procurement and use of several raw materials according to the type. The cost of these materials is also dependent on transportation costs. Transportation costs include the supply of raw materials to factories, the supply of intermediary goods to production sites, the transportation of end items to warehouses, and the delivery of finished goods to end users. Such fluctuations in the prices of raw materials and increasing labor costs may restrain the growth of the sports market during the forecast period.

Customer Landscape

The report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Global Market Customer Landscape

Who are the Major Market Companies?                                     

Companies are implementing various market research and growth strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Dolce and Gabbana Srl - The company offers products such as marabou sandals. Also, the company offers footwear, clothing, accessories, beauty products for men, women, and children, and food and beverages.

The report also includes detailed analyses of the competitive landscape of the market and information about 15 market players, including:

• Adidas AG
• ASICS Corp.
• Brooks Sports Inc.
• Burberry Group Plc
• ECCO USA Inc.
• FILA Holdings Corp.
• GEOX Spa
• Hermes International SA
• Kering SA
• Li Ning Co. Ltd.
• LVMH Moet Hennessy Louis Vuitton SE
• New Balance Athletics Inc
• Nike Inc.
• PUMA SE
• Skechers USA Inc.

Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.

Market Segmentation

The market offers a diverse array of products catering to various needs and preferences, including athletic footwear, fashion footwear, and sustainable options. Athletic footwear, including athletic shoes designed for sports and fitness activities, remains a prominent segment within the market. These shoes prioritize performance and durability, featuring advanced cushioning technologies to enhance comfort and support during physical exertion. In addition to athletic footwear, fashion footwear plays a significant role in the market, with designers continually innovating to create stylish and trendy options that appeal to consumers' aesthetic preferences. From boots to sandals, fashion-forward designs cater to diverse tastes and occasions. A growing trend within the market is the demand for eco-friendly and sustainable options. Eco-friendly sneakers, made from recycled materials and featuring sustainable manufacturing processes, address concerns about environmental impact and plastics usage. Sustainable brands prioritize reducing water usage and minimizing their ecological footprint while delivering stylish and comfortable products. Comfortable footwear remains a key consideration for consumers, with cushioning and ergonomic designs prioritized for everyday wear. Whether it's for work, leisure, or outdoor activities, comfortable footwear options aim to provide all-day support and alleviate discomfort associated with prolonged wear. Overall, the Global market offers a wide range of choices, from athletic shoes and fashion footwear to sustainable and comfortable options, catering to diverse consumer preferences and market demands.

By Product

The market share growth by the non-athletic footwear segment will be significant during the forecast period. The non-athletic footwear segment is the largest product segment in the global market. This segment includes the casual, fashion, and formal/work categories. The key factors driving the demand for non-athletic products include the growing consumer fashion consciousness and the rising adoption of trendy shoes in the men and children segments. In addition, the demand for private-label product brands is increasing due to the availability of top-quality products at low prices. Furthermore, non-athletic products witnesses high demand as many customers prefer to buy multiple pairs of non-athletic products to be worn on different occasions and for various purposes. Although this trend is observed among all age groups, it is comparatively high among Generation Z and Millennials. The availability of comfortable and trendy non-athletic products is expected to augment the growth of this segment during the forecast period. 

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The non-athletic footwear segment showed a gradual increase in market share from USD 246.12 billion in 2017 and continued to grow by 2021. The demand for premium non-athletic products is also growing at a rapid pace across the globe. The growth in the demand for premium non-athletic products is mainly attributed to the rising disposable income of the population across the globe. High disposable incomes of consumers are raising their spending power, empowering them to spend more on premium fashion products. Such factors will increase segment growth during the forecast period.

Which are the Key Regions for the Market?

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APAC is projected to contribute 36% by 2027. Technavio’s analysts have elaborately explained the regional market trends and drivers that shape the market during the forecast period.

The market in APAC is expected to grow at the fastest rate during the forecast period, mainly due to the rising disposable incomes of people, the increasing preference for premium products, and the growing health consciousness among people (leading to the high demand for athletes footwear, especially training shoes).

The main revenue contributors to the market in APAC are China, India, and Japan. China is the most prominent market in the region due to the increased spending by Chinese consumers on fashion products. China and India are two of the most populous countries in the world and represented 36.32% of the global population in 2016. Also, most products, especially daily-use and lifestyle shoes, are easily affordable by the mass population in these countries. Furthermore, China and India are two of the fastest-growing economies in the world, which means that the disposable incomes of people are increasing in these countries. Owing to these factors, the market in APAC is expected to grow during the forecast period. 

Market Analyst Overview

The Market is heavily influenced by e-commerce and advertising strategies employed by various footwear brands. Consumer preferences for comfortable footwear and fashion footwear drive the demand for sustainable footwear to address lifestyle-related health issues and reduce the use of non-biodegradable materials. This labor-intensive industry relies on efficient material supply and land resources while emphasizing environmental protection through sustainable practices.

In addition, the market is diverse, with sales markets spanning developed countries and less developed countries, often sourcing from lower-cost countries. The World Footwear Yearbook 2021 provides insights into industry trends, including the growing demand in the athletic segment for athletic shoes suitable for outdoor activities, focusing on flexibility, traction, torsional stability, cushioning, and protection. The non-athletic segment includes flats, heels, mules, sneakers, and boots, with a rising interest in eco-friendly sneakers to reduce water usage and plastic usage. The market also features niche market players and designers catering to the men's segment and women's segment through various styles and functionalities. High-end e-commerce sites like Veja Footwear Company offer innovative products like the V-10 sneaker series, reflecting the market's commitment to sustainability and design innovation.

In the market, comfort is a top priority for consumers seeking shoes that support their active lifestyles. With increased awareness of environmental impact, there's a growing emphasis on reducing plastics usage in footwear manufacturing. Many individuals prefer footwear suitable for various activities, including gymming and playing sports, emphasizing the importance of performance alongside comfort. Brands are innovating to meet these demands, offering eco-friendly materials and designs that cater to diverse preferences and activities. As consumer preferences evolve, the market continues to adapt, providing options that prioritize both comfort and sustainability.

Segment Overview

The report forecasts market growth by revenue at global, regional & country levels and provides market trends and analysis and growth opportunities from 2017 to 2027. The market has been segmented by type, product, distribution channel, and region.

• Product Outlook 
  • Non-athletic-footwear
  • Athletic-footwear
• End-user Outlook 
  • Women
  • Men
  • Children
• Distribution Channel Outlook 
  • Offline
  • Online
• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • South America
    • Argentina
    • Brazil
    • Chile
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa

Market Scope
Report Coverage	Details
Page number	181
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 5.69%
Market growth 2023-2027	USD 133.09 billion
Market structure	Fragmented
YoY growth (%)	4.73
Regional analysis	APAC, North America, Europe, South America, and Middle East and Africa
Performing market contribution	APAC at 36%
Key countries	US, China, UK, Germany, and France
Competitive landscape	Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks
Key companies profiled	Adidas AG, ASICS Corp., Brooks Sports Inc., Burberry Group Plc, Dolce and Gabbana Srl, ECCO USA Inc., FILA Holdings Corp., GEOX Spa, Hermes International SA, Kering SA, Li Ning Co. Ltd., LVMH Moet Hennessy Louis Vuitton SE, New Balance Athletics Inc, Nike Inc., PUMA SE, Skechers USA Inc., Under Armour Inc., VALENTINO Spa, VF Corp., and Wolverine World Wide Inc.
Market dynamics	Parent market analysis, Market forecasting, market growth and forecasting, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Report?

• CAGR of the market during the forecast period.
• Detailed information on factors that will drive the growth of the market between 2023 and 2027
• Precise estimation of the size of the market size and its contribution to the market in focus on the parent market.
• Accurate predictions about market growth and trends and changes in consumer behavior.
• Growth of the market industry across APAC, North America, Europe, South America, and the Middle East and Africa.
• A thorough analysis of the market’s competitive landscape and detailed information about vendors.
• Comprehensive analysis of factors that will challenge the growth of market vendors.

 

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