Shein, Adidas, Hermès and Chanel were big winners in apparel market last year

New figures from the analysts at GlobalData show that both Shein and Adidas grew strongly last year, ending as the big winners among the mega-names of global mass fashion and sports.

GlobalData said that a “challenging economy made consumers more selective over where they shopped for apparel in 2024”. 

Overall, the top 10 players in the market are forecast to have gained share, “as shoppers remained loyal to brands that they could trust, while smaller players lost their footing”. 

The winning brands “offered superior value for money and style, while those with lacklustre ranges lost out. Unsurprisingly, Shein was the biggest winner again”.

Pippa Stephens, senior apparel analyst, said its market share is forecast to have surged by 0.24ppts to 1.53%, “driven by its ultra-low price points and fast reaction to fashion trends, which helped it stay ahead of competitors despite the continued criticism regarding its labour practices and environmental impact”.

Its rapid rise has taken share away from other fast-fashion online pureplays, “especially ASOS and boohoo.com, which have seen their sales plummet over the past few years”.

But while Shein was the leader in growth terms, other major names also saw their market share shedding in the right direction. Inditex’s Zara remained an “outperformer, with its market share expected to have grown 0.05ppts to 1.24%, helped by its local supply chain allowing it to react swiftly to new fashion trends and its appeal among a broad demographic of shoppers”. 

That came as its biggest rival H&M’s market share is forecast to have fallen marginally to 1.06%, “as its more neutral and lacklustre designs struggled to capture consumers’ attention”. H&M “has been losing shoppers to Uniqlo as well, which is forecast to have grown its market share to 0.92%, due to strong value for money perceptions and significant expansion outside its home market of Japan”.

And Adidas? In sportswear, after experiencing a notable slump in sales in 2023,  it had “a triumphant year in 2024, with its total apparel market share anticipated to have grown 0.17ppts to 1.79%, bolstered by the popularity of its Originals lifestyle footwear ranges”. 

Other sports labels that won share were New Balance and Skechers, “boosted by their comfortable and versatile footwear, as well as their multitude of popular collaborations”. 

Nike’s problems last year were well publicised and despite having the biggest share of any of the brands mentioned in the report, that share is anticipated to have dropped 0.15ppts to 2.85%, “making it the biggest loser in the overall apparel market in 2024, as it fell behind in terms of innovation and fashion credentials”.

Stephens added that another market with much-talked-about issues in 2024, luxury apparel, “also saw a mixed bag of results. Those catering to ultra-wealthy customers remained the most resilient, with Hermès and Chanel both forecast to have gained market share to 0.55% and 0.59%, respectively, due to high-income consumers being less vulnerable to economic hardships”. 

In contrast to this, aspirational shoppers, who tend to rely on their savings to afford status symbols, were much harder hit, causing more accessible luxury brands to suffer. 

Admittedly, “accessible” in this case still means fashion selling at the kind of prices most consumers couldn’t come ear to being able to afford. Gucci, for instance, experienced the biggest downturn, with its market share anticipated to have dropped 0.10ppts to 0.38%.