Millennials Lead Demand for Denim
A broader mix of styling for all ages will strengthen and ready the denim industry for future growth. Millennials (ages 18–34), who represent the largest dollar segment of jeans sales at 28%, are showing renewed interest in the U.S. denim market according to global information company, The NPD Group.
The denim industry is encouraged by millennials, The NPD Group reports. In the 12 months ending May 2015, overall dollar sales of jeans declined 5%, but increased 2% among Millennials ÛÒ driven by a 13% dollar sales increase from the older Millennial consumers (ages 25–34).
"Denim is facing a real opportunity to build on past and present success with subtle strategic changes,Û said Marshal Cohen, chief industry analyst, The NPD Group, Inc. ÛÏWhile the industry is not yet in a state of recovery, brands are focusing their energy on the younger customer base, where jeans sales are growing.Û
In a recent NPD survey, 63% of consumers stated they love their jeans, but only 32% purchased a pair for themselves in the past 5 months. In the same survey, 1 out of every 4 consumers said they canÛªt find jeans they like or that fit well anymore.
ÛÏThere are missed opportunities across the denim retail landscape, from the limited distribution of classic styles, fuller cuts, and peripheral specialty sizes, to the absence of color that is living large in so many other industries,Û added Cohen. ÛÏProviding a broader mix of product that appeals to a broader audience, with variety stocked in stores, will help to bridge the gap between what consumers are buying, what they want to buy, and rejuvenation of the denim market."
Note: The generations are defined as follows: Generation Z (age 17 and under), Millennials (age 18–34), Generation X (age 35–49), Baby Boomers (age 50–69), Silent Generation (age 70 and above).
You can bet that teens will be selling their old clothes to make room in their closets for all the new denim they'll be buying. AudienceSCAN data reveals that, in fact, 4.5% of consumers are planning to sell teen clothing in the next 12 months. What your used merchandise retailers can bank on is that while those teens are in their thrift shops selling old clothes, those same teens will turn around and buy the used clothing they are surrounded by. Get them advertising to this audience through ads on social networks and mobile smartphone app ads or text message ads. 45% of Teen Clothing Sellers have taken action after receiving these in the past month!
AudienceSCAN data is available as part of a subscription to AdMall for Agencies. Media companies can access AudienceSCAN data through the Audience Intelligence Reports inåÊAdMall.