Amazon to be the No. 1 apparel seller in US

Jan 19, 2017

Image Courtesy: thenextweb.com

Growing dominance of e-commerce giant Amzaon.com Inc. in the apparel sector can create issues for fashion brands like Macy’s, Nordstrom and JCPenney…The online retailer is going to launch its own brand of athletic apparels as part of its clothing business efforts, and a report by Cowen & Co. has claimed that Amazon could surpass Macy’s to become the ‘biggest apparel seller’ in the US this year. And this seems very true as the sales at Amzaon.com (for clothing and accessory) are expected to grow nearly 30 per cent to US $ 28 billion in 2017 while Macy’s apparel sales are expected to decline by 4 per cent to US $ 22 billion this year.

The report further states that Amazon’s share in the apparel market is also expected to grow to 8.2 per cent in 2017 and further expand to 16.2 per cent in next five years. Currently, it is around 6.6 per cent in the US apparel market.

The report also mentions that the company would generate US $ 62 billion in annual apparel sales by 2021. TJ Maxx is expected to be the No. 2 clothing seller, with Macy’s claiming the No. 3 spot. In last few years, Amazon has invested in its own private-label clothing brands, and also sponsored a fashion week for men in New York. Furthermore, it is going to launch its workout apparel line in a bid to lead the sportswear market. In the year 2016, Amazon unveiled around eight of its own clothing brands including a women’s label called Society New York and a kids clothing line dubbed Scout & Ro.

Source: APPAREL RESOURCES