Ryan Jarkowski

Athletic Apparel Needs a New Fabric

University of Arizona
11/28/2018
As interest in sports continues to grow, the demand for athletic apparel steadily rises. Due to low
brand loyalty for athletic apparel, a new unique material could easily become the most demanded
product on the market. Below, a research report details the main advantages of producing high-
end athletic wear for both the athlete and non-athlete. Topics covered include: the concept of the
new apparel, a market analysis for athletic apparel, and a consumer analysis.

Clothing Concept

The ever-expanding desire for athleticism makes athletic apparel highly demanded. All
successful athletic apparel items have common characteristics: lightweight, flexible, durable, and
comfortable. Brands like Nike produce specialized types of fabric that cover all of these
characteristics. In an interview about his new shoes, Kobe Bryant (2015) accredited much of his
shoe line’s success to Nike’s Flyknit technology, which provides extreme comfort and durability.
Flyknit started as a fabric for shoes and was quickly used in almost every type of clothing
produced.

Materials Drive Demand

In order to compete with other major brands, a revolutionary new type of fabric must be
produced that meets all the common characteristics mentioned above, but must have a unique
characteristic to stand out from its competitors. 91% of customers who bought multiple athletic
clothes stated improved performance was their reason for buying the product (“Marketing to the
Masses”, 2001). If this new material aids athletic performance, many people will purchase
clothing made from this material for the desired effect. Additionally, consumers who aren’t
athletes will purchase the clothing for its comfort and durability.

Multiple Outfits Increase Sales

Athletic apparel is viewed as a tool an athlete could use to better their performance. Like
mentioned earlier, Kobe Bryant gave much credit to his shoes’ success because of the technology
involved in making it. If a new fabric aids in improved athletic ability, the demand for this fabric
in multiple products will rise. Brand loyalty is very concentrated with athletic shoes; however,
brand loyalty for apparel is extremely fragmented, according to Nicolas Bombourg (2007).
Producing multiple outfits, for both men and women, that incorporate the new technology in
every item will let consumers buy several different items to achieve the same result.

Market Analysis

There are several different markets for athletic apparel, ranging from wholesale to generic
“athletic” fabric offered in most major department stores. However, the overwhelming majority
of sales, 62.8%, happen in two markets: Sporting goods stores, and online retailers (Lifschutz,
2018). For the purpose of this analysis, these two markets will be focused on.
Figure 1: Sporting goods stores and online retailers are responsible for 62.8% of the 9.5-billion-dollar athletic apparel industry.
(Lifeschutz, 2018)

Sporting Goods Stores

As shown in the graph above, sporting goods stores produce 45.2% of all market sales, and these
should be the primary focus for a sports apparel line. Companies like Nike have been so
successful because of their implementation of vertical integration of retail stores. In order to
ensure product success, mass exposure to products is key. According to Peter Charness (2018),
consumers tend to buy clothing without planning; they decide they need clothes and proceed to
go search for what appeals to their style. Having clothes widely and readily available in multiple
stores will increase sales dramatically.

Online Retailers

Online retailers, producing 17.6% of market value, are the second largest market for athletic
apparel. As online retailers become larger and become more user friendly, online shopping is
projected to increase by more than 60% by 2022 (Hurley, 2017). Online sales have lower costs,
making each sale more profitable. Establishing a product that is highly demanded is crucial for
product success in the coming years to profit from the growth of online shopping.

Consumer Analysis

The largest indicator that demand for athletic apparel will continue to increase is the rising
popularity of sports. High school and collegiate sports are becoming increasing popular in
America. A graph below from the Burau of Labor Statistics (2017 details the recent rise and
expedited growth of participation in sports for both men and women.
 Figure 2: A graph showing the gradual rise of participation in sports related activities (

As sports become increasing popular in America, the demand for athletic apparel will also
increase.

Consumer Targeting

Companies like Nike have been extremely successful because of their tactics of targeting
consumers. One of the most influential ways Nike has targeted customers is through their use of
emotional appeals to working out (Keller, n.d.). When selling athletic apparel, you must also sell
the desire to workout in the apparel. To target consumers effectively, this new type of fabric
must be marketed as a tool people can use to reach their full athletic potential.

Athletic Endorsement

Once a revolutionary fabric is made, the final task is to find an influential athlete to endorse the
product. An endorsement from an athlete can increase overall sales by 4% (Olenski, 2016).
Additionally, an endorsement will increases consumer confidence in the product. Consumers
believe that if a product is good enough for a professional, it is more than good enough for them.
Multiple endorsements from professionals in different sports will further promote the product to
several different consumers.

Conclusion

This report detailed key points for athletic apparel in: clothing concepts, market analysis, and
consumer analysis. Athletic apparel is an ever-expanding market with very little brand loyalty to
massive competitors. As sports become more popular in America, now is the perfect time to
introduce a product that helps consumers achieve their athletic and personal goals.
 References

Adeleke, V. (2018, September). IBISWORLD Industry Report 42391. Sporting goods

wholesaling in the US. Retrieved from IBISWORLD database.

Bombourg, Nicolas. Strong fashion orientation of athletic retail market. (2017, Sep 10). Business
wire retrieved from http://ezproxy.library.arizona.edu/login?url=https://search-proquest-
com.ezproxy3.library.arizona.edu/docview/444938448?accountid=8360

Bureau of Labor Statistics, U.S. Department of Labor, Occupational Outlook Handbook, Sports
and exercise. Retrieved from https://www.bls.gov/spotlight/2017/sports-and-
exercise/pdf/sports-and-exercise.pdf

Charness, P. (2018). Preserving fashion’s sanctity with see-now-buy-now. WWD: Women’s

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Hurley, M. (2017, September). IBISWORLD Industry Report OD5095. Online Men’s Clothing
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Karl Taro Greenfeld , & Photographs by Graeme Mitchell. (2015, Nov 05). WSJ. magazine; how
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global business with one goal in mind: Serve the athlete. Wall Street Journal (Online)
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Lifschutz, M. (2018, September). IBISWORLD Industry Report 33992a. Athletic and sporting
goods manufacturing in the US. Retrieved from IBISWORLD database.

Marketing to the masses: Improving existing customer loyalty more important than increasing
the customer base. (2001, Dec 12). PR Newswire Retrieved from
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com.ezproxy3.library.arizona.edu/docview/447793055?accountid=8360

Olenski, S. (2016, July 20). How brands should use celebrities for endorsements. Retrieved from
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for-endorsements/#7e9097ef5593