Global Functional Apparel Market Grows Steadily at a CAGR of 7.2%

Introduction

Clothing that serves multiple purposes besides the wearer's basic protection and aesthetic appeal is called functional apparel. Many different kinds of functional clothing are on the market, including athleisure wear, sportswear, medical wear, and others. Most consumers find activewear flexible and comfortable because of the material used to make such clothing or footwear. The most popular materials for athleisure apparel are synthetic fabrics like nylon and polyester because they provide the best balance of the necessary properties. Performance sportswear will continue to hold a larger value share even though athleisure is predicted to experience strong value sales growth.

Market Dynamics

Extensive Advantages of Activewear Drives the Global Market

Activewear is designed to help customers, particularly fitness and sports enthusiasts, perform better. Enhanced fabric breathability, wicking function, bi-stretch ability, and enhanced grip are major factors that boost users' performance and make activewear superior to other substitutes. On the other hand, anti-bacterial fabrics used in activewear reduce body odor and prevent the degradation of activewear color.

Another significant benefit of activewear is thermal insulation. Despite the use of lightweight and thin fabric, thermal activewear aids in maintaining body temperature in adverse weather conditions. Some of the benefits of activewear include anti-static, quick-drying, and fabric elasticity, which increase the ease of care and maintenance of this clothing. As a result, the performance-enhancing, easy care and maintenance, and other benefits of activewear have fueled its global demand.

Premiumization Trend Creates Tremendous Opportunities

Premiumization makes a brand or product more attractive to buyers by emphasizing its high quality and limited availability. It is driven by a desire to show success and a taste for high-quality goods. As per capita wealth rises, customers tend to choose higher-quality goods. Functional clothing is a premium product because it costs a lot and has features and specs that add worth. In addition, customers who can buy high-end goods are interested in these features. This is expected to increase the number of people who wear practical clothing, driving the market growth.

Regional Analysis

North America is the most significant global functional apparel market shareholder and is estimated to exhibit a CAGR of 6.1% during the forecasted period. Some of the main things that are making the North American area grow are the ongoing trend of being fit and living a healthy life. The market's rise has been helped by more baby boomers getting fit and doing outdoor activities. Thus, the rise of the functional clothing market in this region is driven by the fact that American youth are becoming more interested in sports and are doing more sports and exercise activities. The market's growth is helped because more and more people want to live better lives and get more involved in sports and exercise activities.

Additionally, technological design improvements have led to more ease and better performance, making exercise and sports fans much more interested in them. Many young people like the athleisure style because sportswear is stylish and has benefits like not smelling bad, not getting wrinkles, and being very comfortable. Therefore, exercise has become a general style statement and fashion trend in North America, driving market growth.

Key Highlights

• The global functional apparel market was valued at USD 318.83 billion in 2022. It is estimated to reach USD 595.85 billion by 2031, growing at a CAGR of 7.2% during the forecast period (2023–2031).
• Based on the product, the global functional apparel market is divided into sportswear, activewear, and protective clothing. The sportswear segment dominates the global market and is expected to exhibit a CAGR of 6.31% over the forecast period.
• Based on application, the global functional apparel market is divided into the sports industry, outdoor clothing, and healthcare. The sports industry segment owns the highest market share and is predicted to exhibit a CAGR of 6.4% during the forecast period.
• Based on the distribution channel, the global functional apparel market is divided into offline and online. The offline segment dominates the global market and is expected to exhibit a CAGR of 6.81% over the forecast period.
• North America is the most significant global functional apparel market shareholder and is estimated to exhibit a CAGR of 6.1% during the forecasted period.

Competitive Players

Competitive Players

The key players operating in the global functional apparel market include Puma, Nike, Under Armour, Adidas, Lululemon Athletic, Asics Corporation, Columbia Sportswear Company, Gap Inc., North Face, Phillips-Van Heusen Corporation, and others.

Recent Developments

Market News

• In February 2022, Nike bought RTFKT, a digital fashion business that makes boots and other clothes as NFTs. The purchase is part of Nike's plan to grow its market share. Nike bought RTFKT, a digital fashion business that makes boots and other clothes as NFTs, in February 2022. The purchase is a part of Nike's plan to grow in the metaverse. Enter the metaverse.
• In June 2022, Rihanna and PUMA stated that they would work together. Both companies will work together to make a line of Fenty Puma shoes and clothes through an agreement.

Segmentation

Global Functional Apparel Market: Segmentation

By Product Type

• Sportswear
• Activewear
• Protective Clothing
• Others

By Distribution Channel

• Offline
• Online

By Applications

• Sports Industry
• Outdoor Clothing
• Healthcare

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA