Footwear Market

Market Overview

The global footwear market size was valued at USD 405.9 billion in 2023 and is projected to reach a value of USD 592.9 billion by 2032, registering a CAGR of 4.3% during the forecast period (2024-2032). The growing footwear sales facilitated by e-commerce due to internet penetration worldwide drive this footwear market growth. 

Footwear is apparel worn on the feet that protects against environmental hazards such as wear from rough terrain, stability on slick surfaces, and temperature. It provides protection and support for the feet while walking or engaging in other activities. It consists of footwear such as shoes, boots, sandals, and slippers made from various materials, including wood, canvas, leather, jute, plastics, and rubber.

Footwear also serves as a fashion statement and expresses individual style. It is designed for specific athletic and non-athletic activities like running, hiking, and working. It is commercially available in various shapes, sizes, and hues and can be personalized with text, logos, and prints. It decomposes easily in the environment and does not contribute to landfill waste or pollute water sources.

Key Highlights

• Athletics generates the highest revenue share by type.
• Men are the major end-users of the market by end-user.

Market Dynamics

Global Footwear Market Drivers

Rising Disposable Income

Rising disposable income is a significant driver of the global footwear business. As people's salaries rise, they have more money to spend on non-essential items like higher-quality and branded footwear. This tendency is especially noticeable in developing economies, where rapid economic growth brings millions out of poverty and into the middle class. Consumers' tastes for branded and luxury footwear frequently vary as their disposable income increases. Nike, Adidas, and Puma are experiencing rising sales as consumers believe these brands provide better quality, durability, and style.

China is an excellent example of how increased disposable income fuels the footwear business. Rapid economic expansion in China over the last few decades has grown the middle class, resulting in increasing expenditure on consumer products such as footwear. According to the Boston Consulting Group's (BCG) 2023 research, China's middle and upper classes are predicted to increase by more than 80 million individuals between 2022 and 2030, accounting for about 40% of the country's population. This would bring the middle-class population to more than 1.2 billion by 2030, representing nearly a 6% rise. This has directly impacted the footwear sector, as Chinese customers increasingly buy branded and quality shoes.

Furthermore, the growing number of female sports participants drives up demand for footwear, particularly shoes. Several organizers provide discounts on membership for first-time female participants. For example, the Loon Mountain Race provided discounts to first-time female participants, while the Barr Trail Mountain Race ensured that men and women received equal prize money. Similarly, the growing popularity of events like the Ultra-Trail du Mont-Blanc (UTMB) inspires more individuals to join in sports. UTMB has had a 68% rise in applications over the last three years.

Global Footwear Market Restraints

Presence of Counterfeit Products

Counterfeiting poses a severe challenge in the worldwide footwear industry. Counterfeit items damage brand reputation, reduce market share, and cause significant income losses for legitimate businesses. Luxury brands are severely impacted. Nike and Adidas, for example, have long struggled with counterfeit products, which reduce sales and harm their brand image. According to estimations, counterfeits accounted for 3.3% of global trade in 2023. They would rise to 5% by 2030, implying that one out of every 20 Euros on items could be spent on counterfeit goods. This includes direct revenue losses, brand value reductions, and the cost of combatting counterfeit goods. Counterfeit products are typically of lower quality, which can harm the reputation of the legitimate brand. Consumers who purchase counterfeit goods and receive poor quality may associate these negative experiences with the legitimate brand.

Additionally, footwear is the most widely counterfeited product in the world. For counterfeiters, the function is secondary to form. They attempt to replicate the styles of the biggest names in shoe ware using low-quality materials, preying on unsuspecting shoe collectors and harming companies during their busiest sales period of the year: the holidays. According to the World Customs Organization (WCO), many counterfeit products, particularly footwear, violate safety laws, posing a health risk to customers. For example, counterfeit athletic shoes may contain subpar materials that need to provide more support and protection during active activity.

Global Footwear Market Opportunities

Demand for Sustainable Footwear

The growing demand for environmentally friendly footwear or sustainable footwear is among the most promising possibilities in the global market. This movement is driven by rising consumer knowledge of environmental issues, a desire for ethically manufactured goods, and a shift towards more sustainable lifestyles. Brands that practice sustainability and employ eco-friendly materials are well-positioned to capture this growing market segment. Consumers are increasingly aware of the environmental impact of their purchases. This is especially true for younger generations, who value sustainability and ethical production in purchasing decisions.

For example, all Nike Air soles are created from at least 50% recycled manufacturing waste, with 90% reused into cushioning systems. Nike also uses Flyknit shoe uppers that can hold up to seven recycled plastic bottles. By 2025, Nike plans to source 50% of its essential materials from environmentally friendly sources, divert 100% of waste from landfills, and recycle at least 80% of that trash back into Nike goods. Since 2024, Adidas has replaced virgin polyester with recycled polyester where practicable. Adidas and Allbirds launched FUTURECRAFT, the lowest carbon emissions performance running shoe we've ever created.FOOTPRINT. This effort lowers plastic waste while also raising awareness about marine degradation.

Moreover, governments and regulatory agencies worldwide enforce more substantial environmental restrictions, requiring businesses to adopt more sustainable operations. For example, the European Union's Circular Economy Action Plan focuses on sustainable manufacturing and consumption, influencing how footwear manufacturers operate and make items.

Regional Analysis

The global footwear market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Asia-Pacific Dominates the Global Market

Asia-Pacific is the most significant global footwear market shareholder and is estimated to grow at a CAGR of 4.8% over the forecast period. The footwear industry is labour-intensive and is affected by various factors like land resources, labour costs, environmental protection, material supply, and sales markets. As a result, footwear manufacturers, major consumer markets, wholesalers, and retailers globally are shifting their focus to lower-cost countries to maximize profits, constantly moving global shoemaking bases. Asia-Pacific, Japan, Taiwan, India, and China are lucrative footwear markets. Consumers' rising discretionary income and improved living conditions are key factors accelerating product demand in these nations. In addition, the rising participation of women in sports will likely drive the women's segment. According to the Sasakawa Sports Foundation (SSF), 72.4% of the population in Japan participated in or played a sport at least once a year. Out of this, 75.9% of the men had participated in sports at least once a year, whereas 69.1% of the women had participated in a sport at least once a year. This is anticipated to boost the demand for footwear in the region.

In addition, in 2023, Thailand's leatherwear imports were valued at approximately 1.65 billion US dollars. In the same year, the import value of footwear products was around 755.4 billion US dollars. Thailand's imports of leather garments and footwear increased in value over the previous year. According to World Footwear, Asia alone accounted for nearly 87.4% of global footwear production in 2022, demonstrating the region's considerable concentration of the footwear manufacturing business. This was due to inexpensive labour and raw materials, allowing manufacturers to produce footwear in volume at reduced prices. This has resulted in the availability of different footwear options at competitive rates, driving market research across the region.

Europe is anticipated to exhibit a CAGR of 4.5% over the forecast period. A growth in the disposable income of consumers in nations like the U.K., Germany, and France, as well as the expansion of e-commerce, social media, and advertising sectors in Europe, will expedite the growth of the footwear market. The availability of trendy footwear in developed countries such as Germany and the U.K., coupled with rising consumer spending, is also anticipated to fuel market growth.

In addition, niche companies and startups are catering to millennial consumers by launching innovative products, as these consumers are more inclined toward sustainability and ethical consumerism. For instance, Eco-Vegan Shoes offers a variety of non-athletic footwear styles, such as ankle boots, heels, flats, and sneakers, all certified by different eco-friendly organizations. Such launches are expected to boost the regional market expansion.

North America is estimated to grow at a considerable pace. Consumers' growing demand for stylish and comfortable footwear is driving market growth. A high concentration of footwear manufacturers in the U.S. and the rest of North America is a key factor driving the market. Big players such as Nike, VF Corporation, Under Armour, New Balance, and Skechers USA, Inc. are headquartered in the U.S., where product innovations and research and development are incorporated, and new products are launched yearly.

For instance, In 2023, Athletic Propulsion Labs, a luxury performance footwear business, improved its e-commerce results by including AI-powered True Fit Guidance. This technique increases revenue while decreasing returns by giving individualized recommendations, ensuring that clients make informed purchasing decisions based on their preferences and lowering the likelihood of product returns. The increasing popularity of sports like football, basketball, and various snow sports is anticipated to generate significant growth opportunities for the athletic footwear segment during the forecast period.

In Latin America, government initiatives aimed at obesity prevention and control have increased individuals' participation in physical activities. Moreover, the 2014 FIFA World Cup and the 2016 Rio Olympics have positively influenced sports participation, fueling the footwear market growth, particularly sports and athletic footwear. Similarly, sustainable footwear brands such as Insecta have been witnessing high receptibility among consumers in recent years, which is expected to offer strong growth opportunities in the future. Brazil is also one of the major footwear manufacturing countries in the industry, with an established factory setup and skilled labour. This presents a lucrative opportunity for new manufacturers entering the footwear market.

Segmental Analysis

The global footwear market is segmented based on type and end-user.

Based on type, the global footwear market is divided into athletic and non-athletic footwear.

The non-athletic footwear segment is the largest revenue contributor to the market and is expected to exhibit a CAGR of 3.9% throughout the forecast period. The non-athletic category consists of flats, mules, sandals, heels, sneakers, and boots, which can be worn on different occasions. Due to the increasing consumer preference for eco-friendly sneakers and footwear, many niche players and designers worldwide have contributed to this broad footwear category. For instance, Nicki Minaj established her footwear line in 2024. On Friday, the "Everybody" artist presented a line in partnership with urban luxury vegan footwear and apparel brand LØCI, entitled "Nicki Minaj x LØCI."

Additionally, several niche companies and startups focus solely on manufacturing sustainable products and highlight the associated benefits of sustainable footwear. For instance, Nothing New, a sneaker startup founded in 2019, aims to create awareness and provide sustainable sneakers. Nothing New sneakers are made from 100% post-consumer recycled plastic, and other parts like insoles, laces, and outsoles are made from recycled rubber, fishing nets, cork, and cotton.

Athletic shoes are worn by individuals who engage in outdoor activities like running, walking, gym workouts, and sports like basketball, volleyball, cricket, hockey, and golf. In addition to providing comfort, flexibility, and traction on outdoor surfaces such as roads and trails, athletic shoes provide the user with torsional stability, superior cushioning, and enhanced protection. Professional athletes' demand for comfortable, lightweight, and fashionable shoes for use on wet, soft, and uneven terrain is driving the expansion of the athletic market. Individuals' rising participation and preference for daily physical activities such as running, the gym, and cycling are the primary factors driving the global expansion of athletic shoes. Moreover, the growing athleisure trend and the emergence of custom product manufacturing are expected to boost the demand for athletic shoes in the coming years.

The global market is segmented into men, women, and children based on the end-user.

The men's segment owns the highest footwear market share and is estimated to exhibit a CAGR of 3.9% during the forecast period. The inclination of men toward outdoor activities has been boosting the demand for men's footwear. Sports like golf, cricket, hockey, and hiking have always been popular among men. Hence, product launches catering to specific sports categories will help boost the men's footwear market growth. For instance, In 2024, Todd Snyder and FootJoy developed 'Mint Julep golf shoes before the PGA Championship.

In addition, multifunctional products remain relevant for the men's footwear market. Brands should focus on footwear that merges active and leisurewear attributes. The desire to reconnect with the outdoors continues to influence footwear ranges. Therefore, manufacturers are incorporating performance or outdoors-inspired features and retaining a fashion-driven aesthetic that works well for city pursuits.

Several companies, such as Rothy's, Nisolo, and ABLE, wholly dedicate their product lines to women. These provide a wide range of products like sandals, wedges, boots, heels, loafers, slip-ons, and sneakers. Women in developed countries, such as the U.S., tend to spend on sustainability because of the growing awareness of eco-friendly products and the rising number of women in the workforce. Manufacturers' product launches, collaborations, expansion into new markets, and sustainable footwear innovations have been driving the women's segment. For example, the footwear company Veja debuted on the Indian market with the V-10 sneaker series for women in collaboration with the multi-brand store Bhaane.

Recent Developments

• June 2024 - Converse's Run Star Trainer combined the best of the archive into a new lifestyle shoe.
• May 2024 - Nike's Sabrina 2 built upon the success of Sabrina Ionescu's first signature collection.
• June 2024 - PUMA and Noah continue cooperating, recognizing the unwavering commitment to sportsmanship and the individual victories that define great athletes.
• June 2024 - PUMA released two new shoes designed to help you smash PRs and reach optimum performance during training and race day.
• May 2024 - Skechers entered into a global footwear partnership with John Deere.