One of the most popular clothing items across the world, denim jeans never go out of style and that is why some global research conclude that between 2026 and 2030, the denim jeans market size will reach $88.1 billion. Facts Factors released its specialized and expertise-oriented industry research report that ¯scrutinizes the technical and commercial business outlook of the denim jeans industry and predicts that by 2026, the global market size will be $88 billion, growing at compound annual growth rate (CAGR) of 4 per cent between 2020 and 2026. A similar report titled “Denim Jeans Market” published by research giant Allied Market Research, projected period between 2021 to 2030, with CAGR of 4.2 per cent and a market value of $88.1 billion. From a $71 billion market size in 2019, both reports acknowledge steady growth.
The US, EU and Asian markets
According to the reports, in 2019, 44 per cent of purchases of denim jeans were by men for their personal use and 70 per cent Americans preferred denim jeans. Back then, basic economy variety held the overwhelmingly large market share of 80 per cent. The reports predict a 29 per cent market expansion in the US between 2021 and 2029 and in Europe the expansion between 2018 and this year was a mere 3 per cent. Europe’s denim jeans market had a 25 per cent share of global revenues in 2018.
Region-wise, Asia-Pacific garnered considerable market share in 2020, and is expected to maintain lead during the forecast period. This is majorly attributed to growing production of denim, presence of large consumer base in countries like India and China, and growing millennial population with higher disposable income. Western dressing style has influenced a lot in India and China and is expected to continue resulting in denim wears increased growth during the forecast period.
According to price range, the premium segment was the significant contributor to the market, with $19 billion in 2020 and growing at a CAGR of 4.7 per cent during the forecast period. Premium denim jeans are usually made with higher quality denim fabric and designed under special craftsmanship, owing to which prices of the premium denim jeans are higher as compared to other jeans. Premium price point denim jeans are consumed majorly in developed countries, such as the US, UK, Spain, and Japan. Growing fashion consciousness and rise in expenditure on personal attire are likely to attract customers to buy premium jeans. Thus, above mentioned factors are likely to garner the growth of the premium segment, thus driving the growth of the denim jeans market.
End-user based performance
The men’s segment is estimated to reach $38.6 billion by 2030, growing at a CAGR of 3.7 per cent during the forecast period. Men’s denim jeans growth could be attributed to a rise in fashion consciousness among men. Furthermore, increase in new product launches and casualization of office wear are expected to increase demand through the men segment.
On the basis of product type, the skinny fit segment is estimated to reach $21.7 billion by 2030, at a CAGR of 6 per cent, the highest growth percentage across the board, during the forecast period.
Online channel to grow favorably
Online sales channel segment was the significant contributor to the market, with $9,853.6 million in 2020 and is growing at a CAGR of 6 per cent during the forecast period. Easy accessibility offered by online sales channel boosts their adoption in the denim jeans market.