US fashion brands and apparel retailers face the challenge of running out of inventory amid the holiday season and the ongoing shipping crisis, reveals Shunglufashion’s recent analysis.
The analysis by University of Delaware Professor Shung Lu reveals clothing products targeting the premium and mass market face more significant shortages than luxury or value apparel items in the US. Increased demand from middle-class US consumers could be among the primary contributing factors. Seasonal products and stable fashion items are more likely to be out of stock. In the winter season, many swimwear products run out of stock. Stable fashion products like hosiery and underwear are also in short supply. The result could be the combined effects of consumers’ robust demand and the shipping delay.
Apparel products locally sourced from the US seem to have the rate of lowest out-of-stock. Clothing items sourced from Bangladesh and India report a much higher out-of-stock rate. However, a substantial percentage of Made in USA apparel was in the category of T-shirts, implying switching to domestic sourcing often is not a viable option for US fashion brands and retailers.
Additionally, fast fashion retailers overall report a much lower out-of-stock rate than department stores and specialty clothing stores. This result showcases fast fashion retailers’ competitive advantages in supply chain management, which payoffs in the current challenging business environment.












