Athleisure Market Report

With the increasing availability of sports apparel with enhanced qualities such as moisture control, temperature regulation, and additional performance-boosting features that prevent discomfort and risk of injury, many market players are introducing aero-cooling-based new fabric to capture the interest of consumers who are willing to pay more for such additional benefits.  For instance, in June 2024, Mulaware announced to launch of Jin Air's summer collar (clad) T-shirt for airport work, made of "Aerocool" fabric, that can worn coolly even in hot weather,  designed to increase work efficiency with free movement by applying a silhouette tailored to the body curve using a 3D three-dimensional pattern. In addition, in March 2023, Halara announced to launch original denim line HalaraMagic, a collection featuring modern designs in fabric technology that accentuates the body's natural curves, moving like a second skin, fabric engineered with a unique blend of cotton, nylon, and elastane, designed to conduct heat away from your skin, efficiently regulating body temperature, making it perfect for warm summer days, providing cool, refreshed, and comfortable feeling. Also, improves air circulation, and brings more pleasant sensations on wearing.

Moreover, increasing fitness activities popularity such as aerobics, running, and yoga, along with an increase in the number of women participating in fitness and sports-related activities is driving the demand for athleisure products for women, resulting in increased introduction of athleisure wear for women. For instance, in August 2022, ONLY announced to launch new category called 'ONLY PLAY', a category offering an exciting incorporation of pieces that span sportswear & casualwear. With a strong combination of training and leisure, combined in a powerful mix of technical specifications of the collection including benefits including racerback styles providing stability, windproof & breathable technology, further strengthens its position as a fashion-forward brand that caters to the complete wardrobe needs.

The athleisure market is highly competitive due to numerous market players and innovative product demand, resulting in increased competition, leading to price wars and shrinking profit margins, making it difficult to maintain profitability and stand in the competition. Additionally, the athleisure markets are highly dependent on fast-changing fashion trends and seasonal fluctuations because of that the manufacturers must constantly adapt to shifting preferences, which can pose challenges in market growth and in meeting customer expectations throughout the year.

Moreover, failure to maintain high-performance standards of consumers' concerns on durability and, quality, can significantly affect brand reputation and consumer confidence due to growing consumer awareness of environmental issues, preference for eco-friendly and sustainable athleisure products, leading to decreased sales and struggle to compete in the market, impacting the growth of the market.  Furthermore, the athleisure sector is vulnerable to supply chain interruptions caused by natural disasters, and transportation issues. These disruptions can impact production timelines, inventory availability, and ultimately, the ability to deliver product delivery to customers promptly and impacts the market growth. 

As the health and wellness trends continue to gain traction and consumers are seeking apparel supporting active lifestyles, resulting in major companies acquiring brands to benefit from expanded product offerings, increased market share, and tap into a loyal, health-conscious consumer base. For instance, in June 2024, Consortium Brand Partners announced to acquisition athleisure brand Outdoor Voices, offering market expansion, product diversification, and increased market share. Additionally, in May 2022, 2.0 Ventures also announced to acquisition a majority stake in U.S. athleisure brand Feat Clothing, strengthening brand portfolios and providing a competitive edge by consolidating resources and capabilities as well as enhancing innovation through access to new technologies and growing customer bases.

However, the strategies adopted by top market players operating in the athleisure market are product innovation and partnership, as both are parallelly effective, market players are increasingly collaborating with other companies and well-known personalities to launch their new products. For instance, in February 2023, Adidas announced a brand partnership with Les Mills, offering enhanced live and digital experience to new series of Gen-Z-focused programs, also providing immersive and personalized solutions to more than 300 million AdiClub members, aims to bolster Adidas’s training collections and its high-performance apparel, footwear, and accessories to be worn by Les Mills audience base worldwide.

Moreover, increasing celebrity endorsements, international sporting events, and social media influence, have been encouraging consumers to participate in fitness and sports activities, leading to more spending on athleisure products across the world. For instance, in June 2024,  Zendaya, an actress announced a multi-year partnership with Swiss sportswear brand On that seeks to drive well-being, reimagine select product collections, and produce future creative campaigns, boosting brand visibility, driving consumers' interest, and leveraging influencers' reach to attract new customers, build brand loyalty, and create aspirational appeal leading to increased sales and heightened brand recognition in a competitive market.

The U.S. athleisure market commanded a significant share of the world, reflecting its dominant position in the industry, driven by numerous designers and manufacturers intensifying their product launch on integrating athleisure wear into their collections committed to creating apparel that seamlessly blends comfort with style, catering to the evolving preferences of consumers enhancing the functionality and aesthetics of athleisure apparel but also underscores the industry's shift towards more sophisticated and performance-oriented designs. For instance, in September 2022, Nike Inc. introduced sustainable apparel technology Nike Forward, a whole new fabric aimed to reduce 75% carbon footprint than traditional knits or woven, also the apparel is made without zippers or extra trims to make it easier to recycle.

Further, according to the 2024 report of the Outdoor Industry Association, more than half of American women are participating in outdoor recreation, the female participation rate reached 51.9% in 2023, up from 50% in 2022 with Outdoor participation grew 4.1% to record 175.8 million participants, resulting in an increased demand for athleisure products. For instance, in August 2022, Third Wind Performance announced to launch of new clothing items added to its online store in a new style of leggings, shirts, and long-sleeve sweat-wicking polyester shirts.

Additionally, the European athleisure market is expected to grow at the fastest rate, one of the key driving behind is the growing emphasis on health and wellness among people, leading to increasing interest in activewear that promotes physical activity and comfort as well as the influence of fashion and celebrity endorsements, making it a fashionable choice for a wide range of demographics. To meet the growing demand, athleisure manufacturers are adopting advanced techniques and employing specialized fabrics and dyes including apparel such as leggings, sports bras, and joggers, alongside footwear like running shoes and casual sneakers, and accessories including gym bags and water bottles.

However, rising health consciousness among middle class and the expanding sporting culture in countries such as China, India, Australia, and Japan is driving increasing demand for athleisure products in the Asia-Pacific region, though this market has been dominated by major international brands like Reebok, Adidas, Nike, Puma, and Lotto employing a range of strategies to maintain their market presence and enhance their brand visibility. To further strengthen their global market position, these companies are investing in product innovations, establishing new operational bases, and expanding production facilities. Additionally, actively engage with consumers through social media platforms, to promote their athleisure offerings and attract a broader audience. 

In the South American region, the athleisure market is gaining traction, due to rising participation in daily physical and outdoor activities such as running, and gym workouts are propelling the market's growth. Additionally, the growing popularity of athleisure wear combined with the adoption of sustainable manufacturing practices, further enhanced the market's expansion. This trend reflects a broader shift towards more active lifestyles and environmentally conscious production, boosting the athleisure sector.

The athleisure market in the Middle East and Africa is at its early stages, holding significant growth potential largely attributed to a substantial, young, and affluent customer base increasingly drawn to sports as both a leisure activity. As a result, the region is witnessing a growing trend toward athleisure wear, with numerous brands entering the market to capitalize on this shift. In Dubai, several notable retailers have emerged in the athleisure sector, including apparel, Noon, Amazon AE, and Gulfissimo, these retailers are helping to shape and expand the market, responding to the rising demand for stylish and functional athletic apparel in the region.