Consumers are eager to spend on fall and winter apparel.
Apparel sales are expected to increase 30% year-over-year in the fourth quarter and 45% compared to the second quarter of 2019.
That’s according to Rakuten Intelligence, which said that November will be the strongest month for both e-commerce and apparel this year. Due to holiday shopping sales such as Black Friday and Cyber Monday, both e-commerce and apparel will see 35% year-over-year growth. Even more impressive, apparel will see 59% growth compared to the same period in 2019.
E-commerce is expected to see 26% year-over-year growth in the fourth quarter.
Kristen Gall, president of Rakuten Rewards, shared the following predictions for the upcoming holiday shopping season:
Outside of apparel, shopping categories will be hard to predict: There was a lot of out-of-season inventory that moved over the summer including snow apparel or gear for winter activities, due to off cycle sales. For inventory that didn’t sell last year, companies will incentivize customers to buy those products this year.
2020 holiday shopping patterns will persist: Similar to last year, we expect to see consumers relying on e-commerce and delivery to order and get gifts to loved ones. For retailers, this means learning from last year and using the digital channel to reach customers.
2020 shopping challenges will also last: During COVID, we’re seeing persistent inventory issues, shipping delays, increased shipping costs and hiring shortages. Consumers will need to shop early to ensure they get the products they want on time, and retailers will need use new tactics to incentivize earlier shopping.