The global market for sports clothing inched up by 4.7 percent in dollar terms in 2007, reaching a wholesale value that SGI estimates at $59.8 billion, but the top 20 groups had growth of more than 10 percent, resulting in market share gains. They accounted for 45.6 percent of the market in 2007 as compared to 43.2 percent in the previous year.
Growth in clothing was lower than the 12 percent increase that we reported for branded athletic footwear in 2007, probably due to the fact that no major international sports events such as the FIFA World Cup occurred last year. Because of the weakness of the U.S. dollar, whose average value against the euro fell by 9.03 percent, the growth in local currencies was lower.
A geographical breakdown, available more in detail through SGI Market Facts, shows that European sales of clothing rose by 4.8 percent in dollars to $19.2 billion, compared with a 17.2 percent increase for footwear. The NPD retail figures that we published on June 11 for the five major European markets showed declines of 3.2 percent in euros for sports and leisure apparel, down to €16.6 billion, and of 0.7 percent for footwear, down for €7.9 billion, but the Nordic countries, Russia and many other emerging markets fared better.
Sports apparel sales in the USA grew by only 3.7 percent to $27.6 billion at wholesale last year, according to our estimates. Asia/Pacific was the fastest growing region with an increase of 8.2 percent to $9.9 billion, giving it a 17 percent share of the global market. Other international sales went up by 5.5 percent to $3.1 billion.
Our annual chart shows the Adidas Group in the lead with a 9.7 percent share of the global market. Aided by a high percentage of sales in stronger currencies, it grew at a strong 16.6 percent clip last year. Close behind was the Nike group, including estimates for Hurley and Nike Golf, which sported an 8.8 percent share. Incidentally, we heard from a number of sources that we overstated Nike Golf’s footwear figures in the athletic footwear chart published in the previous issue of SGI Europe and now believe that a closer estimate of that figure would be $58 million in the USA and about $20 million overseas.
Powered by The North Face and some acquisitions, VF Corp. had an impressive 32 percent sales increase. It holds third place with a 4.4 percent share of the global market. Other star performers were Gildan and Under Armour. One big loser was Umbro, sold to Nike earlier this year, which suffered a 25 percent drop after England failed to qualify for the Euro 2008 football championships.
The figures reported in our chart exclude sports-inspired brands such as Lacoste, whose wholesale turnover grew to an estimated €950 million. Our figures are actually invoiced sales insofar as they include those of the retail shops owned by these companies.
The majority of our figures come from annual reports, sometimes with input from management on regional breakdowns. In some situations, estimates are also used. As always, we strive to eliminate accessories, equipment and footwear sales.
