Clothing, Handbags and Jewelry Industries in the Us
The global clothing accessories industry is worth close to $16.5 billion, according to research from Packaged Facts. During the economic recession, many consumers opted to buy accessories instead of more expensive items of clothing(Accessories can be sold even in recession). Spending patterns concerning accessories are slightly different than clothing purchases as accessories are often bought on impulse or as add-on purchases. The world clothing accessories market is expected to exceed $20 billion by 2012. The global clothing accessories market is expected to see growth resume in the post recession period. Consumer confidence is recovering from the lows of the economic recession, with shoppers more willing to splash out on luxury and non-essential items. As consumers become increasingly conscious about the environment, demand for environmentally friendly luggage will rise(focus more on environmental friendly products, could also be used as a marketing strategy).
This U.S. industry comprises establishments primarily engaged in manufacturing women's handbags and purses of any material (except precious metal). This 6-digit NAICS industry (316992) is under the hierarchy of Other Leather and Allied Product Manufacturing Industry (31699), Leather and Allied Product Manufacturing Subsector (316), and the Manufacturing Sector (31-33).
Revenue, Profitability & Foreign Trade Preview
The industry's revenue for the year 2010 was approximately $351.1 million USD, with an estimated gross profit of 51.29%. Import was valued at $2.3 billion USD from 111 countries. The industry also exported $256.2 million USD worth of merchandise to 117 countries. Adding import value to and subtracting export value from the industry's shipment value, the total domestic demand for the industry in 2010 was $2.4 billion USD. (This could be the biggest market for sale)
1) Costume jewelry is considered a discrete category of fashion accessory, and displays many characteristics of a self-contained industry. Costume jewelry manufacturers are located throughout the world, with a particular concentration in parts of China and India, where entire city-wide and region-wide economies are dominated by the trade of these goods. There has been considerable controversy in the United States and elsewhere about the lack of regulations in the manufacture of such jewelry—these range from human rights issues surrounding the treatment of labor, to the use of manufacturing processes in which small, but potentially harmful, amounts of toxic metals are added during production. (lot of cadmium found)
As part of the supply chain, wholesalers in the United States and other nations purchase costume jewelry from manufacturers and typically import or export it to wholesale distributors and suppliers who deal directly with retailers. Wholesale costume jewelry merchants would traditionally seek out new suppliers at trade shows. As the Internet has become increasingly important in global trade, the trade-show model has changed. Retailers can now select from a large number of wholesalers with sites on the World Wide Web. Some of these sites also market directly to consumers, who can purchase costume jewelry at greatly reduced prices. Some of these sites include fashion jewelry as a separate category, while some use this term in favor of costume jewelry. The trend of jewelry-making at home by hobbyists for personal enjoyment or for sale on sites like Etsy has resulted in the common practice of buying wholesale costume jewelry in bulk and using it for parts.
2) World costume jewelry market stands enthused by the increasing emphasis laid down by consumers on fashion and style(most important for the attraction of the customers). Demand for costume jewelry and fashion accessories, such as, rings, earrings, bracelets, bangles, lockets, and brooches, is waxing at a healthy pace, driven largely by consumer preference for affordable, yet fashionable jewelry. Costume jewelry has tailored looks and styles borrowed from fine jewelry. However, updated impressions of these are needed to supplement and accessorize the latest apparel from couture houses and the fashion industry. Fashions in costume jewelry are generally reflected in the ready-to-wear apparel and accessories industry.
Given the relative inexpensiveness and affordability of costume jewelry, purchases are predominantly impulsive especially for the younger generation(could be one of the main target markets). Designing of costume jewelry is closely in line with the apparel market. Strong economic development in developing countries, rise in GDP, standards of living, and disposable incomes, are all factors fuelling the market's growth. Growing sophistication of consumer tastes(what exactly does the customer wants?) in the developed markets is fingered as a key reason for sales gain in these markets. Design innovations from manufacturers and fashion designers are helping attract fashion-savvy consumers. Unique designs, durability, and high quality are all variables for product success in the marketplace.
General idea about the market for jewelry
Costume jewelry market worldwide is dominated by the United States with an estimated 32.49% share in the year 2007, as stated by Global Industry Analysts, Inc. Asia-Pacific represents the fastest growing market, mirroring a projected CAGR of 6.93% over the period 2000 to 2010. In the Necklaces, bracelets & chains market, sales are forecast to rise by US$3,853 million between the period 2007 to 2015. Global sales of Brooches, Pendants & Pins are projected to reach US$2.0 billion by the year 2015. Ear Rings market in Asia-Pacific is forecast to grow at a robust CAGR of 9.52% over the 2011 to 2015 period.
Leading players operating in the global costume jewelry market include Avon Products Inc, Adrian Buckley Jewellery, DCK Concessions Ltd, H. Stern Com. & Ind. S.A, K&M Associates, The Colibri Group, Roman Research Inc., and Swank Inc.(we could implement their strategies)