Designer Apparel and Footwear (Ready-To-Wear) in Taiwan

2021 DEVELOPMENTS

Some consumers economise while others use the pandemic as an opportunity to purchase designer products

Designer apparel and footwear (ready-to-wear) will see a continued slowdown in its current value growth rate in 2021 against the backdrop of the pandemic, although, as in 2020, it will only be a minor slowdown. Many consumers in Taiwan have seen their disposable incomes reduced and have therefore been prioritising their spending towards more essential products.

Top-tier brands continue seeing growth due to rich consumer base and refreshing innovations

Despite the pandemic, top-tier brands have continued recording strong performances in 2021. The main reason for this is because designer apparel and footwear (ready-to-wear) in Taiwan has not been severely impacted by the COVID-19 pandemic.

Players target millennial consumers as the impact of internet KOLs continues to grow

An increasing number of designer apparel and footwear (ready-to-wear) players are targeting Millennials, who are becoming more influential consumers and are increasingly attracted to trendy designer brands due to the rising influence of social media. Some players have also been focusing on celebrity endorsements in order to promote their brands.

PROSPECTS AND OPPORTUNITIES

Sustainability, functionality, personalisation and differentiation are key to the recovery of designer apparel and footwear (ready-to-wear)

As consumers return to their pre-pandemic social lives, they will be more inclined to splash out on new designer apparel and footwear items. However, consumer demands are anticipated to change over the forecast period as a long-term consequence of the pandemic.

Unit prices set to increase as production costs rise as a consequence of the pandemic

Over the forecast period, unit prices of designer apparel and footwear (ready-to-wear) are expected to increase due to a number of reasons. Firstly, many factories have had to close down or operate with less staff due to outbreaks of the virus, which has led to disruptions to production.

Mid-tier luxury brands continue to compete for customers with top-tier brands

Mid-tier luxury brands are anticipated to continue to maintain their value shares over the forecast period. Furthermore, top-tier players will continue to gain share and perform well overall.