North America Fashion Accessories Market- Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

North America Fashion Accessories Market- Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

North America Fashion Accessories market isprojected to register a CAGR 3.45% during the forecast period, 2022-2027.

Fashion accessories, such as clothing, footwear, watches are very popular among consumers especially in young generation. Handbags are the most accessible, visible accessories and the newest addition to the fashion and luxury market. Consumers are spending more often on fashion products and luxury accessories, regardless of the expense involved. The increasing penetration of corporatized retail into fashion and fashion accessories categories has contributed to the development of an ecosystem in which consumers are offered high-quality products, service levels, and product designs. Most corporatized retailers have also focused on visual merchandising to lure consumers to fashion accessories. Moreover, the increasing premiumization of fashion accessories and the increasing penetration of online retail have been the most important factors driving the fashion accessories market across the region. The high influence of social media on the purchasing decisions of consumers is also projected to propel the growth of the market in past few years.

Additionally, changing consumers lifestyle, increased standard of living, has been increased demand for the premium, high quality fashionable product such as watches, footwear, handbags, clothing, jewellry, among others, across the region. This, in turn, companies started to launch different featured watches, stylish handbags, designer apparels, among others. For example, in 2022, Coach launched its Coachies collection with a variety of bags and accessories with their own identical personalities. These glove-tanned leather bags include applique features like eyes and mouths in different expressions.

Key Market TrendsConsumers Inclination Towards Luxury Products

Luxury fashion accessories are mostly considered status symbols for individuals especially among the millennials as they are more likely to be driven by the latest fashion trend than other consumer groups. Thus, driving the luxury product segment. According to the Bureau of Labor Statistics, in 2021, about 71.75 million women were employed in the United States. Thus, with more women entering the workforce, their higher purchasing power has been driving the demand for premium fashion accessories across the region over the past few years and this is expected to continue during the forecast period.

Additionally, more robust local consumption and strong tourist purchases have been contributing to the strong performance of the market. Apart from this, in recent years, luxury brands have been trying to increase client engagement by using digital marketing and web listening data analytics to gain insights into customer behavior. For example, the marketing team at Parfums Christian Dior pointed out that the best way for luxury brands to inspire consumers has always been through storytelling and social media, especially Instagram is a visual storytelling platform that can reach a large consumer base. According to Instagram, in July 2020, the United States ranked first with an Instagram audience of over 130 million users. Thus, Instagram has emerged as one of the leading social media platforms for fashion designers to market their luxury products.

Watches Gaining Popularity

The watchmaking industry is growing rapidly, with more players providing attractive watches with stainless-steel cases, scratch-resistant sapphire glass, quick-change strap systems, and water resistance properties. The preference for luxury watches among consumers across the region has witnessed an upgrowth owing to the growing popularity of Swiss watches. Moreover, the sales of stylish watches are expected to be supported by the number of international tourists visiting the United States. With the changing perceptions of people in the region, where owning a traditional watch is considered redundant, the demand for digital watches with additional functionalities is growing rapidly.

Furthermore, the introduction of mid-range watches, which perform better and offer features similar to that of luxury watches, led to more consumers purchasing them, as they are available at a reasonable price. Therefore, many companies are entering the market to offer budget-friendly watches that can support the styles and aesthetic needs of individuals. For example, in 2020, Apple launched a smartwatch, Apple Watch SE priced at USD 279 with GPS, to fit into the budget friendly category. Other brands like Fossil are spending heavily on in-store promotional activities and working on innovative designs and plans to launch watches at affordable prices.

Competitive Landscape

The market is highly competitive with the presence of key players operating in the market, such as Fossil Group, Inc, Tapestry, Inc., LVMH Moët Hennessy Louis Vuitton SE, Guess Inc, Gucci America Inc., and Guess, among others. The key players in the market have been offerings new products to gain a competitive advantage in the market. For instance, in 2022, Guess Originals launched the spring 2022 collection. The collection offers a wide range of styles for all genders with candy-colored jeans and Y2K-Esque tank dresses standing out amongst the pack. Moreover, companies are also focused on expanding their geographical presence and strengthening their regional market position. For example, in 2022, New Balance expanded its Made in USA production with a new factory in Methuen, Massachusetts. The 80,000-square-foot facility began its sneaker production in January 2022. In addition, companies operating in the market are working to enhance their packaging styles with various sustainable materials. Therefore, this is creating growth opportunities for players with enhanced product offerings.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Please note: This publisher does offer titles that are created upon receipt of order. If you are purchasing a PDF Email Delivery option above, the report will take approximately 2 business days to prepare and deliver.