Introduction:
The footwear industry is always evolving with the changing consumer preferences. With innovation in technology and increasing innovation, the sector is experiencing a significant surge in growth around the globe. According to a recent report published by CRISIL, the footwear sector revenue is set to rise by 11% this fiscal year in India and is estimated to reach INR 50,000 crore by 2024. In this blog post, we aim to provide you with insights into the footwear industry, its current state, and future growth prospects.
Global Footwear Industry Overview:
The global footwear market is growing at a CAGR of 4.5% and is expected to reach USD 320.44 billion by 2023. The rising disposable income, increasing fashion-conscious population, and the shift towards casual footwear have been driving the growth of the sector. The footwear market is highly competitive, and companies that cater to consumers’ preferences for style, comfort, and affordability will succeed in the long run.
Footwear Industry in India:
India is the second-largest global producer of footwear after China. The footwear sector in India is growing rapidly, and it is expected to become a USD 15.5 billion industry by 2025, growing at a CAGR of 12%. The increasing demand for fashionable and comfortable footwear, a rise in disposable income, and direct foreign investments are some of the major growth drivers of this sector.
Growth Drivers:
The footwear industry’s growth is driven by various factors such as the rise in consumer income, changing fashion trends, and the demand for comfortable and stylish shoes. The market is also driven the adoption of technological advancements, such as 3D printing, which enables manufacturers to produce customizable and personalized shoes that fit perfectly.
Online Sales:
The rise in e-commerce platforms and online sales have boosted the footwear market’s growth in recent years. Online sales dominate the Indian footwear market, and this trend is expected to continue. Online shopping for footwear offers convenience, affordability, and varied options, and this has influenced customers’ purchasing decisions.
Impact of COVID-19:
The COVID-19 pandemic has affected many industries worldwide, and the footwear sector has not been spared. The footwear sector has seen a decrease in sales during the pandemic due to store closures, supply chain disruptions, and overall consumer reluctance to shop. However, e-commerce platforms have helped the industry hold on to some sales, and with the easing of restrictions, the sector is expected to recover.
Conclusion:
The footwear industry has witnessed significant growth in recent times, driven by changing consumer preferences, rising disposable incomes, and technological advancements. The Indian footwear industry has become an integral part of the country’s economy, and it is expected to continue to rise in the coming years. The COVID-19 pandemic may have slowed down the growth of the sector, but with the easing of restrictions and the adoption of safety norms, it is expected to recover and continue its growth trajectory. As the footwear sector continues to evolve, companies that focus on innovation, affordability, and style are likely to gain the upper hand and succeed in the long run.
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