Philippines Sportswear Market |Philippines Menswear Market |Philippines Footwear Market

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Philippines Apparel and Footwear Marketp Report
2020 Ken Research
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• Philippines apparel and footwear industry has
  been largely driven by the demand for various
  local and international branded products in the
  country. The native population has majorly used
  crude weaving in order to manufacture garments
  since the Spanish era. The apparel/ garment
  industry is the second largest export industry in
  the country and majorly comprises of
  subcontracting operations for international
  brands.

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• Philippines has a costly labour that has affected
  the manufacturing sector in the country and
  therefore majority of the retailers in the
  country purchase imported products from other
  countries such as Thailand and Honk Kong.The
  market has been largely dominated by various
  local players such as Bench and Penshoppe and
  international brands such as Uniqlo, HM, Nike
  and Marks and Spencer.

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• The Philippines apparel and footwear market has
  comprised of the sale of menswear, womens wear
  and children wear. These have further included
  apparel and footwear products on the basis of the
  formal wear, casual wear, active wear and
  others.Local manufacturing organizations which
  produce apparel products have majorly exported
  their products to international markets. Higher
  demand in countries such as the USA and Japan has
  enabled traders to thrive in the Philippine
  apparel market

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• Import has been one of the major factors that
  have driven sales in the local Filipino apparel
  market. With a higher demand of foreign products
  that possess high brand image, imports have
  showcased significant growth over the years
  2009-2014. The apparel industry in Philippines
  has been considered as one of the most steadily
  growing markets in the country. With a CAGR of
  recorded during the time frame 2009-2014, the
  apparel market has observed a number of key
  events which have shaped its growth in the
  country.

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• Due to presence of a large number of natural
  fibers such as abaca, pina, silk and ramie,
  indigenous textile and clothing industry has
  performed well in the past decade. With rise in
  personal disposable income and a keen fashion
  sense of the young urban population to keep
  updated with the latest international fashion
  trends, the per capita expenditure on apparel in
  the Philippines has increased from USD in 2009
  to USD in 2014. Footwear production in the
  Philippines has been majorly propagated through
  manual and semi-mechanized processes. A large
  number of domestic companies have utilized
  leather as the prime raw material for footwear.

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• However, low quality of locally produced leather
  has impelled firms to import leather from foreign
  nations, which in turn has added to the cost of
  production. Two major organizations, namely, the
  Philippine Footwear Federation and Sigla ni
  Kapitan Moy operate in the industry and have
  acted as business support organizations for
  footwear manufacturers. The footwear market in
  the Philippines has expanded at a CAGR of from
  2009-2014 and registered revenue from sales at
  USD million in the year 2014.

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• Moreover, customers have been observed to
  purchase international brands more in comparison
  to local products. The presence of companies such
  as Nike, Adidas and Puma, which provide both
  casual wear and sportswear, has provided a thrust
  to customers to purchase high valued
  international products at affordable prices.
  Global brands have realized the importance of the
  growing Philippines market of apparel and
  footwear. The rapid expansion of economy has
  boosted customer sentiment which has in-turn
  encouraged foreign enterprises to enter the
  Philippine market for apparel and footwear
  products.

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• Store specialists in Philippines have reacted to
  the increase in purchasing power of the people
  and have brought these brands to improve shopping
  preferences of Filipinos.The personal disposable
  income of Philippines has observed a significant
  inflation over the years 2009-2014. This excess
  income has allowed Filipino customers to
  transform their preferences to branded goods in
  modern retail chains. The growing young
  population of Philippines has showcased a
  changing lifestyle with an emphasis on
  convenience and one-stop shops.

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• Hypermarkets and supermarkets have registered a
  CAGR of and respectively during 2010-2012,
  whereas small scale domestic retailers have
  shrunk.The Philippines textile industry has
  focused its efforts to exports to the United
  States of America mostly through the SAVE Act.
  The SAVE Act has led to the expansion of textile
  trade between the US and the Philippines by
  elimination of duties on apparel products.

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• Distribution channels of apparel and footwear
  products have majorly comprised of a large number
  of small scale retailers. However, with the
  heightened international investments and players,
  the establishment of hypermarket and supermarkets
  has diversified the retailing process. The
  apparel industry of Philippines has been a vital
  part of the economy. The increase in diversity of
  apparel products with higher brand value has
  encouraged Filipino customers to spend more on
  quality products. During the time period
  2009-2014 this market has registered a CAGR of
  .

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• The onset of international apparel companies such
  as HM has been one of the major variables which
  have impacted the apparel market in the
  Philippines. Local customers have showcased a
  strong preference for international brands and
  cheaper products. The demand for apparel products
  which include several varieties has been growing
  at a near-consistent rate in the Philippines. In
  2014, a major proportion of apparel sales in the
  Philippines were observed to be made for women
  apparel products. Retailing of apparels by
  females in the country had accounted for of
  the total apparel sales in 2014.

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• During that year, apparels worth USD million
  were purchased by females. On the other hand, the
  purchase of apparels by men only accounted for
  USD million which comprise of of total
  apparel market share. The sales of apparel
  products to the population above the age of 14
  years were recorded as USD million in the same
  year. It must be noted that the population below
  14 years of age comprises majorly of school
  children who generate a higher demand of clothes
  in comparison to the older population.

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• The sales of apparel products to the population
  above the age of 14 years were recorded as USD
  million in the same year. It must be noted that
  the population below 14 years of age comprises
  majorly of school children who generate a higher
  demand of clothes in comparison to the older
  population. Traditionally, Filipino consumers
  have been purchasing apparel products majorly
  during the months of May, November and December.
  The month of May corresponds to the Yuletide
  season that involves opening of schools and
  introduction of freshly manufactured apparels
  from local /native fibers such as abaca and
  ramie.

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