Amid Inflation, Competitive Price Points Drive Apparel Retail

Amid Inflation, Competitive Price Points Drive Apparel Retail

With inflationary pressures mounting, competitive prices of apparels are becoming more significant, according to Joor’s annual study, which is a digital wholesale platform.

Findings from Joor’s latest whitepaper reveal a trend among global fashion retailers toward selecting wholesale products at lower price points.

The average price per clothing ordered on Joor experienced a decline of 8 percent in the first quarter of 2024 as against the same quarter of earlier year, despite high prevailing inflation conditions.

This drop was observed across all global markets, with the most notable decreases recorded in EMEA at 8 percent and North America at 7 percent.

As against this, the average price point purchased in the APAC region reflected a lesser fall at 3 percent.

The whitepaper underscored the growing significance of competitive price points amid a challenging retail environment.

Additionally, the survey observed a noticeable shift in buyers’ priorities, with 29 percent now quoting, offering a lower price point as an important factor in evaluating brands as against 25 percent in 2023.

75 percent of brands reported that their sales volume was equal to or exceeded last year’s figures, with 49 percent observing a hike in their global which Joor believes is a testament to its global presence.

“Additionally, 62 percent of buyers reported maintaining open-to-buy budgets this spring that were equal to or greater than last year’s,” Just Style reported.

This underscores buyer interest in exploring new brands that offer unique positioning and fulfill distinct market needs, a proof with 84 percent expressing medium to high interest in discovering such brands.

In April, Joor announced ‘Sustainability in Focus’, an event where it will present fashion brands from around the world.

These brands will be those that invest and are committed to supporting sustainability through materials, manufacturing, packaging, circularity and fair trade, and labour practices.