Wednesday, July 20, 2011

Bulging Closets


An interesting historical perspective on women's clothes and a classic case of elasticity of demand. The story for men's clothing is probably fairly similar.

From Etsy...
Fast forward fifty years and the price of mass-market fashion has plummeted, as the garment industry has moved to lower wage countries. We now only make 3% of our apparel in the United States, down from 90% in 1955.

As clothes have become cheaper, our clothing consumption has gone through the roof. In 1930, the average American woman owned an average of nine outfits. Today, we each buy more than 60 pieces of new clothing on average per year. Our closets are larger and more stuffed than ever, as we’ve traded quality and style for low prices and trend-chasing. In the face of these irresistible deals, our total spending on clothing has actually increased, from $7.82 billion spent on apparel in 1950 to $375 billion today. And the discounters are reaping the rewards. According to the latest Standard & Poor’s Industry Survey, the average American consumer is primarily looking for value with an impulse-buy standard of quality when they purchase clothing. As a result, H&M, Zara, and Wal-Mart — all discounters who sell low-quality clothing — are now the most powerful clothing brands in America.

No comments:

LinkWithin

Related Posts