High-end jeans sales are looking blue, while sales of more affordable jeans like Levi’s and Lee remain strong, according to market research firm NPD Group.
The apparel industry as a whole suffered during the recession, but the $13 billion dollar denim business grew 17 percent last year, said an article in USAToday. Consumers, however, are growing less willing to spend on super-premium jeans that cost $200 or more.
“The economy shifted, and all of a sudden those outrageous prices actually look outrageous,” NPD chief retail analyst Marshal Cohen told USAToday. “The super-premium jean business has dropped off tremendously because the inspirational shoppers aren’t going up that high, and luxury customers aren’t buying two or three pairs anymore.”
Brands with eye-popping prices such as True Religion, 7 for All of Mankind and Citizens of Humanity are scrambling to keep customers by opening their own stores, expanding into other merchandise, and, in some cases, lowering prices.
Topher Gaylord, president of 7 for All of Mankind, said his jeans are worth the hefty price tag. “It’s the whiskering of the denim, the wash … and taking raw denim and creating artistic interpretation,” he said to USAToday.
Meanwhile, lower-end jeans makers such as Levi’s, Wrangler and the Gap are diversifying the fit and fabric of their jeans to retain customers and attract new buyers.
This article was submitted by Katie Kapler, Director of Online Strategy for Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to firstname.lastname@example.org.