PUBLISHER: The Business Research Company | PRODUCT CODE: 1672345
PUBLISHER: The Business Research Company | PRODUCT CODE: 1672345
Fashion e-commerce is the online buying and selling of clothing and accessories. Fashion goods include fashion accessories, clothes, shoes, bags, jewelry, cosmetics, and other luxury goods.
The main products of fashion e-commerce are apparel and clothing, accessories, footwear, cosmetics, and other products. Accessories refer to items of equipment that are not usually essential, but which are used with or added to something else to make it more efficient, useful, or decorative. The different model types are business to business (B2B) and business to consumer (B2C). The various end-users involved are men, women, and children.
The fashion e-commerce market research report is one of a series of new reports from The Business Research Company that provides fashion e-commerce market statistics, including fashion e-commerce industry global market size, regional shares, competitors with a fashion e-commerce market share, detailed fashion e-commerce market segments, market trends and opportunities, and any further data you may need to thrive in the fashion e-commerce industry. This fashion e-commerce market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The fashion e-commerce market size has grown strongly in recent years. It will grow from $888.56 billion in 2024 to $974.87 billion in 2025 at a compound annual growth rate (CAGR) of 9.7%. The growth in the historic period can be attributed to increase in online mode of payment, rise in disposable income, increased internet penetration and low interest rate environment.
The fashion e-commerce market size is expected to see rapid growth in the next few years. It will grow to $1505.09 billion in 2029 at a compound annual growth rate (CAGR) of 11.5%. The growth in the forecast period can be attributed to increasing new payment modes, rising awareness about e-commerce, global economic growth, increasing mobile phone penetration, changing customer preferences, and rapid urbanization. Major trends in the forecast period include use of artificial intelligence (AI) powered virtual assistants, use of augmented reality, increasing demand for sustainable and ethical fashion.
The fashion e-commerce industry is poised for expansion, driven by the increasing prevalence of internet usage and smartphone adoption. As of February 2023, data from Uswitch Limited, a UK-based financial conduct authority, revealed a notable surge in mobile connections in the UK, reaching 71.8 million, reflecting a 3.8% increase from 2021. Projections indicate that by 2025, the UK's population will grow to 68.3 million, with approximately 95% (around 65 million individuals) owning smartphones. This surge in smartphone ownership is correlated with a rise in online shoppers, fostering heightened demand for various e-commerce sectors, including the online fashion industry, thereby driving increased revenue throughout the forecast period.
The growth of the fashion e-commerce market is further accelerated by the advent of social media platforms. Social networking platforms, encompassing websites and mobile applications, provide users with opportunities to connect, share content, and engage with brands. These platforms play a pivotal role in boosting the fashion e-commerce landscape by elevating brand visibility, leveraging influencer marketing, fostering customer engagement, visually showcasing products, and incorporating user-generated content. Additionally, social media platforms enable direct shopping through features such as shoppable posts and ads, facilitate trend discovery, support targeted advertising, promote social commerce, create a sense of urgency, drive viral marketing, and influence purchasing decisions through user recommendations. For instance, Meta, a US-based multinational technology company, reported that as of September 2022, Facebook had an average of 1.98 billion daily active users (DAUs), representing a 3% year-over-year increase. Consequently, the emergence and widespread usage of social media platforms stand as a driving force behind the continued growth of the fashion e-commerce market.
The incorporation of artificial intelligence (AI) into fashion e-commerce stands out as a prominent and widely adopted trend in the market. Companies operating in this sector are actively working towards creating personalized experiences for their customers. This involves leveraging AI in conjunction with algorithms to engage in meaningful conversations with potential buyers and offer style recommendations. Through the use of sophisticated algorithms, products that align with the customer's preferences are suggested. An illustrative example is the collaboration between H&M Group, a Sweden-based clothing company, and Google Cloud, a US-based cloud computing services provider, in 2022. This strategic partnership aimed to enhance customer experiences and optimize internal supply chains through advanced machine learning (ML) and artificial intelligence (AI) capabilities. The collaboration featured the implementation of an enterprise data backbone and a core data platform to elevate customer experiences and streamline supply chain processes at H&M. Notably, this partnership builds on a previous collaboration between H&M and Google, where AI-based style suggestions were provided by analyzing individual activities and interests over a week.
Major players in the fashion e-commerce market are actively integrating AI into their applications, seeking a competitive advantage. AI-based personalization, a key aspect of this trend, involves utilizing AI technologies such as machine learning and data analysis to tailor user experiences, content recommendations, and services based on individual preferences, behavior, and historical data. This approach enhances user engagement and satisfaction. As an example, in May 2023, Myntra, an India-based fashion e-commerce company, introduced 'My Stylist,' an innovative fashion feature on their app. My Stylist employs AI algorithms, deep learning models, and computer vision to recommend complete, personalized outfits from their extensive fashion catalog. This feature assists existing customers in discovering and shopping for complete looks based on recent app purchases and browsed products. New customers can also benefit by uploading images of their offline wardrobe items for outfit pairing ideas, ensuring a seamless shopping experience.
In October 2022, V-Mart, an India-based value retail chain, acquired LimeRoad, an India-based online fashion marketplace, for an undisclosed amount. This strategic acquisition aims to synergize the expertise of both companies and deliver trending fashion offerings to their respective consumer bases.
Major companies operating in the fashion e-commerce market include Amazon, Zalando, Alibaba, eBay, Flipkart, ASOS, Stitch Fix, Boohoo.com, Global Fashion Group, Farfetch, Myntra, Snapdeal, PayTM, Shopclues, Ajio, MERCARI, Zozo Town, Mash Style Lab, Trinity Arts, FIVEFOXes, F.O. International, Onwards Kashiyama, Origami, H&M, Zara, JD.com, Meituan, Bestseller Fashion Group China, Jack & Jones, Hodo, Threegun, Saint Angelo, LILANZ and Mercury Home Textile, Ted Baker, GAP, zalando.de, bonprix.de, otto.de, eBay Kleinanzeigen, Blisly, RedFox, Oodji, BTC Group, Melon Fashion Group, Aliexpress.ru, Ozon.ru, Eldorado.ru, Dns-shop.ru, Mvideo.ru, Wildberries.ru, Ulmart.ru, Lamoda.ru, Citilink.ru, Macys, Nordstorm, Revolve, Net-a-porter, Mercadolibre, Amazon Brazil, Americanas, Magalu, Netshoes, Submarino, Shoptime, Noon, Ounaas, Sivvi, Ourshopee, Next UAE, Industrie Africa, Afrikrea, Kisua, The Folklore.
Asia-Pacific was the largest region in the fashion e-commerce market in 2024. Western Europe was the second largest region in the global fashion e-commerce market share. The regions covered in the fashion e-commerce market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the fashion e-commerce market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain
The fashion e-commerce market includes revenues earned by entities by several online platforms and tools for trading fashion products. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Fashion E-Commerce Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on fashion e-commerce market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for fashion e-commerce ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The fashion e-commerce market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.