Disrupted Socialization Opportunities Threaten to Create an Existential Crisis for the Fashion Industry. Sports & Fitness Clothing Slumps by -8.5%.

The global market for sports and fitness clothing is expected to plummet by -8.5% in the year 2020 and thereafter recover and grow to reach US$ 231.9 billion by the year 2027, trailing a post COVID-19 CAGR of 4.4% over the analysis period 2020 through 2027.

With social distancing seen as the only available and effective way to slow the spread of the disease until a vaccine arrives, all sporting events have been cancelled in 1st and 2nd quarters 2020 all over the globe. Annual competitions have been suspended, and major sporting events postponed or cancelled ranging from football, cricket, fencing, hockey, Formula 1 racing, cycling, sailing to skiing. The Tokyo 2020 Olympics has been postponed to July 2021.

Few of the other major sporting events cancelled include MLB baseball which was scheduled in March 2020; Nippon Professional Baseball in Japan; KBO League in South Korea; NBA Basketball; South Korean Basketball League; Serie A in Italy; NBL in Australia; EuroLeague: Milan vs. Real Madrid; European Rugby Championship; Super Rugby; Asian skateboarding street championship; Alpine Skiing World Cup; Ski Cross World Cup; Snowboard World Cup; among numerous others.

As a result the sporting industry is faced with immense financial challenges impacting event organizers, sponsors, broadcasting companies and participants alike.

With all sporting events likely to remain muted until 2021, demand for sporting goods such as sports apparel, gloves, and equipment has and will remain impacted. Even as governments around the world begin to cautiously loosen restrictions and reopen the economy, all public places such as gyms, cinema halls, large retail shopping malls, schools, colleges, pubs, bars remain strictly closed. The scenario spells financial ruin for most gyms and fitness centers. Faced with abrupt and complete loss of revenues several gyms are struggling to survive.

Gym memberships are expected to decline sharply in the coming years. Even among the existing customer base, rising unemployment rates, eroding household wealth, and shrinking disposable incomes will push customers to choose budget-friendly fitness options. The ruins of the global economy are made up of failed, collapsing, choking, struggling and decimated industries & businesses and among the vanquished is the apparel industry.