Apparel on Amazon
The Amazon apparel category available information showed growing numbers. We used information from early 2018 to the end of the same year. Additional and more complete reports are available to buy from Statista and Digital Commerce 360.com.
Amazon apparel category overview
According to Coresight, the Amazon general apparel category is growing and changing fast. Here some of the most interesting highlights.
Growth: Across men’s and women’s clothing, the study recorded a total of 1.12 million products, an increase of 27.3% between February and September 2018.
Offer: Amazon is now re balancing its offering, with strong growth in listings for formal categories such as suiting. Coresight recorded a 98.6% increase in women’s suiting and blazer listings and a 52.2% rise in men’s suit and sport coat listings between February and September 2018. Based on a 2018 survey by Morgan Stanley, some of the most popular items sold in the Clothing, Shoes & Jewelry category include:
- Casual tops (68% of respondents purchased)
- Casual bottoms (38%)
- Shoes (48%)
- Athletic wear (34%)
- Accessories (26%)
- Dresses (23%)
- Underwear (24%)
Ranking: In different sources like this and this, we found that the Clothing, Shoes & Jewelry category is the 6th most popular of amazon.com.
Businesses in the category that are doing well.
- Amazon Essentials/Collection
According to MarketPlacePulse.com, Amazon is using its knowledge to steer shoppers toward its in-house brands. Good examples are Amazon Essentials and Amazon Collection. These are private label brands, and based on customer feedback, they offer more comfortable, long-lasting, and affordable price products.
Amazon Collection (Jewelry), and Amazon Essentials (Clothes) are the 2nd and 3rd largest private label brands with 12,5% of the market share. Brands with “Amazon” in the name are performing well, while others with unrecognizable and disposable names are not performing as well, so we think that using the word "Amazon" is a significant advantage.
Amazon customer’s behavior is shifted from a brand-driven world observed elsewhere to a needs-based decision process. According to Julie Creswell, about 70% of the searches done on Amazon’s browser are for generic goods. That means users are looking for “men’s underwear” or “running shoes” and not for specific brands.
30% of products of the top 10 brands are rated 4.5 or more, and 83% are rated 4.0 or more, so it is another important driver for customers when they are choosing a product.
It’s another Amazon private label brand that specializes in cozy lounge wear and casual basics. Besides the advantage that means being an Amazon brand, Daily Ritual colors are mostly neutrals like black, white, and gray, making it easy to mix and match, and the majority of their styles also come in plus sizes, and this is boosting its performance on Amazon.
The products also are reasonably priced, the whole line is relatively inexpensive, with most dresses costing around $30 and two-packs priced at an average of $20 total. The leggings are all under $20.
Some blogs have sponsored posts with reviews inviting to know the brand and leading traffic to its Amazon site. It was not possible to check, but it seems that the brand uses social media influencers too.
- Tommy Hilfiger
According to the Nomura report, since 2018, Amazon offers a bigger selection of Tommy Hilfiger clothing than Macy's and JCPenney do.
The brand has had a strong presence in department stores, however, the Nomura data shows that Tommy Hilfiger shifted away from this channel. Offer a bigger selection of clothing on Amazon seems to have boosted the brand’s performance.
Advertising opportunities for the category
Advertisers can be creative using customer reviews. It’s possible to use the competition’s successes and weaknesses, for example, to identify keywords on their positive reviews and use them on new ads. And not just like keywords, but to create a related blog or social posts and other content.
Examining the negative reviews, we can find what Amazon customers are looking for and not getting elsewhere. It can be used to create ads like “Did you buy X Product and it wasn’t what you wanted? We know how it feels” to get engaged with disappointed users.
Amazon is building a pay-to-play business that favors companies with the budgets to build out enriched content and spend on-site advertising. The message is clear: prepare to create enriched content and assign some budget to promote it on Amazon.
We started the research looking for information about the apparel category on Amazon, and we found two serious sources indicating its growth in sales and the number of available products. We found a complete report related to Amazon private label brands, and it was used to get some highlights about how brands are performing on the platform. In the case of Tommy Hilfiger, we crossed information from Coresight Research and the Nomura report. To the ad opportunities, we made an analysis based on digiday.com information.