A new research report by Transparency Market Research on the global footwear market expects that the market will develop at a pace of 3% CAGR during the projection period of 2017 to 2025. With this steady rate of growth the valuation of the market will jump from US$215709.0 mn in 2015 to US$278860.7 mn by 2025. Based on the type of footwear, the segment on non-athletic footwear has been a dominant one in the global footwear market. This segment accounted for nearly 52.9% of the overall market share back in 2016.
Mergers and Acquisitions are Top Priority for Leading Market Players
The competitive landscape of the global footwear marker continues to show intense competition in recent years. Some of the leading companies in the market have had significant share in the market. In 2016, the overall market share of a few established companies cumulatively was around 72.1%. A few global brands in the footwear market include names such as Nike Inc., Adidas AG, Bata Limited, Puma SE, Asics Corp., Jack Wolfskin, The Aldo Group Inc., VF Corp, Kathmandu Holdings Limited, Columbia Sportswear Company, Sympatex Technologies, and WL Gore & Associates Inc. among others. Several of these leading players are adopting strategies such as mergers and acquisition to bolster their business portfolio. For instance, in 2015, Runtastic, a fitness app maker based in Austria, was acquired by Adidas for US$240 million.
Asia Pacific to Continue to Dominate World Market
In terms of geographical segmentation, the global footwear market is divided into five key regions viz. North America, Latin America, Middle East and Africa, Asia Pacific, and Europe. Currently, the regional segment of Asia Pacific dominates the global footwear market. In 2016, the regional accounted for around 40.5% of the overall market share. Increasing spending power, urbanization, and influence of latest fashion trends are some of the key reasons behind the growth of the footwear market in the Asia Pacific region. Moreover, the presence of two massively populated countries in India and China have opened up a huge market spaces for the leading players to tap into. With aggressive market strategies such as collaborations with retail and ecommerce partners, celebrity endorsements, and competitive pricing, the Asia Pacific market has become of the most lucrative market hub for the leading players in the global footwear market. This has thus helped in the development of the region.