The market size of Indian wear in women's apparel amounted to 747 billion Indian rupees in the financial year 2021. This was a decrease as compared to the previous year. However, this was likely to increase to 1.68 trillion rupees in the financial year 2025.

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Ethnic Wear Market Size 2025-2029

The ethnic wear market size is forecast to increase by USD 45.9 billion at a CAGR of 8.4% between 2024 and 2029.

The market is experiencing significant growth due to several key factors. The expansion of the fashion industry is driving demand for ethnic wear as consumers seek unique and authentic clothing options. Additionally, the increased online presence of ethnic wear brands and retailers is making these products more accessible to a wider audience. Furthermore, Seasonal demand, particularly during festive occasions mainly in women's apparel, contributes to the market's growth. The growing trend of fusion fashion and fast fashion is fueling the popularity of ethnic wear. These trends are shaping the market, providing opportunities for businesses to capitalize on the growing demand for traditional and culturally significant clothing.

What will be the Size of the Ethnic Wear Market During the Forecast Period?

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The market has experienced notable shifts in response to various factors. With the impact of lockdowns and changing client habits, retail sales have seen a significant shift towards online channels. Ethnic wear, including Kurtis, saris, lehengas, and fusion wear, has gained increasing popularity, blurring the lines between traditional and Western clothes. Rapid urbanization and fashion awareness have fueled the demand for ethnic wear, particularly among younger generations. Production models have evolved, with an emphasis on value chains that prioritize sustainability and ethical labor practices. Fashion influencers and micro-influencers have played a pivotal role in shaping buying behavior, with social media advertising becoming a key strategy for reaching consumers.



High-end brands have entered the market with limited-edition goods, catering to the corporate world's demand for formal ethnic wear. The apparel industry's evolution has led to the emergence of various sales channels, including specialty stores, retail stores, and e-commerce platforms. Kids' ethnic wear has also gained traction, reflecting the growing trend of passing down cultural traditions. Rooted in historical tradition, this has evolved into fusion clothing, blending traditional garments like Kurtis, saris, and lehengas with modern apparel like jeans, crop tops, and shirts. Overall, the market continues to evolve, offering exciting opportunities for businesses and consumers alike.

How is this Ethnic Wear Industry segmented and which is the largest segment?

The ethnic wear industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for 2025-2029, as well as historical data from 2019-2023 for the following segments.

End-user

  Women
  Men
  Kids


Distribution Channel

  Offline
  Online


Geography

  APAC

    China
    India
    Japan
    South Korea
    Singapore


  North America

    Canada
    US


  Europe

    Germany


  South America

    Brazil
    Argentina


  Middle East and Africa

By End-user Insights

The women segment is estimated to witness significant growth during the forecast period.

Ethnic wear, consisting of Kurtis, Saris, and Lehengas, holds a significant market share within the apparel industry, particularly among women. In 2024, this segment accounted for the largest revenue share. Cultural events, festivals, weddings, and various occasions drive the demand, which is popular among women in countries with diverse cultural backgrounds, including India, Pakistan, and Bangladesh. The fashion industry's growth and globalization have led to the emergence of fusion wear, combining traditional ethnic styles with modern trends.

Additionally, the workplace has become an expanding market. Social media advertising and influencers, both micro and macro, significantly impact consumer behavior, driving the market's growth.

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The women segment was valued at USD 35.40 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 35% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market share of various regions, Request Free Sample

Ethnic wear holds significant cultural importance in Asia, with traditional clothing worn during various occasions such as weddings, festivals, and religious ceremonies. The Asian continent's rich diversity in styles and designs has fueled the popularity of ethnic wear. In recent years, the fashion industry in the Asia Pacific (APAC) has evolved, blending traditional designs and fabrics with modern clothing. This

The market size of women's ethnic wear across India in the financial year 2020 was approximately 17 billion U.S. dollars and was estimated to reach more than 24 billion dollars by 2025. The surety of having clothing that goes with specific occasions, including festivals and weddings ensures a growth in this market, in both urban and rural areas.

The share of unorganized retail in the women's Indian wear market was 72 percent in fiscal year 2021. In comparison, the share of organized retail in the women's ethnic wear market was 28 percent during the same year.

In financial year 2021, the market value of women's traditional wear through the ecommerce channel was about 131 billion Indian rupees. In comparison, the market value through the multi brand outlets was over seven billion rupees.

In fiscal year 2021, the market size of saree and others in the women's ethnic wear amounted to over 384 billion Indian rupees. In comparison, salwar kameez dupattas was valued at about 363 billion rupees during the same period.

The leading brand with the highest market share for ethnic apparel in India for women was TCNS (selling under brands like W and Aurelia) with about 23 percent, followed by BIBA with about 18 percent of this market during 2016. Sarees accounted for the highest share of the women's apparel market in 2014.

The women's apparel market was projected to reach nearly 39 billion U.S. dollars by 2025 in India, a significant increase from 2015. The rise in the working women population in India projected this growth in the apparel market over the next decade, among other reasons. Ethnic wear had the largest market value within the sector. Festivals and special occasions were the primary reasons for ethnic wear purchase among Indians according to a survey by ProdegeMR.On the other hand, casual wear had the largest value in the men’s clothing segment, which accounted for a share of 27 percent in 2018. Overall, the apparel industry across the south Asian country was valued at over five trillion rupees that year. Clothing and festivals –the perfect pair Diverse cultural and religious beliefs give the nation plenty of opportunities to come together and celebrate its unity in diversity. The combination of ethnic and western wear, with the introduction of fusion styles combined with growing population, specifically in the middle class had resulted in an increased demand for clothing. The role of online shopping Internet growth and accessibility in India opened doors to a number of business opportunities. E-commerce had a share of about five percent in the total retail sales of the country [external-link]. The Indian e-commerce market was the second largest across the globe. The kidswear segment was the latest beneficiary of this increased internet accessibility. The fashion segment for kids was estimated to reach 14 billion U.S. dollars in 2020. Changes in the urban and rural lifestyle, along with social media influence are likely to propel the online as well as offline apparel industry to further growth in the coming future.

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Islamic Clothing Market Size 2025-2029

The Islamic clothing market size is forecast to increase by USD 59.2 billion, at a CAGR of 9.1% between 2024 and 2029.

The market, encompassing apparel, sports apparel, swimwear, and ethnic wear, is experiencing significant growth in the digital realm. Key drivers include the rise in product visibility and accessibility through e-commerce platforms, as well as the increasing adoption of omni-channel retailing. However, challenges persist, such as the availability of counterfeit Islamic clothing items online. Brands and retailers must prioritize logistics and security measures to ensure authenticity and customer satisfaction. In the US and North American markets, labels specializing in Islamic clothing continue to expand their online presence, catering to the needs of a growing consumer base seeking modest and culturally appropriate attire. The use of technology, including computers and mobile devices, facilitates seamless shopping experiences for this demographic.

What will be the Size of the Islamic Clothing Market During the Forecast Period?

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The market, also known as the Muslim consumer segment within the Islamic fashion industry, caters to the unique needs and preferences of the global Islamic population. This market encompasses a diverse range of apparel, including abayas, hijabs, prayer outfits, thobes, jubbas, and various forms of head coverings such as the burqa and niqab. The market's growth is driven by the increasing global Islamic population, which is projected to reach 2.2 billion by 2030, and the rising demand for modest fashion that adheres to Islamic dress codes. Online retail distribution channels have significantly influenced the market's expansion, providing convenience and accessibility to consumers.
The lifestyle apparel sector, which includes sportswear for both Islamic men and women, has also gained traction due to the growing interest in health and fitness. Multinational fashion brands have increasingly entered this market, recognizing the potential for consumer investments and product consumption. Despite the growth, challenges persist, including negative reviews and the need for improved product quality and authenticity. Overall, the market continues to evolve, reflecting the diverse needs and preferences of its global consumer base.

How is this Islamic Clothing Industry segmented and which is the largest segment?

The Islamic clothing industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Ethnic wear
  Sustainable fashion
  Sports wear


End-user

  Islamic women
  Islamic men


Distribution Channel

  Online
  Offline


Geography

  Middle East and Africa

    Egypt
    Nigeria


  APAC

    India
    South Korea


  Europe



  North America

    US


  South America

By Product Insights

The ethnic wear segment is estimated to witness significant growth during the forecast period.

The market caters to the unique needs of Muslim consumers, offering apparel that adheres to Islamic principles. This market encompasses various segments, including abayas, hijabs, prayer outfits, burqas, and niqabs for women, and thobes, jubbas, and sports and fitness wear for men. The Muslim population, estimated at 1.8 billion, presents a significant potential customer base for this industry. Islamic fashion industry growth is driven by cultural and lifestyle factors, particularly in Muslim majority economies. Younger generations are increasingly embracing innovative clothing designs that blend traditional Islamic clothing with contemporary styles, creating a demand for modest fashion wear. Ethnic wear, a popular segment, is particularly sought after during cultural events and significant occasions.

The sports industry also presents opportunities for the market growth, with the increasing popularity of sports hijabs. Consumer investments in sustainable fashion are also influencing the industry. Multinational fashion brands and high street brands are increasingly catering to this market, offering a range of options from luxury to affordable prices. E-commerce platforms are facilitating online retail distribution, addressing logistical issues and expanding market reach.

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The ethnic wear segment was valued at USD 69.50 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 39% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insig

Salwar kameez dominated the Indian women's apparel market with a market size of over 440 billion Indian rupees in 2018. Saree also remained popular with a market value of over 400 billion rupees in that year. Western attire such as tops, shirts, or denim had a significantly lower market value with less than 30 million rupees each.

India’s apparel market
Along with a growing population, India’s apparel market is expected to grow significantly in the years to come. While men have a slightly higher share in the subcontinent’s apparel market, the retail of women’s apparel is expected to catch up, so that in 2025 women’s apparel may dominate the market. Although India’s apparel retail mostly takes place in traditional retail settings, e-tailing of fashion is emerging as a new stronghold in the market. Considering the ongoing coronavirus pandemic, new technologies such as online fitting options may emerge as game-changers in apparel retail.

Ethnic attire of India   While India’s male population preferred western apparel over ethnic apparel, India’s women showed a preference for ethnic attire. The salwar kameez, composed of wide trousers, a dress-like kurta, and usually a long stole is a particularly comfortable dress. The elegant saree is among the most recognizable piece of female apparel on the subcontinent, with each region having its own unique draping style. Festivals, special occasions, and weddings were the most important occasions for purchasing new ethnic attire. In contrast, personal choice for ethnic attire plays a rather minor role for women in India.

Salwar Kameez or shorter kurtis were the main categories in India's ethnic wear market for women with a share of 51 percent in 2020. The retail of sarees contributed more than 40 percent. Petticoats and blouses, mainly used for sarees, made up a share of only seven percent.

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Online Clothing Rental Market Size 2025-2029

The online clothing rental market size is forecast to increase by USD 1.16 billion at a CAGR of 7.1% between 2024 and 2029.

The growing e-commerce fashion industry is the key driver of the online clothing rental market, as consumers increasingly turn to online platforms and e-commerce retail for convenient, affordable access to apparel. 
An upcoming trend is the rising popularity of experiential marketing, where brands create memorable experiences to attract customers and increase engagement. However, a weak inventory management system is a key challenge, as it can lead to stockouts, delays, and poor customer experience, hindering the growth and efficiency of the market.

What will be the Size of the Market During the Forecast Period?

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How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

End-user

  Women
  Men
  Children


Type

  Formal
  Casual
  Traditional


Business Model

  Subscription based
  Standalone
  Peer to Peer


Geography

  North America

    Canada
    US


  Europe

    Germany
    UK
    France
    Italy


  APAC

    China
    India
    Japan
    South Korea


  South America



  Middle East and Africa

By End-user Insights

The women segment is estimated to witness significant growth during the forecast period. The market is experiencing growth due to the increasing preference for renting occasion wear among women. With a growing awareness of sustainable fashion and reducing clothing waste, the market is projected to expand during the forecast period. Women's segment is expected to dominate the market as they prioritize clothing choices based on various occasions, including formal meetings, parties, weddings, and outdoor activities.

Renting allows them to access high-end formal clothes, luxury footwear, premium jackets, suits, and sports apparel for special events without the need for extensive purchasing. Online clothing rental also addresses the environmental concern of reducing textile waste by promoting the circular economy. This trend is particularly relevant for formal clothes, which are often worn only once or a few times, making rental an economical and eco-friendly alternative.

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The women segment was valued at USD 1.69 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

North America is estimated to contribute 51% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The market in North America is a significant and mature sector, driven by the well-established e-commerce industry and high Internet penetration in the region. With approximately 92% of the US population using the Internet in 2023, the United States is a major player in the global online market. companies in this market are differentiating themselves through various strategies due to the fragmented competition. Key growth factors include the high demand for premium and luxury clothing, the presence of fashion clusters, and the increasing consumer preference for sustainable clothing. The US dominates the market in North America.

Market Dynamics

In the dynamic world of retail, the shift towards online shopping portals has been a game-changer. The online retail industry, encompassing a vast array of product categories, has significantly impacted the fashion sector. Fashion vlogs and social media have fueled the demand for the latest trends, driving consumers to seek out the newest styles from the comfort of their homes. The film industry, too, has contributed to this trend, with actors and actresses frequently showcasing their red-carpet looks on social media. This has led to a growth in demand for luxury designer dresses, bridal wear, and formal clothing items from both consumers and garment manufacturers. Furthermore, fashion brands have responded to this shift by increasing their online presence, offering a wide range of clothing activities, from casual wear to men's wedding outfits, designer dresses, and international designer labels.

Consumers' fashion sense has evolved, with an emphasis on versatility and style, making online shopping a convenient and accessible solution. Fashion trends are no longer limited to specific regions or seasons, with consumers seeking the latest styles from around the world. Online shopping has made it possible for consumers to explore vario

According to Cognitive Market Research, the global Western Wear market size is USD 68154.2 million in 2024 and will expand at a compound annual growth rate (CAGR) of 3.00% from 2024 to 2031.

North America held the major market of more than 40% of the global revenue with a market size of USD 27261.68 million in 2024 and will grow at a compound annual growth rate (CAGR) of 1.2% from 2024 to 2031.
Europe accounted for a share of over 30% of the global market size of USD 20445.26 million.
Asia Pacific held the market of around 23% of the global revenue with a market size of USD 15675.47 million in 2024 and will grow at a compound annual growth rate (CAGR) of 5.0% from 2024 to 2031.
Latin America holds the market of more than 5% of the global revenue with a market size of USD 3407.71 million in 2024 and will grow at a compound annual growth rate (CAGR) of 2.4% from 2024 to 2031.
Middle East and Africa held the market of around 2% of the global revenue with a market size of USD 1363.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 2.7% from 2024 to 2031.
The Women held the highest Western Wear market revenue share in 2024.

Market Dynamics of Western Wear Market

Key Drivers for Western Wear Market

Fashion Trends and Celebrity Influence to Increase the Demand Globally

Western wear is gaining momentum in the fashion industry, with a surge in celebrities and style influencers embracing this fashion. Cowboy boots, denim shirts, and fringed jackets have become staples in wardrobes, crossing over from traditional Western settings to mainstream fashion. High-profile celebrities and social media influencers play a key role in using this fashion, often showcasing Western-stimulated clothing in tune videos, red-carpet events, and social media posts. This significant publicity no longer captures purchaser interest but also affects market trends, as extra fashion manufacturers incorporate Western elements in their collections. The impact of celeb style is great, creating a ripple effect that attracts a broader target market to the Western wear aesthetic, reinforcing its recognition in current fashion.

Growing Consumer Interest in Authenticity to Propel Market Growth

Consumer interest in authenticity is growing, with many in search of specific patterns that allow for non-public expression. Western put-on, with its special aesthetic, offers a compelling alternative to mainstream fashion trends. Items like cowboy boots, denim shirts, and huge-brimmed hats are not only visually striking, but they also bring an experience of records and cultural history. This appeal to authenticity draws purchasers searching to break away from the industrially produced style and embrace a style that reflects individuality and character. As a result, Western-inspired apparel has come to be a famous desire for those searching for a unique style identity. This fashion aligns with a broader shift closer to significant and expressive fashion selections, reinforcing the demand for Western wear in modern-day wardrobes.

Restraint Factor for the Western Wear Market

High Cost of Branded Clothing to Limit the Sales

The high cost of branded Western wear poses a barrier for budget-aware clients, specifically when it comes to great leather items and fashion designer portions. Western-inspired apparel, including cowboy boots and leather-based jackets, often requires top-rate materials and craftsmanship, leading to elevated costs. Additionally, famous manufacturers and clothier labels command higher fees due to their reputation and exclusivity. This fee premium can restrict Western's accessibility, making it tough for those with limited budgets to afford authentic, outstanding items. As a result, some purchasers may choose much less luxurious, heavily produced options, doubtlessly impacting the call for branded Western put on. This cost barrier underscores the need for extra, less costly options to make the Western wear trend available to a broader target market.

Impact of Covid-19 on the Western Wear Market

The COVID-19 pandemic impacted the Western put-on marketplace with preliminary disruptions due to lockdowns and supply chain interruptions. Retail closures and decreased patron spending brought about a decline in sales, affecting both brick-and-mortar shops and online systems. Many manufacturers and outlets faced challenges in manufacturing and distribution, similarly slowing the market. H...

The market size of women's apparel was worth over five trillion Indian rupees in the financial year 2023. This was an increase as compared to the previous year. The market size was likely to increase by twofold in the financial year 2027.

The growth rate of Western and innerwear in India's female apparel market was estimated at 14 percent between 2020 and 2025. Although ethnic apparel is the largest segment in India's female apparel market, its growth rate is the lowest with only 12 percent.

The Online Clothing Rental Market is projected to grow at 10.9% CAGR, reaching $2.9 Billion by 2029. Where is the industry heading next? Get the sample report now!

Ethnic apparel made up a share of 61 percent in India's apparel retail market in India in 2020. Comparing to 2015 this share decreased, while the innerwear market significantly expanded. Western apparel for women was still relatively unpopular on the subcontinent with a share of only 12 percent.

Both economy and mid shirts segment contributed to 36 percent each of the total women's shirts market share in 2017 across the country. Surprisingly, the super premium shirts segment contributed more than the premium shirt segment in that year. The women's shirt category accounts for two percent in the women's clothing market. The latter is dominated by ethnic apparel.

Salwar kameez/ethnic segment had the highest share of 34 percent of the women's apparel market in 2018 across the country. Notably, salwar kameez, saree and innerwear segment together contributed about 80 percent of the total women's apparel market in that year.

According to the survey carried out by ProdegeMR, around 81 percent of respondents bought apparel online from Amazon's Indian platform in May 2019. About 76 percent preferred the domestic e-commerce retailer Flipkart for apparel purchases.

 E-tail versus traditional retail
Traditional kirana stores, which are mostly family-owned, were the dominant type of retailers in India. Online retail, in contrast, only recently emerged as a contender on the subcontinent’s retail landscape. Many Indian e-tail unicorns such as Snapdeal attracted high investments and shaped Indian e-commerce into being dominated by apparel retail par on par with electronics. The Indian e-tail sector is expected to grow, especially during the coronavirus pandemic, when more people switched to online retail as physical stores were shut due to the nationwide lockdowns.

 India’s style   The multiculturality of the Indian subcontinent is reflected in its clothes. Regional clothing styles contribute to a large market for ethnic apparel retail alongside the western apparel market. While men predominantly wear western clothes, women preferred ethnic clothing. Apart from outer apparel, innerwear has emerged as a growing market.