 From 1994 to 2001, there have been three significant shifts in apparel outlet preference patterns. First, fewer consumers are shopping for apparel at department and chain stores overall, while more are shopping at mass merchants. This shift has put deflationary pressure on average apparel prices and has been the impetus for markdowns at retail. Second, minorities are shopping more at specialty stores, a trend that has taken black and Hispanic shoppers away from department stores. In contrast, the preference of Asian Americans for department stores increased to 34% in 2001, up from 29% in 1994, while only 7% said they were shopping mainly at chain stores this year, down significantly from 23% in 1994. Finally, significantly fewer white consumers now say they shop for clothes mostly at department stores, while significantly more are shopping “down market” at mass merchants. Most of these trends hold when the data are analyzed within income groups. In the $50,000 to $75,000 household income range, black and Hispanic consumers are most likely to shop for clothes at department stores, while white consumers are most likely to shop at chain stores. Asian Americans with household incomes below $75,000 are much more inclined to shop at specialty stores than are other consumers in this income range.
Cross-shopping (shopping at several different outlets before buying an apparel item) is a common practice. Asian-American and black consumers are the most likely to cross-shop for clothing. When white consumers cross-shop, they tend to add lower-priced retailers to their itinerary. For example, a specialty-store shopper will cross-shop at a department store, a department-store shopper will try a chain store, and a chain-store shopper will check out a mass merchant. In contrast, minority shoppers are more likely to cross-shop “up market.”
Minority shoppers also are more willing than white shoppers to pay regular price (37% vs. 25%). This attitudinal finding is supported by retail sales data from STS Market Research’s AccuPanelSM. The average price paid for all apparel (including jeans, slacks, shorts, skirts, dresses, and sweat apparel) in the first nine months of 2001 was $20.33; this figure includes items purchased at regular price and on sale. Black shoppers paid 19% more than the overall average, and Asian-American and Hispanic shoppers paid 16% and 4% more, respectively, while white shoppers paid an average of 5% less. Black consumers paid higher prices than other groups for casual clothing, such as jeans, shorts, and sweat apparel, while Asian Americans paid more for business-type apparel, such as slacks, skirts, and dresses.
Where U.S. Consumers Buy Most of Their Apparel |
|
Total |
Black |
Hispanic |
Asian |
White |
|
1994 |
2001 |
1994 |
2001 |
1994 |
2001 |
1994 |
2001 |
1994 |
2001 |
| Chain |
28 |
24* |
22 |
18 |
26 |
29 |
23 |
7* |
29 |
26 |
| Department |
24 |
22* |
30 |
29 |
28 |
25 |
29 |
34 |
24 |
20* |
| Mass merchant |
16 |
21* |
11 |
15 |
15 |
14 |
9 |
11 |
16 |
22* |
| Specialty |
18 |
18 |
19 |
20 |
18 |
20 |
31 |
36 |
18 |
17 |
| Other |
14 |
15 |
18 |
17 |
13 |
11 |
8 |
13 |
13 |
14 |
|
