The beginning of a new year is a time to look back at the challenges and successes of the previous year and bring that knowledge forward into the new one.
And for the casual industry, the last year has been a whirlwind. Manufacturers were ready to sell, but retailers were overstocked — and for a while, things seemed to change almost month to month.
In the spirit of reflection, here are a few things that the industry faced last year, as well as some predictions that both did and did not come to fruition.
- At the beginning of last year, there was talk of a major recession looming. While inflation affected people’s buying habits, a recession never happened. But that doesn’t mean it’s not still coming. In fact, some economists say that we need a recession to happen to “reset” the economy. No one knows when that might be, but savvy business owners around the country will be keeping up with the changes and acting accordingly.
- The Casual Market moved to Atlanta last year and for the first time the industry was able to experience a plethora of outdoor furniture intermingled in AmericasMart’s diverse three-building layout. Going into the market, retailers were stocked with inventory and many manufacturers didn’t think they were going to buy much.
However, smart casual retailers found ways to sell down inventory and either place orders in July, while some took notes and ordered in September. Others went to the Design Days event at AmericasMart in September, though it appears to still be in its infant phase for the casual industry and from those we spoke with it was not heavily attended by outdoor retailers. On the bright side, the Chinese New Year isn’t until February this year, so that gave retailers more time to figure things out. - It seems that while everyone was so focused on millennials and Gen Z, an older demographic was moving into the spotlight. Gen X slowly became the new baby boomer in terms of purchasing power in 2023, and that’s going to continue this year. They are a unique generation compared to millennials and baby boomers, who have some similarities in the buying world. Millennials will continue to gain more buying power this year and beyond, but Gen X is primed and ready to buy now.
- With the industry back on track supply-chain-wise and able to fulfill orders promptly, special and custom orders are going to gain importance once again. The pandemic disrupted the category’s ascent, but now that things are back on track, consumers will once again shop for custom looks that they know they can get in a timely manner.
Many businesses were just trying to make it through the year so they could reset in 2024. Now that this time has come, they can focus on maximizing profits in 2024. Stay tuned to Casual News Now to see what leaders think 2024 holds for the outdoor industry.
