US: Shoppers perceive US-made apparel as too expensive
In an interesting new twist in the ongoing debate about the likely growth of apparel manufacturing in the US, researchers have warned that consumers perceive domestically-made products to be too expensive and are less likely to buy them.
A study by the University of Missouri (MU) has found that American consumers place a much higher value on apparel produced entirely in the US with US raw materials as opposed to products produced partially or entirely overseas.
The value is so high, in fact, that MU experts worry it could be damaging to US apparel manufacturing businesses and the overall economy.
In a study published in Clothing and Textiles Research Journal, Jung Ha-Brookshire, an assistant professor in the textile and apparel management department in the College of Human Environmental Sciences at MU, surveyed American consumers to determine the value they place on apparel produced in different countries.
She showed participants a cotton shirt, told them it was made in China, and said it sold for $40 in retail stores. She then showed them the same piece of clothing and told them it was made in the US with US cotton.
The study participants valued the US cotton shirt at $57, which is more than 42% higher than the same shirt produced in China.
Ha-Brookshire says this demonstrates a troubling trend for American consumers.
"Americans tend to severely overvalue apparel produced entirely in the US.
"This is concerning because if Americans place higher values on these US products, they perceive those products to be too expensive and are less likely to buy them, opting instead to buy similar Chinese-made products perceived to be more in their price range.
"To help US apparel businesses create and maintain domestic jobs, American consumers need to have a realistic understanding of the value of apparel made in the US"
One positive finding in Ha-Brookshire's study was that American consumers do value apparel made with US-grown cotton, even if the finished goods are manufactured overseas.
When she showed the survey participants the same cotton shirt and told them it was made in China from US cotton, participants valued the shirt at $47, or 17% higher than a shirt with only a "Made in China" label.
Ha-Brookshire says this increased value is not large enough to be prohibitive for consumers.
"US cotton growers can utilize these findings by better indicating what apparel is manufactured from their cotton," she said.
"Currently, retailers are only required to indicate where the apparel was manufactured or sewn, but if consumers could see that apparel produced in China was made with US cotton, they would probably be more likely to purchase it."
- Li & Fung looks to new frontiers for growth
- Gap impressed with supply chain improvements
- SOURCING: Worldwide change in cost competitiveness
- More licensing and less M&A for Global Brands
- Better Work programme poised to expand
- China minimum wage rises will be tough to handle
- Cambodia garment industry hit with fresh strikes
- Cambodia mass faintings rise to 896 in first-half
- Ralph Lauren unveils high-performance Polo shirt
- Cambodia garment makers condemn strike protests
- Global Database of the Top 1000 Apparel Producers - Company Names, Financial Performance, Key Executives, and Contact Details
- Global market review of denim and jeanswear – forecasts to 2020
- Prospects for the Textile and Clothing Industry in Turkey
- Global Database of the Top 1000 Apparel Knitting Mills - Company Names, Financial Performance, Key Executives, and Contact Details
- China - ISA Country Report