The global Merchandise Designing Market is estimated to be valued at US$ 92.99 Bn in 2023 and is expected to exhibit a CAGR of 9.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Merchandise designing refers to conceptualization and development of brands, products and services to enhance customer appeal and drive sales. It involves creation of visual designs, logos, packaging and branding elements that effectively represent a company and its offerings. Skilled merchandise designers leverage their creative abilities along with knowledge of target customers, industry trends, manufacturing standards and marketing strategies. They work closely with client businesses to fully understand their vision and DNA before crafting compelling designs. Well-designed merchandise strengthens brand image, creates impulse buys and fosters customer loyalty- key factors for business growth.
Market key trends:
The global merchandise designing market is growing owing to rising demand for customized and differentiated products across industries. Customers today expect unique design elements and personalized touches in products especially apparels, accessories, electronics and home décor items. Leading brands are collaborating with versatile designers to fuel product innovation and stay ahead of competition. Another major trend is the integration of advanced technologies like 3D rendering, augmented reality and artificial intelligence in the designing process. This allows designers to quickly create and test multiple design concepts virtually before production. It also aids in optimizing designs for maximum customer appeal and sales conversion. Growing e-commerce is further driving demand for eye-catchy product images and listings to aid online visibility and purchases.
Threat of new entrants: Low-cost countries have lower barriers for new companies to enter the merchandise designing market. However, established brands have strong brand recognition and customer loyalty which create entry barriers.
Bargaining power of buyers: Individual customers have high bargaining power due to the availability of substitutes. However, large retailers and sporting goods stores have lower bargaining power as they rely on flagship brands and face competition.
Bargaining power of suppliers: A few major suppliers supply raw materials for merchandise designing. This concentration gives them bargaining power over companies to dictate prices.
Threat of new substitutes: Substitute products include generic fitness apparel and accessories. Innovation in fabric and technology boosts the threat from substitutes.
Competitive rivalry: Being an essential sector, there is high competition among major players to gain market share using branding, endorsement and innovation.
Global Merchandise Designing Market Demand is expected to witness high growth, exhibiting CAGR of 9.4% over the forecast period, due to increasing health-consciousness among consumers.
Regional analysis: North America dominates the merchandise designing market and is expected to continue its dominance in the coming years owing to growing consumer spending on fitness products and outdoor/athletic equipment. Asia Pacific is expected to be the fastest growing market with China, Japan and India being major revenue generators.
Key players operating in the merchandise designing market are Nike, Adidas, Puma, Under Armour, New Balance, ASICS, VF Corporation, Lululemon, Columbia Sportswear, Ralph Lauren, Li Ning, L Brands, H&M, Zara, Uniqlo, Forever21, Gap, Next, Esprit, and C&A. Key players are focusing on expanding their direct-to-consumer business and leveraging social media and influencer marketing to strengthen their branding. They are also investing in advanced technologies including AI, AR/VR, and 3D printing to develop innovative products.