According to a new report published by Allied Market Research, titled, “Digital Clothing Market," The digital clothing market was valued at $498.70 million in 2021, and is estimated to reach $4.8 billion by 2031, growing at a CAGR of 26.4% from 2022 to 2031.
Digital clothing isn’t made of fabric or anything tangible. These garments are made from pixels rather than textiles, using computer technologies UX designs, and 3D software. Humans will not be able to wear an item of digital clothing in real life. Instead, customers may explore a collection of digital clothing online and purchase anything they choose. The user can either send a picture of themselves to a team of 3D designers depending on the tailor, who may either digitally fit the item of clothing on a photo or download and manipulate the files using 3D software, to post on social media.
According to digital clothing market research, the U.S. digital clothing market was valued at $175 million in 2021 and is projected to reach $1,500 million by 2031, registering a CAGR of 26%. The on-chain segment was the highest revenue contributor, accounting for $130 million in 2021, and is estimated to reach $1,280 million by 2031, with a CAGR of 26%. The off-chain segment is estimated to reach $302 million by 2031, at a significant CAGR of 23%.
Digital clothing has become a significant aspect of business with the emergence of machine learning and AI, and its future effects may be enormous. The visual depiction of clothing created with computer technology and 3D software is known as digital fashion. The utilization of digital fashion technology, such as artificial intelligence to produce items with complicated social and technological software, and ethical awareness are both contributing to the growth of this business. Digital fashion is another way that technology and couture interact. Information and communication technologies (ICTs) have become a significant part of both the fashion business and the experiences of customers and potential customers.
On the basis of region, North America held a significant global digital clothing market share, due to expansion in smartphone penetration and growth in digitalization of the region, the U.S. and Canada currently dominate the regional market for the North America region. The main drivers of the growth of the digital clothing industry in this region are the rapid advancements in artificial intelligence and blockchain technology. Moreover, rapid urbanization and an increase in digital content creation and acceptance are the primary factors that drive the growth of the digital clothing market in Asia-Pacific, Europe, and LAMEA.
KEY FINDINGS OF THE STUDY
- On the basis of transaction type, in 2021, the blockchain segment was the highest revenue contributor to the market, with a 27% impressive CAGR. However, the 3D software segment is estimated to reach $1200 million by 2031, during the forecast period.
- On the basis of transaction type, the on-chain segment is the highest revenue contributor, during the forecast period, also the detailed digital clothing market analysis with respect to the aforementioned segment is provided in the report.
- On the basis of application area, in 2021, the digital content creation segment was the highest revenue contributor to the market, with a 28% impressive CAGR. However, the fashion design & technology segment is estimated to reach 1080 million by 2031, during the forecast period.
- On the basis of region, the digital clothing industry was dominated by North America. However, Europe and Asia-Pacific are expected to witness a significant growth rate during the forecasted period.
- The report presents information related to key drivers, restraints, and opportunities with a detailed impact analysis on the digital clothing market forecast as well as the digital clothing market size.
Key players profiled in the report include Adidas AG, Auroboros, Dolce & Gabbana S.r.l., DRESSX, Kering (Gucci), H&M Group, LVMH, Nike, Inc., Replicant, Inc. and The Fabricant. Market players have adopted various strategies, such as product launches, collaboration & partnership, joint ventures, and acquisition to expand their foothold in the digital clothing market.