U.S Consumer Purchasing Decisions and Demand for Apparel

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Date
2005Author
Ramirez, Octavio A.
Misra, Sukant K.
Fadiga, Mohamadou L.
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Purpose - The purpose of this is study is to identify sources of demand growth for apparel in the US
based on consumer demographic profiles, regions, and product characteristics.
Design/methodology/approach - A two-step procedure was utilized to model, estimate, and
analyze purchasing decision and consumer demand for nine apparel products (male shirts, shorts,
jeans and slacks and female slacks, skirts, shorts, dresses and jeans). This study is based on a survey
conducted by the American shoppers' panel, which collects consumption data of various garments,
socioeconomic profiles, and product characteristics.
Findings - The results indicate that purchase decisions are determined by garments' own prices,
age, female employment, gender, regions, and the presence of children. The study also
shows evidence that the effect of product-specific pricing strategies would be limited to the
targeted products and the origin of the product has minimal effect on consumer expenditures on
apparel.
Originality/value - This study is one of the few that have used disaggregated apparel products and
detailed demographic factors, thus has clear marketing implications and can be useful to the apparel
industry.