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>>MARKET ANALYSIS SUMMARY: SPORTS APPARELS AND ACCESSORIES

REVENUE ANNUAL GROWTH 14-19 ANNUAL GROWTH 19-24
$52.0bn 1.3% 1.1%
KEY STATISTICS
SNAPSHOT PROFIT EXPORTS BUSINESSES
$1.4bn $6.0bn 39,536

According to IBISWorld, the Sports Apparels and Accessories industry benefi ted from growth in the
sports participation rate, which has stimulated demand for athletic apparel, footwear, and sporting
goods. Since the sports participation rate is expected to grow an annualized 1.4% over the fi ve years to
2019, more individuals have required industry products for sporting activities. In particular, alternative
exercises, such as CrossFit, tai chi, yoga, and Pilates, have fared well during the fi ve years, prompting
demand for related apparel and sporting goods. Fashion trends of athleisure bolster this growth for
daily wear. However, intensifying competition from department stores, mass merchandisers, and
online retailers have constrained industry revenue growth due to strong price-based competition.

Nevertheless, revenue is anticipated to grow at an annualized rate of 1.3% to $52.0 billion over the
fi ve years to 2019, including 1.2% growth in 2019 alone, bolstered by more health-conscious individuals requiring sporting goods for their daily
fi tness or sporting-activity regimen — the expansion of gym off erings and post-collegiate recreational sports. According to 2017 data from the
Physical Activity Council (PAC), consumers of all age groups have been participating in more team sports and outdoor recreation on an average
day in recent years. The same trend was displayed in the percentage of the population participating in fi tness sports, such as CrossFit or other
high-intensity style workout sports these trends will continue to be a major factor for industry revenue growth. Additionally, profi t, measured
as earnings before interest and taxes, is expected to decline to 2.6% of industry revenue in 2019, primarily due to increased investments in the
reconstruction of physical stores to include advanced features as well as expanded product line off erings. These growth trends bode extremely
well for AYZdotLLC as it establishes its brand in the marketplace.
>> MAJOR MARKET SEGMENTATION

CONSUMERS AGED 45 TO 64 MAJOR MARKET SEGMENTATION 2019
In 2019, consumers aged 18 to 44 are expected to comprise 45.3%
of industry revenue. Over the past fi ve years, this market segment 4.0%
17.6%
has grown due to more health-conscious individuals and families Consumers aged Other markets
stimulating demand for sports and fi tness apparel, footwear, and 65 and older
other products. According to a survey from the Centers for Disease 45.3% Source: www.IBISWORLD.com
and Control Prevention, 38.1% of consumers in this demographic Consumer
were considered suffi ciently active adults in 2016 (latest data 33.1% aged 18 to 44
available), meaning they met basic guidelines for aerobic Consumers aged 45
to 64 Total $52.0bn
CONSUMERS AGED 45 TO 64
Other household types, consisting of consumers aged 45 to 64,
are estimated to account for 33.1% of industry revenue in 2019. At this point, parents may be encouraging their children to engage in
recreational athletic activity, and adult consumers are looking for ways to maintain fi tness as they age. According to 2016 data from the
Centers for Disease Control and Prevention, 25.5% of people in this demographic are suffi ciently physically active by national standards.

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