Apparel market in Russia - statistics & facts
The apparel market is a crucial component of Russian retail, with clothing stores occupying a large area in shopping centers and fashion being one of the most popular e-commerce categories. The country is estimated to have the 12th-largest apparel market revenue worldwide, standing at over 30 billion U.S. dollars. Following an exodus of Western brands, clothing sales in the country declined by 37 percent in 2022. However, as Russian and non-Western brands have increased their market presence, the revenue increased in 2023 and was expected to exceed the 2021 figure by 2029.
Russian textile production was in decay in the 2010s, which was reflected in a substantial decline in employees. Low production rates contributed to the trade deficit, resulting in dependence on apparel imports. While the value of clothing imports decreased in 2022, it went up in the following year, highlighting the importance of shipments even during sanctions. China is Russia's major apparel import partner, and Italy is the leading European supplier.
The Russian clothing market is steadily recovering from the exit of Western retailers in 2022, with domestic and other foreign brands gaining popularity among consumers in traditional and online stores. At the same time, as domestic retailers might have higher production costs, apparel prices are forecast to grow in the following years.
Online vs. offline apparel shopping in Russia
The COVID-19 pandemic boosted e-commerce sales in Russia, including in the apparel segment. Together with footwear, apparel made up around 15 percent of domestic online sales in the first three months of 2024, ranking among the most-sold product categories online. In the following years, the popularity of apparel shopping on the internet is projected to increase. In 2029, e-commerce will occupy roughly 30 percent of the market.Apparel retailers in Russia
Sportmaster, a retailer of sporting goods, and Mercury Moda, a group representing several luxury brands, topped the list of the apparel companies by revenue in Russia in 2023. Among the online shops specializing in apparel retail, Lamoda.ru dominated the Russian clothing e-commerce market, having earned over 119 billion Russian rubles in 2023. Sela and Love Republic were among the leading retailers by omnichannel performance points.Apparel imports in Russia
The industry was significantly impacted by the exodus of international companies in response to the war in Ukraine, such as Inditex, H&M, LPP, Mango, Uniqlo, and LMVH. Russia was one of the largest markets of LPP and Inditex, having occupied around 19 percent of the former's revenue and 8.5 percent of the latter's global earnings before interest and tax (EBIT). The suspension of operations by Western retailers has led to an expansion of domestic retailers, such as the Melon Fashion Group and Lime.Russian textile production was in decay in the 2010s, which was reflected in a substantial decline in employees. Low production rates contributed to the trade deficit, resulting in dependence on apparel imports. While the value of clothing imports decreased in 2022, it went up in the following year, highlighting the importance of shipments even during sanctions. China is Russia's major apparel import partner, and Italy is the leading European supplier.
The Russian clothing market is steadily recovering from the exit of Western retailers in 2022, with domestic and other foreign brands gaining popularity among consumers in traditional and online stores. At the same time, as domestic retailers might have higher production costs, apparel prices are forecast to grow in the following years.
