Fashion manufacturers, which include footwear and accessory makers, posted the fourth-largest increase in sales revenue of the 12 manufacturing categories analyzed. It also experienced the second largest increase in the number of OPs.
UK small and medium-sized businesses saw their average sales increase by 128 per cent in the third quarter of 2024, while the number of purchase orders placed with suppliers also increased by 123 per cent, according to a report from Unleashed. Fashion manufacturers, which include footwear and accessory makers, posted the fourth-largest increase in sales revenue of the 12 manufacturing categories analyzed.
Revenue and purchase orders increased 88 percent across the manufacturing sector, indicating high confidence among consumers, retailers and other businesses.
Apparel makers are buying more inventory in anticipation of new orders as consumer confidence in the third quarter of 2024 hit its highest level in five years, hitting -7.9 percent.
Social media is a big driver of sales: 42 percent of consumers will buy fashion items through it in 2023. Instagram, Facebook and TikTok trends are also influencing fashion shoppers.
The average number of purchase orders placed per quarter by UK manufacturers increased to 322 in Q3 2024, up from 171 in Q2 and 262 in Q3 2023.
Delivery days (measured as the time between placing a purchase order and receiving the goods at the destination warehouse) remain low in the UK, indicating the overall health of the supply chain.
“Businesses are buying more inventory, and while this might bring back bad memories of the post-Covid disruption, when manufacturers were forced to adopt a 'just in case' strategy, it is actually a positive sign in the current climate . “Lead times remain low, so the orders we currently see flowing through the supply chain look like genuinely strong business confidence,” said Joe Llewellyn, general manager of cloud ERP at The Access Group, the company. Unleashed matrix.
Fiber2Fashion News Desk (DS)
