Underwear Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Global Underwear Market Trends and Insights

Athleisure-inspired functional underwear gains popularity

Brands are incorporating features like compression panels, four-way stretch fabrics, and flatlock seams, previously exclusive to sportswear, into everyday underwear, merging activewear with intimate apparel. In February 2025, Nike collaborated with Skims to capitalize on this trend. Their objective is to appeal to consumers who prioritize performance attributes, such as breathability and anti-chafe designs, in garments suitable for both athleisure and professional wear. Increasing sports participation is driving the demand for athleisure-inspired functional underwear. For instance, in 2024, the Ministry of Internal Affairs and Communications reported that 77.4% of individuals in Japan participated in sports^{[1]Source: Ministry of Internal Affairs and Communications, "Survey on sports FY 2024", soumu.go.jp} . Brands capable of quickly adapting their manufacturing processes are benefiting from the athleisure trend. Uniqlo's AIRism line, which wicks sweat and reduces odors, became known as the "national uniform" in Singapore. This popularity spread across Southeast Asia, highlighting how functional basics can evolve into lifestyle essentials rather than simple commodities when marketed effectively.

E-commerce's apparel push broadens global reach

Digital channels are becoming the go-to for underwear purchases, hinting at a vast potential yet to be tapped in the broader apparel online market. Subscription models are proving their worth in driving consistent revenue: Savage X Fenty's monthly membership, priced at USD 49.95, translates to store credits, bolstering annual sales by over USD 150 million. ThirdLove's innovative selfie-based fit app not only enhances the shopping experience but also fosters repeat purchases, showcasing the power of algorithmic personalization in the online intimate wear market. In the culturally conservative landscape of India, Zivame has successfully made online lingerie shopping mainstream. Through discreet packaging and influencer-led education, they've demonstrated that with the right approach, market-specific challenges can be effectively addressed. Even traditional retailers are evolving: In April 2025, Marks and Spencer expanded its online marketplace by introducing brands like Calvin Klein and Tommy Hilfiger, aiming to enhance traffic and diversify its offerings. The surge in internet penetration is further fueling online sales. Data from the International Telecommunication Union (ITU) indicates that in 2025, around 6 billion people, roughly three-quarters of the global populace, were navigating the digital realm^{[2]Source: International Telecommunication Union (ITU), "ITU's Facts and Figures 2025", itu.int}.

Rising disposable income and heightened fashion awareness

Rising per-capita incomes in Asia-Pacific and Latin America are transforming underwear from a basic necessity into a fashion-forward purchase. Consumers are increasingly dedicating a larger portion of their spending to premium fabrics and designer collaborations, reflecting a shift in preferences. In early 2025, Statistics of China indicated that the nationwide per capita disposable income reached CNY 21,840, highlighting the growing purchasing power in the region^{[3]Source: Statistics of China, "Households' Income and Consumption Expenditure", stats.gov,cn}. Capitalizing on this trend, Calvin Klein introduced a shapewear collection in February 2025, priced between USD 34 and USD 104. This launch strategically combines body-shaping functionality with the brand's established reputation for luxury and style, catering to this evolving consumer segment. The interplay between rising incomes and fashion preferences also explains the anticipated 6.35% CAGR growth in the women's underwear market. Although men currently hold a larger absolute market share, women demonstrate stronger brand loyalty and a higher willingness to invest in products that offer superior comfort and aesthetic appeal. This dynamic particularly rewards brands that focus on inclusive sizing and body-positive marketing strategies, aligning with the values of modern consumers.

Advances in fabric technology

Textile innovation is significantly reducing product lifecycles, enabling brands to prioritize performance differentiation over competing solely on price. Teijin Frontier unveiled a stretch fabric designed for the Autumn/Winter 2026 collections, which features superior elasticity and enhanced shape retention. This development effectively addresses common consumer issues, such as waistband roll-down and fabric pilling that occur after repeated washing, thereby improving overall product durability and customer satisfaction. In February 2025, Nature published groundbreaking research on infrared-transparent Nylon 6 textiles. These advanced textiles allow wearable sensors to accurately detect biometrics through the fabric, a feature that smart-underwear developers are actively incorporating into prototypes aimed at providing continuous health monitoring solutions. Additionally, Spanx's strategic partnership with Lycra in January 2025 highlights the transformative potential of material science collaborations. By integrating FitSense technology, innovative fibers that dynamically adjust compression based on body movement, Spanx has secured a proprietary advantage that is both innovative and difficult for competitors to replicate, further solidifying its position in the market.

Volatility in raw-material prices

In 2025, cotton futures ranged between 68 and 75 cents per pound, representing a 10% fluctuation that pressured margins for brands unable to pass on costs to price-sensitive consumers. The U.S. Department of Agriculture's December 2025 report attributed the volatility to erratic monsoon patterns in India, the world's largest cotton producer, and drought-driven acreage reductions in Texas, which collectively tightened global supply by an estimated 2.3 million bales year-over-year. Vietnam's textile industry, which recorded USD 46 billion in apparel exports in 2025, relies significantly on imported cotton and polyester. This dependency makes it susceptible to input-cost shocks, undermining its competitiveness against lower-cost rivals like Bangladesh. Brands with vertically integrated supply chains, such as the merged Gildan-Hanesbrands, are better equipped to manage such volatility. Conversely, smaller players reliant on spot-market fabric procurement face greater risks, potentially accelerating industry consolidation.

Fragmentation and fierce price competition

The underwear market's low barriers to entry have resulted in the rise of numerous direct-to-consumer brands. This surge has fragmented market share and increased promotional activities, weakening pricing power. Although Victoria's Secret achieved a 9% growth in same-store sales in Q3 2025, it continues to face margin pressures from competitors like ThirdLove and Savage X Fenty. These digitally native brands bypass wholesale markdowns and operate with more efficient cost structures. Fast Retailing's Uniqlo, producing about 6,000 styles annually, compared to Zara's 9,000 and Shein's staggering 165,000, demonstrates that maintaining SKU discipline can help counter fragmentation. By concentrating marketing efforts on key products, Uniqlo achieves greater scale. In this fragmented market, platforms such as Amazon and Zalando, which consolidate demand and charge fulfillment fees, hold a competitive edge. Meanwhile, individual brands struggle with high customer acquisition costs, often exceeding USD 50 per first-time buyer in competitive categories.

Segment Analysis

By Product Type: Performance Boxers Accelerate Among Younger Men

In 2025, panties contributed 32.45% of total revenue, highlighting their variety across briefs, thongs, hipsters, and boyshorts. Premium lace and seamless designs command higher average selling prices compared to basic men's options. However, boxers are expected to witness the fastest growth, with a projected CAGR of 6.10%. This growth is driven by Gen Z males favoring athletic fits and moisture-wicking materials over traditional woven styles. PSD's pricing of USD 25-112 for boxer briefs reflects the market's willingness to pay a premium for techno-fabric advancements. As performance differentiation expands, the market size for boxers is forecasted to grow significantly. Furthermore, seamless waistbands made with Teijin Frontier’s stretch yarn are addressing roll-down issues, encouraging greater adoption.

Shifting dress codes are also impacting demand. As office attire becomes more casual, briefs are losing preference to styles that remain inconspicuous under relaxed trousers. Thong usage is also declining outside formal settings. Consumers today, who prioritize values, are more drawn to brand messaging that emphasizes functional comfort over overt sex appeal. Calvin Klein’s shapewear illustrates this trend by combining body-sculpting features with breathable fabrics, appealing to those seeking versatility. The broader Underwear market is adapting to these product-specific changes, emphasizing that innovations in fit and inclusive merchandising will play a key role in redistributing market shares, surpassing the importance of aesthetics alone.

Note: Segment shares of all individual segments available upon report purchase

By End User: Inclusive Women’s Lines Drive Future Growth

In 2025, men accounted for 51.79% of sales, driven by higher unit volumes and shorter replacement cycles. While multipacks priced between USD 12-18 remain staples in mass channels, their commoditization limits margin expansion. Men's labels benefit from lower online return rates compared to women's, easing reverse-logistics challenges. However, women's lines are projected to grow at a 6.35% CAGR, the industry's fastest pace. This surge is attributed to size-inclusive direct-to-consumer models that blend data science with comfort. Brands like ThirdLove, with its 78-size algorithm, and Savage X Fenty, offering an XS-to-3XL range, showcase how algorithmic fitting and body-positive messaging can transform digital engagement into brand loyalty.

Nike-Skims and Lululemon's foray into active underwear highlights a competitive push for female spending, emphasizing performance fabrics. Victoria's Secret's shift towards bralettes marks a departure from traditional push-up designs. Additionally, the women's underwear market is set to expand, driven by a quicker purchasing frequency influenced by fashion trends and a rising demand for maternity and post-surgery adaptations.

By Fabric Material: Synthetic Recycling Opens New Volume

In 2025, cotton accounted for a 41.17% market share, but its water-intensive production and price volatility challenge sustainability initiatives. Supima and organic cotton variants achieve a 20-30% premium; however, supply constraints limit their market presence. Synthetic blends are expected to grow at a 6.25% CAGR, marking the fastest growth among material layers. This expansion is driven by Radici InNova's recycling innovation, which enables closed-loop recovery of polyamide-elastane while maintaining its hand-feel. Uniqlo's AIRism line, made with polyester and spandex, highlights strong consumer acceptance due to its odor-control and sweat-wicking benefits. The Underwear segment's market share growth will also benefit from EU Digital Product Passport regulations that promote traceable recycled content.

Nylon 6 fabrics, which are infrared-transparent, add a smart-garment capability by enabling biometric sensing without the need for uncomfortable sensor pods. Bamboo, modal, and Tencel appeal to eco-conscious consumers willing to pay a 20-30% premium for biodegradability, though limited feedstock availability restricts their short-term market expansion. Overall, diversifying fiber sources serves as both a safeguard against cotton price volatility and a strategy to meet growing consumer expectations for performance and ethical standards.

Note: Segment shares of all individual segments available upon report purchase

By Distribution Channel: Digital Subscription Models Scale Rapidly

Specialty stores, known for their expertise and curated premium assortments, contributed 40.12% to the 2025 turnover. These stores achieve gross margins of 50-60%, but consumer foot traffic is increasingly shifting online. Virtual try-ons and guaranteed returns are helping to reduce selection anxieties for shoppers. Marks and Spencer's recent initiative to feature third-party underwear brands on its online platform highlights the growing importance of an omnichannel strategy for legacy players. On the other hand, supermarkets continue to hold their ground in value segments but face challenges in differentiation, particularly when fabric technology becomes a key factor.

Online retail is anticipated to grow at the fastest pace, with a projected CAGR of 6.54%. Subscription services, such as Savage X Fenty, are helping to stabilize revenue fluctuations while lowering customer acquisition costs. Additionally, smartphone fitting applications are addressing size-related concerns. As reverse-logistics networks advance in emerging markets, the online share of the underwear market is expected to expand further. Moreover, alternative channels like pop-up shops and brand-specific webstores are emerging as effective tools for storytelling and achieving full-price sales. This shift underscores a distribution model that is increasingly focused on digital engagement.

Geography Analysis

In 2025, North America held a 37.34% revenue share, driven by an annual per-capita underwear expenditure of approximately USD 120 and a strong presence of heritage brands. Gildan's USD 2.2 billion acquisition of Hanesbrands created a vertically integrated leader producing over 1 billion units annually, providing a significant advantage in the volatile cotton market. Victoria's Secret's shift towards comfort-focused products and Uniqlo's plan to expand to 200 locations by 2027 highlight ongoing domestic growth opportunities. While Canada and Mexico contribute modestly, they benefit from cross-border e-commerce, offering consumers access to United States pricing and a broader assortment.

Asia-Pacific, with a projected CAGR of 6.91%, remains the global demand driver. India's apparel growth, reflected in double-digit gains by H and M and Uniqlo, showcases the aspirations of a middle class seeking international quality at affordable prices. China's market, though mature, is moving towards premiumization, while Japan's early adoption of sensor-embedded underwear, valued at USD 190.87 million in 2024, highlights the region's interconnected demand and supply dynamics. As brands shift production away from China, Southeast Asian countries are emerging as key manufacturing hubs, boosting local employment and domestic consumption.

Europe, preparing for the 2027 Digital Product Passport, is prioritizing investments in recycled fibers and traceability systems to meet sustainability goals. The United Kingdom faces logistics challenges post-Brexit, while the eurozone deals with rising inflation. In South America, currency volatility limits discretionary spending, though niche exporters are exploring tariff-advantaged opportunities. The Middle East and Africa are experiencing early-stage growth: Gulf countries favor luxury imports, while Sub-Saharan Africa's demand leans towards affordable basics, requiring brands to tailor their offerings to diverse income levels.