Underwear Market Size & Share Analysis - Growth Trends And Forecast (2025 - 2030)

Global Underwear Market Trends and Insights

Athleisure-inspired functional underwear gains popularity

As demand surges for intimates that seamlessly blend stretch, ventilation, and light compression, design pipelines are evolving. Brands are now weaving in performance yarns, once exclusive to sportswear, into everyday underwear. This trend isn't confined to the realms of traditional sportswear; consumers are increasingly gravitating towards versatile pieces that transition effortlessly from workout to workplace. The influence of athleisure has nudged conventional underwear manufacturers to adopt technical fabrics and ergonomic designs, once the hallmark of athletic wear. In 2024, Reliance Industries rolled out the ECOTHERM fiber, spotlighting its lightweight thermal insulation tailored for base layers. This cutting-edge fiber not only boosts comfort but also resonates with the rising consumer demand for high-performance materials in daily attire. Such a move underscores a burgeoning consumer willingness to invest in garments that marry technology with style. To align with seasonal drops catering to athleisure trends, manufacturers are upgrading their testing labs and streamlining processes, ensuring they adeptly meet the market's evolving demands.

E-commerce's apparel push broadens global reach

Online platforms have removed the constraints of physical storefronts, enabling direct-to-consumer brands to deliver curated packages to any postal address. Thanks to privacy measures, AI-driven fitting tools, and innovative subscription models, digital sales have surged, with US men's clothing stores witnessing a 27.9% year-on-year increase, according to the US Census Bureau^{[2]United States Census Bureau, "U.S. Retail Sales Reach $7,040 Billion", www.census.gov}. E-commerce has been a boon for smaller brands and niche markets, empowering them to offer specialized products, ranging from sustainable items to tech-savvy underwear, directly to their target audiences, all without the hefty investments typically associated with traditional retail infrastructures. To navigate the crowded online marketplace successfully, brands are channeling investments into logistics, particularly in last-mile delivery and reverse shipping. These efforts are crucial not only for managing return rates but also for fostering customer loyalty. Yet, this digital pivot demands substantial outlays in logistics, customer service, and digital marketing to ensure a competitive edge.

Rising disposable income and heightened fashion awareness

In emerging markets, a burgeoning middle class is transforming intimate apparel from mere necessities into sought-after fashion statements and lifestyle choices. As fashion consciousness rises, there's a growing demand for premium materials, designer collaborations, and seasonal collections in categories once dominated by basic utility. The sway of social media and celebrity endorsements has heightened brand awareness and aspirational buying, especially among younger consumers who now see underwear as a key aspect of personal style. This shift towards premium products has opened doors for higher profit margins, with shoppers increasingly prioritizing quality, comfort, and aesthetics. Manufacturers now face the challenge of balancing accessibility with aspiration, crafting product lines that resonate with varied income levels while upholding their brand's prestige. Additionally, the rise of e-commerce platforms has made premium intimate apparel more accessible to a broader audience, enabling brands to reach consumers in remote areas. Innovations in fabric technology, such as moisture-wicking and sustainable materials, are also driving product differentiation, appealing to environmentally conscious buyers. Furthermore, the growing influence of body positivity movements has encouraged brands to expand size inclusivity, catering to a wider demographic and fostering customer loyalty.

Advances in fabric technology

Seamless circular knitting minimizes cut-and-sew waste and does away with chafing seams, offering enhanced comfort and efficiency in garment production. This method has gained significant traction in the textile industry due to its ability to streamline manufacturing processes and reduce material wastage. As consumers increasingly prioritize performance in both work and leisure, moisture-wicking filaments are now outpacing cotton in growth due to their superior ability to manage sweat, maintain dryness, and enhance overall comfort. These advancements in textile technology have enabled manufacturers to achieve mass customization, allowing them to provide tailored fits and performance traits without the usual inventory limitations, thereby addressing diverse consumer needs more effectively. Additionally, this capability supports a more sustainable production model by reducing overproduction and waste. While the incorporation of smart fibers and embedded sensors signals a promising frontier for wearable technology, their adoption is still hindered by high production costs and ongoing concerns over consumer privacy. Manufacturers and developers must address these challenges to unlock the full potential of these innovations and drive broader market adoption.

Volatility in raw-material prices

Manufacturers grapple with margin pressures due to fluctuating cotton prices. Projections for 2025 suggest this volatility will persist, driven by sluggish global economic growth and waning consumer demand. The National Cotton Council, citing high input costs and competition from crops like peanuts and corn, forecasts cotton prices in 2025 to hover between 66-79 cents per pound^{[3]University of Georgia, "2025 Cotton Outlook and Market Situation", extension.uga.edu}. The dynamics of the US cotton market, especially its ties with Chinese textile manufacturers, underscore the importance of trade policy changes and tariff adjustments, as highlighted by the US Bureau of Labor Statistics. These policy shifts and tariffs can create ripple effects across the supply chain, impacting pricing, availability, and overall market stability. In response to these challenges, manufacturers are turning to hedging strategies and diversifying their sourcing. Hedging helps mitigate risks associated with price volatility, while diversified sourcing reduces dependency on a single supplier or region. However, these methods demand advanced supply chain management skills, robust risk assessment frameworks, and significant working capital investments to ensure operational resilience and profitability.

Geopolitical trade shocks affecting cotton supply

New US tariff structures, imposing a universal 10% import duty along with country-specific surcharges, have fundamentally altered global sourcing patterns, leading to unprecedented disruptions in cotton supply chains amidst rising international trade tensions. According to the US Fashion Industry Association, 43% of companies now source less than 10% of their apparel from China, highlighting a significant diversification of supply chains in response to perceived sourcing risks^{[4]United States Fashion Industry Association," USFIA Trade & Sourcing Reports", www.usfashionindustry.com}. These regulatory pressures not only introduce compliance costs but also operational complexities, especially for smaller manufacturers that often lack advanced supply chain management systems. The increased regulatory burden forces these manufacturers to either invest in costly upgrades or face challenges in maintaining competitiveness. This fragmentation of supply chains not only escalates costs and diminishes efficiency but also opens doors for countries like Egypt and Turkey. With strategic partnerships, favorable trade agreements, and competitive labor costs, these nations are well-positioned to attract new business and expand their market share in the global cotton supply chain.

Segment Analysis

By Product Type: Versatility Spurs Panties and Thongs Leadership

In 2024, Panties and Thongs dominated the underwear market, securing 33.25% of total revenue. Their lasting appeal can be attributed to their versatility, seamlessly integrating into the daily wardrobes of consumers across age groups. This segment's strength is bolstered by a growing demand for invisible panty lines and clean silhouettes, catering to shoppers who prioritize comfort and discretion. Features like heat-bonded edges and silicone-free grippers have enhanced comfort, supporting a premium market position and justifying elevated price points. Brands are capitalizing on these innovations to set their offerings apart and foster loyalty among style-savvy consumers. With their established prominence, Panties and Thongs continue to be a linchpin of the underwear market, benefiting from constant product enhancements and shifting consumer tastes.

Boxers are rapidly emerging as the fastest-growing segment in the underwear market, with projections indicating a CAGR of 5.35% through 2030. This swift growth is driven by younger men emphasizing breathable waistbands and inclusive sizing, mirroring a broader trend towards comfort and body positivity. The segment's growth is further propelled by subscription services from digital-first brands, promoting regular replenishment and personalized upselling via data insights. Central to this growth is product innovation, with fresh materials and fits catering to a diverse clientele's lifestyle needs. Moreover, the comeback of hybrid workwear has reignited interest in boxer-brief silhouettes, which offer a blend of coverage and stretch for added versatility. By bundling multipacks that merge value with premium features, brands are strategically positioned to dominate shelf space in both physical stores and online platforms, ensuring the boxer segment's continued expansion.

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

By End User: Men’s Share Projects Stability While Women Outpace in Growth

In 2024, men dominated the underwear market, capturing 52.62% of sales. This male dominance stems from their penchant for pricier items and more frequent replacements. Men are increasingly gravitating towards features like antimicrobial gussets, four-way stretch fabrics, and contemporary fly-less designs, many of which echo athleisure trends. Even in price-sensitive regions, brands are using performance-centric narratives to uphold a premium image. These innovations not only boost comfort and functionality but also foster brand loyalty among male consumers. Consequently, the men's segment stands out as a primary revenue generator, reaping rewards from both product innovations and marketing strategies that spotlight durability and performance.

Women's intimate wear is set to outpace all segments, boasting a vigorous CAGR of 5.76%. This surge is driven by a broadening product spectrum, from shapewear and lounge bras to maternity lines, addressing varied needs across life stages. Regular product unveilings, like influencer-led mini collections and exclusive colorways, rejuvenate the category and spur repeat buys. AI-driven fit quizzes have slashed return rates, bolstering the shopping experience and fostering trust. Brands are harnessing digital avenues and social media to engage female shoppers, providing tailored recommendations and exclusive drops. With women prioritizing both comfort and style, this segment is rapidly evolving, positioning itself as a hub for innovation and market growth in the underwear realm.

By Fabric Material: Cotton Endurance Meets Synthetic Agility

In 2024, cotton commands a 44.68% share of the underwear market, thanks to its breathability and the trust consumers place in this natural fiber. Enhancements in staple counts have improved the drape and softness of cotton garments, boosting their appeal for everyday wear. Sustainability efforts, like water-saving cultivation programs in India and the U.S., are helping the cotton industry tackle environmental challenges while retaining its leading position. Technological advancements in enzyme finishing have bolstered cotton's durability, making it resistant to pilling and enhancing color fastness. These innovations ensure cotton underwear remains vibrant and long-lasting, even as synthetic alternatives grow more affordable and advanced. Consequently, cotton continues to be the preferred choice for consumers prioritizing comfort and reliability in their underwear.

Synthetic materials, including polyester, nylon, and polyamide blends, are rapidly gaining traction in the underwear market, boasting a projected CAGR of 5.30%. Their rise in popularity can be attributed to their moisture-wicking capabilities, support for bold prints, and durability against frequent washing. Noteworthy innovations, like the bio-based PA6 alternatives introduced by Italian mills, are mitigating environmental concerns, particularly microplastic pollution, and resonating with eco-conscious consumers. This acceptance of sustainable synthetics is expanding the audience for performance underwear. Moreover, the adaptability of synthetics enables brands to explore new textures and finishes, amplifying their allure. With a shift in consumer preferences towards active and fashion-forward choices, synthetics are poised to capture a larger market share, especially among the younger, environmentally-conscious demographic.

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

By Distribution Channel: Physical Service Strength Faces Digital Scale

In 2024, specialty stores dominated the underwear market, capturing 41.35% of the total turnover. These retailers leverage trained fit advisors and meticulously curated product displays to cultivate emotional trust with shoppers, particularly those purchasing their first bra or seeking post-surgery fittings. The hands-on, personalized experience at specialty stores consistently draws foot traffic, solidifying their status as the go-to destination for intimate apparel. Yet, challenges loom: escalating store rents and the financial burden of maintaining a vast inventory are squeezing profit margins. Nevertheless, specialty stores counter these pressures by prioritizing customer service and offering tailored recommendations—an area where online platforms often falter. This experiential strategy not only cultivates brand loyalty but also drives repeat visits, cementing their pivotal role in the underwear retail arena.

Online retail is swiftly establishing itself as the fastest-growing channel in the underwear market, boasting a robust CAGR of 6.02%. The allure of online shopping stems from its vast selection of sizes and styles, discreet delivery, and personalized, data-driven recommendations. Retailers are adopting advanced features like virtual try-on modules and loyalty apps, enhancing the digital shopping journey and boosting customer engagement. This strategy empowers even niche and emerging brands to reach wider audiences without hefty investments in physical stores. As shoppers grow more at ease with online purchases, the convenience and privacy it offers fuel its rapid expansion. Moreover, the vast array of SKUs available online is diminishing the traditional edge of supermarkets and hypermarkets, solidifying e-commerce's dominance in the shifting underwear market.

Geography Analysis

In 2024, the Asia-Pacific region commanded a dominant 53.68% share of the revenue, driven by its low-cost manufacturing hubs, abundant fiber resources, and a burgeoning middle-class appetite. India's Production Linked Incentive program, alongside the PM MITRA mega-parks, is cultivating integrated hubs that not only expedite lead times but also amplify exports. Meanwhile, China's ambitious goal of achieving 70% digitalization by 2025 underscores its intent to bolster its leadership, leveraging smart looms, AI-driven patterning, and eco-friendly dyeing methods. Yet, in response to US tariffs, there's a noticeable pivot in sourcing towards Vietnam, Bangladesh, and Cambodia, reshaping the supply landscape of the Underwear market.

The Middle East and Africa are on a growth trajectory, boasting the fastest CAGR of 5.74% through 2030. Egypt is making waves with its USD 1.1 billion modernization drive, introducing Italian and Swiss spinning technologies to its state-run mills, thereby enhancing export quality. Its geographical closeness to Europe not only slashes freight expenses but also bolsters just-in-time delivery capabilities. Countries like Morocco, Ethiopia, and Kenya are sweetening the deal for brands with duty-free incentives and bolstering logistics networks. Meanwhile, urbanization in Gulf Cooperation Council nations is stoking a premium demand, and e-commerce initiatives across Africa are tapping into previously unreachable consumer segments.

While North America and Europe continue to be profitable on a per-capita scale, their overall growth has been more tempered. In the US, stringent PFAS regulations and heightened ESG audits are pushing companies in the Underwear market to demonstrate chemical compliance. Across the Atlantic, Europe is gearing up for the Digital Product Passport, a move that will enforce traceability right down to the fiber's origin, nudging mills towards advanced blockchain tracking. South America is making strides, with Andean and Mercosur countries working on smoother trade processes for textiles. However, challenges like currency fluctuations and port congestion are casting shadows on their growth ambitions.