TOP 20 DECLINE IN FASHION SPENDING BY DEMOGRAPHIC STATISTICS 2025

When looking at the decline in fashion spending by demographic statistics, it becomes clear that people are changing the way they shop based on age, income, and lifestyle. What used to feel like guilt-free indulgence is now being weighed against tighter budgets, rising costs, and shifting priorities. From teens cutting back on sneakers to middle-income groups stepping away from luxury, fashion is no longer immune to economic reality. I can’t help but think of it the same way I do when I decide between buying another pair of socks or saving the money for something more essential—it’s the little choices that add up and tell a bigger story. These statistics aren’t just numbers, they’re reflections of how real people are adapting to uncertainty and redefining what’s worth spending on.

Top 20 Decline in Fashion Spending by Demographic Statistics 2025(Editor's Choice)

 

Top 20 Decline in Fashion Spending by Demographic Statistics 2025

Decline in Fashion Spending by Demographic Statistics #1 – Luxury Spending Dropped 20% YoY in 2024

Luxury spending among aspirational consumers earning between $40K–$100K annually fell by 20% in 2024. This group historically drove mid-luxury sales but is now cutting back due to inflation and higher living costs. Many are shifting purchases toward value-driven or pre-owned items instead of new luxury. This decline signals how sensitive aspirational shoppers are to broader economic pressures. Luxury brands that relied on this demographic must now rethink their pricing and engagement strategies.

Decline in Fashion Spending by Demographic Statistics #2 – 50 Million Aspirational Luxury Customers Lost

The luxury sector lost around 50 million aspirational customers in 2024. This mass exit highlights weakening demand from consumers who once saved up for occasional luxury purchases. Rising inflation, stagnant wages, and shifting priorities have made luxury less attainable. For brands, this represents both a revenue loss and a need to strengthen ties with their core affluent clientele. It also signals that aspirational segments may not be as stable as once assumed.

Decline in Fashion Spending by Demographic Statistics #3 – Overall Spending −13%, Apparel −11% (Jan–Apr 2025)

In early 2025, 18–24-year-olds in the U.S. cut overall spending by 13%, with apparel specifically declining 11%. This age group is most impacted by rising living costs and reduced disposable income. Apparel, once a priority for self-expression, is now taking a backseat to essentials. Brands targeting Gen Z are noticing declining store visits and online checkouts. The cutback emphasizes how fragile young consumer demand can be under economic strain.

 

 

Decline in Fashion Spending by Demographic Statistics #4 – Accessories −18%, Tech −14%, Appliances −18%

Among 18–24-year-olds, accessories dropped 18%, technology spending fell 14%, and small appliances 18%. These categories, often discretionary, are the first to be cut when budgets tighten. It indicates young shoppers are sacrificing “nice-to-haves” to manage essentials. Fashion accessories, especially, are losing traction compared to low-cost fast fashion alternatives. This reinforces how shifting budgets reshape entire retail segments.

Decline in Fashion Spending by Demographic Statistics #5 – Fashion Spending Fell 1% (2023–2025)

From May 2023 to May 2025, Gen Z and millennials reduced fashion spending by 1%. While the decline is modest, it reflects a growing caution among younger shoppers. Many are delaying purchases or shifting to resale platforms. Rising rents and education costs have squeezed discretionary spending power. Even a small drop highlights changes in long-term purchasing habits among digital-first generations.

Decline in Fashion Spending by Demographic Statistics #6 – Discretionary Spending Grew +1% Vs +2% for Men

In early 2025, women’s discretionary spending grew by just 1% while men’s rose by 2%. Apparel purchases among women, typically higher than men’s, slowed significantly. This suggests women are pulling back faster on fashion-related expenses. It may be tied to prioritizing family or household spending amid economic uncertainty. Retailers targeting women need sharper value propositions to maintain loyalty.

Decline in Fashion Spending by Demographic Statistics #7 – 60%–80% Actively Cutting Fashion Expenses

Globally, 60% of shoppers are already cutting fashion expenses, with 75% of U.S. consumers doing the same. Projections show this will rise above 80% by the year’s end. The behavior reflects both inflation fatigue and a shift toward mindful consumption. Rather than frequent new purchases, shoppers prefer versatile pieces or secondhand goods. Fashion brands must adapt with affordability-focused collections and flexible payment models.

 

 

Decline in Fashion Spending by Demographic Statistics #8 – 3% YoY Drop in Apparel, Footwear, Accessories

In 2024, U.S. consumer spending on apparel, accessories, and footwear fell by 3%. This decline marks one of the sharpest category-wide reductions in recent years. Consumers are delaying purchases and focusing on essentials. The cutback affects both high-end and mid-market retailers equally. It reflects a broader sentiment of financial caution across households.

Decline in Fashion Spending by Demographic Statistics #9 – Athletic Apparel Spending Declined 6% YoY

Athletic apparel spending in the U.S. dropped 6% year-over-year. Brands like Nike and Adidas are feeling the pinch as consumers prioritize essentials. Once considered a “growth category,” sportswear now faces headwinds. This suggests that even athleisure, which surged during the pandemic, is no longer immune. Economic slowdown has redefined what consumers view as non-essential.

Decline in Fashion Spending by Demographic Statistics #10 – Luxury Spending Fell Most in Middle-Income Group

Middle-income consumers showed the steepest decline in luxury spending in 2024. This demographic, often seen as the backbone of aspirational luxury, is withdrawing fast. Higher interest rates and inflation have squeezed their budgets disproportionately. Instead of luxury items, they are shifting toward value or discount options. This creates a significant challenge for premium and mid-tier luxury brands.

Decline in Fashion Spending by Demographic Statistics #11 – Fast Fashion Declined 1% YoY

Despite Shein outperforming H&M and Zara combined, U.S. fast fashion spending still fell 1% year-over-year. This shows that overall demand is soft, even with new players dominating. Consumers are choosing fewer but longer-lasting pieces, even in fast fashion. Economic pressures are reshaping expectations in what was once a purely volume-driven category. This shift forces fast fashion brands to rethink their strategies around sustainability and quality.

Decline in Fashion Spending by Demographic Statistics #12 – 37% of Luxury Shoppers Reduced Fashion Purchases

A survey revealed that 37% of luxury shoppers are buying fewer fashion items than a year ago. Additionally, 77% believe that prices have risen sharply. These perceptions are driving many to cut back on discretionary fashion spending. Even wealthy consumers are questioning whether items are worth the higher cost. Luxury brands face pressure to balance exclusivity with value perception.

Decline in Fashion Spending by Demographic Statistics #13 – Teen Spending Dropped 6% YoY (Spring)

Teen spending in the U.S. fell 6% this spring compared to last year. Apparel and footwear were among the top categories impacted. Teenagers, heavily influenced by trends, are slowing down purchases. Social media continues to inspire demand, but budgets aren’t keeping up. This suggests teen-focused brands must adapt pricing strategies or risk losing ground.

Decline in Fashion Spending by Demographic Statistics #14 – Discount/Value Apparel Grew 13% Since 2019 Vs <5% Overall

Since 2019, European households increased discount/value apparel spending by 13%, while overall apparel grew less than 5%. This indicates strong consumer migration toward cheaper alternatives. Economic uncertainty is pushing families to favor affordability over brand prestige. The growth of discount retailers highlights demand for cost-effective fashion. It’s a clear sign of long-term downtrading in the region.

 

 

Decline in Fashion Spending by Demographic Statistics #15 – 59+ Age Group Now 37% of Apparel Spend Vs 23% Millennials

In 2023, the 59+ age group accounted for 37% of U.S. apparel spend, compared to millennials’ 23%. This marks a generational shift in spending power. Younger groups are spending less due to tighter budgets, while older generations maintain consistent fashion buying. It signals retailers must cater more to older demographics. Ignoring this segment risks losing a growing share of the market.

Decline in Fashion Spending by Demographic Statistics #16 – 73% of Gen Z Changed Spending Habits in 2024

In 2024, 73% of Gen Z reported changing their spending habits. Many cut back on apparel and accessories, favoring affordable or secondhand options. This indicates a decline in loyalty toward established fashion brands. Gen Z is flexible, willing to try new brands if affordability aligns with style. Such behavior challenges traditional marketing and retention strategies.

Decline in Fashion Spending by Demographic Statistics #17 – Over 50% Reduced Apparel Spend; 33% Stopped Entirely

A survey across nine countries showed over 50% of respondents reduced apparel spending during COVID-19. Around 33% stopped purchasing apparel completely. This reflects how deeply crises impact discretionary categories like fashion. Even post-pandemic, the cautious behavior persists in many households. Brands must plan for future shocks with more resilient models.

Decline in Fashion Spending by Demographic Statistics #18 – Clothing Sales −79% in Apr 2020

In April 2020, U.S. clothing sales plunged by 79% due to pandemic lockdowns. This was one of the sharpest declines in fashion history. Stores shuttered, online channels struggled, and demand evaporated almost overnight. The collapse reshaped how brands approached digital acceleration. Its ripple effects continue to influence consumer caution today.

Decline in Fashion Spending by Demographic Statistics #19 – Trading Down to Value Apparel Rose 10% YoY

Middle- and lower-income shoppers increased value apparel purchases by 10% year-over-year. This behavior represents “trading down” to cheaper alternatives. Economic pressures force consumers to prioritize budget over brand identity. While premium sales declined, discount segments benefited. It demonstrates how flexible consumer choices are under financial stress.

 

 

Decline in Fashion Spending by Demographic Statistics #20 – Discount Apparel +2% Vs Retail −1%

In July 2024, discount apparel spending rose 2% while overall retail (excluding restaurants) dropped 1%. This divergence shows how value fashion is outperforming broader retail. Consumers are flocking to discount retailers as a safe choice. It reflects a permanent shift in consumer expectations toward affordability. Discount fashion chains are gaining resilience while premium brands stagnate.

Shifting Priorities In Everyday Fashion Choices

What stands out to me most is that fashion spending isn’t simply declining—it’s evolving. Each demographic is making trade-offs that reflect not just financial limits but also lifestyle changes and new values. Teens and young adults are leaning toward thrift and resale, while older consumers are quietly becoming the backbone of apparel spending. It feels like everyone, in their own way, is learning to prioritize value over volume, choosing carefully instead of endlessly adding to their wardrobes. And maybe that’s not such a bad thing—because behind every spending cut is a reminder that fashion is still personal, even when we decide to buy less of it.

Sources

• https://www.bain.com/insights/luxury-in-transition-securing-future-growth/

• https://www.voguebusiness.com/story/consumers/how-to-win-back-the-aspirational-customer-luxury-slowdown

• https://www.pymnts.com/consumer-insights/2025/spending-dips-13-as-gen-z-makes-saving-cool/

• https://www.consumeredge.com/resources/insights/2024-apparel-accessories-and-footwear-trends/

• https://www.fashiondive.com/news/apparel-luxury-spending-2025/743449/

• https://www.earnestanalytics.com/insights/us-clothing-accessories-spend-drops-in-2025

• https://talkbusiness.net/2025/04/the-supply-side-consumers-reduce-spending-on-spring-fashion/
  

• https://www.washingtonpost.com/world/2025/08/16/china-secondhand-luxury-boom/

• https://www.industryleadersmagazine.com/luxury-good-sales-to-drop-2-in-2024-50-million-consumers-opt-out/

• https://www.fashiondive.com/news/bain-luxury-spending-flat-worst-2024/733451/

• https://www.forbes.com/sites/pamdanziger/2025/07/27/lvmhs-fashion-and-leather-goods-sales-plunge-12-signaling-a-broader-luxury-slowdown/

• https://www.bain.com/insights/2024-china-luxury-goods-market/

• https://www.fashiondive.com/news/luxury-fashion-consumer-behavior-boston-consulting-group/757305/
  

• https://www.businessinsider.com/middle-class-economy-wealth-luxury-shopping-consumers-spending-retail-2025-5

• https://www.mckinsey.com/industries/consumer-packaged-goods/our-insights/the-state-of-the-us-consumer