2019

US Mid-Tier Fashion ReportHow mid-industry brands and retailers are striving to grow online sales

US Mid-Tier Fashion Report | 2

While luxury fashion sets the trends, and fast fashion quickly

supplies cheaper versions of them, mid-tier fashion always

seems a few steps behind.

As if retail wasn’t hard enough, digitally native brands are

expected to open 850 stores over the next five years. Plus, the

expansion of Amazon and subscription boxes is making the

online landscape difficult to navigate.

What can mid-tier fashion retailers and brands do to remain

relevant in this competitive environment?

In this report, Hitwise will answer:

• Which ‘90s brands are making a comeback and what does it

mean for partnerships?

• How quickly is Amazon fashion growing and what can we

learn from it?

• What can retailers gain from the shift from business casual

to athleisure?

Mid-Tier is Moving Up INTRODUCTION

US Mid-Tier Fashion Report | 3

What is Mid-Tier Fashion?When we talk about mid-tier fashion, we’re considering brands and retailers that meet an average price point between

$50-$150 for items. Online traffic across the top 50 mid-tier brands and retailers has declined -5% year-over-year in May.

Although mall staples may typically come to mind, digitally native brands like Everlane and Fabletics also fit into this part of

the fashion industry. In fact, Everlane is the fastest-growing mid-tier retailer in terms of site visits year-over-year.

INTRODUCTION

Fastest Mid-Tier Fashion Risers - Website Traffic May 2019 YoY

All digital top risers have

physical retail stores.

+23%

+12%

+23%

+12%

+28%

+19%

+26%

+17%

US Mid-Tier Fashion Report | 4

PART I

‘90s Brand PartnershipsWhich brands are making a comeback

and what does it mean for partnerships?

PART II

The Rise of Amazon FashionHow quickly is it growing and what can

others learn from it?

PART III

Shift Towards AthleisureWhat can retailers gain from the shift

from business casual to athleisure?

What’s InsideINTRODUCTION

PART I

‘90s Brand PartnershipsWhich brands are making a comeback and what does it mean for partnerships?

US Mid-Tier Fashion Report | 6

‘90s brands are making a comebackStaple brands from the ‘90s have recently made

their way back into the fashion mainstream. Younger

generations, especially Gen Z, have nostalgia for brands

like Fila, Guess Jeans, and Tommy Hilfiger.

Fila has sustained the most popularity with +58%

growth in searches year-over-year, followed by

Champion at +16%. Both brands have benefitted from

partnerships with Urban Outfitters that have largely

been driven by interest from Gen Z.

Consumers that search for these brands are 51% more likely to be 18-24 years old.

Although Tommy Hilfiger also has an exclusive line with

Urban Outfitters, interest has declined -5%.

What can Tommy do to turn things around?

SEARCH GROWTH

Growth of ‘90s Brand Searches12 weeks ending 6/15/19 YoY

“fila”

“champion”

“guess jeans”

“levis”

“dickies”

“tommy hilfiger”

Partnerships have

contributed to ‘90s

brands continued

popularity.

+58%

+16%

+13%

+6%

+2%

-5%

US Mid-Tier Fashion Report | 7

Understand your direct vs. retailer search share Tommy Hilfiger is going after Gen Z but has fallen behind other ‘90s brands. Identifying partners that over-index with

this audience can help the iconic brand remain relevant.

Urban Outfitters, a current partner, reaches 2.8% of the 18-24-year-old audience. Meanwhile, Tommy’s 18-24-year-old audience is 12.5x more likely to also shop at Madewell, which they don’t currently partner with. Tommy Hilfiger could

assess if a partnership with Madewell is a brand fit as it draws their key demographic.

CHANNEL OPTIMIZATION

Share of 18-24 yo Audience12 weeks ending 6/15/19

Overlap Index of 18-24 yo’s Visiting Tommy.com12 weeks ending 6/15/19

Urban Outfitters

2.8%

J. Crew

1.8%

Uniqlo

1.6%

PacSun

1.1%

Madewell

1.0%

PacSun

13.1X

Madewell

12.5X

Urban Outfitters

10.0X

Uniqlo

9.6X

J. Crew

8.5X

Tommy Hilfiger could partner

with fast-riser Madewell, as it

draws their key demographic.

PART II

The Rise of Amazon FashionHow quickly is it growing and what can others learn from it?

US Mid-Tier Fashion Report | 9

Amazon fashion is taking offAside from CPG, electronics, and home, Amazon is

also taking on fashion and consumers are flocking.

Purchases of Clothing, Shoes, and Accessories are over 26 million, rising by +4% year-over-year. Although this seems moderate, Macy’s sales were only

up +0.7% in Q1 2019.

Between launching dozens of their own private labels

and new initiatives such as The Drop and StyleSnap,

Amazon has made a real commitment to becoming a

staple in fashion.

Even though overall growth is modest, categories like

Women’s Jumpsuits and Men’s Shorts have managed

to more than double purchases year-over-year.

What can the industry learn from the rise of women’s jumpsuits on Amazon?

CATEGORY GROWTH

Top Growing Clothing Categories on AmazonApril 2019 Purchases YoY

Women’s Jumpsuits, Rompers &

Overalls

+135%

Men’s Shorts

Men’s Active

Men’s Shirts

Women’s Tops & Tees

+128%

+36%

+24% +19%

Amazon is quickly penetrating

popular categories, like

Women’s Jumpsuits & Men’s

Activewear.

US Mid-Tier Fashion Report | 10

Search Terms Driving Traffic to Women’s Jumpsuits, Rompers & Overalls Category on Amazon, April 2019

Optimize product assortment and paid searchPurchases of jumpsuits, rompers and overalls grew 2.4x over the past year on Amazon, indicating that these items are an emerging

trend. Brands and retailers can stay on top of these trends by leveraging the top searches to inform product assortment. Top terms

such as “festival clothing” and “sexy club outfit” indicate that women are looking for event-specific outfits.

Struggling mid-tier retailers should create campaigns promoting outfits for a girl’s night out or upcoming festivals to reach this

audience. Brands can leverage this data to optimize their paid search strategy on Amazon.

AMAZON SEARCH INSIGHTS

Target your ideal audience with event-specific outfits and clothing.

“womens summer clothing”

”sexy club outfit”

“festival clothing”

”yoga pants jumpsuit for women”

“night out tops for women”

PART III

Shift Towards Athleisure

What can retailers gain from the shift from business casual to athleisure?

US Mid-Tier Fashion Report | 12

“Athleisure” and “workleisure” have become the new norm in the office. Searches for “athleisure” are growing 2x faster than searches for “business casual” year-over-year.

While staple brands like Lululemon and Athleta continue to attract consumers seeking this style, new brands like

Sweaty Betty are emerging as competitors.

Non-active brands, such as J.Crew and Everlane, are also gaining interest from this audience. The overlap of J.Crew

site visitors and “athleisure” searchers grew +28% in the past year.

How can J.Crew tap more into this audience?

Overlap of “Athleisure” Searchers - 12 weeks ending 6/15/19 YoY

Business casual goes active BRAND GROWTH

25%

20%

15%

10%

5%

0%

Aud

ienc

e O

verl

ap

Lululemon Athleta J.Crew Everlane Sweaty Betty

+3%+71% +28%

+47%

+42%

Non-active brands

are gaining favor with

athleisure seekers.

US Mid-Tier Fashion Report | 13

Although J.Crew doesn’t focus on activewear, their consumers are interested in athleisure. Launching their own

work-to-office line could be strategic, but first J.Crew should understand which brands their audience visits and why.

10% of J.Crew’s audience is going to Lululemon in search of 2-in-1 shorts, travel backpacks, and white running

sneakers. With Athleta, 9% of J.Crew visitors are seeking swimwear, skorts, and 2-in-1 shorts.

Lululemon and Athleta’s audience go to J.Crew in search of fleeces, jackets, and shoes. Leveraging the searches from

both sides of the equation can inform the launch of a new line or how J.Crew can alter current campaign messaging to

hit this group.

J.Crew Competitor Overlap - 12 weeks ending 6/15/19 YoY

Understand where else your customers goAUDIENCE OVERLAP

J.Crew’s overlap audience

is going to Lululemon for:

“2-in-1 shorts”

“travel backpack”

“white running sneakers”

J.Crew’s overlap audience

is going to Athleta for:

“2-in-1 exercise shorts”

“swimwear”

“skorts”

overlap of J.Crew’s audience

overlap of J.Crew’s audience

10% 9%

US Mid-Tier Fashion Report | 14

• Searches of ‘90s brands, like Fila and Champion, continue to grow, aside from Tommy Hilfiger, which declined -5%.

• Tommy can tap into partnerships to help turn the tide, like Macy’s and PacSun.

• As Amazon commits to expanding fashion offerings, Women’s Jumpsuits grew sales by 2.4x year-over-year.

• Searches indicate that women are after event-specific outfits, which other retailers can leverage for product assortment, paid search, and content.

• Searches for ”athleisure” are growing 2x faster than searches for “business casual.”

• J.Crew can promote backpacks, swimwear, and sneakers to capture more of the athleisure audience.

PART I: ‘90S BRAND PARTNERSHIPS

PART II: THE RISE OF AMAZON FASHION

PART III: SHIFT TOWARDS ATHLEISURE

Key TakeawaysSUMMARY

US Mid-Tier Fashion Report | 15

Hitwise is a global digital intelligence provider that helps brands and agencies, like Walmart, Goldman

Sachs, Condé Nast, and Group M, segment and reach online audiences. As pioneers in data science for

over 20 years, we deliver long-lasting improvements to our clients’ marketing and sales performance.

Powered by leading data transformation and modelling technologies, Hitwise data is audience-first,

actionable, globally-compliant, and unmatched in terms of granularity. This allows us to provide a

complete understanding into how consumers behave online - from initial search to final purchase, at any

moment in time, across any device.

DiscoverConsumer

Insights

LiftCampaign

Performance

MeasureCompetit ive

Benchmarking

OptimizeSearch & Channel

Optimization

Ready to reach and engage

fashionistas? will help uncover digital insights into your strategic audience segments.

CONTACT US HERE

APPENDIX

Page 3: Hitwise, US. Fastest-rising of Top 50 Mid-Tier sites, May 2019 YoY.

Page 6: Hitwise, US. YoY searches 12 weeks ending 6/15/19.

Page 7: Hitwise, US. Downstream traffic from “tommy hilfiger” 12 weeks

ending 6/15/19 and YoY growth.

Page 9: Hitwise Amazon Retail Intelligence, US. YoY growth in category

purchases, April 2019.

Page 10: Hitwise Amazon Search Intelligence, US. Women’s Jumpsuits,

Rompers & Overalls category on Amazon, April 2019.

Page 12: Hitwise, US. Overlap of searchers for “athleisure” & retail websites,

12 weeks ending 6/15/19 and YoY growth.

Page 13: Hitwise, US. Visitors of J.Crew and/or Lululemon and Athleta and

search terms of overlap audience to Lululemon or Athleta, 12 weeks ending

6/15/19.