(Port Washington, NY; March 18, 2008) Despite reports of an economic slowdown and a "Hesitation Holiday," the U.S. apparel market posted growth this past year. According to The NPD Group, Inc., leading provider of consumer and retail information, 2007 dollar volume sales were $195.6 billion, up 3% over the prior year. 

	Annual 2006 (000's)	Annual 2007 (000's)	07 vs. 06
Total Apparel	190,127,200	195,601,300	3%
Men's Apparel	54,819,040	57,212,450	4%
Women's Apparel	101,976,200	103,095,100	1%
Children's Apparel	33,331,990	35,293,760	6%

Source: The NPD Group, Inc./Consumer Tracking Service

What are some of the trends driving growth? In women's apparel, most notable are sales of dresses. The annual 2007 dollar volume growth reached an unprecedented 44% for the dress category. "Dresses had a phenomenal year and certainly have captured the women's market in a big way," said Marshal Cohen, chief industry analyst, The NPD Group, Inc. "Dresses have the advantage of having a mass appeal; there are styles available that will flatter any women, regardless of her age or figure."

Additionally big growth was seen in women's tights this past year.  For Annual 2007, tights saw a 48% growth rate.  "Certainly hosiery has benefited from the sales of dresses," said Cohen. "But it is only a select category of hosiery that seems to have capitalized on this new love of dresses." Cohen added, "We still need to see greater retailer acceptance of sheer hosiery plus new colors and textures which will allow the consumer to more fully embrace this part of the trend."

Taking a look at the men's apparel market, the growth area once again is in the "dressier" categories.  The men's tailored categories (suits, suit separates, sport coats) grew overall by 7% for annual 2007.  The sub-category that performed best was suit separates with 35% growth. "Once again the ability to create a personalized fit experience by being able to buy the right size jacket and pant have made suit separates the way to shop for tailored clothing," noted Cohen. "Between the dressing up trend and the ability to buy suits 'off the rack,' no alterations necessary, this huge growth category has gotten even bigger among the younger crowd, who are now reaching for style as a great image maker."

The children's market also benefited from the dressing up trend.  Girls dresses in total children's were up 31% in both dollar and unit volume. For the boys, sales of suits, suit separates and sport coats in total children's were up at 31% in unit volume growth over the prior year. "The children's market continues to be more recession proof than the men's and women's market." said Cohen, "Parents are willing to sacrifice their own wardrobe needs so they can keep their little ones well attired."

With 2007 behind us, what's in store for 2008? Cohen says, "With all the distractions the economy is throwing at the consumer, we need to go beyond the numbers to see what is really going on here. When you take a look at the current data, men's and children's are outpacing women's in apparel sales. For me that sends up a flare. The warning is if we don't find a way to engage women to shop for apparel again, then we will set off a chain reaction.  When other industries are capturing a greater share of discretionary spending, designers and brands along with the retailers need to see the same warning flare and put some excitement back into the fashion equation."

About The NPD Group, Inc.

Since 1967 The NPD Group has provided reliable and comprehensive consumer and retail information for a wide range of industries. Today more than 1,400 manufacturers and retailers rely on NPD to help them better understand their customers, product categories, distribution channels and competition in order to help guide their business. Information from The NPD Group is available for the following major vertical sectors: apparel, appliances, automotive, beauty, consumer electronics, food and beverage, foodservice, footwear, home improvement, housewares, imaging, information technology, music, software, travel, toys, video games, and wireless. For more information visit www.npd.com