With the continuous improvement of global living and consumption standards and the increasing popularity of outdoor activities, all kinds of backpacks have become indispensable accessories around people. Driven by market demand, the retail sales of the global backpack industry market are steadily increasing. According to CIC statistics, it is estimated that it will reach 22 billion U.S. dollars by 2026. During the forecast period from 2020 to 2026, the compound annual growth rate is about 6%.
Chinese Backpack Market
From a regional perspective, the Asia-Pacific region, dominated by China and Japan, is the world's largest backpack market.
Let’s first look at China. China is not only the world’s largest luggage producer and exporter but also accounts for more than 70% of the global luggage manufacturing industry. It also has the world’s largest luggage market.
Data shows that in 2020, the retail sales of China's backpack industry will reach US$7 billion, a year-on-year increase of 9.5%, accounting for 26.14% of the global backpack retail sales. The strong development of China's backpack market has benefited from the rapid increase in residents' income and the increase in product prices brought about by consumption upgrades
Japanese Backpack Market
The Japanese backpack market is characterized by high market demand for luxury brands, but stringent product quality requirements and tight channel control. Foreign brands face high channel construction and network costs after entering the Japanese market, which hinders the continued growth of its market size. From 2013 to 2020, the retail sales of the Japanese backpack market will remain in the US$1.2-1.5 billion range.
Asia-pacific Backpack Market
In addition to the two single markets of China and Japan, other markets behind the Asia-Pacific region are also gradually expanding. Retail sales have increased from US$2.6 billion in 2013 to US$5.1 billion in 2020. The proportion of global backpack retail sales has increased accordingly. 14.53% increased to 19.94% in 2020.
European and American Backpack Market
Compared with the Asia-Pacific region, North America and the European Union have always been the main customer markets for mid-to-high-end backpack products. The North American backpack market is characterized by a wide range of varieties, a wide range of consumer choices, and sufficient market competition. However, consumers like novel backpack products and the speed of product upgrading is fast, so the market retail sales can continue to grow. In 2020, the retail sales of the North American backpack market is approximately US$3.5 billion, a year-on-year increase of 2.9%.
The backpack market in EU countries is characterized by high requirements for environmental protection, complex product quality certification procedures, and slower growth in market retail sales. From 2013 to 2020, the compound annual growth rate of the retail sales of the backpack market in EU countries was 3.0%, and the market retail sales in 2020 will be approximately US$6.2 billion.
Consumer Branding Trend is More Significant
First of all, the added value of luggage products with special functions such as leisure vacation backpacks and professional outdoor sports backpacks is much higher than that of ordinary luggage and will become a hot market for luggage series products in the future. Therefore, it is foreseeable that the specialized market segment is expected to continue its rapid growth momentum.
Secondly, the traditional carrying, storage and other practical functions of backpacks have gradually weakened, while the decorative functions have been continuously strengthened. As a fashionable and personalized commodity, backpacks are more meaningful in expressing and promoting consumers' personalized life attitudes.
Third, brands in the backpack market will further show a trend of two levels of differentiation. Some companies with brand advantages will continue to enhance the commercial value of their brands through celebrity endorsements, advertising and media public relations, and the survival environment of companies with backward technology brands will be worse, brand differentiation will become more obvious.
Finally, Chinese backpack companies will participate more in international market competition. Since the reform and opening up, Chinese backpack manufacturers have made considerable progress, but most companies still adopt OEM sales, and few can participate in global market competition with their own brands.
However, in the future, with the expansion of the specialized production scale of some backpack manufacturers in China and the continuous improvement of design and research capabilities, Chinese brand backpacks will gradually occupy the market.
