Children's & Infants' Clothing Stores in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: September 2023
NAICS 44813CARevenue
$2.1bn
Past 5-Year Growth
Profit
$XX.Xm
Employees
24,073
Businesses
4,076
Wages
$XXX.Xm
Children's & Infants' Clothing Stores in Canada industry analysis
The Children's and Infants' Clothing Stores industry includes stores specializing in retailing apparel for children under the age of 17 and online sales. While macroeconomic growth has encouraged shoppers to splurge on high-end children's clothing through the end of 2023, many apparel purchases have been captured by industries that directly compete for consumer dollars. For example, online-only shopping retailers have become increasingly acceptable and preferable, siphoning demand away from brick-and-mortar establishments. This digitization push resulted in revenue falling at a CAGR of 2.3% to an estimated $2.1 billion in 2023, despite 2.1% revenue growth in 2023. The average profit margin is also expected to slump to 4.6% in 2023, as purchase costs have accounted for more revenue.COVID-19 significantly impacted children's and infant clothing stores in Canada. Many stores were forced to close temporarily because of government lockdowns, and others saw a significant decline in sales as parents cut back on spending. Traditional children's clothing stores have been consistently shifting their focus and priority away from selling in physical retail locations to generate online sales, which helped offset significant losses for traditional clothing stores. This shift was exacerbated in 2020, evidenced by consumer behavior amid the pandemic. Because of government-mandated stay-at-home orders and establishment restrictions, E-commerce sales spiked in 2020. Despite the economy reopening, these trends are anticipated to persist because of the continued reliance and popularity of online-only shopping. The industry is expected to return to growth over the five years to 2028. Despite increasing external pressure from competing industries, industry revenue is expected to grow an annualized 2.8% to $2.4 billion over the five years to 2028. Consumer confidence, which is anticipated to increase an annualized 10.4% over the next five years, will likely temper downward revenue pressures by encouraging shoppers to spend more at industry establishments. Nevertheless, the industry's persistent struggle to compete with e-tailers and department stores will likely cause industry enterprise and establishment growth to remain lower.
Trends and Insights
- The increasing competition in the industry is expected to lead to consolidation, with smaller stores struggling to compete with larger retailers. Children's clothing stores that are able to adapt to the changing trends in the industry, like the growing demand for sustainable and ethical clothing, will be well-positioned to succeed in the future.
- Consumers with higher annual income have incentive to purchase children's clothes. If consumers are struggling fiscally, they will look for alternative methods of acquiring clothes.
- Exorbitant population presence encourages establishment expansion. Regions with a higher quantity of families create an appealing opportunity for establishments to secure a consistent revenue stream.
- Companies operating in the mid-market often employ promotional discount tactics to lure consumers. Retailers operating at the high end of the market are usually exempt from price wars because promotional and discount activity reduces the brand's prestige.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 2.3 % over the past five years, to reach an estimated $2.1bn in 2023.
Trends and Insights
COVID-19 had a severe impact on retailers
- The pandemic led to declining demand for children's and infant clothing, as parents had less money and children spent less time outside the home.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
E-commerce is here to stay
- E-commerce is expected to continue to grow in the next five years, and the children's and infants' clothing store industry is no exception.
Biggest companies in the Children's & Infants' Clothing Stores in Canada
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Carter's Inc. | 263.4 | 16.2 | 6.2 | |
The Gap Inc. | 142.4 | 2.4 | 1.7 | |
Children's Place Inc. | 25.3 | N/A | N/A |
To view the market share and analysis for all 4 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Boys' clothing, Girls' clothing and Infants' and toddlers' clothing. Boys' clothing is the largest segment of the Children's & Infants' Clothing Stores in Canada.
Trends and Insights
Heightened inflationary pressures dampen consumers' fiscal flexibility toward girls' clothing
- This product segment generates revenue from the sale of girls' clothing.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Family Clothing Stores in Canada
- Department Stores in Canada
- Used Goods Stores in Canada
- E-Commerce & Online Auctions in Canada
Complementors
- There are no industries to display.
International industries
- Children's & Infants' Clothing Stores in the US
- Clothing Retailing in Australia
- Clothing Retailing in New Zealand
- Clothing Retailing in the UK
- Clothing Retailing in Ireland
Table of Contents
About this industry
Industry definition
This industry includes specialized clothing retailers that sell a wide range of ready-to-wear infant and children’s clothing. Supplementary services include basic alterations, such as hemming and taking in or letting out seams. This industry excludes retail sales from department stores, mass merchants and online-only retailers.
What's included in this industry?
Boys' clothingGirls' clothingInfants' and toddlers' clothingCompanies
Carter's Inc.The Gap Inc.Children's Place Inc.Purchase this report to view all 4 major companies in this industry.
Related Terms
TWEENFAST FASHIONINFANTTODDLERIndustry Code
NAICS 448130 - Children's & Infants' Clothing Stores in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The increasing competition in the industry is expected to lead to consolidation, with smaller stores struggling to compete with larger retailers. Children's clothing stores t...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Consumers with higher annual income have incentive to purchase children's clothes. If consumers are struggling fiscally, they will look for alternative methods of acquiring c...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Exorbitant population presence encourages establishment expansion. Regions with a higher quantity of families create an appealing opportunity for establishments to secure a c...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Companies operating in the mid-market often employ promotional discount tactics to lure consumers. Retailers operating at the high end of the market are usually exempt from p...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Secure relationships with consistent clients provide advantage in the market. Large companies are able to leverage their market power because of a strong foundation with core...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Carter's Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of The Gap Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Children's Place Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for Carter's Inc., and factors influencing its performance in the industry
- Description and key data for The Gap Inc., and factors influencing its performance in the industry
- Description and key data for Children's Place Inc., and factors influencing its performance in the industry
- Description, key data and performance trends for one additional company
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Exorbitant growth of e-commerce sales harms growth prospects. As more consumers continue to adopt online retailers as their primary mode of shopping, traditional children's c...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Consumers can easily compare prices and find the best deals online. Price transparency can make it challenging for physical stores to compete on price, especially if they hav...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Children's & Infants' Clothing Stores industry in Canada in 2024?
The market size of the Children's & Infants' Clothing Stores industry in Canada is $2.1bn in 2024.
How many businesses are there in the Children's & Infants' Clothing Stores in Canada industry in 2023?
There are 4,076 businesses in the Children's & Infants' Clothing Stores industry in Canada, which has grown at a CAGR of 7.7 % between 2018 and 2023.
Has the Children's & Infants' Clothing Stores industry in Canada grown or declined over the past 5 years?
The market size of the Children's & Infants' Clothing Stores industry in Canada has been declining at a CAGR of 2.3 % between 2018 and 2023.
What is the forecast growth of the Children's & Infants' Clothing Stores industry in Canada over the next 5 years?
Over the next five years, the Children's & Infants' Clothing Stores industry in Canada is expected to grow.
What are the biggest companies in the Children's & Infants' Clothing Stores market in Canada?
The biggest companies operating in the Children's & Infants' Clothing Stores market in Canada are Carter's Inc., The Gap Inc. and Children's Place Inc.
What does the Children's & Infants' Clothing Stores in Canada include?
Boys' clothing and Girls' clothing are part of the Children's & Infants' Clothing Stores industry.
Which companies have the highest market share in the Children's & Infants' Clothing Stores in Canada?
The company holding the most market share in Canada is Carter's Inc..
How competitive is the Children's & Infants' Clothing Stores industry in Canada?
The level of competition is high and increasing in the Children's & Infants' Clothing Stores industry in Canada.
