Nike, Lululemon Again Gain Traction In Piper Sandler Teen Survey

By Thomas J. Ryan

<span style="color: #9c9a9a;">Nike and Lululemon were again the big winners in the active lifestyle space in Piper Sandler’s 40th Biannual “Taking Stock With Teens” Fall 2020 Report*.  Overall, athletic apparel and athletic footwear continue to gain mindshare among younger consumers according to its findings.

The survey found teen spending heavily impacted by COVID-19. Teen “self-reported” spending reached an all-time survey low of $2,150, down 9 percent year-over-year. Apparel spending was down $507, or 11 percent year-over-year. Footwear spending declined $275, or 6 percent, year-over-year.

However, purchasing intent climbed across both athletic apparel and athletic footwear categories. Among upper-income teens across genders, 38 percent of respondents preferred apparel brands that are “athletic,” up from 37 percent last fall and 37 percent in the Spring 2020 survey. Piper Sandler said preppy brands such as Sperry, Ralph Lauren and Vineyard Vines continue to cede share to athletic brands.

Stronger gains in purchasing intent were seen in athletic footwear due to a significant boost from an increased preference for Nike by female teens.  Among upper-income female teens, 80 percent preferred an athletic brand of footwear, up 500 basis points year-over-year and reached an all-time survey high. Among male teens, 88 percent preferred an athletic brand of footwear, 300 basis points above the 2018/19 average.

Among brands, Nike saw re-accelerating share gains as the dominant apparel and footwear brand. Nike has led both categories for 10 straight years in Piper’s survey.

As a preferred apparel brand, Nike holds a 27 percent share versus 23 percent at the same time last year and 25 percent in its Spring 2020 survey. As a preferred footwear brand, Nike held a 52 percent share versus 42 percent last year. Nike has held strong momentum in both categories after seeing some share loss in Piper’s Spring 2019 survey. Nike ranks as tops in trends for teens with popular responses including AirForce 1s and Jordans and is the No. 1 preferred athletic apparel and footwear brand among upper-income teens at 60 percent and 74 percent share, respectively.

Lululemon moved up to the No. 6 preferred apparel brand in the Fall 2020 survey — up from No. 7 in Fall 2019 when it first hit its Top 10 list. Among females, Lululemon was No. 6, and among males, the brand was No. 13. Among upper-income females, Lululemon was the No. 2 apparel brand, up from No. 6 last year, at a substantial 9 percent share — second only to American Eagle. Among upper-income males, the brand was No. 9. As an athletic apparel brand, Lululemon is the No. 2 preferred brand after Nike for upper-income teens, the second consecutive time it ranked above Adidas.

Vans remained the No. 2 footwear brand, at 16 percent share, although down from 20 percent in the Fall 2020 survey and 20 percent in the Spring 2020 survey. In apparel, Vans moved from No. 8 to No. 9 year-over-year with a corresponding 100 basis point slide in share.

Adidas, generally, was stable as the No. 3 apparel and footwear brand. As a footwear brand, while still No. 3, mindshare moderated from 13 percent to 11 percent year-over-year. Among genders, mindshare in footwear for Adidas slid to 16 percent from 19 percent year-over-year among all male teens and eased to 5 percent from 7 percent among female teens. In apparel, Adidas’ mindshare across genders eased from 6 percent to 5 percent. On the bright side, Adidas ranked first in “brands starting to be worn,” cited by 11 percent.

Under Armour continued to lose ground with teens, once again topping the “brands no longer worn” ranking by upper income male teens, cited by 22 percent versus 21 percent a year ago. Among upper-income teens overall, Under Armour ranked fourth favorite athletic apparel brand with a 4 percent mindshare, down from 6 percent a year ago. In footwear, Under Armour ranked fourth among upper-income teens, the same as a year ago.

Among other brands, Champion continued to show momentum, ranking second in brands starting to be worn among upper-income males and eighth in the same category among upper-income females. In footwear, Puma and StockX moved into the top-ten favorites ranking for males with New Balance holding steady. Crocs and Birkenstock remained popular among females.

The Top 10 Lists by category in the Active Lifestyle Space according to Piper’s 2020 Report are:

• Favorite Apparel Brands (all respondents): Nike, 27 percent; American Eagle, 8 percent; Adidas, 5 percent; PacSun, 4 percent; Hollister, 4 percent; Lululemon, 3 percent; H&M, 3 percent; Urban Outfitters, 3 percent; Vans, 2 percent; Forever 21, 2 percent.
• Favorite Footwear Brands (all respondents): Nike, 52 percent; Vans, 16 percent; Adidas, 11 percent; Converse, 4 percent; Foot Locker, 2 percent; Birkenstock, 1 percent; Dr. Martens, 1 percent; New Balance, 1 percent; Crocs, 1 percent; Steve Madden, 1 percent.
• Top Fashion Trends (upper-income male teens): Nike/Jordans, 15 percent; Athletic Wear, 8 percent; Hoodies, 6 percent; 5-inch inseam Shorts, 4 percent; Shorts, 4 percent; Short Shorts, 4 percent; Jogger Pants, 3 percent; Flannels, 3 percent; Sweatshirts, 3 percent; Vans, 2 percent.
• Top Fashion Trends (upper-income female teens): Leggings/Lululemon, 21 percent; Jeans, 10 percent; Nike/Jordans, 9 percent; Crop Tops, 8 percent; Baggy/Saggy Pants, 4 percent; Oversized Tops, 3 percent; Ripped Jeans, 3 percent; Brandy Melville, 2 percent; Vans, 2 percent; Athletic Wear, 2 percent.
• Top Brands Being Worn (upper-income male teens): Adidas, 11 percent; Champion, 10 percent; Nike, 10 percent; Vans, 5 percent; Hollister, 4 percent; Lululemon, 4 percent; American Eagle, 4 percent; Under Armour, 3 percent; PacSun, 2 percent; H&M, 2 percent
• Top Brands Starting Being Worn (upper-income female teens): SHEIN, 7 percent; PacSun, 7 percent. Lululemon, 6 percent; American Eagle, 6 percent; Brandy Melville, 6 percent; Nike, 5 percent; Hollister, 4 percent; Champion, 3 percent; Urban Outfitters, 3 percent; H&M, 2 percent.
• Top Brands No Longer Being Worn (upper-income male teens): Under Armour, 22 percent; Adidas, 12 percent; Nike, 12 percent; Gap, 7 percent; Puma, 5 percent; Reebok, 4 percent; Hollister, 3 percent; Skechers, 3 percent; Champion, 3 percent; Ralph Lauren, 2 percent.
• Top Brands No Longer Being Worn (upper-income female teens): Justice, 26 percent; Hollister, 8 percent; Forever 21, 7 percent; American Eagle, 6 percent; Aeropostale, 6 percent; Gap, 5 percent; Adidas, 5 percent; Old Navy, 4 percent; Abercrombie & Fitch, 4 percent; Victoria’s Secret, 3 percent.

 *Piper Sandler surveyed 9,800 consumers with an average age of just under 16 from 48 states with an average household income of $67,500. The survey, released Tuesday, was conducted between August 19 and September 22. 

Photos courtesy Getty, Lululemon