Clothing Stores NAICS 458110

Jun 23, 2026 - Apparel Sales Outpace Retail

• According to May's CNBC/NRF Retail Monitor report, clothing and accessories stores were among the strongest-performing retail segments in May 2026, with sales rising 10.3% year over year and 0.6% month over month, significantly outpacing both total retail sales growth (+7.2%) and core retail sales growth (+7.0%). Only electronics and appliance stores (+11.6%) posted stronger annual growth. Apparel retailers also outperformed health and personal care stores (+8.9%), sporting goods (+8.6%), general merchandise (+8.3%), digital products (+7.8%), and grocery stores (+6.0%). The strong results indicate consumers remained willing to spend on discretionary fashion purchases despite inflation, tariffs, elevated gas prices, and geopolitical uncertainty. In contrast, furniture and home furnishings stores (+3.4%) grew at a slower pace, while building and garden supply stores (-1.9%) experienced declining sales, highlighting the relative strength of the clothing retail sector.
• US clothing retailers may face challenges in driving apparel discovery through AI, as consumers continue to prefer traditional shopping methods, according to a YouGov survey in Chain Store Age. Sixty percent of clothing shoppers prefer discovering new styles and brands by browsing in stores, compared with just 6% who would use AI tools such as ChatGPT or Gemini for apparel discovery. While some shoppers see value in AI for practical functions such as checking product availability (26%) and receiving size recommendations (25%), concerns about privacy and data security (51%), recommendation accuracy (47%), and reduced human interaction (45%) remain significant barriers. For clothing retailers, the findings suggest that investments in AI may deliver the greatest returns when focused on enhancing convenience and personalization rather than replacing traditional discovery experiences. In-store merchandising, omnichannel engagement, and human-assisted shopping are likely to remain key drivers of apparel sales and customer acquisition.

• The US clothing store industry remained relatively strong in early 2026 as off-price retailers continued outperforming much of the broader retail sector, according to recent earnings reports. TJX, parent company of TJ Maxx and Marshalls, reported first-quarter comparable sales growth of 6% and a 29% increase in diluted earnings per share, both well above company expectations. The results suggest consumers remain willing to spend on apparel when retailers emphasize value, branded merchandise, and discount pricing amid ongoing economic uncertainty. TJX also cited “outstanding” availability of branded merchandise, reflecting continued inventory pressures across the apparel market that may benefit off-price chains. Overall, the results indicate value-focused clothing retailers are gaining market share as consumers become more price-conscious and selective with discretionary purchases.
• The rise of GLP-1 weight-loss drugs is creating a meaningful shift in the US clothing store industry, driving both increased demand and operational challenges, according to a Retail Dive report. Nearly 25% of U.S. households are using these drugs, and over half of users have already purchased new clothing, with most expecting continued wardrobe changes. This is fueling a multiphase purchasing cycle, not a one-time event, as consumers move across sizes. However, the trend is also disrupting traditional retail models, creating “fit volatility” that current inventory and planning systems, often set a year in advance, are not designed to handle. While demand is rising, especially for more fitted apparel, retailers face pressure to adapt sizing, assortment, and planning processes to keep pace with rapidly changing consumer needs.