Jeans sales drop as millennials opt for sweatpants

An increasing number of millennials are favoring sweatpants or yoga pants over jeans for their everyday wear, studies reveal.

In a recent survey conducted by US-based consumer financial services firm Synchrony Financial, 80 percent of respondents said that they have worn athleisure clothing "on occasions other than working out" while almost 70 percent indicated they wear athleisure clothing, as an alternative to jeans, at least once a week.

Synchrony suggested that "apparel retailers should consider investing in the new trend of customers wearing yoga pants to the studio and beyond" as "today’s consumer values comfort, along with movement and style."

In a separate research by multinational financial services corporation Morgan Stanley in October 2015, figures showed that sales of footwear and sports apparel have grown by 42 percent in the past seven years, en route to becoming a $270 billion industry. This ascent can be attributed to an increased focus on fitness and healthy living, which has translated in more active lifestyles, especially among the younger generation.

And with many younger consumers being invested heavily on career advancement and earning more income while wanting to maintain an active lifestyle, the industry is foreseen to have an even larger growth. Morgan Stanley predicts that the athleisure clothing industry to rise about 30 percent or worth $83 billion in revenue by 2020.

The increasing popularity of athleisure apparel, however, has come at the expense of the denim pants industry. Especially nowadays when it is acceptable to do errands or show up to the office wearing designer activewear and brightly colored sneakers.

"The sportswear industry designs clothes, shoes and gear that are high-performance, comfortable and fashionable. You don’t have to be a track star to prefer the comfort of running shoes. If you’re into yoga, chances are you already appreciate the look and feel of form-fitting stretchwear,” according to Morgan Stanley. "The upgrade cycle of new designs and improved materials, a page torn from tech, also keeps consumers engaged and coming back for more."

According to a study on teen shopping habits by Piper Jaffray, an investment bank and asset management firm based in the US, sales of athleisure clothing account for 28 percent of the overall apparel purchases amongteens, up from 6 percent in 2008. This clothing category is now performing better than jeans in terms of sales among upper-income teenage females, with revenue amounting to 15.6 percent of the segment’s total garment purchases in the spring of 2015. Traditional denim, in comparison, took up 9.1 percent.

Even jeans giant Levi's has started to feel the effects of athleisure wear's popularity. Bloomberg noted that the brand's sales have dipped by several billion dollars in the past few years. The company has also seen its stocks drop.