What people wear, buy on their way back to the office

Johnny Reynolds has been spending part of his salary on Lululemon lately. Not for the gym, but in preparation for his return to the office.

The 27-year-old Philadelphia-area public relations professional hopes to join his colleagues after Labor Day. Instead of heading to the costume section of the nearest department store, he fills his new wardrobe with Lululemon clothing.

“They’ve got button-down shirts, blazers, polo shirts – basically a full wardrobe of comfy and work clothes,” Reynolds said. “I never consider wearing a suit to a meeting again.”

As Americans slowly return to the office, many are adopting a style similar to Reynolds’, which is increasingly referred to as “work hobbies” – a more assembled version of the athletic wear many already wear from the gym to the grocery store. .

For women and men, that means pants – even denim – stretch more widely thanks to generous elastic waistbands. Tops are not tucked in and ties are optional. Women are turning to skirts and dresses that are more comfortable than fitted pants. And sneakers – not heels – are always in the mix.

It also means that people buy changing clothes. Companies like Lululemon and Athleta stand to benefit, as consumers mix athletic-style clothing into their back-to-work wardrobes. Pairing Lululemon’s iconic ABC pants with a blazer is a common example among men. Brands and department store chains, such as Nordstrom, that are associated with pre-pandemic office wardrobes are rapidly pivoting to include more casual options among fall merchandise.

While clothing categories, including dresses and shirts, such as polo shirts and tunics, are expected to experience double-digit growth this year compared to last year, business suits will only increase by. around 8%, according to market research firm Euromonitor.

Last year, dozens of retail chains filed for bankruptcy and thousands of stores were closed, including a large number of clothing chains like J.Crew, Brooks Brothers, the owner of Men’s Wearhouse Tailored Brands and parent company of Loft Ascena. The upheaval has left consumers with fewer options when planning their trips back to the office.

“The workwear category is shrinking,” said Erin Schmidt, senior analyst at Coresight Research, a global retail and technology consulting and research firm. “It’s not really a category anymore. It used to be a Monday through Thursday costume, then a casual Friday, and those were clearly defined.”

“Today’s consumer is reinventing what it means,” Schmidt said. “The consumer is rewriting this definition of workwear. And it may take a little while for employers to figure this out.”

The accumulated pounds also cause consumers to return to the mall to buy new clothes. Those who have gained weight during the pandemic may also turn to flowing, more forgiving clothing. Levi Strauss CEO Chip Bergh recently said the denim maker estimates about 35% of America’s waistline has been altered in the past year.

Aaron Cutler, a partner at the Hogan Lovells law firm in Washington, DC, said he wouldn’t buy new clothes until he lost his own “Covid books.”

“It’s always pretty casual in the office, but once meetings with clients start it may require wardrobe updates,” said Cutler, 41. “I will probably venture into some stores. Human interaction will be good for me.”

Meanwhile, Rahim Adatia, 47, said he has lost around 25 pounds from last March until now. The Facebook product manager in San Francisco said he bought outfits from Fila and Ted Baker to fit his now reduced height.

Whether it’s the desire for new styles or the need for new sizes, clothing sales have been increasing month after month. Transactions at clothing and clothing accessories stores in the United States increased 47.1% in June from June 2020, according to the latest Commerce Department data. And from April 2021 to June of this year, clothing sales were up 162.9% from the same period a year ago, the department said.

But the dollars were not distributed evenly.

According to a separate analysis by Coresight Research and Euromonitor, the share of formal wear in the total US apparel market fell to 24.8% last year from 31.5% in 2019, while casual wear such as sweatpants and pajamas reigned supreme. Coresight defines attire as all formal accessories, clothing, and footwear, including blazers and suits intended to be worn on the job.

For the remainder of this year and into 2022, Coresight and Euromonitor forecast that the casual wear market will dominate total spending on clothing. Even when people return to socialize and attend events like weddings and birthdays.

Greg Shugar, owner of Beau Ties of Vermont and founder and former CEO of Tie Bar, is concerned about what the change will mean for his business and others in the industry.

“Our numbers are extremely low in tailored clothing,” Shugar said. “Our very loyal customers have told us, ‘I’m not going back to work’ or ‘I’ve just finished wearing ties.’ And that extends to all generations. “

During the pandemic, Shugar actually moved manufacturing to make face masks, which helped his business through some of the toughest months. Recently, he said, sales of masks have started to rise again as the delta variant poses an increased risk of the spread of Covid across the country.

“The bespoke garment industry has suffered enough already and is now in an even worse situation,” said Shugar. “And it’s not coming back like some people think.”

Already, some companies, including costume maker Brooks Brothers, have started to pivot. Upon emerging from bankruptcy, the brand was acquired by Sparc, a joint venture between Authentic Brands Group and mall owner Simon Property Group. Last year, Brooks Brothers launched its first collection of activewear and casual wear. Banana Republic, which is owned by Gap, also recently launched an athleisure liner called BR Sport.

“There are big implications for retailers and manufacturers on the assortment side,” said Kristin Kohler Burrows, senior director of Alvarez & Marsal Consumer and Retail Group, a global consultancy specializing in business transformation. .

“Retailers definitely need more casual items,” she said. “What customers won’t want to sacrifice is feeling comfortable in their clothes.”

MMLaFleur, a professional clothing brand for women, calls the new office wardrobe a form of “hybrid closet”.

The retailer now offers a weekly guide on its website to outfit options, as its customers prepare for the “new normal.” “It can be difficult sometimes trying to dress for the office and work from home,” the blog read.

On Monday, he suggested a more casual look – a “jardigan” (half jacket, half cardigan) and sneakers – for working from home after the weekend. Tuesday requires a higher look for a day at the office, according to MMLaFleur. But come Wednesday, you’re home in a cozy sweater.

“The more you are in the office and the more white-collar workers you have, the more professional items you will have in your closet,” Burrows said. “But not as much as before the pandemic.”

MMLaFleur envisions a world where many office workers divide their time between home and office. The spread of the highly contagious delta variant, which causes an increase in the number of new cases of Covid, also raises the possibility of delayed return-to-work plans, or a situation where employees are working from the desk when cases are low and fall. withdraw home when cases increase.

Clothing company Lands’ End has seen increased demand for its sportswear and swimwear this summer. Sales of nightwear and shirts in knit and stretch fabrics are also strong relative to other categories, according to CEO Jerome Griffith.

“People are a little more comfortable in their work environment, whether it’s at home or in the office, and you won’t see these trends change,” Griffith said in an interview. “People won’t get any less comfortable again.”

Here’s what people say they buy when they return or think about returning to the office.

Liza Amlani, 46, retail strategist in Canada:

Jason Press, 48, general manager of an auto garage in Chicago:

Sean Long, 34, research associate at an investment management firm in St. Louis, Missouri:

Gene Miller, 48, public relations professional in Indianapolis, Indiana:

Manjul Gupta, 38, associate professor at Florida International University: