China’s cost advantage in manufacturing is eroding fast as many American and Chinese consumers say they want Made in USA products and are willing to pay more for them. In contrast, European consumers prefer goods from their own home countries.
That’s according to a survey conducted by the Boston Consulting Group. The BCG study was conducted online from Sept. 10 through Sept. 17, surveying 1,001 respondents in the U.S.; 1,000 in China; 1,505 in Germany, and 1,502 in France. The respondents were between ages 18 to 70 and evenly split in terms of gender. Annual household income ranged from $25,000 to more than $100,000.
The study also concluded that there’s a significant opportunity for manufacturers and retailers to capture that pricing premium. Manufacturers, though, will need to rethink their footprint to emphasis U.S.-based production, while retailers will need to concentrate on sourcing strategies with an eye toward quality and price advantages. Both will need to better communicate the American-made focus to consumers.
Based on the replies, 80 percent of U.S. consumers prefer Made in USA versus Made in China. They are also willing to pay more for Made in USA goods, with more than 20 percent stating they didn’t mind paying a premium that was more than 10 percent. That willingness was similar across age groups, incomes and family status.
For apparel and footwear, 45 percent said they were willing to pay up to a 10 percent premium for an American-made item, with 21 percent stating a willingness to pay a higher percentage. Also, when the survey was conducted, 57 percent said they chose an American-made product over a Chinese-made product at least once in the month before, even though the Made in USA product was more expensive.
Patriotism and related factors were the primary reasons for the willingness of Americans to pay more: 93 percent said they want to keep jobs in the U.S.; 81 percent felt better about buying American-made, and 80 percent cited patriotism as the goal. Quality, at 85 percent, was the secondary reason for buying American made, while durability, at 65 percent, was a related factor in their decision.
Among Chinese consumers, 19 percent preferred Made in China, while 35 percent had no preference. The overwhelming majority, at 47 percent, said they prefer Made in USA goods. At 61 percent, the majority said they were willing to pay more for an American-made product. For apparel and footwear items, 35 percent stated they would pay up to 10 percent more and 16 percent said paying more than 10 percent was OK.
Quality, at 82 percent, was cited by Chinese respondents as the primary reason for buying Made in USA, with durability, at 68 percent, coming in second.
Among the Europeans surveyed, German and French consumers, each at 65 percent, said they were willing to pay more for products made in their home country versus American manufactured items, and they cited patriotism as the key reason.
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews
“Stranger Things” is getting a new cast member for season 2. Meet @sadiesink_, the 15-year-old who will be joining the Netflix series for its new season. You may recognize her from “The Glass Castle” with Brie Larson and Woody Harrelson, but the Texas native’s next role goes in an entirely different direction. She describes her character, Max, as “a rough and tumble skater girl [who] becomes friends with the boys at school.” The second season debuts on October 27. (📷: @jgreenery) #wwdeye
Amid the Harvey Weinstein controversy, there’s another sector that’s being put under the spotlight for sexual abuse: the modeling industry. While rumors about abuse and sexual harassment of female and male models — and the photographers, agents and others who perpetrated it — have circulated within the fashion world for years, model @cameronrussell started posting stories from models on Instagram last week about abusive situations they’ve encountered — from sexual harassment and molestation to attempted rape. Over 75 have weighed in so far. Read more on WWD.com. Link in bio. #wwdnews
To celebrate its 16th anniversary, @dylanscandybar tapped designers and celebrities to create mosaics out of candy. The mosaics will be auctioned off to support the philanthropic cause of each participant’s choice. Pictured here is the mural created by @aliceandolivia's Stacey Bendet. For a first look at some of the other artwork being unveiled tonight, go to WWD.com. #wwdeye
The annual Veuve Clicquot Polo Classic in Pacific Palisades this weekend drew Kate Hudson, Tracee Ellis Ross, Laura Dern and more. See pictures of the star-studded event on WWD.com. (📷: @chelsealaurenla) #wwdeye
In his new book “Hollywood Royale,” Andy Warhol’s Protégé Matthew Rolston celebrates the Eighties revival of Hollywood glamour. Featuring more than 100 portraits taken by Rolston from 1977 to 1993, the book contains photos of icons like Michael Jackson, Cyndi Lauper, and @drewbarrymore, pictured here in 1991. “Hollywood Royale,” out today, will be accompanied by an exhibition opening at Los Angeles’ Fahey/Klein Gallery on March 1. #wwdeye
"Nowadays when life is not so happy with everything going on in the world, I think people come to me for a little bit of whimsy and color and fun." - Designer Rebecca De Ravenel on her cult-favorite jewelry line. (📸 : @vsteves) #wwd40
“Everyone is talking about how the retail industry is struggling, but I think it’s an incredible time because brands who are doing something different and innovative are setting themselves up for the future,” said @adamgoldston, who founded the luxury athletic brand @apl with his brother @ryangoldsten. The Goldston’s are part of WWD’s 40 under 40: a group of industry notables. See the rest of the list on WWD.com. (📷: @vsteves) #wwd40
@eyeswoon blogger Athena Calderone debuted her first-ever cookbook, “Cook Beautiful,” which is heavily centered on the presentation and visual expression of food. Pictured here are her miso glazed carrots from the book. Get the recipe on WWD.com. (📷: @johnny_miller_) #wwdeye