Crafts and arts – no longer simply for summer camp – happen to be growing in popularity. It’s paying back for retailers capable of checking up on Americans’ creative whims, though some that have stuck to some single niche have struggled.
A tiny table with a couple of chairs welcomes patrons inside the lower level at Artist & Craftsman shop in the South Loop on April 28, 2016. Sales of coloring and art supplies grew about 7 percent in 2015 now make up a $1.14 billion market, based on researching the market firm The NPD Group, which attributed the expansion to art and craft paper, paint and painting supplies. “The DIY (do it yourself) movement took off during the recession, and because the economy recovered, people just continued making use of their Crafts Supplies habits,” said Dana Macke, lifestyles and leisure analyst at consumer research firm Mintel.
Online handmade goods marketplace Etsy reported a 19.4 percent year-over-year increase in active sellers within the third quarter of 2015, for any total of 1.5 million worldwide, along with a 25 % rise in active buyers. According to a 2014 survey of U.S. Etsy sellers, 76 percent considered their shop on the website an organization, and 30 percent considered it their primary occupation, the organization said.
But the majority of the market for crafts and arts materials within the U.S. probably comes from enthusiasts, not professionals, according to Macke. Although 45 percent of Americans inside their 30s surveyed by Mintel said they sold a handmade craft with an ecommerce site in the one year that ended October 2015, it’s not clear how many sell on a regular basis. In last year’s Mintel survey, no more than 10 percent of men and women said they crafted to supplement their income, Macke said.
Although we have seen some consolidation among retailers serving creative types, including Blick Art Materials’ purchase of Utrecht Art Supplies in 2013, specialty arts and crafts chains appear more insulated from e-commerce pressure than some segments in the retail sector, industry analysts said.
Specialty chains are the most common craft supply source among women, based on Mintel’s research. Of women who made crafts in the last year, 68 percent purchased from specialty chains, 53 percent from Wal-Mart and 32 percent from Amazon, in accordance with Mintel research. Only 36 percent of males who had made a skill or craft project during the last year shopped at a specialty store, instead choosing Wal-Mart, Amazon and Target.
In addition to paints and canvases the Artist & Craftsman shop inside the South Loop carries all types of many other materials including yarn on April 28, 2016. By comparison, 18 percent of ladies and 21 percent of males shopped at local independent stores, in accordance with Mintel research.
Specialty craft chains generally haven’t been that aggressive in pursuing the web marketplace, however the category “doesn’t work well that well online,” said Michael Baker, a Deutsche Bank analyst covering crafts and arts retailer Michaels. People want to see what they’re buying and browsing to discover inspiration, he stated.
Michael’s just has sold products through its website for about two years, and CEO Chuck Rubin estimated online sales would only account for one particular-digit percentage of sales inside the crafts category even over time. “I think it’s a great add-on, having said that i don’t think it will probably be the game changer here it’s experienced other retail industries,” Rubin said. When Hobby Lobby Stores surveyed its customers, no more than 2 percent said they preferred online shopping, in comparison with 71 percent preferring to shop in-store, said spokeswoman Mandi Broadfoot.
Columbia University student Alsu Andova, 26, gathers materials for screen printing at Artist & Craftsman shop inside the South Loop April 28, 2016. Nevertheless the Internet – along with a flood of craft-related blogs, websites and tutorials – is offering them a lift, Broadfoot and Rubin said. “Pinterest and YouTube are the greatest stuff that might have happened to the industry,” Rubin said.
In a Mintel survey, just below forty percent of adults who did an arts or crafts project in the past year said they had considered YouTube for inspiration, and something in three cited social network website Pinterest. YouTube mpzzzq greater than 139,000 crafts-related video channels. Lynn Cagayat, 49, enjoys creating decorative flower arrangements, but on Thursday she browsed Michaels’ dessert decoration aisle. She loves baking the Filipino sweets her mom and grandmother taught her to make but has been watching YouTube how-to videos on elaborately frosted American-style cakes.
Not all craft retailers happen to be capable of capitalize on the growing interest. Mississippi-based fabric and sewing retailer Hancock Fabrics declared bankruptcy in February and then in early April announced it would close its remaining 185 stores nationwide.
Sewing and quilting use a fairly steady following, unlike scrapbooking, which is declining in popularity, but haven’t been growing like other crafts either, Macke said. Retailers carrying a variety of goods are likely better-equipped to profit from new clients who may dabble for making a variety of handmade goods as trends shift, she said.