Shoe tanneries switch to automotive: ‘Consumers do not care if the leather is real’
An industry expert from sister publication World Leather has predicted that an increasing number of shoe leather tanneries will switch to making leather for the automotive sector this year, following continuing declines in its use for shoes.
Shoe brands and manufacturers began to move away from leather when its price rocketed in 2014, making margins much smaller and prices unsustainable.
However, while prices have fallen from their September 2014 highs to around 20%-40% lower last year, shoe companies do not seem to have transitioned back.
The author puts this down to consumers not caring if they are buying real leather or artificial leather – and the falling oil price means the plastic derivatives are much cheaper for manufacturers.
He says: “Even high-end trainers are not made from leather anymore and people are still willing to pay hundreds of dollars for them.
“There is plenty of leather-look clothing in women’s fashion, however they are rarely made from genuine leather. The shoe industry is in the same situation – the consumers do not seem to care if it’s real or artificial.
“The falling oil price allows leather substitutes to be offered at very competitive prices. We all know the big brands and retailers will not miss the opportunity of an expanded margin and as long as the consumer does not reject the product there is no reason to shift back to leather. This means that independent of the number of shoes sold, the consumption of leather will probably continue to decline.”
Credit: Buyers inspect leathers at Premiere Vision Paris
