Clothes are on display at a store in Seoul, Sunday. Yonhap

Koreans are increasingly spending less on clothes, shoes and other apparel in the middle of sluggish domestic demand exacerbated by higher cost of living, data showed Sunday.

According to the Korean Statistical Information Service, a website run by Statistics Korea, apparel made up 3.9 percent of the 2.907 million won that households spent on average monthly in the third quarter of 2024.

“The 3.9 percent marks the record-low rate since relevant data have been compiled,” Statistics Korea said, adding, “Apparel apparently top the list of items that consumers do not buy when they are pressed by higher cost of living.”

It noted that the rate hovered from 7 percent to 8 percent from 2014 to 2016 but declined as pandemic-induced inflation affected consumer spending afterward.

The rate was at 6 percent in the final three months of 2023 and fell to 4.4 percent in the first quarter of 2024 and marked 5.4 percent in the second quarter.

Korea Merchant Association, an advocacy group for small store owners, said climate change is contributing to stagnant apparel demand.

“We're talking about spring and fall that are getting shorter over the years as weather is getting hotter and colder,” the association said. “Spring and fall are when people are dressed in layers of fashionable clothes, rather than wearing a T-shirt as in summer or a thick puffer jacket in winter.”

It added, “As climate change worsens, people may continue to avoid spending on clothes.”

Speaking on condition of anonymity, an economist at a private think tank said that the dwindling young population and the low birth rate may exacerbate weak apparel sales.

“These young people in their 20s and 30s should be the ones who actively spend money to dress up as they hang out, go on dates and so on,” the economist said. “Regarding the low birth rate, it is too apparent that there will be fewer consumers who want to buy clothes.”

Jung Kyu-chul, a senior fellow at the Korea Development Institute, said that consumers opt to spend less on goods over services when inflation is.

“Such a buying trend explains less demand for clothes and other tangible goods,” Jung said.

The economist noted consumer spending on apparel dropped 1.6 percent in the third quarter from the previous three months.

Over the same time period, spending on cars decreased 24.8 percent while that on each liquor and cigarettes went down 2.6 percent and 3.2 percent.

In contrast, the expenses on water and energy went up 12.6 percent quarter-on-quarter in the July-to-September period.