Table of Contents
Issues in the Market
-
- Main themes
- Definitions
- Abbreviations
Future Opportunities
-
- Trading down but what next?
- The middle market must fight back
Market in Brief
-
- Future
- Deflation pervades
- Consumer context
- Competitive landscape
Internal Market Environment
-
- Key points
- Clothing takes the biggest hit among those cutting back
-
- Figure 1: The items adults are cutting back on in the recession, February 2009
- The price dilemma for retailers
-
- Figure 2: UK clothing price deflation, 2005-Q2 2009
- The young – in denial?
- Less concerned about their finances
-
- Figure 3: UK: Concern over finances, % point change, Feb 2008-Jun 2009
- But have they reached the tipping point?
-
- Figure 4: UK: Concern over job prospects, 18-25s, February 2008-June 2009
- Changing allegiances
-
- Figure 5: Selected retailers where the 18-25s buy clothes, May 2008 and July 2009
- Competition from non-specialists
-
- Figure 6: Clothing specialists as % of all spending on clothing and footwear, 2001-08
- The power of the internet
Broader Market Environment
-
- Key points
- Mixed impact of changing demographics
-
- Figure 7: Implications of changing demographics of the UK population for clothing market, 2009-14
- Late 2008 – the economy moves into recession
-
- Figure 8: UK: GDP real growth, 1999-Q2 2009
- 2008 – consumer confidence in freefall…but retail sales robust
-
- Figure 9: Nationwide Consumer Confidence Index, Jan 2006-July 2009
- 2009 – confidence starts to recover…will retail sales follow?
-
- Figure 10: UK: Retail sales value growth, 2007-09 (August)
- Implications for clothes retailing
Competitive Context
-
- Key points
- Clothing performance held back by deflation
-
- Figure 11: Consumer spending on clothing and other fashion-influenced product markets, 2004-08
-
- Figure 12: Growth in spending on clothing and other fashion-influenced product markets, 2004-08
- Spending patterns change in the recession
-
- Figure 13: Growth in spending on clothing and other fashion-influenced product markets, 2007-09
- And men cut back more
-
- Figure 14: Clothing spending breakdown, 2004 vs 2008
- Consumer prices
-
- Figure 15: Consumer prices on select fashion-influenced categories, 1996-2008
- Figure 16: Consumer prices on select fashion-influenced categories, 1996-2008
Who’s Innovating?
-
- The internet – a key battleground for innovation
- Brand building
- New forms of collaboration
Strengths and Weaknesses in the Market
-
- Strengths
- Weaknesses
Sector Size and Forecast
-
- Key points
- Economic and consumer outlook
- Retail forecasts
- Improving short term outlook for retail
- Clothing specialists should maintain retail market share in 2009
- Longer term they should outperform all retail
-
- Figure 17: UK: Clothing specialists sales, 2004-14
- Past trends
- Clothing specialists struggle to hold onto retail market share
-
- Figure 18: UK: Clothing specialists sales, 2004-08
- Figure 19: UK: Clothing specialists as % of all retail sales, 1999-2008
Channels of Distribution
-
-
- Figure 20: UK: Clothing market – channels of distribution, 2006 and 2008
- Specialists
- Department stores struggle to maintain market share
- Grocers catch up with department stores
- Home shopping
- Others
-
Retailer Competitor Analysis
-
- Key points
- Leading specialists
- Value retailers make significant gains
- Young fashion holds up too
- But the mid-market has been seriously squeezed
- Rebuilding for the future
-
- Figure 21: Leading clothing retailers, 2008/09
- Evaluation
-
- Figure 22: Selected UK clothing retailers, evaluation, 2009
- Market shares
-
- Figure 23: UK: Leading clothing retailers, market shares, 2008
Retail Advertising and Promotion
-
- Key points
- Cutting back in the downturn
-
- Figure 24: Main media advertising spend, by leading clothing retailers, 2004/05-2008/09
- M&S dominates
- Next builds why Matalan contracts
-
- Figure 25: Top three advertisers – spending index, 2004/05-2008/09
- Spending by media
-
- Figure 26: Main media advertising spend, by leading clothing retailers, by media, 2008/09
Brand Elements
-
- Key points
- Brand map
-
- Figure 27: Attitudes towards and visitation of clothing retail brands, September 2009
- Brand qualities of clothing retail brands
- Authority and accessibility for M&S, but Next has style
-
- Figure 28: Personalities of various clothing retail brands, September 2009
- Figure 29: Personalities of various clothing retail brands, September 2009 (continued)
- Experience of clothing retail brands
- Tesco and M&S most commonly visited, TJ Hughes lacks awareness
-
- Figure 30: Consumer visitation of various clothing retail brands, September 2009
- Brand intentions for clothing retail brands
- Bhs and Burton most considered
-
- Figure 31: Consideration of various clothing retail brands, September 2009
- Brand satisfaction for clothing retail brands
- Fashion specialists have the edge
-
- Figure 32: Satisfaction with various clothing retail brands, September 2009
- Brand commitment to clothing retail brands
- Value retailers lack engagement
-
- Figure 33: Commitment to various clothing retail brands, September 2009
- Figure 34: Commitment to various clothing retail brands, September 2009 (continued)
- Next
- What the consumer thinks
-
- Figure 35: Attitudes towards the Next brand, September 2009
- Bonmarché
- What the consumer thinks
-
- Figure 36: Attitudes towards the Bonmarché brand, September 2009
- Debenhams
- What the consumer thinks
-
- Figure 37: Attitudes towards the Debenhams brand, September 2009
- Topshop/Topman
- What the consumer thinks
-
- Figure 38: Attitudes towards the Topshop/Topman brand, September 2009
- Tesco
- What the consumer thinks
-
- Figure 39: Attitudes towards the Tesco brand, September 2009
- Primark
- What the consumer thinks
-
- Figure 40: Attitudes towards the Primark brand, September 2009
- Zara
- What the consumer thinks
-
- Figure 41: Attitudes towards the Zara brand, September 2009
- Asda/George
- What the consumer thinks
-
- Figure 42: Attitudes towards the Asda/George brand, September 2009
- Marks & Spencer
- What the consumer thinks
-
- Figure 43: Attitudes towards the Marks & Spencer brand, September 2009
The Consumer – Where They Buy Clothing
-
- Key points
- Where they buy clothing
-
- Figure 44: Where they buy clothes, July 2009
- The changing face of the UK high street
-
- Figure 45: Outlets used for purchasing clothing in the last 12 months, 2004-09
- Who buys where
- Women far more enthusiastic shoppers than men
-
- Figure 46: Where they buy clothes – top 10, by gender, July 2009
- Next corners the 25-44-year-old market
-
- Figure 47: Where they bought clothes in the last 12 months – top 10, by select age bands, July 2009
- And e-commerce grabs the attention of the young
-
- Figure 48: Internet shoppers, by age, July 2009
- M&S dominates the older end of the market
-
- Figure 49: Where they bought clothes in the last 12 months – top 10, by select age bands, July 2009
- M&S and department stores well placed to benefit from socio-economic shift
-
- Figure 50: Selected retailers where they buy clothes, by socio-economic group, July 2009
- Cross category shopping
-
- Figure 51: Where they bought clothes in last 12 months, by grocery stores used, July 2009
-
- Figure 52: Where they bought clothes in last 12 months, by grocery stores used, July 2009
The Consumer – The Way They Shop For Clothing
-
- Key points
- Consumers cutting back
-
- Figure 53: Way in which they shop for clothing compared to previous year, July 2009
- Volume versus value – the gender divide
-
- Figure 54: Way in which they shop for clothing compared to previous year, by gender, July 2009
- Older consumers stick with same habits
-
- Figure 55: Those with unchanged shopping habits and those shopping around more, by age, July 2009
- But the 25-54s trade down most
-
- Figure 56: Those mostly buying on sale etc and those buying more from value retailers, by age, July 2009
- Consumers shopping habits by where they’ve shopped
- Familiarity and trust
-
- Figure 57: Where they bought clothing, by those buying more from familiar brands/shops they trust, July 2009
-
- Figure 58: Where they bought clothing, by those shopping around more compared to previous year, July 2009
- Favouring value retailers
-
- Figure 59: Where they bought clothing, buying more from value retailers compared to previous year, July 2009
-
- Figure 60: Where they bought clothing, by way in which shop for clothing compared to previous year, July 2009
- Future intentions
- More pessimistic than optimistic overall
-
- Figure 61: Future spending intentions, by gender, July 2009
- The optimism of youth or the realism of experience?
-
- Figure 62: Those intending to spend more on clothing in the coming year, by age, July 2009
-
- Figure 63: Future spending intentions, by demographics, July 2009
- Other findings
Consumer Typologies
-
- Key points
-
- Figure 64: Clothing consumer typologies, July 2009
- Group 1: Unchanged (62%)
- Group 2: Fickle (16%)
- Group 3: Price Led (13%)
- Group 4: Familiar & Trusted (9%)
- Where people shop by typology
-
- Figure 65: Where they bought clothing, by consumer typology, July 2009
Alexon Group
-
-
- Figure 66: Alexon Group Plc: Sales as share of clothing retailers’ sales in UK, 2004-08
- Recent history
- Financial performance
-
- Figure 67: Alexon Group Plc: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 68: Alexon Group Plc: Outlet data, 2005-09
- Retail offering
- Market positioning
- Brands
-
- Figure 69: Alexon Group: List of brands, 2008/09
- e-commerce and home shopping
-
Arcadia Group
-
-
- Figure 70: Arcadia Group Brands Ltd: Sales as share of clothing specialists in the UK, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 71: Arcadia Group: Group financial performance, 2003/04-2007/08
- Store portfolio
-
- Figure 72: Arcadia Group Brands Ltd: Outlet data, 2004-08
-
- Figure 73: Arcadia Group: Breakdown of international outlets, September 2009
-
- Figure 74: Arcadia Group: Breakdown of European outlets, by fascia, September 2009
- Retail offering
- Topshop
- Market positioning
- Brands/product offer
- Pricing
- Topman
- Market positioning
- Brands/product offer
- Pricing
- Dorothy Perkins
- Market positioning
- Brands/product offer
- Pricing
- Burton
- Market positioning
- Brands/product offer
- Pricing
- Miss Selfridge
- Market positioning
- Brands/product offer
- Pricing
- Evans
- Market positioning
- Brands/product offer
- Pricing
- Wallis
- Market positioning
- Brands/product offer
- Pricing
- e-commerce and home shopping
-
- Figure 75: Arcadia Group: Websites, 2009
-
Aurora Fashions (formerly Mosaic Fashions)
-
-
- Figure 76: Aurora Fashions Ltd: Sales as share of clothing specialists’ sales in Europe, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 77: Mosaic Fashions: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 78: Mosaic Fashions: Outlet data, 2004-09
- Figure 79: Mosaic Fashions: Outlets by country, August 2009
- Retail offering
- Coast
- Market positioning
- Brands/Product offer
- Pricing
- Karen Millen
- Market positioning
- Brands/Product offer
- Pricing
- Oasis
- Market positioning
- Brands/Product offer
-
- Figure 80: Oasis: brands, 2009
- Pricing
- Warehouse
- Market positioning
- Brands/Product offer
- Pricing
- e-commerce and home shopping
-
Benetton Group
-
-
- Figure 81: Benetton (UK): Estimated retail sales as share of clothing specialists in the UK, 2004-08
- Strategic evaluation
- Recent history
-
- Figure 82: Benetton Group: Group financial performance, 2004-08
-
- Figure 83: Benetton UK: Financial performance, 2004-08
- Store portfolio
-
- Figure 84: Benetton Group: Outlet data, 2004-08
- Retail offering
- Market positioning
- Product offer
- Advertising and marketing
- e-commerce and home shopping
-
Bhs
-
-
- Figure 85: Bhs Plc: Sales as share of clothing specialists’ sales in UK, 2003-07
- Strategic evaluation
- History
- Financial performance
-
- Figure 86: Bhs Plc: Group financial performance, 2003/04-2007/08
- Store portfolio
-
- Figure 87: Bhs Plc: Outlet data, 2005-09
-
- Figure 88: Bhs: International franchises, number of outlets, 2003-08
- Retail offering
- Market positioning
- Product offer
- Brands
-
- Figure 89: Bhs: Brands, 2009
- Pricing
- Operational issues
- e-commerce and home shopping
-
Gap
-
-
- Figure 90: Gap Inc: UK sales as share of clothing specialists’ sales in UK, 2004-08
- History
- Financial performance
-
- Figure 91: Gap Inc: Group financial performance, 2004/05-08/09
- Figure 92: Gap UK: Financial performance, 2004/05-08/09
- Store portfolio
-
- Figure 93: Gap Inc: Outlet data, 2005-09
- Retail offering
- Market positioning
- Brands
-
- Figure 94: Gap Inc: Brands, 2008
- Product offer/Pricing
- e-commerce and home shopping
-
Grupo Inditex UK
-
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 95: Grupo Inditex: Group financial performance, 2004/05-2008/09
-
- Figure 96: Grupo Inditex: Estimated sales in key European markets, 2004/05-2008/09
-
- Figure 97: Inditex brands: Sales in the UK, 2006/07-2008/09
- Store portfolio
-
- Figure 98: Grupo Inditex: Outlet data, 2005-09
-
- Figure 99: UK: Grupo Inditex: Stores by fascia, 2005-09
- Retail offering
- Market positioning
- Zara
- Brands
- Product offer
- Massimo Dutti
- Product offer/pricing
- Bershka
- Product offer/pricing
- e-commerce and home shopping
-
- Figure 100: Grupo Inditex: Company websites, 2009
H&M Hennes & Mauritz
-
-
- Figure 101: H&M Hennes & Mauritz: Sales as share of clothing specialists’ sales in the UK, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 102: H&M Hennes & Mauritz: Group financial performance, 2004-08
-
- Figure 103: H&M Hennes & Mauritz UK Ltd: Financial performance, 2003/04-2007/08
- Store portfolio
-
- Figure 104: H&M Hennes & Mauritz: Outlet data, 2004-08
- Retail offering
- Market positioning
- Product offer
- Brands
-
- Figure 105: H&M: Own brand portfolio, 2009
- Pricing
- Operations
- COS
- Advertising and marketing
-
- Figure 106: H&M Hennes & Mauritz: Breakdown of UK advertising expenditure, 2008/09
- e-commerce and home shopping
-
Mackays Stores Group
-
-
- Figure 107: Mackays Stores Group Ltd: Sales as share of clothing specialists’ sales in UK, 2004-08
- Recent history
- Financial performance
-
- Figure 108: Mackays Stores Group Ltd: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 109: Mackays Stores Group Ltd: Outlet data, 2005-09
- Retail offering
- Market positioning
- Product offer
- Pricing
- e-commerce and home shopping
-
Mango
-
-
- Figure 110: Mango UK: Sales as share of clothing specialists’ sales in the UK, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 111: Mango Group: Group financial performance, 2004-08
- UK performance
-
- Figure 112: Mango UK Ltd: financial performance, 2004-08
- Store portfolio
-
- Figure 113: Mango Group: Outlet data, 2004-08
- Retail offering
- Market positioning
- Brands
- Product offer
- Pricing
- Advertising and marketing
- e-commerce and home shopping
-
Marks & Spencer
-
-
- Figure 114: Marks & Spencer (UK): Sales as share of clothing specialists’ sales in the UK, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 115: Marks & Spencer (UK): Group financial performance, 2004/05-2008/09
-
- Figure 116: Marks & Spencer (UK): UK sales and like-for-like growth, 2004/05-2008/09
- Figure 117: M&S: UK retail sales by product category, 2004/05-2008/09
- Store portfolio
-
- Figure 118: M&S: UK and ireland Outlet data, 2005-09
-
- Figure 119: M&S: Outlets not specialising in food, by type, 2008-09
- Retail offering
- Market positioning
- Brands/Product offer
-
- Figure 120: Marks & Spencer: Clothing own brand portfolio, 2009
- Pricing
-
- Figure 121: Marks & Spencer: Clothing price architecture, 2004-08
- Operational issues
- Advertising and marketing
- e-commerce and home shopping
-
- Figure 122: M&S: M&S Direct sales, 2006/07-2008/09
-
Matalan
-
-
- Figure 123: Matalan: Sales as share of clothing specialists’ sales in UK, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 124: Matalan: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 125: Matalan: Outlet data, 2005-09
- Retail offering
- Market positioning
- Brands/product offer
-
- Figure 126: Matalan: Own-brand portfolio, 2009
- Pricing
- Advertising and marketing
- e-commerce and home shopping
-
Monsoon
-
-
- Figure 127: Monsoon Plc: Sales as share of clothing specialists’ sales in UK, 2004-08
- History
- Financial performance
-
- Figure 128: Monsoon Plc: Group financial performance, 2003/04-2007/08
- Store portfolio
-
- Figure 129: Monsoon Plc: Outlet data, 2003-08
- Retail offering
- Market positioning
- Brands/Prices
-
- Figure 130: Monsoon Plc: Brand ranges, 2008
- Product offer
- e-commerce and home shopping
-
New Look
-
-
- Figure 131: New Look Group Plc: Sales as share of clothing specialists’ sales in Europe, 2004-08
- Figure 132: New Look Group Plc: Sales as share of clothing specialists’ sales in UK, 2004-08
- Strategic evaluation
- Recent history
- Financial performance
-
- Figure 133: New Look Group Plc: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 134: New Look Group Plc: Outlet data, 2005-09
- Figure 135: New Look Group PLC: Outlet data, by country, 2008-09
- Retail offering
- Market positioning
- Brands/Product offer
-
- Figure 136: New Look: Womenswear own brand collections, 2009
- Pricing
- Operational issues
- Advertising and marketing
-
- Figure 137: New Look Breakdown of advertising expenditure in the UK, 2008
- e-commerce and home shopping
-
Next Group
-
-
- Figure 138: Next Group: Sales as share of clothing specialists’ sales in the UK, 2004-08
- Strategic evaluation
- History
- Financial performance
-
- Figure 139: Next Group: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 140: Next Group: Next Retail like-for-like sales performance, 2005/06-2008/09
-
- Figure 141: Next Group: Outlet data, 2005-09
-
- Figure 142: Next: International outlets, 2007-09
- Retail offering
- Market positioning
- Brands
- Product offer
- Pricing
-
- Figure 143: Next: Change in average selling prices, by season, 2006-08
- Advertising and marketing
- e-commerce and home shopping
-
Peacock Group
-
- History
- Financial performance
-
- Figure 144: Peacock Group: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 145: Peacock Group: Outlet data, 2005-09
- Retail offering
- Market positioning
- Product offer/brands
-
- Figure 146: Peacocks and bonmarche sub-brands, 2009
- Pricing
- e-commerce and home shopping
Primark/Penneys
-
-
- Figure 147: Primark: Sales as share of Clothing specialists’ sales in the UK, 2004-08
- Strategic evaluation
- History
- Financial performance
-
- Figure 148: Primark Stores Ltd: Group financial performance, 2004-09
- Store portfolio
-
- Figure 149: Primark Stores Ltd: Outlet data, 2004-09
- Retail offering
- Market positioning
- Brands/product offer
-
- Figure 150: Primark: Own brand portfolio, 2008/09
- Pricing
- Operational issues
- Advertising and marketing
- e-commerce and home shopping
-
River Island Clothing
-
-
- Figure 151: River Island Clothing Co Ltd: Sales as share of clothing specialists’ sales in UK, 2004-08
- History
- Financial performance
-
- Figure 152: River Island Clothing Co Ltd: Group financial performance, 2004-08
- Store portfolio
-
- Figure 153: River Island Clothing Co Ltd: Outlet data, 2004-08
-
- Figure 154: River Island Clothing Co Ltd: Breakdown of overseas outlets, by market, 2008
- Retail offering
- Market positioning
- Product offer
- Pricing
- e-commerce and home shopping
-
TK Maxx
-
-
- Figure 155: TK Maxx: Sales as share of clothing specialists’ sales in UK, 2004-08
- History
- Financial performance
-
- Figure 156: TK Maxx: Group financial performance, 2004/05-2008/09
- Store portfolio
-
- Figure 157: TK Maxx: Outlet data, 2005-09
- Retail offering
- Market positioning
- Product offer/brands
- Pricing
- e-commerce and home shopping
-
Appendix – Internal Market Environment
-
-
- Figure 158: Selected retailers where the 15-24s buy clothes, May 2008 and July 2009
-
Appendix – Where They Buy Clothing
-
-
- Figure 159: Where they bought clothing in last 12 months, by demographics, July 2009
- Figure 160: Where they bought clothing in last 12 months, by demographics, July 2009
-
- Figure 161: Where they bought clothing in last 12 months, by demographics, July 2009
- Figure 162: Where they bought clothing in last 12 months, by demographics, July 2009
-
Appendix – The Way They Shop For Clothing
-
-
- Figure 163: Most popular way in which shop for clothing, compared to previous year, by demographics – All, July 2009
- Figure 164: Most popular way in which shop for clothing, compared to previous year, by demographics – All, July 2009
-
- Figure 165: Most popular bought clothing, by way in which shop for clothing compared to previous year – All, July 2009
- Figure 166: Most popular bought clothing, by way in which shop for clothing compared to previous year – All, July 2009
-
- Figure 167: Future spending intentions, by demographics, July 2009
- Figure 168: Where people bought clothing, by future spending intentions, July 2009
-
- Figure 169: Way in which shop for clothing compared to previous year, by consumer opinion on clothing spend for next year, July 2009
-
Appendix – Consumer Typologies
-
-
- Figure 170: Way in which shop for clothing compared to previous year, by consumer typology, July 2009
-
- Figure 171: Consumer typology, by demographics, July 2009
-
- Figure 172: Where people bought clothing, by consumer typology, July 2009
-
- Figure 173: Future spending intentions, by consumer typology, July 2009
-
Back to top