Menswear Retailing - UK - October 2007

ISSUES IN THE MARKET
Main issues
Definitions
Abbreviations
INSIGHTS AND OPPORTUNITIES
MARKET IN BRIEF
Key challenges
Fashion influences
The retailers – how they have reacted to challenges
The Internet
Selected retailers – performance and prospects
Men – where they shop
Figure 1: Top ten retailers where men shop for formalwear and casualwear, July 2007
Consumer types
Men – atitudes highlights
Future challenges and influences
FAST FORWARD TRENDS
Trend 1: Help, I need somebody
Definition
Trend 2: Stop being so English
Definition
Trend 3: Seasonally affected male disorder
Definition
INDUSTRY INSIGHTS
Key findings
Market overview
Market sectors and categories
Factors and challenges in the menswear market
2007 factors and challenges
The retail competitive arena
Recovery of Marks & Spencer
Innovators
The Internet
Customer service
The price issue
Store design
Fashion and menswear
The green issue
Brands or fashion?
The influence of celebrities
The changing male consumer
Marketing
A challenging future
INTERNAL MARKET ENVIRONMENT
Key points
Falling prices
Figure 2: Indices of retail prices for men’s and women’s outerwear, Jan 1997-Dec 2006
Fashion
Women purchasers
Own brand development
Green issues
Celebrities
Spending on other things
BROADER MARKET ENVIRONMENT
Key points
PDI and consumer expenditure
Figure 3: PDI and consumer expenditure, at current and constant 2002 prices, 2002-12
Inflation and interest rates
Figure 4: Interest rates, 2001-07
Employment
Figure 5: UK workforce and employment, 2002-12
Age of population
Figure 6: Population numbers by age groups, 2002-12
Socio-economic changes
Figure 7: Population numbers, by socio-economic groups, 2002-12
Figure 8: Percentage of the population, by socio-economic group, 2002-12
Marriages declining
Savings
Figure 9: Savings ratio, 2002-12
MARKET IN CONTEXT
Key points
Hobbies
Boys’ toys and technology
Figure 10: Market growth of selected high-tech gadgets, 2002-06
Figure 11: UK consumer spending on men’s outerwear, at current and constant 2002 prices, 2002-07
Figure 12: Comparison of expenditure on men’s outerwear, video games and software, mobile phones and digital cameras, 2002-06
STRENGTHS AND WEAKNESSES IN THE MARKET
Strengths
Weaknesses
WHO’S INNOVATING?
Overall proposition
Product offer
Brand extension
Store design
Marketing
MARKET SIZE AND FORECAST
Key points
Consumer spending on men’s outerwear
Figure 13: UK consumer spending on men’s outerwear, at current and constant 2002 prices, 2002-07
Consumer spending on womenswear
Figure 14: UK consumer spending on all women's outerwear, at current and constant 2002 prices, 2002-07
What menswear could learn from womenswear
Men’s outerwear – formalwear vs casualwear
Figure 15: Men’s formal and casualwear spending split, 2002 and 2006
 FORECAST
Figure 16: Market size and forecast of menswear, at current and 2007 prices, 2002-12
Formalwear- the way forward for value growth?
Factors used in the forecast
WHERE THEY SHOP
Figure 17: Where men buy business/formalwear, July 2007
Figure 18: Where men buy casual/leisurewear, July 2007
Key findings
Figure 19: Outlets used by men for formalwear purchases in the last 12 months, 1996-2007
Figure 20: Comparison of leading outlets used for men’s formal and casual outerwear, June 2005 and July 2007
Retailers used for buying business/formalwear
Top five most popular destinations
Figure 21: Top five retailers used for buying business/formalwear, July 2007
Figure 22: Top five retailers used for buying business/formalwear, by age and key socio-economic group, July 2007
Value retailers
Figure 23: Retailers used for buying business/formalwear, by age and key socio-economic group, July 2007
Fashion clothing retailers
Retailers used for buying casual/leisurewear
Figure 24: Top six retailers used for casual/leisurewear, July 2007
Top six most popular destinations
Figure 25: Retailers used for buying casual/leisurewear, by age and socio-economic group, July 2007
The next five popular destinations
Figure 26: Retailers used for buying casual/leisurewear, by age and socio-economic group, July 2007
 NUMBER OF RETAILERS USED
Key findings
How loyal are menswear shoppers?
Number of outlets men use for business/formalwear
Figure 27: Number of outlets men use for business/formalwear shopping, July 2007
Figure 28: Outlets used for business/formalwear shopping, by number of retailers used, July 2007
Marks & Spencer dominates
Tesco and Matalan
Number of outlets men use for casual/leisurewear
Figure 29: Number of outlets men use for casual/leisurewear shopping, July 2007
Figure 30: Outlets used for casual/leisurewear shopping, by retailers used, July 2007
Marks & Spencer less of a destination
George at ASDA
WHERE THEY SHOP – DETAILED CONSUMER DEMOGRAPHICS
Business/formalwear
Figure 31: Retailers used for buying business/formalwear, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 32: Retailers used for buying business/formalwear, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 33: Retailers used for buying business/formalwear, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Casual/leisurewear
Figure 34: Retailers used for buying casual/leisurewear, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 35: Retailers used for buying casual/leisurewear, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 36: Retailers used for buying casual/leisurewear, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
THEIR RELATIONSHIP TO CLOTHES SHOPPING
Key findings
Figure 37: Top seven statements on what men think of clothes retailers, July 2007
Figure 38: How they describe clothes shopping, by age and socio-economic group, July 2007
Figure 39: How they describe clothes shopping, by age and socio-economic group, July 2007
Key findings
Figure 40: Men’s relationship with clothes shops, business/formalwear, by retailer, July 2007
Figure 41: Men’s relationship with clothes shops, business/formalwear, by retailer, July 2007
Figure 42: What men think of shopping for clothes, business/formal, by retailer, July 2007
Figure 43: What men think of shopping for clothes, business/formal, by retailer, July 2007
 LEISURE/CASUALWEAR
Where men bought and how they describe their relationship with clothes shops
Figure 44: Men’s relationship with clothes shops, leisure/casualwear, by retailer, July 2007
Figure 45: Men’s relationship with clothes shops, leisure/casualwear, by retailer, July 2007
Figure 46: What men think of shopping for clothes, leisure/casualwear, by retailer, July 2007
Figure 47: What men think of shopping for clothes, leisure/casualwear, by retailer, July 2007
THEIR RELATIONSHIP TO CLOTHES SHOPPING – DETAILED CONSUMER DEMOGRAPHICS
Figure 48: How men describe clothes shopping, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 49: How men describe clothes shopping, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 50: How men describe clothes shopping, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
HOW THEY DESCRIBE CLOTHES SHOPPING
Key findings
Figure 51: Top five descriptions of clothes shopping, July 2007
Top five descriptions of clothes shopping
Figure 52: How men describe clothes shopping, by age and socio-economic group, July 2007
Other attitudes
Figure 53: How men describe clothes shopping, by age and socio-economic group, July 2007
 BUSINESS/FORMALWEAR
Where men bought and what they think of shopping for clothes
 LEISURE/CASUALWEAR
Where men bought and what they think of shopping for clothes
 IDENTIFYING TARGETS
Key findings
Group 1: Traditional Male (32%)
Who are the Traditional Males?
Group 2: Metrosexual (26%)
Who are the Metrosexuals?
Group 3: Menaissance (42%)
Who are the Menaissance?
Where the typologies shop
Average stores visited
Figure 54: Average number of stores where they purchased, by typologies, July 2007
The retailers they shop at – business/formalwear
Figure 55: Where typologies shop for business/formalwear, by retailer, July 2007
Figure 56: Where typologies shop for casual/leisurewear, by retailers, July 2007
HOW THEY DESCRIBE CLOTHES SHOPPING – DETAILED CONSUMER DEMOGRAPHICS
Figure 57: How men describe clothes shopping, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 58: How men describe clothes shopping, by marital status, lifestage, region, ACORN categories, media usage, commercial TV viewing and supermarkets used, July 2007
Figure 59: Typologies, by marital status, lifestage, ACORN categories, region, media usage and supermarkets used, July 2007
Typologies by attitudes to shopping
Figure 60: Typologies by attitudes to shopping, July 2007
 TYPOLOGIES BY KEY DEMOGRAPHIC GROUPS
Figure 61: Typologies, by age and socio-economic group, July 2007
BRAND ELEMENTS
Figure 62: Attitudes and usage of menswear brands, August 2007
Marks & Spencer
Figure 63: Words associated with Marks & Spencer brand, August 2007
Brand qualities – M&S excellence sets the pace
Your M&S – Simply the best
 GEORGE AT ASDA
Figure 64: Words associated with the George at ASDA brand, August 2007
Brand qualities – good value and service
George lacks affection
Burton
Figure 65: Words associated with Burton brand, August 2007
Brand qualities – lacking vitality
Popular, but average isn’t good enough
 NEXT/NEXT DIRECTORY
Figure 66: Words associated with Next/Next Directory brand, August 2007
Brand qualities
Next – needing more personality
Debenhams
Figure 67: Words associated with Debenhams brand, August 2007
Brand qualities – good prospects
Debenhams – styling the nation needs more work
Ted Baker
Figure 68: Consumer image of Ted Baker brand, August 2007
Brand qualities – No ordinary designer label
Ted's always taking care of business
 BRAND QUALITIES
Ted Baker is top dog
Figure 69: Consumer image of various menswear brands, august 2007
 USAGE AND CONSIDERATION OF BRANDS
Burton leads the way
Figure 70: Consumer usage of menswear brands, August 2007
Figure 71: Consumer considerations of various menswear brands, August 2007
Attitudes towards brands
Figure 72: Attitudes towards top ten menswear brands, August 2007
Brand satisfaction and performance
Figure 73: Customer rating of selected menswear brands, August 2007
 BRAND COMMITMENT
M&S is tops – but not for everything
Figure 74: Degree of customer commitment to menswear brands, August 2007
 ROUND UP
RETAILER COMPETITOR ANALYSIS
 STRATEGIC EVALUATION
Figure 75: Menswear retailers’ positioning, strategy and analysis, 2007
Sales performance
RETAILER PROFILES
 SPECIALISTS
Arcadia Group (Burton and Topman)
Figure 76: Arcadia Group, UK outlet data, 2003-06
Austin Reed
Figure 77: Austin Reed brand (excluding CC), UK retail and licensing sales, 2002-07
Moss Bros
Figure 78: Moss Bros Group plc, financial performance, 2002-07
Officers Club
Figure 79: The Officers Club, financial performance, 2002-06
Figure 80: The Officers Club, financial performance, 2002-05
Speciality Retail Group
Style Menswear (Alexon Group)
TM Lewin
Slater
 NON-SPECIALISTS
Marks & Spencer
Figure 81: Marks & Spencer: menswear own brand portfolio, 2007
Figure 82: M&S: Excluding VAT clothing sales, 2003-07
Bhs
Next
Figure 83: Percentage of Next’s UK selling space, by store size, 2001 and 2006
 OTHER CLOTHING RETAILERS
French Connection
Figure 84: French Connection, group store portfolio, 2006-07
Figure 85: French Connection, financial performance, 2004-07
Gap UK
H&M
Figure 86: H&M, own brand portfolio, 2007
River Island
Ted Baker
West Coast Capital (USC and d2)
USC
d2
Republic
 SMALLER CLOTHING CHAINS
Inditex
Figure 87: Inditex UK stores, menswear age positioning and product offer by fascia, 2007
Monsoon
New Look
Reiss
Fat Face
 DEPARTMENT STORES
Debenhams
Figure 88: Debenhams menswear collections, 2007
John Lewis
House of Fraser
Other department stores
 VALUE CLOTHING RETAILERS
Overview
Matalan
Figure 89: Matalan’s own brand portfolio, 2007
Peacocks
Primark
TK Maxx
 SUPERMARKETS
Overview
Figure 90: Estimated sales of clothing and footwear, and within this menswear, in grocery multiples, at current prices, 2001-06
Consumer research
George at ASDA
Tesco
Sainsbury’s
 SPORTS RETAILERS
Overview
JJB Sports
JD Sports
Blacks Leisure Group
 MAIL ORDER/INTERNET
Internet
RETAIL ADVERTISING AND PROMOTION
Middle-market advertising dominates
Figure 91: Advertising expenditure on menswear, expenditure on press, cinema, radio, outdoor, TV, direct mail and Internet advertising, 2002-07