European Retail Briefing - October 2013

ANALYST COMMENT
 CLOTHING ONLINE – THE BATTLE OF THE PUREPLAYS
Revenues: Zalando closing in on Amazon
Figure 1: Europe: Selected pureplay retailers: clothing and footwear sales (excl. VAT), 2010-13
Online market size and market shares
Figure 2: Europe: Selected pureplay retailers: Share of all online clothing and footwear retail sales in Europe, 2012-13
National presence
Figure 3: Europe: Selected pureplay retailers: number of dedicated national websites, 2013
What we think
EUROPEAN RETAIL SALES
Key points
Retail sales
Figure 4: Major European economies: Year on year retail sales value growth, 2012-13
Figure 5: Major European economies: Year on year retail sales volume growth, 2012-13
Inflation
Figure 6: Major European economies: All items CPI, 2012-13
Figure 7: Major European economies: Food price inflation, 2012-13
EUROPEAN RETAIL HANDBOOK: THE SPANISH RETAIL SCENE
 SPAIN IN FIGURES
Economy
Figure 8: Spain: Gross domestic product, 2003-12
Figure 9: Spain: Consumer prices, 2008-12
Figure 10: Spain: Consumer expenditure, 2003-12
Figure 11: Spain: Detailed breakdown of expenditure on consumer goods, 2006-10
Figure 12: Spain: Retail sales, 2008-13
Figure 13: Spain: Retail sales by type of retailer, 2008-13
 MAJOR RETAILERS IN SPAIN
Figure 14: Major retailers in the Spanish market, 2012/13
HEADLINES FOR THE MONTH
Grocers
Clothing retailing
Department stores
DIY retailing
Electrical retailing
Furniture retailing
Home shopping
Books and stationery retailing
Toys and games retailing
NEWS ANALYSIS – FOOD AND DRINK
 BAKERS
UK: Greggs sees demand pick-up
 CO-OPS
UK: Co-op to introduce student discount on food
UK: Midlands and Anglian Co-operatives to merge
 GROCERS
France: France begins review of Sunday trading rules
France: Leclerc begins selling optical products
Netherlands: Jumbo set to expand
Switzerland: Waitrose to begin supplying Manor
UK: Aldi profits soar
UK: Asda
…stop sale of inappropriate costume
…profits up in 2012
UK: Iceland spend £7 million on new advertising
UK: Lidl hires new operations director
UK: Morrisons
…posts half-year results
…to cut back on supermarket investment
UK: Sainsbury's
…continues strong growth
…unveils new store format
UK: Tesco
…first-half profits fall 7.6%
…hires Karen Dracou to multichannel team
…launches Blinkbox ad campaign
…launches event for start-ups
…launches its Hudl tablet
…launches new customer magazine
…re-launches Finest range
…sells Fresh & Easy to Yucaipa
…Fresh & Easy eyes bankruptcy
UK: UK supermarkets face challenges from competitors
UK: Waitrose
…launches vulnerable people initiative
…to open second ‘dark’ store
 OTHER FOOD SPECIALISTS
UK: Thorntons
…full-year profits rise
…sales increase
NEWS ANALYSIS – NON-FOOD
 CLOTHING RETAILING
Europe: H&M like-for-likes down
Europe: Inditex reveals flat EBITDA as stores grow
France: Esprit posts first annual loss
Italy: Prada sales hit by slowdown in China
UK: Burberry set to open first store in Scotland
UK: David’s Bridal opens in the UK
UK: French Connection narrows losses
UK: Go Outdoors enters deal to invest in growth
UK: J Crew opens first UK store
UK: Jack Wills
…names new chief executive
…to open Christmas pop-ups
UK: Jacques Vert to launch cross-brand marketing campaign
UK: Jaeger cuts trading losses in the year
UK: Kathmandu launches ad campaign as part of rebrand
UK: Laura Ashley has challenging first half
UK: Longchamp opens its biggest store on Regent Street
UK: LVMH buys stake in Nicholas Kirkwood
UK: Matalan’s Sporting Pro launches website
UK: Moss Bros
…profits up
…to launch online overseas
UK: Next first-half profits rise 8.2%
UK: Primark
…plans launch of giant store
…to end online trial
…to open pop-up onesie shop
UK: River Island profits up
UK: Ted Baker sees sales surge
UK: Topshop
…plans international expansion
…to collaborate with Kate Moss
 MIXED GOODS RETAILING
UK: Home Bargains to open new stores
UK: Poundland sees profit and sales jump
UK: Wilkinson restructures management
 MULTI-SECTOR RETAILING
UK: Home Retail Group releases second quarter data
UK: Marks & Spencer launches design studio
UK: Marks & Spencer suffers setbacks
 DEPARTMENT STORES
Austria: Rene Benko takes stake in Karstadt
Ireland: Brown Thomas to launch online
Spain: El Corte Inglés offers Click & Car service
UK: Bhs launches new TV ad campaign
UK: Debenhams
…200th anniversary collection
…gains market share in online sales
UK: Harrods preparing for store overhaul
UK: House of Fraser
…looking towards Flotation
…records flat EBITDA
UK: John Lewis
…sees sales and profits rise
…to hire 2,000 Christmas temps
…labels electricity costs
…launches loyalty scheme
UK: OFT accuses retailers of price fixing bras
 DIY RETAILING
Germany: Hornbach interested in Praktiker and Max Bahr locations
UK: Kingfisher
…directors leave Hornbach
…sees profits fall 1.4%
UK: Topps Tiles expects rise in profits
 ELECTRICAL RETAILING
France: Darty
…begins installing click and collect lockers
…sales fall in its first quarter
France: Dixons confirms sale of Pixmania
France: Fnac expands loyalty programme in partnership with American Express
Ireland: Carphone Warehouse and Harvey Norman in partnership
UK: Carphone Warehouse invests in sales process
 CARPET RETAILING
UK: Carpetright sees chief executive exit
 FURNITURE RETAILING
Belgium: Ikea opens stores in Belgium
UK: DFS
…considers £1 billion flotation
…flotation dismissed
UK: Ikea
…to sell solar panels
…Gillian Drakeford aiming to double market share
 HOMEWARES RETAILING
UK: Dunelm
…reports jump in pre-tax profits
…sees like-for-likes fall
…to launch first TV advert
UK: Lakeland
…plans to launch in India and the Far East
…sees profits fall after heavy investment
 HOME SHOPPING
Europe: Amazon plans logistics centres for Eastern Europe
France: Vente-privee launches mobile application
Poland: Amazon to open Polish distribution centres
UK: Amazon
…opens “fulfilment centres”
…to launch set-top box
UK: Ao.com launches same day delivery
UK: Asda launches online delivery deal
UK: Asos
…director James Hart resigns
…hires former Amazon director
…to beat profit forecasts
UK: Boden sees profits rise
UK: Findel’s first-half sales up
UK: EBay sellers to offer collection at Argos
UK: JML to launch TV shopping channel
UK: Mobile devices account for all online sales growth
UK: N Brown Group records sales growth
UK: Ocado sees surge in third quarter sales
UK: Photobox full-year EBITDA jumps 19%
UK: Shop Direct hires first customer director
UK: The Hut
…prepares for £350 million listing
…records profit growth
 HEALTH AND BEAUTY RETAILING
UK: Alliance Boots management reshuffle
UK: The Perfume Shop offers 90-minute delivery
 BOOKS AND STATIONERY RETAILING
France: French move to protect independent bookstores from online sellers
UK: The Works sees profits decline
UK: WHSmith reveals profits above expectations
 SPORTS AND LEISURE GOODS RETAILING
UK: JD Sports sees profits soar
UK: Reebok opens first UK store
UK: Sports Direct
…announces record breaking year
…Dave Forsey sells shares
UK: Sweaty Betty sees web sales climb
 GARDEN CENTRES
UK: Louis Delhaize sells garden centres
 OPTICIANS
UK: Vision Express acquires 20:20 Optical Store
 TOYS AND GAMES RETAILING
France: Toys ’R’ Us opens its first store in central Paris
UK: Hobbycraft sees sales rise following investment
 SHOPPING CENTRES
UK: Croydon Village Outlet closes due to overwhelming crowds
 ECONOMY
UK: August footfall drops 0.9%
UK: Government to introduce plastic bag charge
UK: Net store closures fall 78%
UK: Retailers to launch mobile payment in 2014
UK: September sees weak UK retail sales
UK: Strong sales growth continues