Fashion Accessories - UK - January 2020

OVERVIEW
What you need to know
Products covered in this Report
EXECUTIVE SUMMARY
The market
Fashion accessory spending is estimated to have grown by 5% in 2019
Figure 1: Best- and worst-case forecast of UK value sales of fashion accessories, 2014-24
Bags are the strongest growing category
Figure 2: Value share of the fashion accessories market, by category, 2016-19
Tourism numbers and spending declined in 2018, but has been on the up in 2019
Figure 3: Trends in inbound tourism to the UK, 2003-18
Companies and brands
High-street specialists are struggling to stand out
A new wave of fashion accessory collaborations enters the market
Advertising spending on fashion accessories decreases in 2019
Figure 4: Total above-the-line, online display and direct mail annual advertising expenditure on fashion accessories, 2016-19
Premium brands seen as trustworthy and unique
Figure 5: Attitudes towards and usage of selected brands, December 2019
The consumer
Figure 6: Types of fashion accessories purchased in the last 12 months, October 2017 and October 2019
Most buy fashion accessories for themselves
Figure 7: Who fashion accessories have been purchased for, October 2017 and October 2019
Nearly three quarters bought fashion accessories in-store
Figure 8: Channels used for buying fashion accessories, October 2019
Many people have bought fashion accessories from a pureplay retailer
Figure 9: Retailers where fashion accessories were bought in the last 12 months, October 2019
When choosing accessories, there is considerable interest in price and longevity
Figure 10: Reasons for purchasing fashion accessories, October 2019
People are interested in innovations involving personalisation and sustainability
Figure 11: Consumer interest in fashion accessory innovations, October 2019
The convenience of online is most appealing to shoppers
Figure 12: Behaviours of fashion accessory shoppers, October 2019
What we think
ISSUES AND INSIGHTS
The rise of the affordable premium bag
The facts
The implications
Hair accessories are having a moment
The facts
The implications
Figure 13: An example of the hair accessories sold at July Child, 2019
Technology could play a bigger role in fashion accessory retailing
The facts
The implications
Figure 14: Virtual try on Scarfi app in Westfield London, 2016
THE MARKET – WHAT YOU NEED TO KNOW
Fashion accessory spending is estimated to have grown by 5% in 2019…
…but is forecast to slow over the next five years
Bags are the strongest growing category
Tourism numbers and spending declined in 2018
Inflation on accessories was down in 2019
MARKET SIZE AND FORECAST
Accessories grow by 4.7% in 2019
Figure 15: Best- and worst-case forecast of UK value sales of fashion accessories, 2014-24
The market is predicted to slow over the next five years
Figure 16: Value sales of fashion accessories in the UK, at current and 2019 prices, 2014-24
Forecast methodology
MARKET SEGMENTATION
Bags show strongest growth
Figure 17: UK value sales of fashion accessories, by segment, 2014-19
Figure 18: Value share of the fashion accessories market, by category, 2016-19
The hair accessory trend has led to an uptick in spending
Costume jewellery sales remain relatively flat
MARKET DRIVERS
Tourism and spending declined in 2018…
Figure 19: Trends in inbound tourism to the UK, 2003-18
…but the weak Pound encouraged spending in 2019
Figure 20: Average monthly exchange rate between GBP and USD, 2015-19
Brexit is causing uncertainty
Figure 21: Economic outlook consumer tracker, November 2019
Many more are inclined to add to savings
Figure 22: Trends in what extra money is spent on, October 2018 vs October 2019
Inflation on accessories is in decline
Figure 23: Consumer prices inflation: accessories and clothing, October 2018-October 2019
Handbags are the most popular fashion accessory bought
Figure 24: Items respondents have purchased for themselves, June 2019
COMPANIES AND BRANDS – WHAT YOU NEED TO KNOW
High-street specialists are struggling to stand out
Luxury brands see sales growth
Sustainability is a big focus for new launches
Advertising spending on fashion accessories is down in 2019
High-end brands seen as unique while high-street specialists suffer
COMPETITIVE STRATEGIES
Financial outlook
Figure 25: Key financials of the main players in the fashion accessories market, 2015-18
Mulberry struggling to stand out
Figure 26: Mulberry’s AW19 campaign shot in a pub, 2019
Investment leads to growth in international revenue for Furla
Accessorize undergoes CVA
Radley expands internationally as UK sales slow
Lulu Guinness’ new digital strategy
LAUNCH ACTIVITY AND INNOVATION
Retail openings
Selfridges extends accessories halls in London and Manchester
Figure 27: Selfridges extended accessories hall in Oxford Street store, 2018
Gieves & Hawkes dedicates a room to Ettinger accessories
Figure 28: Gieves & Hawkes new ‘Ettinger Accessories Room’, 2019
Louis Vuitton re-opens its Bond Street store
Figure 29: Inside Louis Vuitton’s new Bond Street store, 2019
Furla opens third London store
Figure 30: Furla’s new Westfield London boutique, 2019
Nappa Dori opens first European store in London
Figure 31: Nappa Dori’s first European store in Covent Garden, 2019
Mulberry launches concept store in Leeds
Pre-owned
Luxury accessories resale retailer Xupes opens flagship store
Vestiaire concession opens in Selfridges
Figure 33: Vestiaire Collective concession, 2019
Farfetch launches bag re-sale platform
Product launches
Radley launches men’s collection with Pat Cash
Figure 34: Radley’s new Redchurch Street men’s collection, 2019
Furla launches new ‘see-now-buy-now’ collection
Figure 35: Furla unveils its new icon 1927 SS20 collection, 2019
Eco-friendly
Prada’s Re-Nylon bags
Figure 36: Prada’s Re-Nylon bags, 2019
New Look launches vegan range
Figure 37: New Look teams up with The Vegan Society for new range, 2019
Mulberry unveils its first 100% sustainable bag
Figure 38: Mulberry’s Portobello Tote, 2019
Retailers and brands ban exotics
Collaborations
Acne Studios and Mulberry launch collaboration
Figure 39: Acne Studios & Mulberry collection, 2019
Hype launches Disney collection
Figure 40: Hype’s Disney accessories, 2019
Cath Kidston launches Jungle Book range
Figure 41: Cath Kidston Jungle Book collection, 2019
Lulu Guinness collaborates with Christopher Brown
Figure 42: Lulu Guinness x Christopher Brown collection, 2019
ADVERTISING AND MARKETING ACTIVITY
Advertising spend is down in 2019
Figure 43: Total above-the-line, online display and direct mail annual advertising expenditure on fashion accessories, 2016-19
Prada tops list of spenders, closely followed by Loewe
Figure 44: Total above-the-line, online display and direct mail advertising expenditure on fashion accessories, by top 20 advertisers, 2014-19
Loewe launches ‘An Otters Tale’ holiday campaign
Figure 45: Still image from Loewe’s Christmas Capsule collection, 2019
Rewired clothing cashes in on Love Island fame
Delvaux brings in celebrities for its latest film campaign
Fashion accessories brands continue to bank on print advertising
Figure 46: Total above-the-line, online display and direct mail advertising expenditure on fashion accessories, by advertiser and media type, 2016-19
Prada focuses on digital
Figure 47: Pixie Geldof in Prada’s social media holiday campaign, 2019
Figure 48: Total above-the-line, online display and direct mail advertising expenditure on fashion accessories, by advertiser and media type, 2019
Nielsen Ad Intel coverage
BRAND RESEARCH
Brand map
Figure 49: Attitudes towards and usage of selected brands, December 2019
Key brand metrics
Figure 50: Key metrics for selected brands, December 2019
Brand attitudes: Radley appreciated for its quality
Figure 51: Attitudes, by brand, December 2019
Brand personality: Claire’s and Accessorize are the most accessible of the brands
Figure 52: Brand personality – macro image, December 2019
Michael Kors is viewed as stylish, but also perceived to be overrated
Figure 53: Brand personality – micro image, December 2019
Brand analysis
Michael Kors increases its brand cachet since its takeover of other luxury brands
Figure 54: User profile of Michael Kors, December 2019
Radley customers give the brand a positive endorsement
Figure 55: User profile of Radley, December 2019
Accessorize benefits from high levels of awareness, but fails to stand out
Figure 56: User profile of Accessorize, December 2019
Most are unaware of Furla, but it is the brand most likely to be a favourite
Figure 57: User profile of Furla, December 2019
Claire’s has the highest levels of usage, but lowest number of recommendations
Figure 58: User profile of Claire’s Accessories, December 2019
THE CONSUMER – WHAT YOU NEED TO KNOW
The number of men buying bags has increased
Fashion accessories are a popular purchase for children
Many people have bought fashion accessories from a pureplay retailer
When choosing accessories, people are interested in price and longevity
People are interested in innovations of personalisation and sustainability
The convenience of online is most appealing to shoppers
FASHION ACCESSORIES PURCHASED
Buying patterns remain relatively similar over the last two years
Figure 59: Types of fashion accessories purchased in the last 12 months, October 2017 and October 2019
The number of men buying bags has increased
Figure 60: Number of men who bought bags, by age group, October 2017 and October 2019
Young shoppers are most likely to buy fashion accessories
Figure 61: Repertoire of fashion accessories purchased, by generation, October 2019
WHO FASHION ACCESSORIES ARE BOUGHT FOR
Most buy for themselves, but smaller accessories make for popular gifts
Figure 62: Who fashion accessories have been purchased for, October 2017 and October 2019
Men are more likely to buy for a partner
Figure 63: Who fashion accessories have been purchased for, by gender, October 2019
Fashion accessories frequently purchased for young children
Figure 64: Number of people who bought fashion accessories for their children, by age of child in household, October 2019
WHERE FASHION ACCESSORIES ARE BOUGHT
Nearly three quarters bought fashion accessories in-store
Figure 65: Channels used for buying fashion accessories, October 2019
Pureplay retailers top place to buy fashion accessories
Figure 66: Retailers where fashion accessories were bought in the last 12 months, October 2019
Men are more likely to buy from luxury brands
Figure 67: Purchasing from value retailers vs. luxury brands, by gender, October 2019
Millennials are the most likely to shop around
Figure 68: Repertoire of retailers fashion accessories were bought from, by generation, October 2019
TRIGGERS FOR PURCHASING FASHION ACCESSORIES
Longevity and offers are most important factors
Figure 69: Reasons for purchasing fashion accessories, October 2019
Millennials are the most likely to want niche brands
Figure 70: People most likely to buy fashion accessories that are handmade or made by independent brands, by generation, October 2019
INTEREST IN FASHION ACCESSORY INNOVATIONS
Personalisation and sustainability pique consumers interests
Figure 71: Consumer interest in fashion accessory innovations, October 2019
Younger shoppers are particularly drawn to personalisation
Figure 72: Up To You Anthology homepage, 2019
The VIP model proves popular for accessories shoppers
Men are more interested in technology innovations
Figure 73: Interest in technology innovations for fashion accessories, by gender, October 2019
Fashion rentals most popular for younger consumers
BEHAVIOURS OF FASHION ACCESSORY SHOPPERS
The convenience of online appeals to shoppers
Figure 74: Behaviours of fashion accessory consumers towards online shopping, October 2019
Good customer service can make a retailer stand out from the crowd
Figure 75: Behaviours of fashion accessory consumers towards shopping experiences, October 2019
There is considerable consumer interest in more unique items
Figure 76: Behaviours of fashion accessory consumers towards new products, October 2019
Fashion accessory trends are moving towards small status items
Figure 77: Behaviours of fashion accessory consumers towards fashion accessory trends, October 2019
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Abbreviations
Consumer research methodology
APPENDIX – MARKET SIZE AND FORECAST
Forecast methodology
Best- and worst-case forecast
Figure 78: Forecast consumer spending on fashion accessories, 2019-24