Author: Mintel Group Ltd.
Last saved by: HTTP server

UK Retail Briefing - November 2004

ANALYST COMMENT
 BHS VS M&S
The view from the accounts
Sales – market share falling
Gross margins – being raised
Operating margins
Cash generation
Replacing the business
Taking on M&S?
 SAINSBURY’S – COMPLETE MAKEOVER, AGAIN
All change at Sainsbury’s again
Poor implementation
Déjà vu
Keep it simple
RETAIL REVIEW
 FOOD AND DRINK
Tesco
Green light for Tesco
To launch digital printing service
To expand One Stop chain
ASDA
Acquisition cleared
Launches ASDA Living
New food outlet in Walsall
George opens first retail park outlet
Sainsbury’s
Road to recovery
To focus on quality and value
Encouraging trading for Tu
To simplify store formats
Trading update
Admits plunging H1 profits
Sainsbury’s CEO given recovery deadline
Renewed speculation for a Sainsbury’s takeover
Morrisons
Reports profit slump…
…hit by Safeway stores’ performance
Current trading boosted by conversions
Waitrose
Ocado opens new depot
Challenged by the ASA
The Big Food Group
Sees l-f-l sales ease
Somerfield
Acquires smaller Safeway stores
To launch new store format
The Co-operative Group
Profits plunge
Midlands Co-op
Profits ahead
Netto
Outlines UK plans
Introduces improved labelling
Spar
To focus on fresh food offer
Shoprite
To open new store
La Riche
L-f-l sales up
Cooltrader
Acquires Poundfreeze
Cook
Opens new store
Budgens
Receives applications for Budgens stores
Thresher Group
Launches new format
Sales plummet
Oddbins
Sales fall
Unwins
Eight suitors emerge
Greggs
Continued strong growth
 CLOTHING AND FOOTWEAR
New Look
Reports strong sales
Peacock Group
Posts mixed results
Matalan
To offload Lee Cooper?
TJ Morris
Profits soar
Cromwells Madhouse
Falls into administration
Arcadia
Enjoys strong profit growth
Monsoon
Storming start to the year
Moss Bros
Strong l-f-l sales
Austin Reed
Suffers H1 losses
To review Country Casuals business
Burberry
Enjoys strong H1
Zara
Secures new sites
Etam
Losses deepen
Uniqlo
UK arm posts profit
Baugur
Mosaic sets out expansion plans
Flat sales at Karen Millen
Hobbs
Enters final stages of bid talks with 3i
Planning new concessions
Ted Baker
Storms ahead
Bank
Expansion plans
Bhs
Lifts FY profits
Groupe Zannier
To expand in the UK?
Adams Childrenswear
Expanding through concessions
Mamas & Papas
Opens new stores
Mothercare
Robust performance as store conversions continue
Instep
Launches new concessions
Stylo
Makes steps towards profitability
Brantano
Sales boosted by UK performance
 MIXED GOODS
Marks & Spencer
Posts trading update
Brings per una in-house
To launch new Simply Food store
Brown & Jackson
Narrows losses
 DEPARTMENT STORES
House of Fraser
Losses reduced
Allders
Reports full year results
Fortnum & Mason
Exiting womenswear
 MULTI-SECTOR
GUS
Impressive half year results
 ELECTRICAL GOODS
Kesa Electricals
Unveils first half results
The Carphone Warehouse
Trading update
 FURNITURE AND HOMEWARES
MFI
Eyeing Howdens?
DFS
Shareholders accept Lord Kirkham bid
Courts
Warns on profits
ScS Upholstery
Strong summer lift sales
Traesko
Falls into administration
Homestyle Group
Soros eyeing beds division
Topps Tiles
Sales jump
 DIY
Kingfisher
Plans Polish expansion
 HOME SHOPPING
N Brown
Sees sales slump
Findel
Delivers strong sales
ON THE MOVE
Associated British Foods
Austin Reed
B&Q
bonmarché
Dollond & Aitchison
Harrods
HMV Group
John Lewis Partnership
Matalan
Miss Sixty
Musgrave
Sainsbury’s
The Heart of England Co-op
The Officers Club
Thorntons
TM Retail
United Co-operatives
Virgin Retail
WH Smith
RETAIL MARKET ANALYSIS
 RETAIL SALES TRENDS
Figure 1: Retail sales trends, September 2003-September 2004
Figure 2: Retail sales trends, September 2003-September 2004
Breakdown of sales by sector
 RETAIL PRICE INFLATION TRENDS
Figure 3: Annual percentage change in retail price index for selected product groups, September 2003-September 2004
Figure 4: Annual percentage change in retail price index for selected product groups, September2003-September 2004
 THE FOOTFALL NATIONAL INDEX (UK)
Figure 5: FootFall shopping centre index (UK), September 2004
 MATRIX
Value
Volume
SECTOR ANALYSIS: NON-FOOD SPECIALISTS
Figure 6: Non-food specialists, sales trends, 1996-2004
Figure 7: Non-food specialists, sales trends index, 1996-2003
 RETAIL PRICE INFLATION
Figure 8: Indices of retail prices for product categories, January 2000-June 2004
Figure 9: Monthly inflation rates for selected product categories, August 2003-September 2004
 BREAKDOWN OF SALES BY SUB-SECTOR
Figure 10: Non food specalists, breakdown of sales by sub-sector, 1998-2004
Figure 11: Non-food specialists, breakdown of sales by sub-sector, 1998-2004
 CONSUMER EXPENDITURE
Figure 12: Consumer expenditure on selected product categories, 1995-2004
Figure 13: Consumer expenditure on selected product categories, 1995-2003
 ALL NON FOOD SPECIALIST RETAILERS: LATEST TRENDS
Figure 14: All non-food specalists: sales trends, 1998-2004
Figure 15: All non food specialists, sales trends, 2003-04
 CHEMISTS: LATEST TRENDS
Other market developments
 BOOKS, NEWSPAPERS AND STATIONERY: LATEST TRENDS
E-commerce
Grocers
Market developments
 FLOOR COVERINGS: LATEST TRENDS
Market developments
 PHOTOGRAPHIC & OPTICAL GOODS, OFFICE SUPPLIES STORES: LATEST TRENDS
Recent developments
 OTHER
 SECOND HAND GOODS STORES: LATEST TRENDS
SECTOR NEWS: NON-FOOD SPECIALISTS
 COMPANY RESULTS
Figure 16: Latest full-year results: Books and music
Figure 17: Latest full-year results: Toys and games
Figure 18: Latest full-year results: Sports goods
Figure 19: Latest full-year results: Health and beauty
Figure 20: Latest full-year results: Jewellery
 MERGERS AND ACQUISITIONS
Figure 21: Non-food specialists, recent mergers & acquisitions
 BOOKS AND MUSIC
WH Smith
Posts full year losses
Retail sales down
Focusing on edge-of-town outlets
Current trading
Completes sale of Hodder
Tim Waterstone mulls WH Smith bid
Suspends bid talks with Permira…
…and reveals future plans
Completes Asia Pacific sale
Borders
Robust performance
Acquires Paperchase
To expand store portfolio
Business reorganisation
Ottakar’s
Steady growth for H1…
…followed by encouraging current trading
The Works
Network expansion plans
David Flatman
Back to the black
HMV
Reports strong performance…
…driven by the UK business
Strong performance at Waterstone’s
Worldwide expansion
To offer store-based digital downloads?
Current trading
Virgin Megastores
To invest £90m in the business
Music Zone
On an expansion trail
Launches ‘Music Bug’ kiosks
To launch bookstores
Fopp
Opens its largest store
Apple
iTunes launched
 STATIONERY AND GIFTS
Staples
Acquires Office World UK
Stationery Box
To open two new stores
Clinton Cards
Profits surge
 TOYS AND GAMES
GAME
Slips into the red
Launches DVD concessions
Acquires new sites
Gamestation
Developing its store portfolio
Games Workshop
Lifts full-year profits
Toys “R” Us
Mulling sale of international arm
Warner Bros Studio Stores
Goes into administration
Discovery Store
Rebrands stores
 SPORTS GOODS
JD Group
Recovery on track
Store closures to continue
Pentland to launch takeover bid?
JJB Sports
Group profits plunge…
…hit by strong competition
Focusing on larger store formats
Takeover talks end
Sports World
To increase store portfolio
adidas
Developing the Performance chain
Converse
Opens its first UK outlet
Sport-e
Partners with SkySports
Blacks Leisure
Strong full-year results
Store network expands
Refurbishment programme continues
Trading update
Extreme Group
Further expansion planned
American Golf Discount Centre
Bought out by LDC
Roots
Launches first UK store
SweatyBetty
Opens HOF concession
Rohan
Opening new stores
 HEALTH AND BEAUTY
Regulatory news
Pharmacy licensing rules relaxed
Boots
Envisages rolling out more pharmacies
Full-year sales ahead
Healthcare sales driven by promotions
International sales up
Strengthening offer
Investing on growth
Trading update
Sells non-core units
The Body Shop
Mixed performances
UK l-f-l sales down
Launches new design concept
Acquires franchisees
Introduces loyalty scheme
Co-op Pharmacy
Snaps up Welsh stores
Alliance UniChem
Retail profits soar
Moss Pharmacy sales grow
Moss acquires Joyce Morrison
Appoints new Chief Executive
Culpeper
Investing on expansion
Lush
US expansion plans
Fushi
Seeking funds
Ritual
To launch in the UK?
 OPTICAL AND PHOTOGRAPHIC GOODS
Specsavers
Acquires second Swedish chain
Vision Express
Launches advertising campaign
Dollond & Aitchison
Sees solid H1
Jessops
To float on the London Stock Exchange
 JEWELLERY
Signet Group
Impresses in first half
Goldsmiths
Stake acquired by Baugur
MW Group
Posts profits
Theo Fennell
Reports sales growth
Partners with Debenhams
Geraldonline
Ratner returns to high street?
 GARDEN CENTRES
Wyevale
Sells garden centres
Posts soggy sales
Dobbies Garden Centres
Reports profit growth
Blooms of Bressingham
Wilting sales
 MISCELLANEOUS
Halfords
Posts robust performance
Extends store network
Floats on the London Stock Exchange
BAA
To launch department stores?
Posts sales increase
Pets at Home
Acquired by Bridgepoint Capital
Beate Uhse
Abandons UK market
Harmony
To open new store
KEY TOPIC: CLOTHING RETAILING IN THE UK
 INTRODUCTION
 SECTOR VALUE AND TRENDS
Figure 22: UK: Clothing specialists’ sales, 1998-2002
 CHANNELS OF DISTRIBUTION
Figure 23: UK: Clothing market – channels of distribution, 2003
Clothing specialists
Department and variety stores
Home shopping
Grocers
ASDA
Tesco
Sainsbury’s
Sports goods retailers
 CORPORATE ACTIVITY
Figure 24: UK: Clothing retail sector, corporate activity, January 2003-August 2004
 OUTLET AND ENTERPRISE DATA
Figure 25: UK: Clothing specialists – Number of enterprises and outlets, 1998-2002
 LEADING SPECIALISTS
Double digit sales growth for many in 2003
Overseas retailers up their interests
Weaker performers
Figure 26: UK: Leading specialist clothing retailers, 2003
 MARKET SHARES
Figure 27: UK: Leading clothing specialists’ market shares, 2002 and 2003
 CONSUMER RESEARCH
Where do consumers shop for clothing?
Figure 28: Outlets used for purchasing clothing in the last 12 months, May 2003 and June 2004
Figure 29: Leading outlets used for purchasing clothing in the last 12 months, June 2004
Figure 30: Penetration of clothing shopping, by men and women, May 2003 and June 2004
What consumers would like to see provided?
Figure 31: What consumers would like to see provided in clothing shops, 2002-04
Figure 32: What consumers would like to see provided in clothing shops, by gender, June 2004
 PROSPECTS AND FORECASTS
Figure 33: UK: Clothing specialists’ sales, 2003-08 (f)

This report is supplied in accordance with Mintel's terms and conditions.  
© Mintel Group Ltd.