Blog: Summer weather boosts UK sales
Leonie Barrie | 21 June 2010
Two of the UK's largest supermarkets last week unveiled a slowdown in first quarter sales growth. Tesco and J Sainsbury, the UK's number one and number three supermarkets respectively, blamed low food price inflation and higher fuel costs for stunting consumer spending.
Despite booking its "biggest ever week in clothing," like-for-like sales at Sainsbury's rose 1.1%, with growth just 0.3% when the return of VAT to 17.5% was factored in. The results mirror those posted by Tesco, which reported a 0.1% rise in like-for-like sales excluding fuel and adjusted for VAT.
Official figures, however, suggest UK clothing and footwear revenues have had a recent boost from the arrival of summer weather. Sales in May rose by 6.6% in value and 7.1% in volume - outstripping other retail sectors.
Home shopping specialist N Brown, meanwhile, has snapped up online lingerie, underwear and swimwear retailer Figleaves for GBP11.5m (US$16.9m) in a move that accelerates its shift from catalogue specialist to online retailer. N Brown, which is best known for its plus-size and value labels, says the deal will expand its brand portfolio to appeal to both a younger and a more upmarket audience.
The latest milestone for Spanish retail giant Inditex has been the opening of its first Zara store in India. But what does this mean for the Indian fashion and retail sector? Is it the beginning of a new era? Should we expect Zarafication of the market? And should other international brands and Indian fashion brands be worried?
As the economy begins to show signs of life and retailers prepare to rebuild inventory levels, they're also facing a rise in production costs. Prices for cotton have doubled in the last year. Lumber prices in May were 79% higher than last year. Concerns about rising costs of raw materials, labour and transportation continue to come up on earnings calls. What can be done about it?
Apparel exporters in Nicaragua and Honduras expect to woo large investments from foreign textiles manufacturers this year that should create over 30,000 jobs, helping offset huge trade losses during the height of the global recession. A string of US, Korean, Spanish and Venezuelan manufacturers have committed investments to Nicaragua, while the sector is also gaining traction in nearby Honduras as well.
Confirmation that digital supply chains are top of mind for apparel industry executives came last week with the latest plans from global sourcing specialist Li & Fung....
As a barometer of the issues top of mind for apparel sourcing executives, it is hard to beat the annual Prime Source Forum in Hong Kong. ...
Over the past month, Donald Trump and his team failed to offer any clear plan to ensure Americans would "Buy American, Hire American" - while the British government's attempts to clarify the specifics...
The Bangladesh government was forced to respond late last week to pressure over its crackdown on labour activists after a number of global brands and retailers, including H&M and Inditex announced pla...
- Rana Plaza four years on – Timeline of change
- Trump and Brexit get a dose of pragmatism
- Using worker surveys to drive supply chain change
- Industry groups reaffirm commitment to Bangladesh
- Where does VF supply chain sit in growth strategy?
- Inditex, Adidas and Patagonia top ethical report
- US textile industry applauds Trump executive order
- Gap unveils five-year sustainable fibres pledge
- Pentland Brands reveals Berghaus factory list
- Calls for supply chain transparency standard
- Global market review of denim and jeanswear – forecasts to 2022
- When Things Go Wrong - A Practical Guide to Managing Common Problems in Apparel Sourcing
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Myanmar - ISA Country Report
- Clothing Market in the Top 5 American Countries to 2021 - Market Size, Development, and Forecasts