Blog: Leonie BarrieVerdict on value

Leonie Barrie | 26 October 2007

Have the UK’s value clothing retailers become victims of their own success? Over the past decade, the sector has consistently outperformed the total clothing market – and currently accounts for nearly 25% of all clothing expenditure in the UK according to new research published today.
 
However, the sector is also facing its first signs of a slowdown. Value alone is no longer a selling point, and low prices are now a given across the clothing sector as middle market retailers like Next and M&S have sharpened their own acts in response to the growing competition.

There’s no doubt Primark in particular has raised the bar. Poised to take the top slot in the value sector, the retailer’s success has not just been due to its sizeable space expansion (an extra 2.5m sq ft of sales space in the UK since 2002) but because of its winning proposition – a combination of low prices and fast fashion in high quality, contemporary stores in prime locations.
 
As the value clothing sector matures and growth decelerates, it’s clear that retailers must look beyond low prices to sustain growth and profitability. As they reach both space and demand capacity in the UK, international growth is an obvious route. Take a look at the top five value retailers – Primark, George, Tesco, New Look and TK Maxx. They've already made moves onto the continent. 

Primark overtakes Asda as value clothing leader


BLOG

Trump spares textile machinery in tariff spat

Hundreds of US imports from China will be hit with an additional 25% tariff from next month – but to the relief of the US textile, apparel and footwear industry, most of the equipment used in the dome...

BLOG

Esquel's eco-friendly manufacturing complex

Hong Kong-based Esquel Group, the world's largest woven shirt maker, has been bedding-in operations at a ground-breaking new $313.3m eco-friendly manufacturing complex in southern China....

BLOG

Tariffs back at top of Trump's trade agenda

Tariffs soared back to the top of Trump's trade agenda last week, with the imposition of punitive tariffs on imports of steel and aluminium, and plans to proceed with an additional 25% tariff on impor...

BLOG

Digitalisation goalposts constantly evolving

The debate and discussion around digitalisation continues to top the apparel industry’s agenda – but as Spencer Fung, group CEO of Li & Fung explains, the goalposts are constantly evolving....

just-style homepage



Forgot your password?