UK Fashion Multiples 2006

CHAPTER 1 EXECUTIVE SUMMARY 17
Key Findings 17
Main Conclusions 18
CHAPTER 2 MARKET ANALYSIS 21
Clothing Market Definitions 21
Clothing Market Growth 23
CHAPTER 3 COMPANY DATA ANALYSIS 26
Market Shares 26
Clothing Retailers Growth Rates 2005 30
Operating Margins 31
Sales Densities 32
Space Growth 33
Key Operating Statistics 34
Advertising Media Expenditure 35
Womenswear Space Allocation 36
CHAPTER 4 OUTLOOK 38
Issues for Fashion Multiples 38
Low Growth Market 38
Price Deflation 39
Increasing Competition 39
Demographic Trends 40
Saturation 41
Increasing Costs 41
Fashion Credibility 41
Brand Authority 42
Strategies for Growth 43
Consolidation 44
Fragmentation 47
Routes to Market 47
Extensions 48
Must Haves for Growth 49
Rewards Come From Sound Strategies 50
CHAPTER 5 FRENCH CONNECTION 51
Company Overview 51
Trading Record 53
Year to January 2006 53
Current trading 54
Store Portfolio & Retail Proposition 56
Space Allocation 59
Management, Marketing & Operations 61
Outlook 61
CHAPTER 6 H&M 64
Company Overview 64
Market Shares 65
Trading Record 66
Year to November 2005 66
Current trading 68
Store Portfolio & Retail Proposition 69
Space Allocation 72
Marketing & Operations 73
Outlook 74
CHAPTER 7 HOBBS 76
Company Overview 76
Market Shares 77
Trading Record 79
Year to January 2006 79
Current Trading 80
Store Portfolio & Retail Proposition 80
Space Allocation 83
Management, Marketing & Operations 84
Management 84
Marketing 84
Operations 84
Outlook 85
CHAPTER 8 INDITEX UK 88
Company Overview 88
Market Shares 89
Trading Record 91
Year to January 2005 91
Year to January 2006e 92
Store Portfolio & Retail Proposition 93
Space Allocation 95
Management, Marketing & Operations 97
Outlook 97
CHAPTER 9 MONSOON 99
Company Overview 99
Market Shares 101
Trading Record 102
Year to May 2006 102
Current trading 103
Store Portfolio & Retail Proposition 105
Space Allocation 108
Management, Marketing & Operations 109
Outlook 110
CHAPTER 10 MOSAIC FASHIONS & RUBICON RETAIL 112
Company Overview 112
Market Shares 115
Trading Record 118
Year to January 2006 119
Year to August 2006e 120
Store Portfolio & Retail Proposition 122
Space Allocation 131
Marketing, Management & Operations 134
Outlook 135
CHAPTER 11 REISS 137
Company Overview 137
Trading Record 140
Year to January 2006 140
Current trading 141
Store Portfolio & Retail Proposition 141
Space Allocation 143
Marketing & Operations 144
Outlook 145
CHAPTER 12 RIVER ISLAND 147
Company Overview 147
Market Shares 148
Trading Record 149
Year to December 2005e 149
Store Portfolio & Retail Proposition 151
Space Allocation 153
Marketing & Operations 154
Outlook 155
CHAPTER 13 ROBINSON WEBSTER (JIGSAW/KEW) 157
Company Overview 157
Market Shares 158
Trading Record 159
Years to September 2004 and 2005 159
Store Portfolio & Retail Proposition 161
Space Allocation 165
Marketing & Operations 166
Outlook 167
CHAPTER 14 GLOSSARY 170
Financial Statistics - VAT 170
Trading Profile 170
Key Operating Ratios 170
Physical Development 171
Abbreviations 171
List of Tables
Table 1: Womenswear clothing market definitions 2006 21
Table 2: Menswear clothing market definitions 2006 21
Table 3: Childrenswear market definition 2006 22
Table 4: Accessories market definition 2006 22
Table 5: Clothing market growth at current prices 2001-2006e 23
Table 6: Clothing market growth at constant 2002 prices 2001-2006e 23
Table 7: Clothing market deflation 2001-2006 24
Table 8: Fashion multiples UK clothing market shares 2001-2006e 26
Table 9: Fashion multiples UK womenswear market shares 2001-2006e 27
Table 10: Fashion multiples UK menswear market shares 2001-2006e 27
Table 11: Fashion multiples key UK operating statistics 2005/06 34
Table 12: Fashion multiples advertising total and by media type 2005 35
Table 13: Womenswear space allocation % 2006 36
Table 14: Changing population by age band 2006-2010 40
Table 15: French Connection Company Overview 2006 51
Table 16: French Connection UK key operating statistics 2001-2006e 52
Table 17: French Connection trading record 2001-2006e 53
Table 18: French Connection UK store profile 2001-2006e 56
Table 19: French Connection European store analysis 2001-2006e 56
Table 20: French Connection retail proposition 2006 57
Table 21: Nicole Farhi retail proposition 2006 58
Table 22: TOAST retail proposition 2006 58
Table 23: Great Plains retail proposition 2006 58
Table 24: French Connection Space Allocation 2006 59
Table 25: French Connection (Concession) Space Allocation 2006 60
Table 26: H&M Company Overview 2006 64
Table 27: H&M key operating statistics 2001-2006e 65
Table 28: H&M trading record 1996-2006e 66
Table 29: H&M UK store portfolio 1996-2006e 69
Table 30: H&M retail proposition 2006 71
Table 31: H&M Space Allocation 2006 72
Table 32: Hobbs Company Overview 2006 76
Table 33: Hobbs UK key operating statistics 2000-2005e 77
Table 34: Hobbs Limited trading record 2001-2006* 79
Table 35: Hobbs UK store profile 2002-2007e 80
Table 36: Hobbs UK store analysis 2002-2007e 80
Table 37: Hobbs retail proposition 2006 82
Table 38: Hobbs Space Allocation 2006 83
Table 39: Inditex UK Company Overview 2006 88
Table 40: Inditex UK key operating statistics 2001-2006e 89
Table 41: Zara UK trading record 2001-2006e 91
Table 42: Massimo Dutti UK trading record 2004-2006e 91
Table 43: Inditex UK store profile 2001-2006e 93
Table 44: Inditex UK store profile by brands 2001-2006e 94
Table 45: Zara retail proposition 2006 94
Table 46: Zara Space Allocation 2006 95
Table 47: Monsoon Company Overview 2006 99
Table 48: Monsoon UK key operating statistics 2001-2006e 100
Table 49: Monsoon trading record 2001-2006e 102
Table 50: Monsoon UK store profile 2002-2006e 105
Table 51: Monsoon UK store analysis 2002-2006e 105
Table 52: Monsoon retail proposition 2006 107
Table 53: Monsoon Space Allocation 2006 108
Table 54: Mosaic Fashions company overview 2006* 112
Table 55: Mosaic Fashions company overview 2006* 113
Table 56: Mosaic Group key UK operating statistics 2001e-2006e 114
Table 57: Rubicon key UK operating statistics 2002-2006e* 114
Table 58: Mosaic Fashions and Rubicon combined trading record 2001-2006e* 115
Table 59: Oasis/Coast Group trading record 2001-2006e 118
Table 60: Karen Millen trading record 2001-2006e 118
Table 61: Whistles trading record 2001-2006e 119
Table 62: Rubicon trading record 2001-2006e* 120
Table 63: Oasis/Coast UK store profile 2001-2006e 122
Table 64: Oasis/Coast UK store analysis 2001-2006e 122
Table 65: Karen Millen UK store profile 2001e-2006e 123
Table 66: Whistles UK store profile 2002e-2006e 123
Table 67: Principles/Warehouse UK store profile 2001e-2006e* 124
Table 68: Principles/Warehouse UK store analysis 2001e-2006e 124
Table 69: Oasis retail proposition 2006 126
Table 70: Coast retail proposition 2006 126
Table 71: Karen Millen retail proposition 2006 127
Table 72: Whistles retail proposition 2006 128
Table 73: Principles retail proposition 2006 129
Table 74: Warehouse retail proposition 2006 130
Table 75: Oasis Space Allocation 2006 131
Table 76: Coast Space Allocation 2006 131
Table 77: Karen Millen Space Allocation 2006 132
Table 78: Whistles Space Allocation 2006 132
Table 79: Principles Space Allocation 2006 133
Table 80: Warehouse Space Allocation 2006 133
Table 81: Reiss Company Overview 2006 137
Table 82: Reiss key operating statistics 2000-2006e 138
Table 83: Reiss trading record 2001-2006 140
Table 84: Reiss UK store profile 2001-2006e 141
Table 85: Reiss store analysis 2001-2006 142
Table 86: Reiss retail proposition 2006 143
Table 87: Reiss Space Allocation 2006 144
Table 88: River Island Company Overview 2006 147
Table 89: River Island key operating statistics 2001-2006e 148
Table 90: River Island trading record 2001-2006e 149
Table 91: River Island UK store portfolio 2001-2006e 151
Table 92: River Island retail proposition 2006 152
Table 93: River Island Space Allocation 2006 153
Table 94: Jigsaw and Kew company overview 2006 157
Table 96: Jigsaw/Kew trading record 2001-2006e 159
Table 97: Jigsaw/Kew UK store profile 2001e-2006e 161
Table 98: Jigsaw/Kew store analysis by format 2001e-2006e 162
Table 99: Jigsaw retail proposition 2006 164
Table 100: Kew retail proposition 2006 165
Table 101: Jigsaw Space Allocation 2006 165
Table 102: Kew Space Allocation 2006 166
List of Figures
Figure 1: Five-year clothing market share change 2001-2006e 28
Figure 2: Five-year womenswear market share change 2001-2006e 29
Figure 3: Selected retailers' UK clothing sales growth - calendar year 2005 on 2004 30
Figure 4: Fashion multiples operating margins year end 2005/06 31
Figure 5: Fashion multiples UK sales densities 2005/06e 32
Figure 6: Fashion multiples space growth % 2005/06e on 2004/05 33
Figure 7: Issues for fashion multiples 2006 38
Figure 8: Population growth by age band 2006-2010 40
Figure 9: Strategies for growth - consolidation and fragmentation 43
Figure 10: Strategies for growth - route to market and extensions 44
Figure 11: Womenswear market shares pre-Mosaic/Rubicon merger 2006e 46
Figure 12: Womenswear market shares - post-Mosaic/Rubicon merger 2006e 46
Figure 13: French Connection menswear, womenswear and clothing market shares 2001-2006e 52
Figure 14: French Connection UK womenswear sales (ex VAT) - years to January 2001-2006e 55
Figure 15: French Connection UK menswear sales (ex VAT) - years to January 2001-2006e 55
Figure 16: French Connection clothing space allocation, as % of total store space 2006 59
Figure 17: French Connection (Concession) clothing space allocation, as % of total store space 2006 60
Figure 18: H&M UK clothing, womenswear and menswear market shares 2001-2006e 65
Figure 19: H&M womenswear UK sales (ex VAT) & year-on-year growth - years to November 2001-2006e 67
Figure 20: H&M menswear UK sales (ex VAT) & year-on-year growth - years to November 2001-2006e 68
Figure 21: H&M clothing space allocation, as % of total store space 2006 72
Figure 22: Hobbs clothing and womenswear market shares 2001-2006e 77
Figure 23: Hobbs UK total sales (ex VAT) - years to January 2002-2007e 78
Figure 24: Hobbs clothing space allocation, as % of total store space 2006 83
Figure 25: Inditex UK clothing and womenswear market shares 2001-2006e 89
Figure 26: Inditex UK menswear and childrenswear market shares 2001-2006e 90
Figure 27: Zara/Bershka/Massimo Dutti womenswear sales (ex VAT) - years to January 2001-2006e 92
Figure 28: Zara/Bershka/Massimo Dutti menswear sales (ex VAT) - years to January 2001-2006e 93
Figure 29: Zara clothing space allocation, as % of total store space 2006 95
Figure 30: Monsoon clothing, womenswear and childrenswear market shares 2001-2006e 101
Figure 31: Monsoon UK womenswear sales (ex VAT) - years to May 2001e-2006e 104
Figure 32: Monsoon UK childrenswear sales (ex VAT) - years to May 2001e-2006e 104
Figure 33: Oasis/Coast clothing and womenswear market shares 2001-2006e 115
Figure 34: Karen Millen and Whistles clothing and womenswear market shares 2001-2006e 116
Figure 35: Principles/Warehouse womenswear and clothing market share 2002-2006e 117
Figure 36: Principles UK sales (ex VAT) - years to January 2002e-2006e 121
Figure 37: Warehouse UK sales (ex VAT) - years to January 2002e-2006e 121
Figure 38: Reiss clothing, menswear and womenswear market shares 2001-2006e 138
Figure 39: Reiss UK menswear sales (ex VAT) - years to Jan 2001e-2006e 139
Figure 40: Reiss UK womenswear sales (ex VAT) - to Jan 2001e-2006e 140
Figure 41: Reiss clothing space allocation, as % of total store space 2006 143
Figure 42: River Island menswear, clothing and womenswear market shares 2001-e2006 148
Figure 43: River Island clothing space allocation, as % of total space 153
Table 95: Jigsaw/Kew UK key operating statistics 2001-2006e 158
Figure 44: Jigsaw/Kew clothing and womenswear market shares 2001-2006e 158
Figure 45: Jigsaw/Kew womenswear sales (ex VAT) - years to September 2001e-2006e 161