Fashion INDEX

Total fashion

/ Talking Trade /

Head of retail, corporate advisory � rm Zolfo Cooper

A decline in footfall is usual for the start of the new school term. However, add some significant sunshine across the UK in the latter part of the week and the e� ect is compounded, resulting in a 4.7% year-on-year fall in the UK National Retail Index. The week-on-week change of -5.5% is significantly lower than the 3.8% week-on-week fall for the same week last year. Temperatures peaked at 29C over the Saturday and Sunday, with many people heading to the beaches and enjoying days out in the sun. The result was a 9.5% reduction year-on-year for the weekend.

Sales plunged steeply in most categories, reflecting weak underlying conditions and a relative dearth of promotions. For more information, email Don Williams, head of retail and wholesale at BDO, at don.williams@bdo.co.uk

National UK footfall figures Week 36 – September 3 to September 9, 2012

Highest growth location (defined by % increase in tra� ic to DrapersJobs week on week)

The most applied for jobs

WEEKLY FOOTFALL RETAIL INDEX

DRAPERSJOBS.COMThe UK’s employment hot spot and the most popular roles

WEEK-ON-WEEK CHANGE

-5.5%

YEAR-ON-YEAR CHANGE

-4.7%

Footwear

Clothing

-13%

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As a percentage of total applications on DrapersJobs last week

Like-for-like sales figures across the high streetWeek ending September 9, 2012

HIGH STREET SALES TRACKER

MEXICO

1. Design 9.6%

2. Production 8%

3. Merchandising 6%

4. Buying 5.5%

5. Administration 3.7%

BRISTOL 16%

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The idea of a ‘ agship’ store has been around since the dawn of retail, whether the term is being used to describe a shop in a prominent location or the store that holds or sells the

highest volume of merchandise. In any case, agships are often a big deal for retailers, as they tend to require a lot of investment to set up and maintain, which means retailers expect a lot out of them.

Victoria’s Secret, the US lingerie brand, decided to take this gamble by opening a agship store in London’s upscale Mayfair district. Was it a gamble? Maybe. For a start, the competition in this market is � erce. Marks & Spencer launched its own lingerie range just one day after Victoria’s Secret opened its doors, and another ‘sexy’ lingerie brand, Agent Provocateur, has announced it will be launching its own agship store near Bond Street before Christmas.

The good thing about agship stores is that they tend to attract attention – and Victoria’s Secret is no exception. Its 40,000 sq ft ‘boutique’ on Bond Street not only features its signature glossy pink interior but also has carved wooden � xtures, large paintings, enormous glass chandeliers and a ‘VIP suite’ – as well as three oors � lled with a staggering amount of lingerie. So, if attracting attention – and customers – was the company’s goal, then this gamble may well pay o� .

However, though high-pro� le agship stores like these may be notable for their size and glitzy presentation, Marks & Spencer’s new agship store in Chester highlights an even more important aspect of what a agship should deliver: innovation. M&S’s newest agship, its biggest outside London, includes a high-tech beauty department with interactive ‘virtual makeover’ touchscreens. Of course, multichannel options feature prominently as well. Large ‘browse and order’ points are dotted liberally around the shop, so in-store customers can access M&S’s entire online range as well.

The modern agship experience should aim to embrace this new world of service, rather than giving in to style over substance. While enormous glass chandeliers may cost a bomb, the ease and exibility of multichannel shopping will be priceless for many.

‘Retailers hope flagship stores will draw crowds’_ Dan Coen

-9.4%

-10%

The five top stories from around the globeINTERNATIONAL

PRODUCT TRENDS

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RETAIL OUTLOOK FOR THIS WEEK

LUXOTTICA is putting 33 million shares up for sale, amounting to approximately 7% of the company. Leonardo Del Vecchio, who owns 66% of the eyewear business through his holding company Del� n Sarl, is selling the shares to institutional investors.

ITALY

GALERIES LAFAYETTE is to launch a new version of its website. The retailer is looking to make GaleriesLafayette.com its second largest store after its Boulevard Haussmann agship in Paris.

LIMITED BRANDS has extended its reach into Malaysia by launching its Victoria’s Secret chain in the country. The store is at Pavilion in Kuala Lumpur. The franchise is being managed by Valiram Group.

USAJC PENNEY has launched a collection designed by Cosmopolitan. The Cosmopolitan Collection includes lingerie, sleepwear, footwear and handbags. Cosmopolitan’s editorial team closely collaborated with JC Penney.

GAP is to open its � rst standalone store in Mexico as part of an expansion throughout Latin America. The new store, to be located at Interlomas Mall, Mexico City, expands on Gap’s store-in-store concepts in Liverpool department stores in the region.

MEXICO

Consumers responded positively to our initial product o erings in Mexico, so we believe there is tremendous opportunity for usStefan Laban, managing director of strategic alliances, Gap

Growth in the men’s raincoat market

+12%

Growth in the women’s

raincoat market

+3%

+3.5%

Expenditure£197.2m

+5.7%

5.2mNumber of units

£37.63+2.1%

Average selling price

Sales of raincoats are on the up. Sales of men’s coats are outstripping women’sSALES & TRENDS – COATS

24 weeks ending July 8, 2012 versus 2011, according to Kantar Worldpanel Fashion

0%

40%

2011

2012Retail sector share £%24 weeks ending July 8, 2012 versus 2011

Men’s coats growth is driven by branded, while women’s branded coats are in declineCharlotte Wilks, category analyst, Kantar Worldpanel

MALAYSIA

FRANCE

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