Price
Global License: US$ 3,240.00
Introduction
Verdict Research: How Britain Shops Clothing provides a detailed overview of the shopping habits of consumers. It examines, who shops for clothing, where they shop, whether they are satisfied with their current store and what stores should do to satisfy customers more.
Features and benefits
While the percentage of consumers mentioning price as a loyalty driver has declined slightly, it is still only 0.2 percentage points below the previous year's 10 year high of 44.8% and remains the second most important loyalty driver in clothing after range. With disposable incomes under pressure, we expect price will remain important through 2011.
Next's visitor share has declined further to 23.8%. Next faces tough price competition from value players, as well as main rival M&S. However, it has made substantial gains in visitor share among AB customers, increasing to 29.7% from 27.8%. Improvements to stores and ranges, as well as more prominent TV advertising drove these customers to stores.
Asda has boosted both visitor and main user share to new high levels in fourth place among the profiled 12. Asda's focus on price continues to resonate the most among less affluent shoppers and most gains have come from C2 and DE customers by class.
Your key questions answered
Global License: US$ 3,240.00
Introduction
Verdict Research: How Britain Shops Clothing provides a detailed overview of the shopping habits of consumers. It examines, who shops for clothing, where they shop, whether they are satisfied with their current store and what stores should do to satisfy customers more.
Features and benefits
- Thorough analysis of how customers shop for clothing. 12 Profiles including Asda, Debenhams, Marks & Spencer, Matalan, New Look, Next, Primark
- How Britain Shops reports include visitor and main user share data, conversion rates, customer loyalty rates and reasons for loyalty/disloyalty
- Data is segmented regionally and by demographic and socio-economic group. Historic data is provided so trends can be analysed over a five year period
While the percentage of consumers mentioning price as a loyalty driver has declined slightly, it is still only 0.2 percentage points below the previous year's 10 year high of 44.8% and remains the second most important loyalty driver in clothing after range. With disposable incomes under pressure, we expect price will remain important through 2011.
Next's visitor share has declined further to 23.8%. Next faces tough price competition from value players, as well as main rival M&S. However, it has made substantial gains in visitor share among AB customers, increasing to 29.7% from 27.8%. Improvements to stores and ranges, as well as more prominent TV advertising drove these customers to stores.
Asda has boosted both visitor and main user share to new high levels in fourth place among the profiled 12. Asda's focus on price continues to resonate the most among less affluent shoppers and most gains have come from C2 and DE customers by class.
Your key questions answered
- How Britain Shops is one of the most comprehensive studies of its kind drawing on a nationwide survey of 6,000 shoppers
- Use this report to understand what drives the loyalty of your customers and find out where else they are shopping - and why
- Channel investment for maximum return by knowing which aspects of your retail proposition most need improving in the opinion of your customers
Executive Summary
Verdict view
Key findings
Main conclusions
Clothing's share of shoppers falls – but only slightly
Male shoppers bounce back
More ABC1s shop for clothing, while DEs cut back
Retailers get better at converting visitors to main users
Loyalty improves as most have access to their preferred store
Price dips slightly – but still an important loyalty driver
Convenience a growing loyalty driver in clothing
Retailer highlights
M&S shows it can convert younger shoppers – if only it could get them through the doors
Improvements to stores and ranges help Next gain visitor share among ABs
First decline in Primark's visitor share, despite new store openings and rise in male share
Asda's quality gains older shoppers as it achieves new high visitor and main user shares
Matalan loses younger main users
Debenhams main user share falls, as it faces tougher department store competition
New Look loses more affluent AB customers, as they trade back up
Male surge pushes TK Maxx main user share to 0.1 point shy of best to date
Tesco builds its appeal to younger shoppers
River Island needs new ways to target younger shoppers as visitor share falls among 16–24s
Concessions in Bhs have no apparent adverse impact on Burton
Bonmarché recovers footfall but still faces issue of young oldies
SECTOR SUMMARY
Share of shoppers
Marginal fall in consumers shopping for clothing as they continue to rein in spending
Penetration of clothing shoppers
Rises among ABC1s and men
Retailer usage
M&S remains at the top, though visitor share falls
Main user share by region
Conversion rates
Conversion rates part recover as retailers target customers more effectively
Shopping around
New Look's customers use 1.3 more stores than the average
Loyalty
Expansion instore and online allows more to shop at their preferred store
Drivers of loyalty/ disloyalty
Convenience gains in importance as busy lifestyles make time more valuable
ASDA
Gains record levels of visitors and main users and must fight to keep them
Boosts footfall
Family formers central but gains popularity among young and old
ABs drive loyalty improvement
Competitor expansion threatens
Visitors
Highest gain in visitor share of profiled retailers
Main users
Share hits new high level
Conversion rates
On the rise – with C2DEs the highest
Loyalty
Loyalty improves, though Asda stands to lose in gains and losses
Competitors
Shopping around declines, but Matalan and Primark threaten
BONMARCHÉ
Mature customer base keeps loyalty score high
Visitor share up slightly
Separate new chain could be a solution for younger oldies
Further shift in conversion rates towards older customers
Scores second highest for loyalty
Shopping around on the up
Visitors
Recoups some of previous year's loss of footfall …
Main users
… and halts decline in main usage
Conversion rates
Fall as Bonmarché struggles to satisfy all its customers
Loyalty
Achieves the second highest loyalty score of profiled retailers
Competitors
Shopping around on the up as more retailers target this lucrative market
BURTON
Footfall holds up under relocation programme to Bhs
Burton seems to do just as well as a Bhs concession as a high street standalone
New premium range fails to attract more ABs though boosts conversion
Main users are still predominantly younger
Loyalty falls marginally
Visitors
Maintains visitor share as programme of concessions in Bhs begins to roll out
Main users
Main user share improves to 2007 level
Conversion rates
Boosted by ABs
Loyalty
Scores above average for range and quality
Competitors
Shopping around jumps as men look at more retailers for clothes
DEBENHAMS
Maintains broad appeal – though visitors and mains users dip
Visitor share dips, but continues to attract a broad customer base
Main user share falls, as it faces tougher competition
Older customers more put off
DE customers most loyal
M&S most preferred by disloyal customers
Visitors
Drop to level of two years ago
Main users
Down due to reconfigurations and tougher competition
Conversion rates
Conversion rates dive – though remain strong among DEs
Loyalty
DE customers most loyal
Competitors
Shopping around on the rise
MARKS & SPENCER
Signs that M&S can convert younger customers: now it needs the footfall
Visitor share falls …
… and main user share down – as conversion weakens except among 16–34s
Maintains last year's gains in loyalty
John Lewis real threat
Visitors
Footfall slips off peak
Main users
Biggest share still of AB shoppers
Conversion rates
Improves conversion of younger visitors to main users
Loyalty
Remains the number one retailer for loyalty in clothing
Competitors
Must ensure clothing customers also shop for footwear
MATALAN
Marketing the website specifically could realise potential main user gains
Return to store expansion grows footfall …
… but lower conversion rates leave main users down …
… especially young ones
One of few retailers showing potential for gains
Opportunity to convert more clothing customers into footwear and homewares
Visitors
Remains in sixth place, though visitors on the rise
Main users
ABC1 main users increase as C2DEs fall
Conversion rates
Conversion rates continue to fall
Loyalty
Loyalty improves, though moves down to seventh position – overtaken by River Island and Asda
Competitors
Asda most used for homewares
NEW LOOK
Gains footfall, though improvement necessary in menswear
Visitor share increases for the second year running
Menswear moves in the right direction – but remains tiny
Loses affluent AB customers as they trade back up
Big increase in range score, but quality down
Visitors
Footfall up, with biggest growth in 55–64s
Main users
Loses more affluent main users
Conversion rates
Fall for second consecutive year
Loyalty
Third highest gain in loyalty increases its ranking to eighth from 10th
Competitors
Despite young customer base, shopping around falls
NEXT
Needs to reverse three-year decline in footfall
Visitor share falls – except among ABs
Conversion rates on the rise so main user share holds strong
Convenience a more important driver of loyalty but price becomes a major driver of disloyalty
Makes progress in getting clothing customers to buy footwear
Visitors
Footfall remains lower …
Main users
… but main user share more robust
Conversion rates
Getting better at converting visitors to main users, though still below 2007
Loyalty
Loyalty improves with range the main reason
Competitors
Makes progress in footwear
PRIMARK
Visitor share dips marginally from peak level
First decline in visitor share in over 10 years, but male visitor share improves
With the exception of 16–24 and 65+ customers, conversion rates on the up
Strength of price as a loyalty factor makes Primark vulnerable if it can't control its retail price rises
Still, stands to gain if store preferences were played out
Visitors
Male footfall rises
Main users
Growth continues at a slower rate
Conversion rates
Recover level of two years ago
Loyalty
Price still major driver of loyalty
Competitors
Shopping around increases
RIVER ISLAND
Holds on to customer base as it ages – but needs new ways to target younger shoppers
Visitor share falls among 16–24s
Conversion rates fall – but 25-34 year olds peak
Loyalty reaches a high
Stands to make major gains if customers were to shop at their preferred store
Visitors
Male and female visitor shares decline
Main users
Share declines across all socioeconomic groups
Conversion rates
Lowest for seven years, despite older customer base
Loyalty
Second highest loyalty gain of profiled retailers
Competitors
Main users shop around less
TESCO
Gaining resonance among younger shoppers
Second highest gains in visitor share
Gains in visitors across all demographics
And building its appeal to younger shoppers
Second consecutive year of conversion rate falls
But loyalty is improving
Visitors
Attracts more ABC1 footfall
Main users
Biggest gains in main user share among 16–24 year olds
Conversion rates
Improving conversion must now be a focus
Loyalty
Price the major driver of loyalty
Competitors
Shopping around increases
TK MAXX
Gains resonance among male shoppers
High conversion rate pushes main user share to 0.1 point shy of best to date
Visitor share holds firm
Price major loyalty driver
HomeSense an opportunity
Visitors
25–34 year olds overtake 16–24 year olds as the age group with most penetration for footfall
Main users
Recovery driven by male shoppers
Conversion rates
Rate at new highest level
Loyalty
Highest gain of profiled retailers
Competitors
Opportunities in homewares
APPENDIX
Methodology
Selection of parliamentary constituencies
Selection of enumeration districts
Selection of respondents
Post survey weighting
Further reading
Ask the analyst
Global Retail FreeView
Verdict Research consulting
Disclaimer
Verdict view
Key findings
Main conclusions
Clothing's share of shoppers falls – but only slightly
Male shoppers bounce back
More ABC1s shop for clothing, while DEs cut back
Retailers get better at converting visitors to main users
Loyalty improves as most have access to their preferred store
Price dips slightly – but still an important loyalty driver
Convenience a growing loyalty driver in clothing
Retailer highlights
M&S shows it can convert younger shoppers – if only it could get them through the doors
Improvements to stores and ranges help Next gain visitor share among ABs
First decline in Primark's visitor share, despite new store openings and rise in male share
Asda's quality gains older shoppers as it achieves new high visitor and main user shares
Matalan loses younger main users
Debenhams main user share falls, as it faces tougher department store competition
New Look loses more affluent AB customers, as they trade back up
Male surge pushes TK Maxx main user share to 0.1 point shy of best to date
Tesco builds its appeal to younger shoppers
River Island needs new ways to target younger shoppers as visitor share falls among 16–24s
Concessions in Bhs have no apparent adverse impact on Burton
Bonmarché recovers footfall but still faces issue of young oldies
SECTOR SUMMARY
Share of shoppers
Marginal fall in consumers shopping for clothing as they continue to rein in spending
Penetration of clothing shoppers
Rises among ABC1s and men
Retailer usage
M&S remains at the top, though visitor share falls
Main user share by region
Conversion rates
Conversion rates part recover as retailers target customers more effectively
Shopping around
New Look's customers use 1.3 more stores than the average
Loyalty
Expansion instore and online allows more to shop at their preferred store
Drivers of loyalty/ disloyalty
Convenience gains in importance as busy lifestyles make time more valuable
ASDA
Gains record levels of visitors and main users and must fight to keep them
Boosts footfall
Family formers central but gains popularity among young and old
ABs drive loyalty improvement
Competitor expansion threatens
Visitors
Highest gain in visitor share of profiled retailers
Main users
Share hits new high level
Conversion rates
On the rise – with C2DEs the highest
Loyalty
Loyalty improves, though Asda stands to lose in gains and losses
Competitors
Shopping around declines, but Matalan and Primark threaten
BONMARCHÉ
Mature customer base keeps loyalty score high
Visitor share up slightly
Separate new chain could be a solution for younger oldies
Further shift in conversion rates towards older customers
Scores second highest for loyalty
Shopping around on the up
Visitors
Recoups some of previous year's loss of footfall …
Main users
… and halts decline in main usage
Conversion rates
Fall as Bonmarché struggles to satisfy all its customers
Loyalty
Achieves the second highest loyalty score of profiled retailers
Competitors
Shopping around on the up as more retailers target this lucrative market
BURTON
Footfall holds up under relocation programme to Bhs
Burton seems to do just as well as a Bhs concession as a high street standalone
New premium range fails to attract more ABs though boosts conversion
Main users are still predominantly younger
Loyalty falls marginally
Visitors
Maintains visitor share as programme of concessions in Bhs begins to roll out
Main users
Main user share improves to 2007 level
Conversion rates
Boosted by ABs
Loyalty
Scores above average for range and quality
Competitors
Shopping around jumps as men look at more retailers for clothes
DEBENHAMS
Maintains broad appeal – though visitors and mains users dip
Visitor share dips, but continues to attract a broad customer base
Main user share falls, as it faces tougher competition
Older customers more put off
DE customers most loyal
M&S most preferred by disloyal customers
Visitors
Drop to level of two years ago
Main users
Down due to reconfigurations and tougher competition
Conversion rates
Conversion rates dive – though remain strong among DEs
Loyalty
DE customers most loyal
Competitors
Shopping around on the rise
MARKS & SPENCER
Signs that M&S can convert younger customers: now it needs the footfall
Visitor share falls …
… and main user share down – as conversion weakens except among 16–34s
Maintains last year's gains in loyalty
John Lewis real threat
Visitors
Footfall slips off peak
Main users
Biggest share still of AB shoppers
Conversion rates
Improves conversion of younger visitors to main users
Loyalty
Remains the number one retailer for loyalty in clothing
Competitors
Must ensure clothing customers also shop for footwear
MATALAN
Marketing the website specifically could realise potential main user gains
Return to store expansion grows footfall …
… but lower conversion rates leave main users down …
… especially young ones
One of few retailers showing potential for gains
Opportunity to convert more clothing customers into footwear and homewares
Visitors
Remains in sixth place, though visitors on the rise
Main users
ABC1 main users increase as C2DEs fall
Conversion rates
Conversion rates continue to fall
Loyalty
Loyalty improves, though moves down to seventh position – overtaken by River Island and Asda
Competitors
Asda most used for homewares
NEW LOOK
Gains footfall, though improvement necessary in menswear
Visitor share increases for the second year running
Menswear moves in the right direction – but remains tiny
Loses affluent AB customers as they trade back up
Big increase in range score, but quality down
Visitors
Footfall up, with biggest growth in 55–64s
Main users
Loses more affluent main users
Conversion rates
Fall for second consecutive year
Loyalty
Third highest gain in loyalty increases its ranking to eighth from 10th
Competitors
Despite young customer base, shopping around falls
NEXT
Needs to reverse three-year decline in footfall
Visitor share falls – except among ABs
Conversion rates on the rise so main user share holds strong
Convenience a more important driver of loyalty but price becomes a major driver of disloyalty
Makes progress in getting clothing customers to buy footwear
Visitors
Footfall remains lower …
Main users
… but main user share more robust
Conversion rates
Getting better at converting visitors to main users, though still below 2007
Loyalty
Loyalty improves with range the main reason
Competitors
Makes progress in footwear
PRIMARK
Visitor share dips marginally from peak level
First decline in visitor share in over 10 years, but male visitor share improves
With the exception of 16–24 and 65+ customers, conversion rates on the up
Strength of price as a loyalty factor makes Primark vulnerable if it can't control its retail price rises
Still, stands to gain if store preferences were played out
Visitors
Male footfall rises
Main users
Growth continues at a slower rate
Conversion rates
Recover level of two years ago
Loyalty
Price still major driver of loyalty
Competitors
Shopping around increases
RIVER ISLAND
Holds on to customer base as it ages – but needs new ways to target younger shoppers
Visitor share falls among 16–24s
Conversion rates fall – but 25-34 year olds peak
Loyalty reaches a high
Stands to make major gains if customers were to shop at their preferred store
Visitors
Male and female visitor shares decline
Main users
Share declines across all socioeconomic groups
Conversion rates
Lowest for seven years, despite older customer base
Loyalty
Second highest loyalty gain of profiled retailers
Competitors
Main users shop around less
TESCO
Gaining resonance among younger shoppers
Second highest gains in visitor share
Gains in visitors across all demographics
And building its appeal to younger shoppers
Second consecutive year of conversion rate falls
But loyalty is improving
Visitors
Attracts more ABC1 footfall
Main users
Biggest gains in main user share among 16–24 year olds
Conversion rates
Improving conversion must now be a focus
Loyalty
Price the major driver of loyalty
Competitors
Shopping around increases
TK MAXX
Gains resonance among male shoppers
High conversion rate pushes main user share to 0.1 point shy of best to date
Visitor share holds firm
Price major loyalty driver
HomeSense an opportunity
Visitors
25–34 year olds overtake 16–24 year olds as the age group with most penetration for footfall
Main users
Recovery driven by male shoppers
Conversion rates
Rate at new highest level
Loyalty
Highest gain of profiled retailers
Competitors
Opportunities in homewares
APPENDIX
Methodology
Selection of parliamentary constituencies
Selection of enumeration districts
Selection of respondents
Post survey weighting
Further reading
Ask the analyst
Global Retail FreeView
Verdict Research consulting
Disclaimer