How Britain Shops: Homewares 2011

Date: March 1, 2011
Pages: 226
Price:
US$ 3,450.00
Publisher: Verdict
Report type: Strategic Report
Delivery: E-mail Delivery (PDF)
ID: H82A6C1B1D6EN
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Global License: US$ 11,240.00


Introduction

Verdict Research: How Britain Shops Homewares provides a detailed overview of the shopping habits of consumers. It examines, who shops for homewares, 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 homewares. Profiles of: Asda, Tesco, Dunelm Mill, Argos, IKEA and John Lewis
  • 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.
Highlights

Asda has held on to its top position for another year by having the highest, and a new high, main user share of 12.0%. The retailer has continued to roll out new, larger stores alongside its non-food format Living stores, increasing the accessibility and availability of its homewares collection

Despite it being increasingly hard for younger consumers to get on the property ladder, the percentage of homewares shoppers aged 16-24 has increased to 9.4% from 7.9% previously. While there is less of a need for this age bracket to be buying into this sector, as a stronger focus on fashion and style has invaded the homewares market, younger shop

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
  Homewares shoppers dwindle for second year – with no sign of respite
  Slight boost in younger shoppers
  Argos drops back as Dunelm Mill boosts its shoppers
  Shopping around stays level
  Loyalty stays at high level
  Price becomes more important, positioning it level with range as the main drivers of loyalty
Retailer highlights
  Argos shoppers decline, and loyalty improves
  Asda in top place by footfall and main user share for third year
  Debenhams conversion of males improves but work undone by females
  Dunelm Mill footfall rises steadily into third place
  IKEA sees a rise in loyalty but main users shop around the most
  John Lewis retains seventh main user share after previous drop from fifth
  M&S quality perception weakens
  Sainsbury's homewares customers shop around more
  Tesco ranking for loyalty improves
  Wilkinson loyalty drops to lowest of profiled 10

SECTOR SUMMARY

Share of shoppers
  Homewares shoppers decline for second year
Penetration of homewares shoppers
  Fewer homewares shoppers in each segment by class
Retailer usage
  Asda footfall rises to new highs three years running
  Main user share by region
Conversion rates
  After three year decline conversion rates recover slightly
Shopping around
  Shopping around level once more
Loyalty
  Maintained at high level
Drivers of loyalty/ disloyalty
  Range and price equal as main drivers

ARGOS

Remaining core customers more loyal as footfall and usage drop off for a second year
  Drops to fourth behind Dunelm Mill
  Main user share drops but Argos holds on to fourth place
  Loyalty rises 2.7 percentage points placing it third
  Price replaces range as main driver of loyalty and disloyalty
Visitors
  Footfall declines for second consecutive year
Main users
  Lowest share in five years
Conversion rates
  Slip once more
Loyalty
  Hits record
Competitors
  Shopping around worsens once more

ASDA

Stays on top with highest visitor and main user share
  Asda's new high main user share keeps it on top for third year running
  Highest main user share of 16–24s
  Loyalty slips but remains high
  Rival grocer Tesco lurks in second place
Visitors
  Rise for third consecutive year
Main users
  Retains top spot with new high main user share
Conversion rates
  Stay strong – second only to John Lewis
Loyalty
  Rises among ABs – otherwise slips down ranking as low price competitors up game
Competitors
  Marginal increase in the number of stores visited for homewares

DEBENHAMS

Loyalty improves but it’s a struggle to attract new shoppers
  Footfall drops, though ranking recovers to seventh as M&S drops faster
  Weaker conversion and main user share but ranking steadies in eighth
  Preferred stores become more upmarket
  Loyalty rises for third year in succession
  Range and quality remain important for main users
Visitors
  Footfall drops though ranking recovers to seventh
Main users
  Share steadies in eighth despite 1.1 percentage point fall in three years
Conversion rates
  Debenhams grapples with three year decline
Loyalty
  Score improves 13.4 percentage points in three years
Competitors
  Main users, male especially, choose to shop around less

DUNELM MILL

Main users become less loyal as they increase
  Footfall more than doubles in five years
  Dunelm achieves a sharp rise in main users, with male share rising 2.6 percentage points
  Loyalty falls, ranking it ninth of profiled homewares retailers
  Customers shop fewer other stores at 1.5
Visitors
  Footfall rises steadily into third place
Main users
  Sharp rise in main users after three years of little change
Conversion rates
  Slide in conversion levels out
Loyalty
  Oscillates
Competitors
  Main users shop around less

IKEA

Remaining core more loyal as some customers desert IKEA
  Footfall and main user shares down as IKEA struggles to retain shoppers
  Loyalty improves, moving IKEA up three ranks to fourth position
  IKEA's main users shop around the most
Visitors
  Dunelm Mill pushes IKEA down a place to fifth for footfall
Main users
  Dunelm overtakes and IKEA lets Wilkinson in, too, with slip to sixth from fourth
Conversion rates
  Loses 2.1 points of previous three year improvement
Loyalty
  IKEA moves up the rankings as its loyalty score continues to improve
Competitors
  Shopping around declines but remains the worst score of profiled homewares retailers

JOHN LEWIS

Remains a smaller player in homewares except among ABs but drops here, too
  Footfall in Sainsbury's sights
  Conversion rate down among oldies for JL but still highest in report
  Retains top spot for loyalty
Visitors
  Footfall down for fourth year
Main users
  Retains seventh place after previous drop from fifth
Conversion rates
  Conversion rate down but remains highest of retailers profiled
Loyalty
  Stays highest in survey as it rises once more
Competitors
  Main users shop elsewhere less

MARKS & SPENCER

Quality perception in retreat
  Footfall down
  Best conversion rate for four years limits drop in main user share
  Weaker quality perception as loyalty declines after four year rise
  Remaining main users shop elsewhere a lot less
Visitors
  Drops back to eighth place for footfall
Main users
  Share drops but M&S retains ninth place
Conversion rates
  Stronger rate limits drop in main user share
Loyalty
  Slips after four year rise
Competitors
  M&S main users shop less elsewhere for second year

SAINSBURY'S

Larger product offer drives visitor and main user share
  Footfall continues long term upward trend
  Main user share increases for the second year
  Loyalty up for a second year
Visitors
  Unrelenting rise in footfall
Main users
  Big increase in latest year
Conversion rates
  Recover further
Loyalty
  Recovery complete
Competitors
  Shopping around up for a third year

TESCO

Loyalty down but improves compared to sector average
  Visitor share drops slightly but conversion continues to recover
  Main user share slightly up in spite of big drop among DEs
  Tesco moves up loyalty ranking as others fall
  Opportunities in electricals, clothing and footwear
Visitors
  Slightly down …
Main users
  … but main user share slightly up in spite of fall among DEs …
Conversion rates
  … thanks to continued recovery in conversion
Loyalty
  Down but rank improves
Competitors
  Shopping around worse again after an improvement in 2010

WILKINSON

Suffers as competition increases
  Can't repeat one-off gain from demise of Woolworths
  ABs down despite store improvements
  Stronger conversion of males limits drop in main user share
  Loyalty drops back having remained flat in 2010
Visitors
  Visitor share remains strong, though slips off high
Main users
  Share dips
Conversion rates
  … stronger conversion among males
Loyalty
  Sees steep decline
Competitors
  Shopping around worsens
Methodology
  Selection of parliamentary constituencies
  Selection of enumeration districts
  Selection of respondents
  Post survey weighting
Further reading
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