Apparel and Footwear in Western Europe

Delivery

This report comes in PPT.

Key Findings

Polarisation visible in the UK market

Many UK consumers have been shifting their focus towards low-cost brands, second-hand offerings and online marketplaces to find bargains when purchasing apparel and footwear. Nevertheless, the polarisation trend also remains relevant in the UK, with more affluent consumers attracted to premium brands, for the most part maintaining their spending habits as they appreciate craftmanship and durability.

Established players look to combat the threat from Shein

With private label accounting for 10% of sales and ultra-fast fashion Chinese online retailers like Shein and Temu becoming major threats to incumbent brands, established names such as H&M or Zara as well as local players are working to diversify their offerings, which, in many cases, leads to premiumisation strategies and to the implementation of sustainable practices.

Variety stores gaining share in France

The shift towards low-cost products in France has benefited variety stores like NOZ, Action or Zeeman, particularly in suburban areas, to the extent that they are now battling with discounters Lidl and Aldi to acquire the outlets of struggling players in other retail channels. Share gains by variety stores have notably been at the expense of supermarkets and hypermarkets and their private label clothing lines.

AI increasingly integrated into Italian retail

Innovation, technological developments and AI are becoming increasingly pervasive in Italian apparel and footwear, allowing for a potentially better and more interactive customer experience, especially though the online channel, but also helping to provide a more innovative and unique in-store experience. AI enables retailers to better predict the main trends, while also helping them to provide an increasingly personalised customer experience.