Electrical Retailing - UK - May 2008

Table of Contents

• Issues in the Market
• Main themes
• Definitions
• Abbreviations
• Market in Brief
• Deflationary markets and shortening product lifecycles
• Portable technology driving growth
• Increasing broadband speeds and penetration
• Retail sector forecast
• Impact of the Internet on the high street
• Online growth fuelled by comparison shopping
• Strengths and Weaknesses
• Strengths
• Weaknesses
• Internal Market Environment
• Key points
• Price deflation
  • Figure 1: UK: Consumer price inflation, 1998-2007
• Discounting-driven replacements and upgrades
  • Figure 2: Electricals Specialists Retail Sales Yr-on-Yr % change
• The eBay effect
• Growth in online
• Green issues
• Development of services
• Broader Market Environment
• Key points
• Crisis? What crisis?
  • Figure 3: UK: ONS and BRC: Total retail sales year-on-year growth, May 2007-March 2008
• Broadband growth driving interest in new technology
  • Figure 4: UK: Broadband penetration, 2003-08
• The advantages of broadband
• Supermarkets' ongoing non-food expansion
  • Figure 5: UK: Non-foods in grocery retailing, 2002-12
• Packaging of hardware and services
• Market in Context
• Key points
• Electricals market in context
  • Figure 6: UK: Consumer spending on goods, by major category, 2003-07
• Market Size
• Key points
• ONS/COICOP Data
  • Figure 7: UK: Consumer spending on electrical products, 2003-07
• Mintel data
  • Figure 8: UK: Detailed spending data for specific electricals markets, 2003-07
• Growth categories
• Sector Size and Forecast
• Key points
• The future
  • Figure 9: UK: Electrical specialists' sales, 2003-12
  • Figure 10: UK: Electrical specialists' and photographic and optical sales, 2003-12
• The past
• Retail Competitor Analysis
• Key points
• Leading retailers
• The big two
• The others
  • Figure 11: UK: Leading electical retailers, 2007
• Market share
  • Figure 12: UK: Leading retailers' share of specialists' sales, 2007
• Retailer Advertising and Promotion
• Spending by retailer
• The big two
• The others
  • Figure 13: UK: Electrical specialists' retailing advertising expenditure, by retailer, 2006 and 2007
• Spending by media
  • Figure 14: UK: Electrical specialists' retailing advertising expenditure, by media, 2006 and 2007
• Where They Shop for Electricals
• Key points
• Where they shop for audio-visual equipment
  • Figure 15: UK: Where people buy audio-visual equipment, February 2008
• The specialists
  • Figure 16: UK: Where they shop for audio-visual goods, 2003-08
• The non-specialists
  • Figure 17: UK: Audio-visual goods retailing, non-specialists, 2003-08
• The Internet
  • Figure 18: UK: Audio-visual retailing, the Internet, 2003-08
• Where people buy household appliances
  • Figure 19: UK: Where people buy household appliances equipment, February 2008
  • Figure 20: UK: Where they shop for household appliances, 2003-08
• How People Shop for Electricals
• Key points
  • Figure 21: UK: How people shop for electrical goods, February 2008
• The price is still right for the savvy consumer...
• ...but new technology means that price-transparency is increasing
• Who are the main comparison shoppers?
• Price versus brand?
• How they shop -- trend data
  • Figure 22: UK: How they shop for electricals, 2005 and 2008
• Types of shoppers
• Brown goods
  • Figure 23: UK: Retailer repertoire analysis, brown goods, February 2008
• White goods
• DSG International
  • Figure 28: DSG International: Sales as share of electrical specialists' sales in Europe, 2003-07
• Strategic evaluation
• In-store and online
• Exiting underperforming markets?
• Background
• Pixmania acquisition expands online presence
• BCG strategic review
• Financial performance
• Latest trading update
  • Figure 29: DSGi: Interim trading statement, 2007/08
• Full-year results
  • Figure 30: DSG International: Group financial performance, 2002/03-2006/07
• Store portfolio
• Store data
  • Figure 31: DSG International: Outlet data, 2002/03-2006/07
• Store performance
  • Figure 32: DSG International: Store performance data, 2002/03-2006/07
• Retail offering
• Market positioning
• Brands
• Product offer
• Pricing
• Operational issues
• Advertising and marketing
• E-commerce and home shopping
  • Figure 33: DSGi online sales, 2005/06 and 2006/07
• EDA
• Strategic evaluation
• Background
  • Figure 34: EDA: Members and websites, by country of operation, 2008
• Financial performance
  • Figure 35: EDA: Estimated retail sales, 2007
• Store portfolio
  • Figure 36: EDA: Outlet numbers member numbers and average store size, by country, 2002-07,
• Fascias and identity
• Retail offering
• Market positioning
• Brands
• Product offer
• E-commerce
• Euronics International
• Strategic evaluation
• Background
  • Figure 37: Euronics: Members and websites, by country of operation, 2008
• Financial data
  • Figure 38: Euronics International: Sales performance, by country, 2005 and 2006
• Store portfolio
  • Figure 39: Euronics International: Outlet and member numbers, 2002-06
  • Figure 40: Euronics International: Other outlet data, 2005 and 2006
• Retail offering
• Market positioning and price
• Brands
• Product offer
  • Figure 41: Euronics Spain: Sales mix, 2007
• E-commerce
• Maplin
  • Figure 42: Maplin: Sales as share of electrical specialists' sales in UK, 2002-06
• Background
• Financial performance
  • Figure 43: Maplin: Group financial performance, 2002-06
• Store portfolio
  • Figure 44: Maplin: Outlet data, 2002-06
• Retail offering
• Market positioning
• Brands
• Product offer
• Advertising and marketing
• e-commerce and home shopping
• The Jessops Group
• Background
• Financial performance
  • Figure 45: The Jessops Group: Group financial performance, 2003-07
• Store portfolio
  • Figure 46: The Jessops Group Ltd: Outlet data, 2003-07
• Retail offering
• Market positioning
• Brands
• Product offer
• Advertising and marketing
• e-commerce and home shopping
• Kesa Electricals
  • Figure 47: Kesa Electricals: Sales as share of electrical retailers in Europe, 2003-07
  • Figure 48: Kesa Electricals: Sales as share of UK electrical retailers, 2003-07
  • Figure 49: Kesa Electricals: Sales as share of French electrical retailers, 2003-07
• Strategic evaluation
• Background
• Financial performance
  • Figure 50: Kesa Electricals: Group financial performance, 2003-07
• Store portfolio
  • Figure 51: Kesa Electricals: Outlet data, 2003-07
• Retail offering
• Market positioning
• Brands
• Product offer
• Advertising and marketing
• E-commerce and home shopping
  • Figure 52: Kesa Electricals: Company websites, 2007
• Appendix -- Market Size
  • Figure 53: UK: Detailed spending data for specific electricals markets, 2003-07
• Appendix -- Where They Shop for Electricals?
• Audio-visual goods
  • Figure 54: UK: Where they shop for audio-visual goods, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
  • Figure 55: UK: Where they shop for audio-visual goods, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
  • Figure 56: UK: Where they shop for audio-visual goods, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
• Household appliances
  • Figure 57: UK: Where they shop for household appliances, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
  • Figure 58: Where they shop for household appliances, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
• Retailer nets
  • Figure 59: UK: Where they shop for electricals, retailer nets, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage and supermarket usage, February 2008
• Appendix -- How People Shop for Electricals?
• How they shop for electricals?
  • Figure 60: UK: How they shop for electricals, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
  • Figure 61: UK: How they shop for electricals, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel' s Special Groups, working status, household income, tenure, region, ACORN category, media usage, supermarket usage, household size, car ownership, detailed lifestage groups, age/socio-economic group and terminal education level, February 2008
• Repertoire analysis
  • Figure 62: UK: Repertoire analysis, electrical retailers (brown goods), February 2008
  • Figure 63: UK: Repertoire analysis, electrical retailers (white goods), February 2008