Abstract
The online fashion retail market has boomed in the last five years and shows no signs of stopping. In 2007, Mintel estimates that the market was worth £2.38 billion and for 2008, this is expected to increase by 26.3% to £3 billion. The market is being driven by a widening in consumers' online purchasing repertoires from established categories like entertainment goods, making it one of the fastest-growing categories.
New groups of consumers are being won over by the widening choice of fashion on offer online, as high street retailers progressively abandon their concerns about selling on the internet and decide that they cannot be without a presence there.
Only a very few bricks-and-mortar retailers are holding out from selling online; these are mostly at the very cheapest end of the market, such as Primark and Tesco, or at the top end, like Selfridges. They will be forced to change their minds, as customers come to expect as the norm a transactional website in addition to physical stores, and are disappointed if it is not available.
Main reports themes:
- Online expenditure is expected to make up 6.1% of clothing and footwear spending in 2008. This will start to have an impact on high street fashion retailers' overall business models.
- Factors like widening broadband take-up and the increasing availability of fashion online are helping to drive the market, but could this be derailed by security worries?
- M&S has taken the lead among the multi-channel players. How are the others performing?
- The 20-24s think there is more choice online, while men think it is cheaper. How can retailers make the most of their customers' particular views and tastes?
- How are different groups like multi-channel retailers, pure-players and catalogue retailers performing?
- How can less keen customer groups like men and older consumers be encouraged to buy?
View Cart
