Independent clothing and accessories retail sector sold 7. 7 percent of the value in February compared to the same month last year, according to latest data from Australian Bureau of Statistics. And for the first two months of this year sold 12. 3 percent more independent than the same period in 2010, and 21. 5 percent lower than the peak in 2008.
This is a statistical eyepopping even when you consider the sampling error. The duration and depth of the decline was showing more than just a temporary pullback in consumer spending or a shift in market share. A re-organization soft goods retail landscape in Australia seems to take place. Some bleeding from the independent sales have gone to a chain, some have gone into other retail categories, some have gone to the e-outlets in this country and some offshore. In a country famous for avoiding the worst the GFC, several independent clothing retailers is around now than several years ago.
While many retailers out of business in the category they effectively become a sponsor of the market share for the victims. But as the weeks go by more and more evidence emerged about how many poor victims on the top line – working hard Myer, Ed Harry and Colorado is a famous example. At Premier Investments where same-store sales fell 5. 1 percent for the year and a half, Smiggle outstanding player in the portfolio of brands for retailers bring more young people who dress like Jay Jays and Just Jeans. Until recently, the strong Australian dollar and slower growth in the U.
S. and Europe has allowed retailers to protect Australian clothing line under them, even as sales remain weak. It would be difficult to do that advanced during the textile and energy costs remain high and competition for production capacity heats up in China, which is owned by US recovery and increasing fashion consciousness among the Chinese themselves. As usual a good glass can be seen as half full or half empty. Half-full view is that the fashion sector shakeout that needs to be done to reduce duplication.
It also would create a suitable industry to intensify the challenges facing foreign competition, both on land and in cyberspace. And it would focus on landlords' in the shopping center to better reflect their changing consumer preferences. Views half empty is that it would gut strip suburban shopping centers further weaken the second-and third-tier, and eliminate a lot of innovation in ways that provided by the independent sector is dynamic. Overall, the experience of independent slim 2. 0 / gain on sale per cent on last year-on-month in February 2011 compared with 4.
5 percent for the chain. Food sector is one of the few bright spots, with small retailers get 3. 9 percent due to new inflationector start having an impact. Independent household goods sector has been despicable – down 1. 8 percent year over year in February and 3.
8 percent per year until today. As an independent sector, soft goods, household goods sector has been quite a lot of free fall in recent years, shedding almost 20 percent of sales. Unlike fashion, however, the decline in house are many things that have happened because of the effects of deflation on the wholesale and softness in the housing market cycles than the general consumer to switch from this sector. Next take the trend to smaller retailers will come with March retail trade figures released on May 5. Hopefully they give us reason to hope.
Michael Baker is a retail and property analyst and consultant. He can be reached at Mbakerconsult@gmail. com or www. mbaker-retail. com.
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