Challenges to the UK Lingerie Market as a Manufacturer or a

Challenges to the UK
Lingerie Market as a
Manufacturer or a Brand
Jon Jacobs
November 2015
Background
The UK Lingerie Market is worth £2 Billion of sales.
Market share is dominated by a single customer,
Marks and Spencer (M & S) who have nearly 30%
of the entire market.
On bras alone, M & S dominate with a 35% share of
the market.
Market Shares by Customer
M&S
Primark
George
Debenhams
Next
Tesco
Sainsbury
Others
(incl independents)
Brands
Value £
30%
10%
7%
7%
5%
4%
3%
15%
19%
_____
100%
Why are M & S so dominant?
1) History
5) Scale of Offer
2) Loyalty
6) Price and Product
3) Fit
7) Innovation
4) Trust
What are the barriers to entry as a
Manufacturer of Private Label Lingerie into
the UK Market?
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Duty Free
Owned unit or JV
Speed to Market
Tech Pack complexity
Complexity of offer/sizing/technicality
Ability to innovate
Understanding of Design needs
UK Infrastructure
Price/Margin requirements
What are the barriers to entry
as a Brand into the UK?
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Brand awareness
Marketing
USP of brand
Differences between UK Customer and European
customer
UK Infrastructure
Saturated Market
Specialism of brand
Solutions to these barriers for
Latvia
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Product development (UK market intelligence)
Technical know how
Speed to market
Ability to handle small quantities
UK representation
Focussed offer
Low overheads
Ability to market if you are a brand
Local industry for components, fabric, trims, accessory
Why Latvia?
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Shared interest of many companies?
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Governmental support/investment
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Speed to market
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Lower inventory needed
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Skills of operators
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Smaller quantities, shorter production runs