Clothing And Footwear in South Africa
Euromonitor International's Clothing And Footwear in South Africa market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
Tables: 55 | Publication date: Oct 2009
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Executive summary
Unfavourable macroeconomic conditions induce slow growth
The clothing and footwear market in South Africa experienced a marked overall slow-down of growth over the review period, in both volume and value terms, on account of unfavourable macroeconomic variables such as high interest rates and inflation, which eroded consumers’ disposable incomes. The implementation of the National Credit Act also impacted on consumers’ access to credit and negated the overall growth in retail sales.
Import quotas fail to achieve desired objectives
The imposition of import quotas on Chinese clothing and textiles had a generally negative impact on the supply chain, which led to restrictions on supplies and a lack of variety, which adversely affected the sector’s performance. While the initiative was designed to support local clothing manufacturers’ production capacities and protect jobs, its implementation fell short and failed to achieve the expected objectives. Interruptions in supply as local manufacturers failed to match demand led to a decline in market performance.
Financially independent female consumers begin to make a difference
Women’s tops and women’s shirts and blouses displayed strong growth over the review period, and this impressive performance may be attributable to the introduction of new designs and styles and to the developing trend towards financial independence among female consumers. The growth in the market for female consumers has been complemented by an increase in the level of advertising and trade promotions by retailers targeted at them.
Established formal retailers continue to dominate
The overall market for clothing and footwear can be described as mature, and it is highly concentrated, as demonstrated by the dominant positions of established retailers such as the Edcon Group, Foschini, Pepkor and Truworths. The review period has also witnessed a gradual movement of market share away from the informal sector to the established retailers, where the Edcon Group and Pepkor dominate. The rise in the number of shopping malls consolidated the migration of market share towards the established brands, who are the preferred tenants at these development complexes.
Prospects look bright as trading conditions are set to improve
Improved market performance in the forecast period will depend on the expected changes in macroeconomic conditions. Interest rates are likely to decline while the rate of inflation is expected to fall. This will lead to a rise in consumers’ disposable incomes, and in their discretionary spending, at a time when the ending of import quotas on Chinese clothing and textiles will lead to a flooding of the market with cheap merchandise, although continued restrictions on access to consumer credit on account of the National Credit Act may slow down the anticipated growth.
Table of contents
CLOTHING AND FOOTWEAR IN SOUTH AFRICA : MARKET INSIGHT
EXECUTIVE SUMMARY
Unfavourable macroeconomic conditions induce slow growth
Import quotas fail to achieve desired objectives
Financially independent female consumers begin to make a difference
Established formal retailers continue to dominate
Prospects look bright as trading conditions are set to improve
KEY TRENDS AND DEVELOPMENTS
Hard times for retailers as access to consumer credit is limited
Exploitation of developing trends pivotal to market development
Unfavourable macroeconomic conditions reduce discretionary spending
Prospects rise as import quotas expire
High levels of competition set to intensify
MARKET DATA
Table 1 Sales of Clothing and Footwear by Sector: Volume 2003-2008
Table 2 Sales of Clothing and Footwear by Sector: Value 2003-2008
Table 3 Sales of Clothing and Footwear by Sector: % Volume Growth 2003-2008
Table 4 Sales of Clothing and Footwear by Sector: % Value Growth 2003-2008
Table 5 Clothing and Footwear Company Shares 2004-2008
Table 6 Clothing and Footwear Brand Shares 2005-2008
Table 7 Sales of Clothing and Footwear by Distribution Format: % Analysis 2003-2008
Table 8 Forecast Sales of Clothing and Footwear by Sector: Volume 2008-2013
Table 9 Forecast Sales of Clothing and Footwear by Sector: Value 2008-2013
Table 10 Forecast Sales of Clothing and Footwear by Sector: % Volume Growth 2008-2013
Table 11 Forecast Sales of Clothing and Footwear by Sector: % Value Growth 2008-2013
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - SOUTH AFRICA
EDCON HOLDINGS PTY LTD - CLOTHING AND FOOTWEAR - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Edcon Holdings (Proprietary) Limited: Key Facts
Summary 3 Edcon Holdings (Proprietary) Limited: Operational Indicators 2006–2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 4 Edcon Holdings (Proprietary) Limited: Competitive Position 2008
FOSCHINI LTD - CLOTHING AND FOOTWEAR - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 5 Foschini Limited: Key Facts
Summary 6 Foschini Limited: Operational Indicators 2006–2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 7 Foschini Limited: Competitive Position 2008
JORDAN & CO - CLOTHING AND FOOTWEAR - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 8 Jordan & Co: Key Facts
Summary 9 Jordan & Co: Operational Indicators 2006–2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 10 Jordan & Co: Competitive Position 2008
MR PRICE GROUP LTD - CLOTHING AND FOOTWEAR - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 11 Mr Price Group Limited: Key Facts
Summary 12 Mr Price Group Limited: Operational Indicators 2006–2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 13 Mr Price Group Limited: Competitive Position 2008
PEPKOR HOLDINGS LTD - CLOTHING AND FOOTWEAR - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 14 Pepkor Holdings Limited: Key Facts
Summary 15 Pepkor Holdings Limited: Operational Indicators 2006–2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 16 Pepkor Holdings Limited: Competitive Position 2008
CLOTHING IN SOUTH AFRICA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
New Product Developments
Summary 17 New Product Launches 2008
SECTOR DATA
Table 12 Sales of Clothing by Subsector: Volume 2003-2008
Table 13 Sales of Clothing by Subsector: Value 2003-2008
Table 14 Sales of Clothing by Subsector: % Volume Growth 2003-2008
Table 15 Sales of Clothing by Subsector: % Value Growth 2003-2008
Table 16 Sales of Men’s Outerwear by Type 2003-2008
Table 17 Sales of Women’s Outerwear by Type 2003-2008
Table 18 Sales of Childrenswear by Type 2003-2008
Table 19 Clothing Company Shares 2004-2008
Table 20 Clothing Brand Shares 2005-2008
Table 21 Sales of Clothing by Distribution Format: % Analysis 2003-2008
Table 22 Forecast Sales of Clothing by Subsector: Volume 2008-2013
Table 23 Forecast Sales of Clothing by Subsector: Value 2008-2013
Table 24 Forecast Sales of Clothing by Subsector: % Volume Growth 2008-2013
Table 25 Forecast Sales of Clothing by Subsector: % Value Growth 2008-2013
FOOTWEAR IN SOUTH AFRICA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
New Product Developments
Summary 18 New Product Launches 2008
SECTOR DATA
Table 26 Sales of Footwear by Subsector: Volume 2003-2008
Table 27 Sales of Footwear by Subsector: Value 2003-2008
Table 28 Sales of Footwear by Subsector: % Volume Growth 2003-2008
Table 29 Sales of Footwear by Subsector: % Value Growth 2003-2008
Table 30 Sales of Footwear by Type 2003-2008
Table 31 Footwear Company Shares 2004-2008
Table 32 Footwear Brand Shares 2005-2008
Table 33 Sales of Footwear by Distribution Format: % Analysis 2003-2008
Table 34 Forecast Sales of Footwear by Subsector: Volume 2008-2013
Table 35 Forecast Sales of Footwear by Subsector: Value 2008-2013
Table 36 Forecast Sales of Footwear by Subsector: % Volume Growth 2008-2013
Table 37 Forecast Sales of Footwear by Subsector: % Value Growth 2008-2013