Childrenswear is driven by the desire for good-quality clothing at affordable prices. Good-quality materials which are light and durable and also offer comfort and fashion are favoured by both parents and children.
2018 witnessed the introduction of 5% tax on childrenswear, as well as a period of adjustment to the challenges in a slower economic situation, which led to continued cautious consumer spending, especially on luxury childrenswear. Therefore, consumers continued prioritising the purchase of necessary items such as clothing for babies and toddlers.
Parents and children often view the options available on websites selling childrenswear, comparing prices before shopping. Large retail groups understand the significance of having a presence through an online store to keep up with global e-commerce and capitalise on omnichannel retailing to survive in the market.
Landmark Group led childrenswear in 2018, thanks to the strong position of its Baby Shop brand and its continuous evolution in the region based on consumers’ needs. Its wide distribution network across the country allows it to reach middle-income consumers and maintain a strong value share through superior volume sales.
The brands that lead childrenswear in the country are those that are operated through key franchise groups. This is because they benefit from large networks of outlets which focus on areas with high footfall.
The competitive landscape is expected to continue in 2019 and early 2020, as adjustments take place. Some retailers are likely to exit the market and ease the competition, giving scope for growth for well-established chained retailers selling childrenswear.
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This industry report originates from Passport, our Apparel and Footwear market research database.