jacques vert group - the retail practice · high density with lower mark-down so high profitability...

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Jacques Vert Group

Hosiery opportunity

ContentsExecutive summary 3

Hosiery – scope of products 4

The UK market 5

Brand maps 6

Marketing campaigns 8

Hosiery trends 11

Seasonality 13

Pricing 13

Packaging (including innovation, photography conventions and key information) 14

Hosiery in store 19

Planet comparison brands and products 20

Jacques Vert brands that could consider hosiery in the future 21

Manufacturing/imports 22

The future of hosiery 22

Opportunities 23

Recommendations 24

The Retail Practice can help 24

Hunkemöller’s new packaging 25

Glossary 26

2The Retail Practice Jacques Vert Group hosiery opportunity

The Retail Practice Jacques Vert Group hosiery opportunity

Executive summary• The UK hosiery market is growing each

year by around 5%.

• M&S lead cash market with 24% share.

• Average margin is comparatively low (typically 55%) however ranges have very high density with lower mark-down so high profitability is ensured, provided the volumes come through.

• Hosiery products are both a good entry point into the brand and a cross-sell opportunity.

• It’s as much about fashion now as it is function – providing more reasons to purchase.

• Merchandising is space efficient and we recommend a starting capsule collection of twelve options.

• Innovation of both product and packaging is now a key trend.


Hosiery: Scope of products

Tights Socks

Stockings Hold-ups

Knee-highs Ankle Socks



The UK marketMarket size• UK hosiery market is worth approx £320m.

(Pretty Polly source)

• Hosiery is estimated to have had the largest growth in the lingerie market from 2008 to 2012. (Keynote Lingerie Market Report 2013)

• Value has increased by 21.4% leading to a larger proportion of the lingerie market specifically 26.5% in 2012, with sales at £844m.

Market share (value)• Marks and Spencer 24%

• Primark 15-18% (Primark has larger volume sales than M&S).

• Sainsburys, Tescos, Asda have about 10% market share each. (Pretty Polly source)

2008 2009 2010 2011 2012

Value (£m at rsp) 695 729 765 803 844

% change year-on-year

- 4.9 4.9 5 5.1

Share of the total lingerie market (%)

25.9 26 26.2 26.3 26.5

The UK Hosiery Sector by Value at Current Prices (£m at rsp and %), 2008-2012 rsp — retail selling prices


Brand maps

Sex appealLow High

Price High

Low


Visual impactLow High

Price High

Low

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Marketing campaignsDonna Karan Haven’t We Met Before? 2013• To coincide with the launch of the

Donna Karan Hosiery Evolution Collection, a specially commissioned film entitled “Haven’t We Met Before” was released online. Directed by actress Anjelica Huston, it stars Felicity Jones and Jack Davenport.

• The film is based on a man and a woman’s seductive role-play and focuses on Jones’ quiet excitement in preparing for her night.

• It is a new format for Karan, who’s overseen her brand’s shift towards digital campaigns: “I think the Internet is brilliant from an awareness point of view.”

• Donna Karan Evolution is a technological breakthrough in hosiery that acts as “a day spa for your legs.” Special knitting technology and micro fibers work to massage and energize your legs while you wear them.

•• watch their campaign ••

Duane Reade Show Us Some Leg Facebook Campaign, 2013• The largest drugstore chain in New

York created a 7 week social media campaign to raise awareness of Duane Reade brand hosiery products.

• It intended to help New Yorkers find the perfect legwear for a multitude of events in time for the winter season.

• Entrants uploaded photos wearing Duane Reade brand hosiery via a Facebook page application.

• Initiatives included: multiple digital marketing platforms, VIP blogger videos; publishing of photos from social media sites; in-store signage, in-store radio announcements and POS flyers in-store.

• Each week there were 3 winners with 1st prize of an iPod Touch, a 2nd prize of $200 worth of Duane Reade gift cards and a 3rd prize of $100 worth of Duane Reade hosiery products.

• The campain helped boost sales by 28% and increased online mentions of Duane Reade in connection with discussions about hosiery by 89%. The event drove nearly 2 million impressions for the #DRLegwear hash tag.

• Calvin Peters, the brand’s online/public relations manager said that we are “promoting the affordability and quality of Duane Reade legwear... in a fun and engaging manner” and it “allows New Yorkers to engage with Duane Reade on strategic digital, social media and in-store platforms.”


http://fashionista.com/2013/02/donna-karan-and-anjelica-huston-team-up-for-a-new-commercial/

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Pretty PollyPop-up shop, 2011

• The pop-up store in Knightsbridge was created by RPM’s hotel retail department. It housed a complete range of Pretty Polly, House of Holland and Aristoc tights, a photographic studio, chill out area and free beauty treatments.

• Celebrity photographer Boyd Alexander snapped the ‘prospective best legs’ of 2011, as part of a competition to find the next Pretty Polly brand ambassador. Photographs were uploaded to Facebook.

• Dom Robertson, managing director, RPM: “The challenge with this project was developing a campaign that would work both as an experience in the pop up shop and online via the Facebook campaign. Increasingly we are seeing online and offline working together to really amplify marketing projects.”

Stairway To Heaven, 2006

• A simple creative idea of a ladder in tights led to the campaign line ‘Stairway to heaven’.

• For two weeks in November, Polish model Anna Tokarska gazed down from a 64-foot billboard on the M4 Chiswick roundabout. This image also appeared on billboards and the backs of buses, and was used to support retailers’ direct marketing and in-store activity.

• Pretty Polly commercial director Sue Clague says: ‘...a stunning image and effective stunt delivered cut-through and word of mouth.’


L’eggs, You’re in luck. You’re in L’eggs, 2011• L’eggs hosiery launched a national

marketing campaign featuring their first television advertising in more than 14 years and a tagline: You’re in luck. You’re in L’eggs.

• The new campaign, as well as a new website and social media outreach, is part of the brand’s effort to contemporise its image and emphasise that L’eggs hosiery provides women with the perfect everyday finishing touch for any outfit and any occasion.

• The advertisement shows a young woman getting ready for her day, imagining the various social situations she’ll encounter that all featuring L’eggs hosiery.

• “Hosiery is increasingly becoming part of women’s regular beauty routine, giving them complete confidence in every setting or situation,” said Angela Hawkins, director and general manager of hosiery for HanesBrands, which owns L’eggs.

SockShop.co.uk, Sock It viral game, 2009• Online retailer SockShop.co.uk

launched a new viral game, Sock It, created by digital agency TAMBA

• It is an interactive, multi-level game which challenges users to match up socks against a 60 second clock; offering a fun and brand-led experience to online shoppers.

• The game launched after Sock Shop announced a plan of digital activity, which included new microsites and the introduction of additional product ranges.

• The game intended to increase its online presence, boost brand awareness and drive traffic to the brand’s site.

• Cassie Ash, marketing manager at SockShop.co.uk : “We are confident that a viral game will create an online buzz about SockShop.co.uk; introducing new customers to our wide range of products and customer service.”



Hosiery trendsKey market trends• Opaque

• Fishnets

• Polka Dots

(Wolford source)

Fashion trends• A greater emphasis on accessories within the fashion

industry has benefitted the sector. Hosiery products have become an integral part of the latest fashion trends.

• There has been an overall growth in the range of tights and stockings available.

• “Consumer demand for fashion colors in the U.S. and Europe has been overwhelming,” said Lisa Cavallini, president of Mostly Tights LLC (Women’s Wear Daily 2012).

• The hosiery industry has become synonymous with keeping-up with the fashion industry, as well as developing its own hosiery trends.

50 Shades of Grey • Other trends which are thought to have helped with sales

include a rise in sexier items being consumed by a wider market, boosted by the popularity of EL James’ 50 Shades trilogy.

• Ann Summers owner Jacqueline Gold believes the trilogy has boosted sales for the chain as people are spicing up their sex lives and investing in more exciting products (December 2012).

• La Perla creative director Giovanni Bianchi said the book has drawn new interest in seductive looks: “The sexiest styles are always bestsellers, and I think that now we should focus even more on legwear collections featuring the same lace details and embroideries” (Women’s Wear Daily, 2012).


Inexpensive treats• Consumers purchase hosiery at a low cost to update an

existing outfit rather than purchasing a new one.

• Mintel (2012) and Keynote (2013) agree that hosiery avoided the downturn most predominately as a result of consumers buying items as inexpensive treats.

• Simon Mendez, president of the British Apparel Collection commented: “After the economy tanked, people wanted a less expensive way to accessorise and socks are a relatively inexpensive way to make a fashion statement” (Women’s Wear Daily 2013).

• Hosiery is viewed as an essential item and, as such, they need to be updated and replaced regularly.

Royal sheers• Kate Middleton, the Duchess of Cambridge, has worn matte

and shiny nude-tone sheer hosiery and basic opaque tights for all occasions influencing hosiery sales.

• Angela Hawkins, general manager of hosiery brands including Hanes and L’eggs at Hanesbrands Inc said that “Sales in the U.K. of sheer hosiery ...have soared 85 percent over the past year ...We frequently see trends emanating from Europe and this should be no different. There has been a slow but steady increase in younger women wearing sheer hosiery” (2011).

• Tightsplease reported seeing a 90 per cent increase in sales of nude tights year-on-year, while Selfridges reported a 40 per cent rise (2011).

• Sales of flesh-toned tights have soared 500% thanks to the Duchess of Cambridge (ASDA 2011).


Pricing

Seasonality• “There is a limited hosiery market in the summer within

the UK. However, this is completely different in the rest of Europe, many women don’t go out without tights in Spain or Italy even in the summer” (Wolford source).

• “Traditionally I would launch a new season hosiery collection around mid-August (based around ‘back to school’) with more options and choices layered on around mid-October. This season in the UK continues to sell well until the end of February and then dwindles (weather dependent)” (Hunkemöller source).

• Fine deniers (i.e. sheer hosiery) still do well through the summer months. (Hunkemöller source)

Price Tights Knee-highs

Stockings Stay up

Socks

Highest £140.00 £21.00 £24.00 £90.00 £25.00

Average £12 £11.00 £12.00 £26.00 £6.00

M&S Autograph

£8.00 £6.00 (3 pairs)

£5.00 £5.00 £5.00 (3 pairs)

Lowest £1.50 £3.00 £3.00 £4.50 £4.00


Pretty Polly, Coffee Cup, 2009• Beattie McGuinness Bungay designed the packaging

for a range of Pretty Polly tights designed by the House of Holland.

• The range was sold exclusively in Selfridges and came in cardboard takeaway coffee cups, marked with the words: “Caution Hot Tights.“

• Gail Newport, Marketing Manager for Pretty Polly, said: “When Pretty Polly signed with Henry Holland we wanted to create packaging for the product that was both quirky and eye-catching to reflect Henry’s unique design style. The resulting ‘coffee cup’ container plays on the concept of a ‘pick-me up’ product and also looks great on the shop floor.”

Packaging innovation

Packaging is a key element to achieve maximum product visibility at point of sale and capture the attention of buyers.


Charnos, 75th anniversary, 2011• October 2011 was National Stockings Day, an idea was

introduced by Charnos to encourage women to embrace their sensuality as well as raise money in aid of breast cancer care. It also marked the 75th anniversary of Charnos Hosiery.

• To commemorate the occasion, they also launched a collection of styles — and package illustrations — all inspired by beautiful women throughout history and designed specifically to tailor to different leg shapes. The collection was inspired by: Marilyn Monroe, Jackie Kennedy, Katharine Hepburn, Betty Grable, Brigitte Bardot and Ava Gardner.

• The line includes the Brigitte, sheer tights with black polka dots in the style of the French Sixties siren, and the Marilyn, sexy sheer stockings with a diamanté velour bow at the ankle inspired by “Diamonds Are a Girl’s Best Friend.”

• £1.00 from every pair of Ava, Katharine or Marilyn stockings that was sold between Monday 17th and Sunday 23rd October also went towards Breast Cancer Care.


Fogal, 2012• Bel Epok developed a reduced range of entirely new colours

and updating and refining the existing logo and packaging.

• A lovely colour palette

• Red Dot Design Award – Winner 2012

Lindex, 2012• “Fashion forward and drawing on the high quality

function and fit for which the brand is well known, the packaging collection is exciting and contemporary and has standout not only within the store, but within the whole hosiery market.”

On-brand packagingHobbs, NW3 Pets boxed set• Hobbs NW3 collection fuses “Britain’s reverence for

tradition and its tradition for irreverence.”

• The boxed packaging is on brand as it uses one of the collections signature, unique prints.

• When you take of the three pairs of socks can be seen with animals on the front.

• The way its packaged relates to the brands ‘playful wit and whimsy.’

• As Hobbs intended it is clear that this piece has a story to tell.

White Stuff, I Love Tights Or My Sweet Tweet• The I Love Tights or My Sweet Tweet packaging symbolises

their intention to put ‘happiness in every stitch’.

• The words look like they have been stitched on and even the wording is humorous and happy.

Packaging: Photography conventions • No head shots

• Denier number

• Name or type of hosiery with matching image or description

• Number of products in the package

• Colour


Packaging: Key informationSize charts

Wash and care information

Materials (The hosiery market is often divided in terms of quality, with the high end opting for materials made from natural fibres, such as cotton and linen, while lower-cost versions mainly use new fibres, such as Lycra, and/or a combination of natural and manmade materials.)


Hosiery in store• Display led by Range then Denier

then Colour

• Hosiery is usually sited in Womenswear with adjacencies to either Lingerie or Footwear, if applicable.

• Often displayed at till points as a secondary location

• Food halls are also used as a secondary location for hosiery, for relevant retailers


Planet comparison brands and productsAnn Taylor

Talbots



Jacques Vert brands that could consider hosiery in the futureEastex • ‘Smart and sophisticated, Eastex is the destination shop for all your seasonal essentials. You will find a range of looks to suit

all occasions, as well as great updates for your everyday wardrobe. Eastex is an established collection available in sizes 10-20, providing you with quality and comfort without compromising on style.’ (Eastex website)

• Hosiery is suitable according to this description:

ͳ It would be effective to add the accessory of hosiery to suit all occasions.

ͳ The comfort of the hosiery could also be emphasised. New innovations can achieve a much more comfortable fit.

ͳ There are also lots of prints in the collections which could be utilised for interesting styles of hosiery and packaging.

Dash • Very similar to the brand Joules as there are more eccentric

pieces, more colours and a country feel to it.

• Wellysocks would be a good addition to the Dash brand

Similar brands: Viyella

J.Crew

Joules


Manufacturing• Traditionally Italy was where most of the manufacturing

was based. It is now based more so in Eastern Europe - Serbia, Turkey and also China.

• The typical manufacturing lead time from design concept to in-store: For Wolford it takes about 7 months from inspiration, design, development, prototypes, manufacturing, distribution/sales.

Imports• In 2011, approximately £1.34bn worth of corsetry, lingerie

and hosiery was imported into the UK, with hosiery accounting for the largest share. Imports of hosiery continually increased over the 3-year review period. Imports of lingerie from countries outside of the EU had the greatest value over the review period, specifically accounting for 80.7% of all imports in 2011. Regions in Asia — such as Hong Kong, the People’s Republic of China (PRC) and India — were all leading distributors.

Manufacturing/imports

2009 2010 2011

Hosiery 428,932.80 464,037.30 518,571.40

UK Imports of Hosiery, 2009-2011Source: UK tradeinfo, HM Revenue & Customs

The future of UK hosiery• The UK hosiery sector is forecast by Keynote to

increase continuously over the forthcoming 5 years, specifically by 13.6%, from a value of £878m in 2013 to £997m in 2017, representing an increase of 13.6%.

• As the economy recovers inexpensive treats will be replaced by consumers buying into higher-cost markets. It has also been said that there will be continued price deflation as competition increases. (Pretty Polly source)

• Despite this, market value growth will be consistently fuelled by new innovations.

• The value of the hosiery sector is forecast to increase as items become more incorporated into consumers’ daily wardrobes. This is expected to be achieved through items continuing to reflect the changes within the fashion industry.

• Many specialist brands of hosiery products are becoming increasingly recognisable to consumers.

• This is supported by a source at Hunkemöller who does not think the buoyancy of the market will change any time soon due to new trends and the strength of fashion hosiery and yarn innovations.

The Forecast UK Hosiery Sector by Value at Current Prices 2013-2017 (Keynote) rsp — retail selling prices

2013 2014 2015 2016 2017

Value (£m at rsp) 878 911 940 968 997

% change year-on-year 4 3.8 3.2 3 3

Share of the total lingerie market (%)

26.5 26.6 26.6 26.6 26.5


OpportunitiesProduct trends and developments• New product developments and innovations have increased

the value of the market.

• Hosiery shapewear items have grown in popularity with products aimed at helping women achieve their idealistic body shapes.

• Over 80% of the total and today’s market demands centre largely on shaping and structure enhancement for women. (Journal for Asia on Textile and Apparel, December 2011)

• Lycra’s Xceptionelle hosiery is based on a patent-pending construction that accommodates the differing body shapes of larger women, offering greater overall garment comfort by helping to prevent dig-in at the waist or thigh.

• Tights, stocking and hold-ups were originally made of nylon or wool; however, over the last 20 years materials such as Lycra, polyamide, elastane and other premium ‘stretch’ fibres have been used.

• Other improvements have also been applied, including compression knitting, which makes tights feels tighter across ankles and thighs, facilitating better circulation; active ingredients, such as vitamin E and gingko biloba, have been bonded to tights during the dyeing process, acting as a moisturiser for legs (Keynote, 2013).

The population• Female population statistics from the ONS’s Social Trends

publication reveal that the total female population has risen continually up to 2011. The overall increase is beneficial for the industry.

Innovation and product quality are confirmed levers necessary to stem the competition and maintain a consistently high the attention of the consumer.

A capsule collection:• 15/20 denier tights – matt and/or shine finish – black,

barely black (a better seller than black on sheers) and skintone/nude shades.

• 30 and/or 50 denier opaque tights – black only

• Knee highs – fine deniers (colours similar to above). There could also be a lace option as there are a few lace Planet products

• Shaping tights (with control top) – could be fine deniers, heavier opaque deniers, fashion/patterned legs.

• Ladder resistant, cooling finishes, support legs.

• Good quality to gain customers’ brand loyalty.

• Minimum of 12 options

Recommendations

The Retail Practice can helpCustomer and further insight•• Click here for our insight project example •• And currently we’re helping e-tail start-ups and Douwe Egberts with insight projects to inform strategic project delivery.

Develop Brand and Range strategyOur team includes product development and brand development expertise. •• Click here for our brand creation project example ••

Packaging and Photography•• Click here for our packaging example ••This re-packaged hosiery was +65% on the year with same range and same space.

Multi-channel marketing/awareness campaigns•• Click here for our marketing example ••

Contact Shelly Tweed [email protected] +44 (0)7703 599 577•


http://www.theretailpractice.com/ff-clothing-ads-emotional-appeal

http://www.theretailpractice.com/private-collection-brand

http://www.theretailpractice.com/hosiery-packaging

http://www.theretailpractice.com/hire-for-attitude

Hunkemöller new packagingRepacking resulted in Hosiery being +65% on the year.


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AAbrasion Resistance – The degree to which a fabric is able to withstand rubbing and chafing within the shoe. All-In-One tights – includes a true knitted-in panty, constructed of heavier weight nylon or cotton. Eliminates “panty lines” that can show through clingy knits or tight pants. Ankle-socks – Hosiery with a top designed to cover the ankle bone and extending less than 1/3 of the way up the largest part of the calf.

BBikini tights - A style of tights with a sheer leg that extends to the hip for wear with shorter hem-lines, short pants and deep side-slit fashions.Body Shapers – Term used to describe sheer hosiery providing more support and control in the panty and thigh portion of the garment.Body Stocking – A body stocking, leotard or jumpsuit is a garment that covers the torso and may extend to the toe. Boot Topper – Knee-length men’s or women’s socks designed to be worn folded over the boot top.

CComfort Top – A wide ribbed nylon band that holds sheer knee highs up without cramping the calf.Control Top – Tights with spandex in the top for soft girdle or “control” effect.Cuffed – Socks folded over at the top, usually just above the ankle.Cushioned – Any construction with a terry pile surface on one side and a ribbed or plain knit surface on the other.

DDemi-Toe – Stocking or tights with a nude, sheer heel and reinforced toe. A popular fashion with sling back shoes.Denier – The weight-per-unit-length of the yarn. The lower the denier, the lighter and finer the yarn, and the sheerer the garment. Double Covered Spandex – Spandex that had been wrapped in both directions with nylon or polyester continuous filament yarn or other textile fibers.

EElasticised – Fabrics which have elastic threads running through them, or which have been treated to give them elastic qualities.Ethnic – Usually sheer hosiery (knee-high, stockings or pantyhose) dyed in colours designed to compliment the natural skin tones of various ethnic population groups.

FFirm Support – tights that give more support because heavier weights (usually 70) of spandex are used.Fishnet – Knitted knee-highs, stockings or pantyhose with a very wide open knit resembling a fish net. Footsocks – Hosiery with a top which does not extend above the ankle bone. Also known as “footsies”.

GGirdle Top – Tights with a sewn-on girdle, for the firmest possible tummy control.Graduated Support – This type of support hosiery is more comfortable because there are no sudden changes in the tightness of the spandex going up and down the leg.

HHold-Ups – Stockings that just reach the thigh and are held up by elastomeric bands.

IIrregulars – Hosiery that contains minor imperfections in dimensions, size, color or knit but without obvious mends, runs, breaks or substantial damage to yarn or fabric.

JJacquard – An intricate process for knitting patterns, designs, or textures into the sock fabric. Jacquard equipment is necessarily slower than conventional knitting machines.

KKnee-Highs – Short hosiery that comes up to just below the knee. They are styled with elastic tops and stay up without the help of garters. Knee Warmers – Thigh high knitted garment that usually has no knitted foot and extends from above the ankle or calf over the knee to approximately mid thigh.

LLeg Warmer – Originally popular with dancers, leg warmers have become a fashion item. Knitted from wool or acrylics, leg warmers are lds hosiery, socks and half-hose for its stretch and recovery properties, providing better fit and shape retention, comfort, and/or support.

MMaternity – Tights constructed specifically for expectant mothers.Matte – Hosiery with a dull finish; minus a shine or lustre.Mock Seams – A false seam sewn into the back of a seamless stocking of circular knit hosiery.

OOne Size – The term applied to tights or stockings that fit most sizes from very small to large.Opacity – Degree to which light passes through, not transparent.Opaque – Stockings or tights made of yarn which give them heavier appearance, usually 40 denier or greater in weight.

SSeamed – Hosiery manufactured in the old full-fashioned manner with a seam running up the back of the leg.Seamless – Stockings knit in one operation on circular machines (one continuous operation) so that no seaming is required up the back.

Glossary


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Sheer Support – A term often used when describing support tights, which are considerably more sheer than the original support garments, due to improvements in yarns and manufacturing techniques.Sheers – Dress sheers are hosiery fashioned generally of 15 or 20 denier yarn – to be worn for daytime glamour. Evening sheers are hosiery fashioned of wisp-weight 10, 12, or 15 denier yarn – to be worn for special occasions.Slipper Sock – Casual in the house or bedtime sock that usually has a bonded sole of rubber, leather or extra cushioning on the bottom. Spandex – A generic term denoting a man-made elastomeric fiber used in place of rubber. Spandex is used in support and light support products to provide the energy to shape and compress the leg. Split Sole – The foot of a sock made from two different materials.Sports Specific Socks – Contain extra padding and differ according to where the protective padding is placed – ball, toes, instep, heel, arch, shin – how thick the padding is and what materials they are made of.Stocking – A knitted, close-fitting covering for the foot and leg.Stretch Hosiery – Stockings knit of processed nylon filament yarn treated to give permanent stretchability. Stretch stockings “change” size to fit each foot, leg length, and volume perfectly.

TTights – Called pantyhose in the US a one-piece clinging garment covering the body from the waist to the feet.Toelets – Knitted hosiery of various weights that is designed to cover the toe portion of the foot only.

UU Seams – tights that are sewn one leg blank to another with a continuous U seam to join the legs. They have no crotch sewn in.

Ultra Sheer – A fine denier fiber which gives the ultimate in sheerness. It is usually 20 denier or less and a low filament count.

Unboarded – Hosiery not subjected to preboarding or boarding operations in its manufacture. In appearance it is wrinkled and shapeless until stretched over the leg and body.

VVivana – A registered BASF trademark for a yarn used in shiny tights and the panty of some styles to give it sheen.

YYarn – A generic term for an assemblage of fibers or filaments, either natural or manufactured, twisted or laid together to form a continuous strand suitable for use in producing fibers.



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jacques vert group - the retail practice · high density with lower mark-down so high profitability...

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