Globaldata Analysis Shows That Fashion In Britain Is The Most Affected By The Epidemic.

 

GlobalData UK Retail Research Director Patrick O Brien said that the UK food and grocery market is growing at its fastest rate in recent decades (around 7.1%), but this does not prevent the overall market from falling, because the total consumption of non food categories is expected to decline by 8.9%. This is much worse than the situation during the global financial crisis in 2009, when sales fell by only 2.9%.

 

Clothing and footwear will be the most affected industries, with a year-on-year decline of 20.6%. Britain and other countries have seen the collapse of mass fashion shops. GlobalData expects that the clothing and footwear industry is likely to have a similar decline in sales worldwide.

 

According to GlobalData, the prediction is based on the assumption that the new crown will reach its peak next month. Under such circumstances, most stores will remain closed until the end of May. Non food consumption will begin to recover in June and will not return to normal consumption until the end of October. If the outbreak of the new crown exceeds the expected period, the overall consumption situation may be more serious.

 

 

 

For food retailers, they may not only benefit from the current panic buying of food, but also benefit from the closure of bars, cafes and restaurants. Fashion retailers will be eliminated because of the complete isolation of social life.

 

The chief executive of Next, a British fashion company, also said last week that people would not buy new clothes when they did not go out, so to some extent, a drop of 20% was a good result. But even a smaller decline means that some businesses will be closed down.

 

Patrick O "Brien" said: "in 2020, the consumption revenue of clothing and footwear will be reduced by 11 billion 100 million pounds, equivalent to 1/5 of the total market volume, equivalent to the sum of the clothing sales of the three leading brands Primark, Marks & Spencer and Next. Clothing and footwear will become the most heavily affected retail industry in 2020, because they are not necessary, and people will no longer need new clothes because the public avoids social activities and many people are segregated. This will lead to the impact of the spring / summer clothing market.

 

"Retailers will be forced to cancel, postpone or reorder orders to avoid serious loss of terminal stocks in June and July. (British public fashion brand Primark has cancelled orders). We expect several fashion retailers to go bankrupt, and the industry is already fragile. Although online channels are still open to shoppers, we still expect online sales to drop sharply, because even if people spend a lot of time browsing the clothes at home, they have no chance to wear them.