1. Changing Distribution Preferences: Digital and Fast
Jorge Martin – EUROMONITOR international
November 2016

2. EUROMONITOR INTERNATIONAL
Euromonitor International Ltd.

3. EUROMONITOR INTERNATIONAL
Euromonitor International Ltd.

4. Shopping for textiles Digitalisation Physical reinvention The future of retail 4

5. Where are consumers buying textiles?
Shopping for textiles
Where are consumers buying textiles?

6. Convenience, price and choice
Shopping for textiles
Convenience, price and choice
Top 3 fastest growing apparel channels
Top 3 fastest growing home textiles channels
Internet Retailing (22% CAGR)
Grocery Retailers (4% CAGR)
Sport Goods Stores (4% CAGR)
Internet Retailing (20% CAGR)
Grocery Retailers (6% CAGR)
Homewares and Home Furnishing Stores (3% CAGR)

7. And fast-fashion encompasses all three…
SHOPPING FOR TEXTILES
And fast-fashion encompasses all three…
Uniqlo
12% CAGR Ret. Value Sales
661 openings
Primark
9.5% CAGR Ret. Value Sales
72 openings
Zara
7.5% CAGR Ret. Value Sales
449 openings

8. Shopping for textiles Digitalisation Physical reinvention The future of retail 8

9. E-commerce remains heavily concentrated geographically
Digitalisation
E-commerce remains heavily concentrated geographically
65%

10. Example: Keep Shopping
Digitalisation
Example: Keep Shopping

11. Digitalisation
Example: Operator

12. Shopping for textiles Digitalisation Physical reinvention The future of retail 12

13. “Retailtainment”: The store as a destination
Physical reinvention
“Retailtainment”: The store as a destination
Nike’s exclusive, female-only fitness club
Revolve Social Club
Topshop virtual reality

14. Personalized customer service
Physical reinvention
The store as a showroom
Sensorial experience
Lower overhead costs
Personalized customer service

15. Example: Bonobos Guideshops
The Physical World
Example: Bonobos Guideshops 15

16. Flagships: Narrative and increasingly personalized
FAST-FASHION appeal
Flagships: Narrative and increasingly personalized
Primark Gran Via, Madrid
H&M Herald Square, NYC
Zara Oxford Street, London
Uniqlo Orchard Rd, Singapore

17. Physical + Digital = “Phygital”
physical reinvention
Physical + Digital = “Phygital”
Sensory Experience
Convenience
“Phygital”

18. Example: El Paracaidista
Physical reinvention
Example: El Paracaidista

19. Shopping for textiles Digitalisation physical reinvention The future of retail 19

20. The new consumerism impact on textile distribution
The future of retail
The new consumerism impact on textile distribution

21. Example: Renttherunway.com
The future of retail
Example: Renttherunway.com

22. The future of retail
Example: Letote.com

23. Hire-or-buy - “How We Shop Now: What’s Next” report
The future of retail
Hire-or-buy - “How We Shop Now: What’s Next” report
Myf Ryan, Westfield Director of Marketing said, “Track forward and imagine where this movement might take physical retailing, not just within fashion, but across a wide range of retail areas. Could we get to the point where big-name retailers have hire-or-buy sections in store? We think so.”

24. Jorge Martin | Project Manager - Research
Euromonitor International