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The clothing industry in its entirety has
experienced a turbulent period since 1988, with UK businesses struggling to
combat both a slowdown in consumer demand and an increase in imports.
Many companies in the lingerie and hosiery industry had entered a trend of
particularly poor trading by 1995, which some did not survive. According to the
fashion industry, however, and certainly reflected in the 1997 London Fashion
Week, there is now a definite move away from the austerity of recent years
towards a more opulent phase. To many women, lingerie will forever be a
commodity item but, with a proliferation of expensive designer lines being
introduced, it would seem that there is also a substantial demand for luxury
items. Since 1992, the retail market has grown by 20 percent and by the end of
1996 was worth approaching £1.4bn.
A healthier economy, together
with increased optimism and confidence, is encouraging consumer spending
at a rate unseen for many years. Indeed, a Consumer Confidence Index
survey, prepared by Hamilton Direct Bank in autumn 1997, declared consumer
confidence to be sky-high, with retailers looking set to enjoy a bumper
Christmas. Since lingerie and hosiery are popular gifts, this bodes well for
the industry, particularly in conjunction with a move towards more expensive
designer lines.
The strength of the St Michael name within lingerie,
most of which is British-made, makes the fortunes of some manufacturers, whose
core business is provided by Marks & Spencer, heavily reliant upon the
continuing success of the retailing giant. The imminent introduction of the
first proprietary brand of underwear into multiples, including Safeway and
Tesco, may offer the first real competition in the everyday market. At the same
time, Sara Lee is hoping that its Pretty Polly hosiery brand will become the
UK's leading lingerie brand, following trends in France.
The slow but
sure move away from regarding underwear as purely functional, witnessed in
recent years, is a trend which those in the hosiery industry are keen to
emulate. In a recent interview in The Grocer magazine, the Managing
Director of hosiery brand leader, Pretty Polly, summarised the present position
by saying that hosiery is going down the same road lingerie took 5 years ago,
becoming a commodity and boring. He says "We've got to bring back the fun...
and stop taking ourselves so seriously".
Key Note estimates that retail
sales of lingerie will reach nearly £1.8bn by the year 2001.
Text © 1997 Key Note
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Last updated by Duncan Nottage 5th March 1999