Textile News, Apparel News, RMG News, Fashion Trends
Fashion & Retail

Ten noteworthy news from world’s prime retailers

Retailing is volume driven and so this industry is as competitive as it can get. In this competitive period lighting, setting, display is important for any apparel brand, even online websites and mobile applications need to be visually appealing to stand apart and use digital tactics to make their merchandise captivating and engaging customers with newer interactions. Hence global retailers are trying every moment to up their game to attract customers. In this division we argue the most current actions of global top retailers those who are purchasing textile products from Bangladesh. So stay with us and any related information mail to farhan@textiletoday.com.bd

ILO and H&M sign unique agreement on sustainable global textile supply chains

ILO, the International Labour Organisation and H&M, Hennes & Mauritz, the international Swedish clothier has forged a unique partnership to promote sustainable global supply chains in the garment industry. The agreement will include joint work on industrial relations and wages, training and skills development in factories H&M is sourcing from, as well as the strengthening of employers’ and workers’ organizations in the global garment industry.

The cooperation between ILO and H&M is not brand new, because it dates back to 2001, when H&M joined the ILO Better Factories Program in Cambodia. In 2013, the cooperation was expanded to specifically address industrial relations and wages in the country, including actions at the governance level. The more comprehensive and strategic partnership under the new agreement will promote a wide range of activities at the global, national and enterprise level in a large number of countries, and until the end of 2018.

Inditex 2014 sales and earnings beat estimates despite dip in profits

Inditex Group, parent company of fast-fashion pioneer Zara, announced financial results for the first half of fiscal 2014 that came in ahead of analyst expectations despite a dip in profits. Net income fell 2.4% to 928 million euro ($1.2 million) from 951 million euro in the first half of fiscal year 13, primarily because of currency fluctuations, but still managed to beat analyst expectations. Currency is expected to have a diminished effect on results in the remainder of the year.

Total revenue for the period from February 1 to July 31 increased 5.6% on a constant currency basis to 8.085 billion euro (approximately $10.5 billion) from 7.66 euro in the year-earlier period as the company opened new physical and online stores in key markets. In local currency, sales rose 11 percent. Same-store sales growth was 4.5%. In the six month period, approximately 20 percent of sales came from the company’s home country of Spain. The rest of Europe comprised 46 percent of sales, while Asia and the Americas accounted for 22% and 13%, respectively.

Marks & Spencer launches m&s baby brand

Marks & Spencer is feeling broody. Following the launch of its first-ever baby food range in April, the British department store has launched a standalone brand with its own shop-in-shop format called M&S Baby. The retailer is hoping that by investing in the baby brand, it can establish itself as a trusted resource for parents, and nab a larger share of the estimated $2.1 billion U.K. baby product market.

M&S Baby offers an edited selection of eight baby brands geared for children 24 months and under, and a newly launched line of Fall ’14 maternity apparel. Other product categories under the label include bath, feeding, sleep, newborn and play. Designated staff have undergone product training to help shoppers and new parents find the best item for their needs. Marks & Spencer will test the room-inspired layouts in nine stores. It has also launched a dedicated M&S Baby section to its website, and the line will be made available through catalogs.

J.C. Penney adds private label sportswear for millennial men

In an attempt to capture the Millennial consumer, J.C. Penney said it is relaunching sportswear from its private label men’s brand JF J. Ferrar this fall. The modern lifestyle brand has carved a niche in the department store’s men’s assortment since 1998, offering suits retailing between $100 and $120. The average age for the JF guy is 34 years old, and year-to-date, it’s running up double-digits with great suits at amazing value for young guys who are dressing up, company reports. The retailer hopes to recreate some of that sales magic with T-shirts, wovens, jeans and jackets from the label, which will be made available in 500 stores this month.

Gap initiates $500 million share repurchase

US based apparel marketer – Gap Inc said its Board of Directors have approved a new $500 million share repurchase authorization for its common stock. The new $500 million stock repurchase program follows its previous $1 billion share repurchase program, which it initiated in November 2013. Prior to the November announcement, Gap had increased its annual dividend per share by one-third, from $0.60 to $0.80, representing the second increase in fiscal year 2013. In the second fiscal quarter of 2014, Gap posted earnings per share increase of 17 percent, from a year earlier quarter. Second fiscal quarter of 2014 diluted earnings per share stood at $0.75 compared with diluted earnings per share of $0.64 in the second fiscal quarter of 2013. Gap said the second quarter of 2014 diluted earnings per share includes a benefit of about $0.05 from a gain on the sale of a building owned, but no longer occupied by the company.

Excluding this benefit, the apparel retailers’ adjusted diluted earnings per share stood at $0.70. Net sales for the second quarter of 2014 rose 3 percent to $3.98 billion, compared with $3.87 billion in the prior year quarter. Gap Inc. reported fiscal year 2013 net sales of $16.1 billion and its products are sold in more than 90 countries through about 3,200 company-operated stores and 400 franchise stores.

H&M, Inditex agree to pay up to support wage increase in Cambodia

Eight leading global fashion brands, including Inditex and H&M, have agreed to pay higher prices for product made in Cambodia in an effort to aid in garment workers getting a fair living wage. In a letter to the Cambodian government, Inditex, H&M, C&A, Primark, Next Retail, New Look, N Brown Group and German Tchibo, noted that ‘As responsible Business’ their purchasing practices will enable the payment of a fair living wage and increased wages will be reflected in FOB prices, taking also into account productivity and efficiency gains and the development of the skills of workers, carried out in cooperation with unions at workplace level. The move came just one day after garment workers and labor union representatives staged a Global Day of Action to campaign for better wages. Local unions have been fighting to see workers’ wages raised to $177 per month from the current $100. The Garment Manufacturers Association in Cambodia (GMAC) recently proposed raising the monthly rate to $115, but workers weren’t happy and have continued to take a stance against the nominal increase.

American Eagle Outfitters attracts customers into fitting rooms with help of beacons

In the old days, a door-to-door salesman knew his chances of making a sale multiplied if he could talk his way into a home. For today’s retailers, a critical step is getting customers into fitting rooms. Once a customer is trying on a product, she or he is much more likely to make a purchase. American Eagle Outfitters – an early adopter of beacon technology- used push notifications delivered through the Shopkick app to successfully draw more customers into fitting rooms this summer.

American Eagle Outfitters placed a beacon at the front entrance and in the fitting room of each trial store. When a customer with the Shopkick app entered the store, the beacon sensed their smartphone’s presence via Bluetooth, and triggered Shopkick to display a message offering 25 extra kicks. The beacon in the fitting room determined if the same customer had approached it, and awarded the 25 extra kicks. More than 10,000 customers took part in the trial.

European clothier C&A expands online shopping to Switzerland

The new online shop of C&A was launched on October, and it is accompanied by a broad launching campaign. Switzerland is the ninth market with an extensive online shop. C&A is following a multi-channel strategy. During its launch C&A is offering specials to the online customers for women, men and kids. The offerings are identical with the brick-and-mortar stores, but in addition with articles from the European collections, thus a total offering of the C&A collections. The new website offers easy navigation and high functionality plus other advantages to customers. The buy can be done quickly, and an optimised zoom function allows the customers to view the clothing and accessories in detail. Brand new is also the function of “Lookbooks”, where C&A stylists recommend outfits and combinations to ease the decision processes.

UniqloFast Retailing’snet profit fell 29 % in fiscal year

The owner of Uniqlo clothing stores, Fast Retailing’s net profit fell 29 % in the fiscal year ending in August, and because of sluggish sales in Japan and a onetime loss tied to its premium denim brand. Fast Retailing reported that its net profit dropped to JPY 75 billion (USD 690 million) in its most recent fiscal year ending August 31, 2014, in the previous year the figure was JPY 105 billion. Sales however rose 21 % to JPY 1.38 trillion (JPY 1.14 billion). Sales of the flagship Uniqlo brand increased 65 % outside of Japan during the fiscal year, backed by growth in the Greater China region, South Korea and Europe. In Japan sales were up 4.7 %. A negative effect on Fast Retailing’s results was a JPY 19.3. Billion impairment loss, related to slumping sales of its J Brand premium denim label. The company acquired Los Angeles based J Brand Holdings in December 2012.

Kmart is latest retailer hit by data breach

Discount chain Kmart said that its store payment data system had been breached, and that consumers’ debit and credit card numbers were compromised. The retailer detected the system breach and during an investigation, security experts reported that starting in early September, Kmart’s in-store payment data systems were intentionally infected with malware similar to a computer virus. According to a company statement, Based on the forensic investigation to date, no personal information, no debit card PIN numbers, no email addresses and no social security numbers were obtained by those criminally responsible. There is also no evidence that kmart.com customers were impacted. This data breach has been contained and the malware has been removed. The company did not reveal how many consumers may have been affected.

If anyone has any feedback or input regarding the published news, please contact: info@textiletoday.com.bd

Latest Publications

View All