GfK. Growth from Knowledge

Fight back or lay back?
How to survive an economic recession?
A decrease in fashion turnover is to be expected in 2009. The struggle for the customers’ favour becomes harder. What to do? Will you follow the most logical scenario, which means cutting back costs in order to limit the damage? Or will you fight back and invest in new marketing activities? Read more >>

Sustainable production and consumption
More than three million Belgians are open towards sustainability
Nowadays more and more attention is paid to corporate social responsibility. How does one have to deal with these changes in the social climate? A market with quite a lot of opportunities! Read more >>

Consumers want to look around and have a lot of choice
GfK about fashion trends and shopping expectations at the Fedis Fashion Event
The fashion consumer wants to have a lot of choice and wants to look around quietly. Especially women want to look around quietly. Keep in mind that they are the fashion buyers, for themselves as well as for their partner. Read more >>

The same message through another channel
Visions shared on Belgian E-commerce at the GfK Fashion Congress 2008
Less than 1% of the Belgian fashion-expenditures is spent online at this moment. Speakers at the congress agreed that the online professionalism has to be improved in order to become successful. Does the Belgian E-commerce stand at the beginning of a revolution? Read more >>

Fight back or lay back?

How to survive an economic recession?

For years the prices in the fashion branch have been under pressure. Due to the economic crisis half of all Belgians also have the intention to spend less money on clothes. Recent research of GfK Panel Services shows this.

As a reaction, companies will search for possibilities to cut back costs on marketing activities, like advertising, new product development and marketing research. The AiMark scientific network shows that this is not the best solution to survive the economic crisis. Marketing-tools should be seen as strategic investments, rather than instruments for cutting back on short-term costs. This is especially the case when you represent a strong fashion brand.

If you are in the luxury position of representing a strong fashion brand
This means there is a lot at stake. During economic downturns, consumers are expected to switch from premium brands to cheaper brands and retailers. Panic behavior resulting in cutting back on marketing budgets brings along big risks. You may lose your loyal customers who might never come back again. So focus on activities that keep your customers satisfied (and hence, retain them), rather than focus on cost-saving activities. Use the recession to strengthen your position. For now and for the near future.

If your market share is low, your number of loyal customers is low and the intention to buy is low as well
In case of cut backs you should prepare yourself for a heavy survival struggle. When you have the possibilities and you have the guts, then invest in marketing activities. You probably enforce yourself to fight back!

The choice is yours.

More information:

Aimark ‘How to make it through an economic recession.’

<< Back

Sustainable production and consumption

More than three million Belgians are willing to consume sustainable

Aspects like Green, Sustainability and Ethics become more important in all branches. Also within the fashion branch more and more attention is paid to both sustainable production and consumption. International research shows that consumers are more concerned about the environment and social responsibility. The concern about the environment situates itself at the same level as concerns about salary, inflation, poverty and refugees.

Underestimate or overestimate corporate social responsibility? More than half of all Belgians state that it is (very) important to produce clothing in a way that the damage for the (social) environment is minimized. At the same time 60% of all Belgians is not willing to pay extra for ethical produced fashion. Further GfK research shows that more than three million Belgians are willing to consume sustainable. A market with quite a lot of opportunities!

How to make a success story out of corporate social responsibility? Until now, the need for sustainable production was based on a defensive policy; risk management and assurance of your reputation. The key to success however is an integrated offensive policy. This implies innovation and an efficiency improvement. Explore if corporate social responsibility is a hot issue for your customers. Which aspects are important to them and how do you perform at these aspects? One third of the Belgians find it (very) important for example that the door of a shop is closed, when the heater/airco is working. At last, your organization has to meet at least the following conditions for a successful sustainability policy; authenticity, uniqueness and consistency.

More information:

Presentation BeXpertise: ‘Bexpertise Sustainability and Shopping Behavior’

Presentation GfK: ‘Shopping Behaviour of the Belgian Consumer’

These presentations were given during the Belgian GfK Fashion Congres on Wednesday 26 November 2008.

<< Back

Consumers want to look around and have a lot of choice

GfK about fashion trends and shop expectations at the Fedis Fashion Event

According to recent GfK research, consumers more often buy fashion at chain stores. As a result, the market share of the chain stores increased during the past years at the expense of the independent shops. When it comes to buying clothes for her and him, it’s the woman who decides and buys the clothes. ‘Almost half of all men’s clothes are bought by her’, stated Yvonne van Bakel (GfK). But, men spend more per garment when he buys it himself. Are women more price-conscious or are they reducing their spending on men’s wear in order to reserve more budget for themselves?

Consumers want to look around quietly and want to have a lot of choice. These are their most important shop expectations. Especially women want to look around quietly. The advice: offer a broad collection. These shop expectations are followed by price related expectations, like value for money and special offers. Especially men expect a good price-quality relation. They’re looking for value for money and are prepared to pay more for a high quality garment than women do. Intrusive staff is the number one annoyance in a shop, and therefore must be avoided.

During the Fedis Fashion Event on Thursday 16 October, GfK presented the results of this study concerning shop expectations of Belgian consumers for fashion, shoe and lingerie stores. More detailed results, such as differences in expectations between sexes, age-classes, regions and type of store can be found at the website: www.fedis.be.

More information:

Presentation GfK: ‘Fedis Fashion Event; GfK Fashion Information’

<< Back

The same message through another channel

Visions shared on Belgian E-commerce at the GfK Fashion Congress 2008

Less than 1% of the Belgian fashion expenditures are spent online at this moment. Compared to The Netherlands and Germany this share is extremely small. The online share in The Netherlands is 5.3% and for Germany it even is 8%.

The first reason for the small Belgian online share is the relatively low Internet penetration in Belgium. On the other hand the speakers of the congress agree that the online professionalism must be improved. Winning the trust of the Belgian consumer is most important. Safe ways to pay and correct delivery periods are dissatisfiers. When an online seller fails, not only the image of the web shop will be damaged, but also the image of the physical store and/or the brand. Consistency, authenticity and uniqueness are keys to success. Create your own company profile linked at your target group; let them have fun!

Levi Strauss states it is wise to use the power of your brand for a successful launch of your web shop. When the look and feel of your web shop is in conformance with the existing brand experience, the visitor will sooner feel himself at home. The web shop will be recognizable and because of that it is both a useful tool to enlarge your turnover and an extra instrument to communicate with your target group (multi channel approach). After all Internet is the perfect instrument for networking. Surf to www.OURthreads.com and experience how social networking and fashion meet.

Does E-commerce in Belgium stand at the beginning of a revolution? Yes, it sure is. But don’t forget that the Belgian consumer loves to shop psychically and look into catalogues. More than 50% of all mail order purchases are online purchases. But this doesn’t allow them to send less catalogues. Every revolution has winners and losers. Which group do you want to belong to?

The GfK Fashion Congress took place at Wednesday the 26th of November in Grimbergen.

More information:

Presentation Be Commerce: ‘E-Commerce and Fashion’

Presentation 1 Levi Strauss: ‘Published sustainability’

Presentation 2 Levi Strauss: ‘Online shopping’

<< Back

Do you no longer wish to receive this newsletter? Unsubscribe