satisfying the textile consumer

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Satisfying the textile During the past ten years, retailing in the UK and Europe has undergone a major change. The 1990s are the age of the environmentally conscious, discerning consumer who demands quality products that are valuefor money. How can a retailer satisfy these needs? Frank Moore, of the JohnLewis Partnershipputs forward his recipe for success . Over the last thirty years we have witnessed many changes in retailing. As time has passed, the changes have become more dynamic, influenced by changes in society, consumer habits and the environment in which we live. The 1960s were the age of the manufacturer, because the demand for goods in retail outlets was greater than that available from the sources of supply. Retail stores were uniform in appearance and there was little differentiation between the products sold. The 1970s saw a shift in the market to become the decade of the retailer. We con- tinued to witness a large growth in the supply chain, but slower growth in consumer demand. It was a period when the major retail groups capitalised on their negotiating and buying powers, with the result that they did well in terms of growth and profitability. In the 1980s, ‘design’ became the new buzz word and was seen as the answer to all manufacturing and retail ailments. The inte- gration of design with industry was reviewed at every conference and seminar throughout Europe. Retailers were encouraged to employ more designers and to work closely with those employed in industry in order to meet the needs and lifestyle of the consumer. We witnessed the growth of niche-market retailers, carefully positioned on the high street to meet the demands of the consumer. The major chain store and department store groups became more proactive in developing both stores and shopping centres that provided greater convenience to the consumer to make shopping more of a pleasure and less of a chore. The 1990s have clearly become the era of the consumer. They are more discerning in their selection of goods and have a wider choice of retailer shops from which to buy. We have the warehouse stores at one end of the spectrum, who ‘pile it high and sell it cheap’ but give little choice, through to the sophisticated department stores, who provide breadth of range and quality merchandise that is value for money. Today’s European consumers, in addition to desiring quality products at attractive prices, are also requiring them to be environmentally friendly or ‘green’. There are several private ecolabel systems being developed in Europe alongside the European Unions official Ecolabelling scheme. Currently, consumer demand for ecofriendly products is greater in certain European countries, in particular Austria and Germany, than in others, but it is a demand that is growing and will become more and more of a necessity as the schemes become understood. Market requirements Know your customer To be successful in today’s retail environment, it is essential to have a clear picture of the consumer that you are aiming to serve. A great deal of time, money and effort is put into analysing market statistics to understand better the various profiles of today’s consumer. Certain retailers, such as chain stores and department stores, aim to cater for a range of customers, whereas others specifically focus on a clearly defined market segment. In order to build up a concise picture of 212 JSDC VOLUME 111 JULY/AUGUST 1995

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Page 1: Satisfying the textile consumer

Satisfying the textile

During the past ten years, retailing in the UK and Europe has undergone a major change.

The 1990s are the age of the environmentally conscious,

discerning consumer who demands quality products that are

valuefor money. How can a retailer satisfy these needs? Frank

Moore, of the John Lewis Partnership puts forward his

recipe for success .

Over the last thirty years we have witnessed many changes in retailing. As time has passed, the changes have become more dynamic, influenced by changes in society, consumer habits and the environment in which we live.

The 1960s were the age of the manufacturer, because the demand for goods in retail outlets was greater than that available from the sources of supply. Retail stores were uniform in appearance and there was little differentiation between the products sold.

The 1970s saw a shift in the market to become the decade of the retailer. We con- tinued to witness a large growth in the supply chain, but slower growth in consumer demand. It was a period when the major retail groups capitalised on their negotiating and buying powers, with the result that they did well in terms of growth and profitability.

In the 1980s, ‘design’ became the new buzz word and was seen as the answer to all manufacturing and retail ailments. The inte- gration of design with industry was reviewed at every conference and seminar throughout Europe. Retailers were encouraged to employ more designers and to work closely with those employed in industry in order to meet the needs and lifestyle of the consumer. We witnessed the

growth of niche-market retailers, carefully positioned on the high street to meet the demands of the consumer. The major chain store and department store groups became more proactive in developing both stores and shopping centres that provided greater convenience to the consumer to make shopping more of a pleasure and less of a chore.

The 1990s have clearly become the era of the consumer. They are more discerning in their selection of goods and have a wider choice of retailer shops from which to buy. We have the warehouse stores at one end of the spectrum, who ‘pile it high and sell it cheap’ but give little choice, through to the sophisticated department stores, who provide breadth of range and quality merchandise that is value for money.

Today’s European consumers, in addition to desiring quality products at attractive prices, are also requiring them to be environmentally friendly or ‘green’.

There are several private ecolabel systems being developed in Europe alongside the European Unions official Ecolabelling scheme.

Currently, consumer demand for ecofriendly products is greater in certain European countries, in particular Austria and Germany, than in others, but it is a demand that is growing and will become more and more of a necessity as the schemes become understood.

Market requirements

Know your customer To be successful in today’s retail environment, it is essential to have a clear picture of the consumer that you are aiming to serve. A great deal of time, money and effort is put into analysing market statistics to understand better the various profiles of today’s consumer. Certain retailers, such as chain stores and department stores, aim to cater for a range of customers, whereas others specifically focus on a clearly defined market segment.

In order to build up a concise picture of

212 JSDC VOLUME 111 JULY/AUGUST 1995

Page 2: Satisfying the textile consumer

today’s customers, factors that may be considered are:

Age profiles Household size Life styles Earning power Work and leisure time.

As can be seem from the figures provided in Table 1, which displays the actual and predicted UK population profile 1992-2001, certain age groups will grow, whereas others will decline.

In Table 2, one can observe the change that is occurring in consumer expenditure on clothing.

If one links the information provided in Tables 1 and 2 with that provided in Table 3, which categorises the shopping population by socio- economic group, a reasonable ‘target customer prediction’ to make would be:

Ladieswear - because the market is twice the size of the menswear market. Age profiles 35-44 and 45-54 - because these are both growth areas. CllC2 socio-economic groups - because these groups cover over 50% of the population.

The example provided is a very simple analysis of a potential customer market, but by utilising more refined statistics more detailed customer profiles may be obtained.

Provide your customer with the right quality merchandise at the right price Today’s European consumers demand quality merchandise that both meets their individual needs and is value for money. This does not mean the highest or the lowest price and quality, but the right quality and the right price for the consumer that the retailer has identified as his target customer.

Provide your customer with a quality store and quality image The aim of today’s retailer is to make shopping a pleasurable experience. The retailer cannot expect to sell even the highest quality clothing if they cannot first attract the consumer into their store.

It is the store image that first attracts the consumer to make a purchase. Having per-

suaded them into your store, the product then has to be appealing in order to attract the eye of the consumer.

If the product is right and the price is perceived as good value for money, a purchase may be made.

An important factor to add to this purchase scenario is customer service. Sales personnel must be able to project the quality image of the store and the merchandise. They are the people who make the customer feel at ease; who are able to answer questions and provide customers with any product information they may require.

Table 1 UK population age profile 1992-2001 (millions)

Age (years)

0-4 5-1 4

15-24 25-34 35-44 45-54 55-64 65+

1992 1996

3.9 7.3 8 9.2 7.8 6.9 5.8 9.1

4 7.6 7.3 9.3 8 7.6 5.8 9.5

2001

3.85 7.9 7.3 8.3 8.9 7.8 6.2 9.3

Change 1992-2001 (%)

-1.3 7.6

-9.6 -1 0.8

12.4 11.5 6.5 2.2

Table 2 Consumer expenditure on clothing (f million)

Change Category 1989 1990 1991 1992 1993 1994’ 1989-94(%)

Womenswear 9500 9400 9200 9200 9500 9700 2.1 Menswear 4800 4700 4400 4200 4300 4500 -6.7 Girls wear 1200 1200 1300 1300 1350 1400 14.3 Boys wear 950 950 950 950 950 1000 5.0 lnfantswear 700 700 700 650 650 650 -7.7

Totals 17150 16950 16550 16300 16750 17250 0.6

Estimated

Table 3 Shopping population by Socio-economic group

Proportion of Group adult population (%) Social status ~ ~ ~

A 3.1 Upper middle class B 15.7 Middle class c 1 25.7 Lower middle class c2 26.0 Skilled working class D 17.0 Working class E 12.6 Lowest level

of subsistence

JSDC VOLUME 111 JULY/AUGUST 1995 213

Page 3: Satisfying the textile consumer

Good service is a prerequisite to satisfy the Size - will the garment dimensions provide a customer. good fit against the body dimensions of the

consumer?

Most major retailers today are able to provide their suppliers with standards and specifications needs

In this review of the present day consumer and market requirements, one word that has been extensively used is quaMy.

Quality has many definitions, such as ‘suitability for purpose’ or ‘conformance to

covering these aspects of quality.

Performance standads and test methods

requirements‘. My preferred definition as a Perfomanm standad retailer is simply ‘customer satisfaction’.

If, as a retailer, I can satisfy my customer in all respects with the product purchased from my store, they have in their opinion purchased a quality product.

Quality of product may be further divided into subjective/perceived quality and objective/ functional quality. By breaking it down into these two areas, we can tailor the product a retail buyer purchases from their suppliers to satisfy the needs of the consumer.

For clothing textiles, the major European retailers issue specifications to their suppliers covering the performance standard of the merchandise they are buying. These standards cover general performance characteristics, namely durability, stability and colour fastness, together with any specific special requirements, such as flammability or water repellence.

These standards must be related to the total performance of the end garment as used by the consumer, and must, therefore, cover compatibility of all components.

Subjective/perceived quality These standards are based on many years

This aspect of quality relates to the visual attributes of a product, namely style, design, colour, aesthetics and presentation.

It is all about making a product appealing in the eyes of the consumer, in order to persuade them to make a purchase. It is all about correctly predicting fashion colours, styles and trends and presenting them in an attractive and amealina manner.

of experience and take into account complaints received from consumers, wear-trial data and changing consumer habits. Specification standards must be realistic and relevant to providing satisfaction to the consumer. Standards that are too rigid, that have been drawn-up carelessly or that are based on inadequate or inappropriate information can add considerably and unnecessarily to the cost of a

I , “ garment.

06jective/functional quality This aspect of quality relates to the suitability for purpose (performance) that the consumer may expect from the product they have purchased.

These are aspects of quality that may be quantified in standards and specifications for the benefit of the manufacturer, namely: . Performance - will the raw materials, fabrics

and components that are used for making a garment provide adequate performance for the useful life of the product? Colour - are the colours uniform and con- sistent across the light sources in which the garment will be viewed: the store, daylight and home light? Make-up - are components compatible with basic fabrics, and is the garment well constructed with correct seams, interlinings, linings and such like?

Test methods For the benefit of the textile industry across the world, the aim must be to use standardised test methods. Many branches of the industry, such as fibre producers, spinners, weavers, knitters, dyers and finishers, garment makers and retailers have their own in-house laboratories. In addition, many retailers use independent test- houses based in the countries where products are being produced.

As buying becomes more international, we must continue to develop internationally accepted test methods, taking into account the consumer cultures, habits and needs in different countries.

In past years, national standards bodies such as the British Standards Institution (BSI) in the UK, DIN in Germany and AFNOR in France have tended to develop test methods for their

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Page 4: Satisfying the textile consumer

own local industries. This scenario is now rapidly changing, particularly with the evolution and development of the European Union.

In the UK alone, 70% of BSl’s resources are now spent on developing European (CEN) and International (ISO) standards and test methods.

This move towards developing internationally accepted test methods can only be of benefit to the textile industry at large. However, to be successful it must be supported by industry.

Currently, as chairman of the Technical Coordination Committee of the Society of Dyers and Colourists, I believe part of my role is to ensure that all branches of the coloration industry, both producers and users, participate in developing national views to support the development of international test methods.

To achieve success, this process must also communicate with sister industries. For example, consumers use detergents and wash- ing machines to wash their clothing. Over the past few years detergent formulations have changed many times and now include cocktails of enzymes and modified bleach systems. Washing machines are also radically changing to reduce energy consumption. The writers of test methods, the textile industry, must be alive to the changes that are taking place and be prepared to continually examine, monitor and update test methods as appropriate.

Partnership and communication To satisfy the consumer in today’s fast moving society, the retailer must work in close partnership, and be able to clearly communicate with both their immediate suppliers and those further back down the supply chain.

Today’s consumer demands are ever changing, and the supply chain must be able to provide a quick response to meet the needs of the retailer. To accommodate these needs, many retailers are rationalising the number of their supply sources to allow them to work more closely and effectively with a select group of manufacturers. In such situations, they are able to develop true partnerships that benefit all parties concerned.

In developing partnerships, trust and clear communication are essential features that must be continually developed. Suppliers must be able to interpret the demands of the retailer, and supply the right quality merchandise, at the right time.

Retailers require competent, quality-con- scious suppliers, offering good design studios, a modern plant and consistent-quality products.

Many suppliers, in order to demonstrate their commitment to quality, have become accredited against the BS EN IS0 9000 Quality Manage- ment System. This is a proven route to improv- ing quality and is a good starting point to achieving total quality management.

Conclusion The needs of today’s retailer are products of consistent quality that meet the needs of the consumer. To be successful in today’s market, the retailer must:

Fully understand and service in all respects the needs of the consumer Develop quality standards for all products, in order to achieve these needs Work in close partnership with a supply chain that can provide a quick response and a consistent-quality product that provides total satisfaction to the end user - the consumer.

In the words of the English philosopher, John Ruskin (1819-1900): ‘Quality is never an accident - it is always the result of intelligent effort’.

Be intelligent, produce goods that meet the needs of your customer and be successful.

This paper was recently presented on behalf of the SDC at The Textile Institute 76th World Conference held in Istanbul, Turkey between 21-24 May 1995.

~~ ~ ~

Frank Moore is currently chairman of the Technical Coordination Committee of the Society of Dyers and Colourists. He can be contacted at the John Lewis Partnership, 171 Victoria St., London SWlE 5”.

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