|
Sections |
| Title | Starting Page | Number of Pages |
|---|
| Introduction<Br><Br><paragraph>This report examines the latest developments in out-of-town retail. It details out-of-town market sizes and trends, with five year forecasts, profiles key retailers in the sector and provides comprehensive analysis of the key | 0 | 1 |
| CHAPTER 1 EXECUTIVE SUMMARY | 20 | 7 |
| Key findings | 20 | 1 |
| Main conclusions | 21 | 5 |
| Out-of-town summary | 26 | 1 |
| CHAPTER 2 RETAIL ISSUES | 27 | 19 |
| Key messages | 27 | 1 |
| Polarisation of space | 27 | 1 |
| New OOT players demand prime locations as secondary ones stagnate | 27 | 5 |
| Risks for discretionary retailers | 32 | 1 |
| Discretionary retailers will always struggle out-of-town | 32 | 3 |
| Recovery of home-related sectors | 35 | 1 |
| Eventual revival in housing should boost secondary locations | 35 | 3 |
| Up and coming players | 38 | 1 |
| To drive market growth and reinvigorate competition | 38 | 4 |
| Capitalising on success of grocers | 42 | 1 |
| Robust footfall on offer in retail parks anchored by grocers | 42 | 2 |
| Factory outlet centres continue to excel | 44 | 1 |
| Discounting strikes chord with consumers and retailers alike | 44 | 2 |
| CHAPTER 3 | 46 | 1 |
| CHAPTER 3 STRATEGIES FOR SUCCESS | 47 | 2 |
| Retailers need to react to recession-hit market | 47 | 1 |
| Landlords must be proactive as vacancies reach high levels | 48 | 1 |
| CHAPTER 4 OUT OF TOWN VS OTHER LOCATIONS | 49 | 20 |
| Robust footfall driven by a resilient tenant mix makes OOT a relatively safe place | 49 | 3 |
| Retail sales by location | 52 | 1 |
| Neighbourhood performs best but out-of-town holds its own | 52 | 2 |
| Retail spend by location | 54 | 1 |
| Grocers and niche specialists keep out-of-town growing | 54 | 1 |
| Sales and sources of growth | 55 | 1 |
| Food price upward spiral drives inflation | 55 | 3 |
| Out-of-town retail sales | 58 | 1 |
| Online growth via OOT retailers outweighs plummeting trade sales | 58 | 2 |
| Space by location | 60 | 1 |
| Collapse of big players partly offset | 60 | 2 |
| Store numbers by location | 62 | 1 |
| Declining for first time but more resilient than other channels | 62 | 2 |
| Forecast | 64 | 1 |
| OOT a good bet due to grocers, online and inevitable recovery in home | 64 | 5 |
| CHAPTER 5 MAJOR PLAYERS OOT: WINNERS & LOSERS | 69 | 26 |
| Few major non-food retailers are on the up | 69 | 3 |
| OOT sales majors breakdown | 72 | 1 |
| Home-related retailers struggle | 72 | 2 |
| Total sales | 74 | 1 |
| Grocers extend dominance | 74 | 5 |
| Operating profits | 79 | 1 |
| Matalan only non-food retailer to grow profits | 79 | 1 |
| Operating margins | 80 | 1 |
| Widespread deterioration | 80 | 2 |
| Space | 82 | 1 |
| The trend of the past five years has been towards larger stores | 82 | 6 |
| Store numbers | 88 | 1 |
| Expansion of major players slows | 88 | 6 |
| Advertising | 94 | 1 |
| Expenditure increases as retailers attempt to stimulate consumer spend | 94 | 1 |
| CHAPTER 6 SPACE PERFORMANCE | 95 | 11 |
| Changing mix of retailer and space consolidation to boost density | 95 | 1 |
| Sales densities by location | 96 | 1 |
| Struggling home-related sectors subdue out-of-town density growth | 96 | 3 |
| Sales densities by retailer | 99 | 1 |
| Grocers continue to benefit from their ability to convert high footfalls | 99 | 3 |
| Sales densities by sector | 102 | 1 |
| Electricals to benefit from space consolidation as DIY underperforms | 102 | 2 |
| Space performance for food vs non-food | 104 | 1 |
| Non-food set to be boosted by new entrants to the out-of-town market | 104 | 2 |
| CHAPTER 7 SECTOR SUMMARIES AND FORECASTS | 106 | 14 |
| Out-of-town will grow share of retail but faces tough times | 106 | 1 |
| OOT sales sector breakdown | 107 | 1 |
| Grocers, fashion retailers and general merchandisers grow share | 107 | 1 |
| Forecast consumer spending OOT for each sector | 108 | 1 |
| Out-of-town to grow share of food, furniture and electricals spends | 108 | 1 |
| Forecast sales for each sector | 109 | 1 |
| But all sectors face a tough five years | 109 | 2 |
| OOT space sector breakdown | 111 | 1 |
| DIY and furniture space in long term decline | 111 | 1 |
| Forecast space for each sector | 112 | 1 |
| Massive decline in non-food space | 112 | 3 |
| OOT store numbers sector breakdown | 115 | 1 |
| General merchandise on course to have largest number of stores | 115 | 1 |
| Forecast store numbers for each sector | 116 | 1 |
| Home-related sectors drive decline | 116 | 2 |
| Out-of-town store size by sector | 118 | 1 |
| DIY store sizes have grown substantially | 118 | 2 |
| CHAPTER 8 CLOTHING & FOOTWEAR | 120 | 15 |
| Clothing and footwear specialists capitalise on weak property market | 120 | 3 |
| Sales | 123 | 1 |
| Set to decline in 2009, but OOT still outperforms | 123 | 2 |
| Stores | 125 | 1 |
| Expansion plans scaled back significantly | 125 | 2 |
| Space | 127 | 1 |
| Lowest rate of space expansion since Verdict s records began | 127 | 2 |
| Sales density | 129 | 1 |
| Reflects declines in consumer demand and out-of-town footfall | 129 | 1 |
| Key players | 130 | 1 |
| Traditional out-of-town specialists benefit from value positioning | 130 | 1 |
| Matalan benefits from investment | 130 | 1 |
| Frugal consumers boost sales at TK Maxx | 131 | 1 |
| Marks & Spencer reduces capital expenditure | 131 | 1 |
| New Look continues expansion | 132 | 1 |
| Next capitalises on weak property market | 132 | 1 |
| Other clothing specialists | 133 | 1 |
| Footwear specialists | 133 | 2 |
| CHAPTER 9 DIY | 135 | 17 |
| Leaner sector as stronger players rightsize and capacity reduces | 135 | 3 |
| Sales | 138 | 1 |
| Out-of-town continues to outperform despite significant deterioration | 138 | 1 |
| Stores | 139 | 1 |
| Rate of store closures limited by consolidated nature of DIY retail | 139 | 1 |
| Space | 140 | 1 |
| Specialists rightsize as expansion plans are scaled back significantly | 140 | 2 |
| Sales density | 142 | 1 |
| Declining consumer demand and overcapacity erode density | 142 | 2 |
| Market shares | 144 | 1 |
| B&Q gains market share in 2009 as Focus struggles | 144 | 2 |
| Key players | 146 | 1 |
| Wickes flourishes at expense of Focus | 146 | 1 |
| Wickes ideally positioned to capitalise on reduced capacity | 146 | 2 |
| B&Q aims to consolidate market leading position | 148 | 1 |
| Homebase cuts back space expansion signficantly | 148 | 2 |
| Focus faces uncertain future | 150 | 2 |
| CHAPTER 10 ELECTRICALS | 152 | 14 |
| Out-of-town stores face major challenges | 152 | 2 |
| Sales | 155 | 1 |
| Relatively robust in 2008 but now exposed to big-ticket slowdown | 155 | 1 |
| Stores | 156 | 1 |
| Unprecendented decline but less exposed than high street | 156 | 1 |
| Space | 157 | 1 |
| Years of expansion to come to abrupt halt | 157 | 1 |
| Sales density | 158 | 1 |
| Falling despite retailer consolidation | 158 | 1 |
| Market shares | 159 | 1 |
| Grocers continue to gain at expense of specialists | 159 | 2 |
| Key players | 161 | 1 |
| New arrivals set to take market by storm | 161 | 1 |
| Best Buy s excellent service reputation means it has potential | 161 | 1 |
| John Lewis core strengths will see it do well | 162 | 1 |
| Comet cuts costs and waits for market recovery | 162 | 1 |
| Game Group explores new avenues but should avoid overexpansion | 163 | 1 |
| Argos under pressure from grocers | 163 | 1 |
| DSGi has a lot of work to reinvent itself | 164 | 2 |
| CHAPTER 11 FOOD & GROCERY | 166 | 19 |
| Props up OOT but neighbourhood is future for food & grocery growth | 166 | 3 |
| Sales | 169 | 1 |
| Inflation keeps growth high but momentum swings to convenience | 169 | 2 |
| Stores | 171 | 1 |
| Proportion of store numbers out-of-town starts to plateau | 171 | 2 |
| Space | 173 | 1 |
| Grocers aggressive out-of-town space expansion continues | 173 | 1 |
| Sales density | 174 | 1 |
| Increasing non-food exposure sees densities declining | 174 | 1 |
| Market shares | 175 | 1 |
| Big Four increase dominance | 175 | 2 |
| Key players | 177 | 1 |
| Asda retains biggest out-of-town focus | 177 | 1 |
| Asda continues to be frustrated by out-of-town planning restrictions | 178 | 1 |
| Morrison nears nationwide coverage | 179 | 2 |
| Sainsbury targets non-food and convenience | 181 | 2 |
| Tesco approaches saturation out-of-town | 183 | 2 |
| CHAPTER 12 FURNITURE & FLOORCOVERINGS | 185 | 22 |
| Non-specialists to move in out-of-town where specialists depart | 185 | 3 |
| Sales | 188 | 1 |
| Dire economic conditions have a significant impact | 188 | 2 |
| Stores | 190 | 1 |
| Decline in 2009 will be the worst since Verdict s records began | 190 | 2 |
| Space | 192 | 1 |
| Weak trading conditions and overcapacity to drive decline in space | 192 | 2 |
| Sales density | 194 | 1 |
| Specialists downsize as sales densities decline for second year in a row | 194 | 2 |
| Market shares | 196 | 1 |
| Non-specialists gain market share at expense of struggling specialists | 196 | 4 |
| Key players | 200 | 1 |
| Key players benefit from consolidation as John Lewis enters OOT arena | 200 | 1 |
| Carpetright ramps up space expansion as Allied exits market | 200 | 1 |
| DFS ideally placed to take advantage of capacity exiting market | 201 | 1 |
| Dreams benefits from comparative resilience of beds | 202 | 1 |
| John Lewis to be a significant out-of-town player | 202 | 1 |
| Argos increasingly under threat from grocers | 203 | 1 |
| IKEA pushes ahead with town centre format | 204 | 1 |
| Homestyle consolidates store portfolio | 205 | 1 |
| ScS considers disposal of loss-making stores under new ownership | 205 | 1 |
| Sector casualties | 206 | 1 |
| CHAPTER 13 GENERAL MERCHANDISE | 207 | 15 |
| Retailers with offers meeting niche needs will drive growth | 207 | 3 |
| Sales | 210 | 1 |
| Remarkably resilient despite slowing growth | 210 | 1 |
| Stores | 211 | 1 |
| Opportunistic retailers maintain growth | 211 | 1 |
| Space | 212 | 1 |
| Robust growth despite casualties | 212 | 1 |
| Sales density | 213 | 1 |
| Most stable non-food sector | 213 | 1 |
| Key players | 214 | 1 |
| Specialists meeting niche needs move into limelight | 214 | 1 |
| Dunelm offer well targeted to foster extensive growth | 215 | 1 |
| Halfords should not be overly cautious | 215 | 1 |
| Niche operator Hobbycraft has excellent opportunities to expand OOT | 216 | 1 |
| John Lewis will rely more on electricals to drive footfall OOT | 217 | 1 |
| Mothercare continues shift out-of-town with great success | 217 | 1 |
| Pets at Home shows no signs of slowing down | 218 | 1 |
| Sports Direct shifts huge volumes | 219 | 1 |
| Toys R Us flotation could trigger renewed expansion out-of-town | 219 | 1 |
| Alliance Boots not well suited to large out-of-town stores | 220 | 1 |
| Argos needs to avoid direct competition with grocers | 220 | 1 |
| Borders faces uncertain future | 221 | 1 |
| JJB Sports needs to focus on sports equipment | 221 | 1 |
| CHAPTER 14 GLOSSARY | 222 | 2 |
| Terminology | 222 | 1 |
| Abbreviations | 223 | 1 |
