Turkey: Retail & Consumer Update

Transcription

1 Turkey: Retail & Consumer Update CCI & Cotton Incorporated s Global Lifestyle Monitor Survey Marsha Powell Director, Turkey

2 Consumer Economic & Spending Outlook

3 Outlook Towards Personal Financial Situation Total Men Women Under Very optimistic 10% 9% 12% 10% 11% Somewhat optimistic 42% 41% 43% 46% 37% Neitheroptimistic nor pessimistic 35% 38% 32% 33% 37% Somewhat pessimistic 10% 9% 10% 8% 12% Very pessimistic 3% 3% 3% 3% 4%

4 Apparel Shopping Habits

5 Favorite Items to Shop For 19% 60% 50% 40% 30% 48% 21% 28% 57% 37% 96% 20% 10% 0% 8% 8% 5% Groceries Clothes Electronics Shoes Cosmetics

6 Apparel Shopping Enjoyment & Frequency Nearly three-quarters of Turkish consumers love or somewhat likeshoppingfor clothes. The average Turkish consumer shops for clothing for themselvesabout once a month or more

7 Retail Channels Shopped for Clothing Specialty Stores Gap, LC Waikiki, Koton 80% Independent Stores Department Stores Boyner, YKM, Mudo 69% 67% Chain Stores Factory Outlets Carrefour, Real 45% 51% Street Markets Sporting Good Stores Hypermarkets 33% 41% 40% Internet Tailor-Made 7% 15%

8 Retail Channels Where Bought the MOST Clothes Specialty Stores 34% Department Stores Independent Stores 19% 22% Chain Stores Street Markets Sporting Good Stores Factory Outlets Hypermarkets 7% 6% 5% 4% 4%

9 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Retail Channels Shopped for MOST Clothing Independent Specialty Department Street Markets Chain Sporting Goods

10 Apparel Purchase Drivers Primary Purchase Drivers ( 90%) Durability Price Quality Secondary Purchase Drivers (>50%) Finish Style Brand Name Performance Features Environmentally Friendly Cleaning requirements Fiber Color Other Purchase Drivers (<50%) Endorsement Country of Origin

11 Sources of Clothing Ideas People Family members (64%) Friends & colleagues (55%) Already own and like (23%) People on the street (6%) Retail Salespeople (20%) Catalogs (19%) Store displays (17%) Store flyers (9%) Media TV (16%) Internet (12%) Magazines (10%) Celebrities (6%)

12 Apparel Shopping Habits Sales Impulse Quality 79%buyclothes on saleat least some of the time 64%do not purchase clothing on impulse 46%are willing to sacrificea little quality to get a better price

13 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Apparel Shopping Habits Over Time Shop on sale 76% 37% 80% 45% 28% 28% Buy on Impulse 87% 37% 79% 46% 36% 36% Sacrifice Quality

14 Clothing Quality

15 What Does Good Quality Mean? 40% 35% 30% 25% 20% 15% 10% 5% 0% 34% Durable The name brand 24% 24% 22% 20% 19% 19% Stylish Made well Does not fade Strong fabrics 13% Long-lasting Good price

16 Apparel Longevity Clothing item Years expected to last Clothing item Years expected to last Dress pants 7.4 Sweater 3.7 Dress shirts 7.3 T-Shirt 3.0 Coat or jacket 4.2 Casual pants 3.0 Denim jeans 3.7 Pair of underwear 2.6

17 Quality Issues Prove Most Bothersome Experienced & Experienced / Not Bothered Not Bothered Experienced Seams coming apart 48% 9% 43% Pilling/Fuzzing 53% 14% 33% Losing shape 37% 13% 49% Shrinking 52% 9% 40% Fading 56% 10% 33% Color bleeding 44% 10% 45% Odor after washing 29% 11% 59% Static clinging 30% 13% 58% Wrinkling 43% 19% 38%

18 Performance Apparel Aware of Have Purchased Willing to Pay More Easy Care 75% 38% 59% Wrinkle Resistance 74% 29% 67% Stain Resistance 74% 26% 64% Fade resistant 60% 29% 55% Stretch 58% 22% 37% Organic Cotton 57% 25% 49% Abrasion Resistance 51% 19% 49% Wind Resistance 45% 14% 37% Anti-Microbial 45% 12% 43% Water Repellency 44% 11% 35% Odor Resistance 44% 12% 44% Moisture Management 39% 11% 31% UV Protective 33% 7% 27%

19 Turkish Consumers Have a Core Set of Wardrobe Items They Wear Frequently 80% 69% 60% 40% 20% 21% 10% 0% Wear Often Wear Occasionally Rarely Wear

20 Opinions About Clothing Quality Iexpect to wear the new clothing I buy longer than I used to The higher the price of a clothing item, the better quality the item will be Clothing quality is not important to me since I only plan to wear clothing I purchase for a season or two Clothing made domestically is of higher quality than clothing imported from other countries Total Men Women Under % 63% 60% 64% 59% 45% 45% 44% 51% 36% 31% 29% 32% 30% 32% 29% 28% 30% 31% 26%

21 Changes in Clothing Offerings at Retail I feel like the price of clothing,in general, has increased compared to last year The clothing I ve purchased lately does not seem to last aslong as it used to Many of the clothes (liket-shirts) that used to be made from cotton now seem to be made of other fibers The fabric of the clothingi ve purchased recently seems to be thinner than it used to be I believe the quality of clothing, in general, has decreased compared to last year Total Men Women Under % 49% 52% 47% 55% 49% 48% 50% 50% 47% 48% 49% 48% 48% 49% 48% 45% 51% 47% 49% 35% 33% 38% 32% 40%

22 Consumers Will Pay A Premium to Keep Cotton in Their Clothing % who are bothered (top-5 box responses) % willing to pay more Underwear 55% 51% Dresses 50% 51% Casual Pants 50% 44% T-Shirts 50% 50% Denim jeans 49% 32% Dress Shirts 47% 24% Bed sheets 45% 43%

23 The Consumer Wardrobe

24 Product Allocation of Turkish Consumers Wardrobes Clothing item # owned Clothing item # owned Paris of socks 14.3 Headscarf 4.3 Underwear 11.9 Coats or jackets 3.9 T-Shirts 8.8 Bath towels 3.8 Bras 8.2 Pajamas 3.6 Sweaters 6.6 Athletic shirts 3.2 Casual shirts 6.2 Shorts 2.6 Skirts 5.2 Athletic shorts 2.3 Casual slacks 5.1 Dress shirts 2.2 Dresses 4.5 Dress pants 1.9 Bed sheets 4.5 Suits 1.8 On average Turks own 7.5 pieces of denim, 4.26 of which are jeans

25 % 66% 64% 62% 60% 58% 56% 54% 52% 50% Preferences for Denim Shows Slight Decline 63% 67% 65% 63% Average Pairs of Jeans Owned % Who Love/Enjoy Wearing Denim

26 Jeans Are Frequently Seen in the Turkish Workplace 87% wear jeans to work at least occasionally 60% 40% 39% 43% 20% 0% 5% 12% Daily Once a week Once a month or less Never

27 Online Shopping Habits

28 Shopping Online for Products 50% 43% Total 40% 30% 31% Under age 35 Age % 15% 14% 20% 10% 7% 0% Clothing Home textiles

29 How Turkish Consumers Start Shopping for Clothes Online 24% Total Under age 35 Age % 13% 13% 10% 9% 9% 5% 10% 10% 8% 7% 4% 4% 4% 6% 9% 2% 3% 3% 2% 2% 2% 2% 1% 1% 0% Search engines Coupon sites s from retailers Retailer sites Blogs Retailer apps Social media Fashion trend sites E-commerce apps

30 Cotton: The Natural Choice

31 Turkish Consumers Prefer Cotton 67% say cotton and cotton blends are the fibers best suited for today s fashions. Nearly 8 out of 10 (78%) prefer the clothing they wear the most to be made of cotton and cotton blends.

32 Frequency of Looking At Fiber Content Labels 8 out of 10Turkish consumers (80%) look at fiber content labelsat least some of the time before purchasing a garment.

33 Effort Put Into Finding Environmentally- Friendly Apparel 63% of Turkish consumers put effort into finding environmentally -friendly apparel 74% use the fiber content label or hangtag to assess environmental friendliness

34 Placing Blame for Non-Environmentally- Friendly Apparel The brand Manufacturer 34% 32% Store where bought 18% Country where produced Myself Fiber producer Not important 5% 4% 2% 2%

35 Are the following fibers safe for the environment? Percent Answering Safe Cotton 93% Wool 92% Silk 88% Polyester 56% Lycra/Spandex 55% Nylon 52% Rayon 51%

36 Natural is Most Likely to Influence Purchase Decision Natural 100% Cotton Organic Environmentally friendly Recycled Compostable/biodegradable Made locally Fair Trade Ethically-sourced Sustainable Made in the USA 22% 78% 74% 64% 61% 60% 57% 56% 55% 52% 51%

37 Percent Who Prefer the Following Be Made of Cotton & Cotton Blends Jeans 93% Underwear 87% T-Shirts 70% Sleepwear 63% Casual Slacks 43% Bras 38% Dress Shirts 25%

38 Feelings Towards Cotton 91% Keeps You Warm 76% Traditional 87% Soft 73% Breathes 81% Comfortable 70% Environmen tally friendly 80% Quality fabric 79% Natural 70% Versatile

39 Thank you!