Industry Analysis & Industry Trends
The Clothing and Footwear Wholesaling industry experienced a convergence of factors in recent years, which negatively affected revenue growth. Over the five years through 2012-13 industry revenue is anticipated to decline at an annualised 2.2% to reach £10.6 billion. Revenue is expected to rise a modest 0.7% in 2012-13.
The industry is heavily dependent upon demand from clothing and footwear retailers. Downstream demand from the industry's major markets, clothing and footwear retailers, has weakened in recent times. Larger industry players are increasingly looking to boost profits and attract consumers by offering lower prices through bypassing wholesalers and creating greater vertical integration... purchase to read more
Industry Report - Industry Investment Chapter
Capital intensity increased over the five years since 2005-06 when £11.0 of capital was required for every £1.00 of capital invested, but remains at a low level. Labour roles within the industry are focussed on selling or handling, and administration. These roles do not add value to the end product and advances in computer technology have been able to automate certain tasks. Technology has been used to improve stock control, inventory management and supply chain management. As the industry continues to adopt new technology operating efficiencies will improve and capital intensity will continue to increase as labour costs fall... purchase to read more