Emily Thompson

About Emily Thompson

Emily Thompson is the Associate Director, Editorial at Cotton Incorporated, the research and marketing company representing upland cotton. For more information on the Lifestyle Monitor™ Survey, please contact her at ethompson@cottoninc.com. The data found in this article, as well as additional relevant information, can be found at CottonLifestyleMonitor.com.

What’s Missing From Online Shopping

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Last year, US e-retail sales hit $263 billion, according to Forrester Research Inc., representing 8% of total retail sales. The company predicts that by 2018, e-retail will reach $414 billion. While it’s a staggering number, it will still only account for about 11% of total retail sales. So why is online shopping still such a small piece of the retail pie? According to research from Cotton Incorporated, there’s room for improvement online.

Browse Before Buying

Though the majority of purchases still occur in-store, online is quickly becoming the first stop for consumers looking to shop for apparel. According to the Cotton Incorporated Lifestyle Monitor™ Survey, 84% of consumers say they browse for clothing online using a computer or laptop, while 45% say they use a smart phone, 39% use a tablet, and 18% use a smart television.

“We’ve seen strong growth in the percentage of consumers who browse for clothing online using smartphones, tablets, and smart televisions, and we anticipate those numbers will continue to grow as they reflect the behavior of younger consumers who were raised with the technology and are increasingly comfortable with it,” says Kim Kitchings, Vice President, Corporate Strategy & Program Metrics, Cotton Incorporated.

Indeed, according to Forrester Research Inc., 69% of US adults who regularly purchase items online end up buying about 16% of their products through e-channels, and both numbers are expected to grow as so-called “digital natives,” or those consumers born in the early 2000s after the advent of digital technologies, continue to increase their spending power. [Read more…]

How Equinox Could Save Your Mall

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The Great Recession turned most US consumers into necessity-based shoppers, eliminating their need to spend a day or even an afternoon impulse shopping at the mall. But these changing demographics and shopping habits across the country have real estate developers getting creative – in some cases, by filling now-empty anchor stores with non-retail properties like fitness centers. Ironically, this emphasis on non-retail may be what woos consumers away from the convenience of online shopping and back to the mall.

Seventy-two percent of consumers say they prefer to buy separate apparel pieces at different stores, according to the Cotton Incorporated Lifestyle Monitor™ Survey, compared to the 28% who would prefer to purchase everything in one place.

“That number has really remained consistent over the last several years, indicating that the very nature of malls still holds strong appeal among consumers even as the traditional anchor store model has become outdated,” says Kim Kitchings, Vice President, Corporate Strategy & Program Metrics, Cotton Incorporated. [Read more…]

Is Athletic Wear Poised to Usurp Denim?

CottonGirlsIn the US, the NPD Group reported US shoppers spent about $17 billion on denim in 2013, and the global jeans market is projected to reach $56 billion by 2018, according to research firm Global Industry Analysts, Inc. But some in the industry see athletic apparel as the one to beat. While denim remained almost flat, declining just 1% for the 12 months ending December 2013, activewear soared 9%. And the total apparel market was only up 2% over the same period. What’s happening here?

While some point to athletic apparel’s ubiquity – 92% of consumers wear it for activities other than exercise, up significantly from 87% in 2009, according to the Cotton Incorporated 2014 Sports Apparel Survey – a more complicated answer might lie in the fact that for denim shoppers, what’s being sold at retail isn’t living up to their standards.

“I think part of what’s challenging to denim brands right now is the ‘premiumization’ of yoga pants and the luxury ath-leisure sector essentially following denim’s own model for success,” says Shanna McKinnon, editor of DenimHunt.com. “But can yoga pants, even nice ones, really be as versatile as denim? I’m not so sure.”

For consumers, durability remains a key component of new clothing purchases. Yet data from the Cotton Incorporated Lifestyle Monitor™ Survey has established many consumers are not happy with the denim they are getting at retail.

Indeed, the majority of consumers say they have experienced fading (67%) and wrinkling (51%) in their jeans, followed by wear & tear issues (50%), shrinking (49%), and lack of stretch recovery (49%), according to Monitor data. [Read more…]

Fabric Substitution Needles Home Textile Shoppers

Preference for Cotton Remains Paramount

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Housing starts and existing home sales are not only good economic indicators, but they are also strong predicators of future growth in other areas like home textiles. As the turnaround in the housing market gains steam, the home textiles market benefits – but consumers are increasingly paying higher prices for lower quality and less cotton-rich items, and they are not satisfied.

Textile World recently reported that housing starts could increase by as much as 15 to 20% over the course of 2014, despite the harsh winter, leading to potentially brisk business for the home textiles sector. While January building permits were 5.4% below the December rate, they were still 2.4% above the January 2013 estimate, according to the Department of Commerce, hinting at an upswing in the industry that could carry over to home textiles.

Cotton remains the favored fiber for home textiles like bedding and sheets; more than eight in 10 (81%) consumers prefer their sheeting to be made from cotton and cotton blends, and 75% of consumers prefer their bedding to be made from cotton and cotton blends, according to the Cotton Incorporated Lifestyle Monitor™ Survey. But that’s not always evident at retail. [Read more…]

Seeking Transparency

Cotton Charts 05-2014-01

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How Sustainability Can Enhance Your Supply Chain

Has sustainability truly become part of our lexicon, or is it still just a buzzword? Today, most consumers expect products and their manufacturing processes to be sustainable; indeed, it’s part of the legacy of the original Earth Day, held more than 40 years ago. And while Millennials demand it, they’re not always willing to pay more for it. So how can the retail industry adapt?

“Research reveals price and style still top consumers’ lists of purchase drivers when shopping for apparel, though environmental-friendliness remains a draw,” says Kim Kitchings, Vice President, Corporate Strategy and Program Metrics, Cotton Incorporated. “When she buys something that looks great on her and is the right price for her budget, the item’s environmental-friendliness becomes a kind of added bonus.”

Indeed, data from the 2014 Cotton Incorporated Environment Survey support this; 98% of women say fit is the most important factor when making a clothing purchase, followed by comfort (97%), quality (95%), and price (95%). Nearly half (46%) of female consumers cited environmental-friendliness. [Read more…]

Reaching the Chinese Consumer

China continues to top the AT Kearney Retail Apparel Index, which shows the top 10 emerging countries viable for the retail sector. Strong growths in population and in income make it an increasingly attractive market for western brands looking to expand. Yet reaching the Chinese consumer poses unique challenges.

According to Euromonitor International, Chinese clothing expenditures are projected to nearly double within the next 10 years, from 1.2 trillion in 2012 to 2.2 trillion in 2020. Even in 2011, a year of slower than predicted growth, Chinese real GDP still amounted to 51.1 trillion RMB.

And while the Chinese population is expected to grow 2% by 2020, income growth will continue to outpace population growth — which means more consumers with more buying power. Per capita disposable income is expected to grow 75% between 2012 and 2020, according to projections made by Euromonitor International.

As the population continues to grow, though, it is also shifting towards more urban areas. This stands to benefit western retailers first expanding into larger cities, since urban consumers tend to spend more on discretionary purchases like apparel and textiles. [Read more…]

Consumers Are Talking…Are Brands Listening?

The Robin Report

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Consumer Facts from Cotton Incorporated Lifestyle Monitor™

Once consumers became comfortable purchasing apparel online, brands and retailers sought to enhance the experience through social media sharing options, crowdsourcing — and online customer comments sections. What may have begun as a means of increasing sales via search engine optimization has grown to be a barometer of what’s in and what’s out of favor with the buying public.

Customer Comments
Project Reveals Key Apparel Complaints

Cotton Incorporated set out to quantitatively measure these customer comments, and the result – the Cotton Incorporated Customer Comment Project – reveals what makes apparel consumers rant or rave about their purchases. [Read more…]

The Red, White & Blue – and Green

CottonplanetThe Cotton Incorporated 2013 Environmental Survey reveals that more than 50% of U.S. consumers identify themselves to be “green”. And, although participation in basic household environmentalism has shown only incremental growth, higher income consumers constitute a markedly greater level of engagement. Survey data indicate that personal income and larger economic concerns are changing the ways in which consumers perceive and participate in environmental activities. Several factors, including a significant increase in consumers’ pursuing apparel made in the U.S.A, and apparel made from natural fibers, suggests that these are emerging as new forms of environmental engagement.

“It is clear that consumers are aware and concerned about the environment,” says Kim Kitchings, VP of Corporate Strategies and Program Metrics at Cotton Incorporated, adding that the majority (60%) of survey respondents say that they often think how their actions affect the environment. “What is less clear to them is the cost of making a difference.”

Kitchings points to five years of data showing that participation in relatively low- or no-cost household environmentalism, including recycling, conserving water, and investing in energy-efficient appliances, is consistently greater among consumers with higher incomes. The divide is also seen in the 34% of consumers who say they put effort into finding environmentally-friendly apparel; that figure jumps to 40% among consumers making $75,000 or more per year. [Read more…]

Rules of Engagement

Cotton’s 24-Hour Runway Show and Push-Pull 2.0

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The retail universe has long-since expanded beyond the confines of physical floor space and time. Online retail outlets have made shopping a 24-hour option for brands with or without brick-and-mortar complements. Brand marketing, too, is now a brave new digital world in which presence and consumer engagement are essential cogs in the machine. To succeed, there must be a synchronicity of disparate channels that encompass traditional advertising, digital advertising, social media and most importantly, the often-unpredictable consumer.

Hyper-dimensional marketing, or Push-Pull 2.0, plucks multiple messaging strings in the hopes of striking a chord with consumers. In traditional push-and-pull strategy, push referred to offering incentives to the supply chain, and consumer marketing was the pull. Today, Facebook, Twitter and the like, have shifted the strategic emphasis squarely on the consumer; push is now defined as brand outreach to the consumer, and pull is their outreach to the brand. The objective is to enthusiastically engage the co

nsumer in the brand experience; to have them participate, promote, and eventually purchase. [Read more…]

Sleight of Hand

The Touch, the Feel — but Not the Performance — of Cotton

The recent ruling by the Federal Trade Commission (FTC) to fine four retailers, including Amazon.com and Macy’s, for mislabeling textiles made from bamboo rayon as simply “bamboo,” underscores the seriousness with which the government is enforcing truth and clarity in labeling. Some onus, however, is also on consumers, some of whom are largely unaware of recent fiber substitutions in traditionally cotton-dominant apparel—a shift that can impact the care and thus, perceived value, of their purchases.

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The ubiquity of cotton in apparel and home textiles has made it the fiber to beat, or at least the one to imitate. Manufacturers of synthetic fibers and some wood pulp rayons have become adept at duplicating the tactile softness long associated with cotton. To consumers, cotton is a known quantity, especially where the feel, or hand, and laundering are concerned. Many consumers have discovered, to their dismay, a sleight of hand in the form of fiber substitutions in traditionally cotton-rich apparel. [Read more…]

Well-Wrapped at Retail: Savvy Consumers Meet Smart Retailing This Holiday

Consumers may be wary this holiday season, but there are bright spots ahead. According to the National Retail Federation, overall holiday spending is projected to increase 4.1% this year, from $563 billion in 2011 to $586 billion in 2012. Technological advances have made it easy for consumers to shop from anywhere, at any time, and this year they are taking note; the NRF also projects that online holiday sales will grow 12% from 2011 to 2012, reaching $92 to $96 billion.

On average, holiday shoppers plan to spend approximately $568 on gifts this season, up 14% from $497 in 2011, according to the Cotton Incorporated Lifestyle Monitor™ Survey.

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“What consumers give year to year doesn’t necessarily change much – but the way they’re making those purchases has changed tremendously over the last decade,” says Kim Kitchings, Vice President, Corporate Strategy and Program Metrics, Cotton Incorporated. “The rise of e-commerce and its ease of use, and now the increase in smartphone usage as a means to make purchases, have enabled consumers to shop wherever, whenever.” This is certainly a boon to the more than half (52%) of consumers who say they find holiday gift shopping to be stressful, according to Monitor data.

That stress may be due in part to procrastination; only about a third of consumers (32%) start holiday gift shopping in November, while an equal percentage (18%) start shopping in October and December. Just 14% of consumers say they buy holiday gifts throughout the year, Monitor data reveal.

Savvy shoppers plan to rely on a variety of mechanisms to ensure they get the best price; from doing more comparison shopping (45%), looking for deals on days like Black Friday (45%), to shopping around to find the best deals (43%), according to Monitor data. [Read more…]

How Do You Give People What They Want?

The Robin Report

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The Global Recession has left retailers with overstuffed inventories and rapidly declining margins, as cash-strapped consumers pulled back on all but the most necessary of purchases. In response, some retailers have revamped the consumer experience with a variety of strategies, from flashy celebrity endorsements and hefty back-to-school discounts, to new pricing strategies and a more holistic approach to in-store versus online.

But are any of these giving consumers what they really want?

Leveraging the power of celebrity appeal is a popular tactic that shows no signs of slowing. Ann Taylor recently announced that Kate Hudson will continue to be their spokesperson for the third year running, while H&M recently revealed its continuing partnership with David Beckham.

Despite the prevalence of star-powered promotion, 3% of consumers cite celebrities as being most likely to influence them to purchase new apparel, though 22% say clothing worn by celebrities is still influential in their own clothing choices, according to the Cotton Incorporated Lifestyle Monitor™ Survey. Most say (53%) friends are the most influential source in their purchasing decisions. [Read more…]