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Retail Market for Clothing in the Baltic States

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Retail Market for Clothing in the Baltic States RETAIL MARKET FOR CLOTHING IN THE BALTIC STATES FLANDERS INVESTMENT & TRADE MARKET SURVEY OVERVIEW - RETAIL MARKET CLOTHING BALTIC STATES September 2015 FIT Saint-Petersburg, Frank Van Eynde Content Executive summary ................................................................................................................................. 5 Biggest players in Lithuania ..................................................................................................................... 7 Biggest players in Latvia ........................................................................................................................ 16 Biggest players in Estonia ...................................................................................................................... 21 Overview - Retail Market Clothing Baltic States| September 2015 ______________________________________________ 3 Executive summary With a total population of 6 million people, Lithuania, Latvia and Estonia represent a small but interesting market for fashion retailers. The level of shopping malls is quite high and often more modern than in Western Europe. During the last few years the Baltic economies were among the growth leaders in the region and that has boosted a value and volume increase in consumption. However, due to the recent slow-down in the economic growth caused by (mostly) external factors there will be a negative effect on the growth in the fashion retail sector. The low turnover level per capita in the apparel retail sector remains a problem. Nevertheless, long term prospects remain positive and optimistic. The major drawbacks of the Baltic fashion retail market are its small scale and rather small density of inhabitants. Although the fashion retail system is quite similar in all the three Baltic States, it is not always possible to distribute clothing to all the three countries choosing one of them as a partner. Separate fashion retailers are often needed as a distributor in each of these countries, although the biggest ones are present in all three the Baltic States. There are slight differences in the three markets. For instance in Estonia the city centre of Tallinn is very important as it is a touristic attraction place with very fashionable consumers and a concentration of young people. There is a domination of the typical shopping centre concept with no clear leader. There is however not a big potential except in the Tallinn city centre where sales depend on the touristic flows. In Lithuania there are other economical centres except Vilnius whereas in Latvia the only real economical centre is Riga. Al these particularities influence the structure of the local fashion retail market. Overview - Retail Market Clothing Baltic States| September 2015 ______________________________________________ 5 6 ______________________________________________ Overview - Retail Market Clothing Baltic States| September 2015 Biggest players in Lithuania Overview of the biggest players in Lithuania in 2014: APB Apranga UAB Lelija Kirtimų g. 51, Vilnius Panerių g. 43, LT – 03202 Vilnius +370 5 239 08 08 +370 5 2330761 - +370 5 2135577 [email protected] [email protected] http://apranga.lt www.lelija.eu Sales: 183.5 million Sales: 5-10 million Number of employees: 1905 Number of employees: 1056 CEO: Rimantas Perveneckas Director: Gene Zaveckiene AB Levuo AB Audimas Jogailos g. 4, Vilnius Raudondvario rd. 80, LT-47182, Kaunas +370 5 2 624221 +370 37 302500 - +370 619 97111 [email protected] [email protected] www.levuo.lt www.audimas.lt Sales: 9.96 million Sales: 26.27 million (2013) Number of employees: 234 Number of employees: 509 Director: Deimantas Dalibogas CEO: Jurgita Budiene Overview - Retail Market Clothing Baltic States| September 2015 ______________________________________________ 7 Apranga - www.apranga.lt The Apranga Group is a distinct leader of clothing retail in Lithuania occupying around 30% of the retail clothing market. At the beginning of 2003, the company started its activity abroad. The first store abroad was opened in Riga, the capital of Latvia. In 2004, the first store was opened in Tallinn, the capital of Estonia. Within 3 years of activity in Latvia the Apranga Group became one of the leading clothing retail companies in Latvian market. At the moment the Apranga Group controls 116 stores in the Baltic States: 75 in Lithuania, 31 in Latvia, 10 in Estonia. The Apranga Group develops 6 different store chains or stores with different profiles in Lithuania, Latvia and Estonia: • Economy – Apranga: Tom Tailor, Promod, S. Oliver • Youth - Aprangos galerija: Bershka, Desigual, Mango, Moskito, Pull&Bear, Stradivarijus • Business – City men&women: Coccinelle, Marella, Massimo Dutti, Pennyblack, Strellson, Tommy Hilfiger, Zara • Luxury: AJ/Armani jeans, Burbery, Emporio Armani, Ermenegildo Zegna, Hugo Boss, Mados linija, Marina Rinaldi, MaxMara, Nude, Weekend MaxMara Outlets: Apranga išparduotuve, Autlets A, Išparduotuvė A • Footwear: Aldo Facts: • Trading space consists of over 77 000 square meters. • They control about 35% of the clothing store market of Lithuania. • Trade systems (Apranga, Aprangos galerija, City) and monobrand stores (Emporio Armani, Hugo Boss, MaxMara, Mango, Aldo, Pull&Bear), franchise stores Zara • Represent more than 100 widely-known European clothes producing companies and trademarks http://apranga.lt/en/customers/brands • Deliveries from over 200 garment suppliers from Lithuania, Germany, France, Italy, Denmark, Holland and other European countries. Levuo UAB - www.levuo.lt Levuo is one of the biggest clothing retailers in Lithuania. The network consists of: • 36 IMITZ shops: 17 in Vilnius, 4 in Panevezys, 6 in Kaunas, 4 in Šiauliai, 5 in Klaipėda, 1 in Utena • “Gedimino 22”, a format where there are different brands in one shop: RED Valentino, DKNY, PINKO, Marc Cain, MAX&Co., Henry Cotton’s, 1.2.3., Gerry Weber, Taifun, Manila Grace, TWIN- SET, iBlues, PERSONA by Marina Rinaldi • Monobrand stores such as: Gerry Weber, ETAM, Tally Weijl, Esprit, Celio*, MAX&Co., Marc Cain, Lacoste, IMITZ Trademarks: Marccain, 123, Cello, Esprit, Imitz, Lacoste, Max&Co, Red Valentino, DKNY, Twin – Set, Manila Grace, Pinko, Henry Cottons, iBlues, Persona, Tally Weijl, Gerry Weber, Etam … 8 ______________________________________________ Overview - Retail Market Clothing Baltic States| September 2015 Lelija UAB - www.lelija.eu The Company Lelija is the biggest garment manufacturer in Lithuania, producing annually around 1.5 million outerwear textile clothing for men, women and children, from which about 80% are exported to Western European and Scandinavian countries. Suits, jackets, blazers, trousers, coats, raincoats, skirts, shirts, blouses, vests, dresses and uniforms constitute the major assortment of the company and are produced in specialized production lines. The main enterprise is located in Vilnius, the capital of Lithuania, where there are samples making, CAD (designing), CAM (cutting) departments and 9 specialized sewing workshops. The company has 5 affiliates in others cities in Lithuania. The joint stock company Lelija was established in Vilnius in 1947. Lelija has its own commercial network (26 garment shops – one of them is in Tallinn) AB Audimas – www.audimas.lt Overview - Retail Market Clothing Baltic States| September 2015 ______________________________________________ 9 Founded in 1931, AB Audimas produced sportswear. At the moment, Audimas is the leading brand of clothing for active leisure and sports in Lithuania with more than 30% market share and an average of 35 percent a year growing income. Audimas together with several famous Lithuanian and foreign designers, on the basis of professional Europe fashion agencies suggestions and recommendations, creates and submits to the market 4 collections a year. Trading occurs in the retail network and in cooperation with the wholesale trading partners. Audimas sells about 30-40% of its production in Lithuania, the remaining part is produced under other brand names such as: Assos, Lucas Hugh, Rapha and is exported to Sweden, Germany, France, Italy, England, Switzerland, JAV, JAE. • 14 branded stores in all major cities of Lithuania • 1 branded store in Riga, Latvia • 11 franchise stores (10 in Lithuania and 1 in Ukraine) • E-Shop www.e-audimas.lt There is a wholesale network in Lithuania as well as export to Western and Eastern Europe and the Middle East. Baltika Lietuva - www.baltikagroup.com Baltika Lithuania is part of the Baltika Group, the largest trans-national clothing producer and trader in Estonia. The group runs 171 stores in the three Baltic States, Ukraine, Poland, Russia and Spain. The Group operates four retail concepts: Monton, Mosaic, Baltman and Ivo Nikkolo. Baltika employs a vertically integrated business model which means that the Group controls all stages of the fashion process: design, manufacturing, supply chain management, distribution/logistics and retail sales. The clothing retailer now operates thirty-six of stores in Lithuania. The company has sold production for 9.7 million euro during the first ten months in 2014 10 _____________________________________________ Overview - Retail Market Clothing Baltic States| September 2015 Peek & Cloppenburg - www.peekundcloppenburg.com Peek & Cloppenburg KG Düsseldorf (P&C) is an expanding chain in the textiles retail trade, with branches in Germany, Austria, Poland, Croatia, Hungary, Belgium, the Netherlands, Switzerland, the Czech Republic, Romania, Slovenia, Serbia, Bulgaria and Slovakia.
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