CONSUMER DEMOGRAPHIC
CONSUMER DEMOGRAPHIC RESEARCH
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| 31% of their consumers are 16-24 (this is the biggest category) |
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| 35% of NL's consumers are in the DE socio-demographic group (the least affluent group) |
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| 41% of their consumers live in cities |
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| 70% of NL's consumers are female
- the graphs indicate that NL's most average consumer is a female, who is between the age of 16-24, lives in a city and is in the DE socio economic group (those with the least disposable income)
- this makes sense as new look most of new looks sales are made in their physical stores which are located in cities, their womenswear section is the largest and also achieves the most sales and their products are affordable and on trend; which clearly attract those with smaller disposable incomes but are interested in wearing the latest trends
- this graph (above) reinstates the previous findings, showing that females in general buy more that males, especially when purchasing items under £25, which is the price point the majority of NL's products
- 68% of females under 25 return clothes; this may be
- consumers are most likely to return clothes due to issues surrounding size and fit ; this however is a positive that NL have at the side of its online competitors, as consumers can try clothes on in NL stores before choosing whether they purchase it or not, meaning they'll be less likely to return it
- https://academic.mintel.com/display/982670/?highlight#hit1 shows 64% of NL's e-commerce returns were made to a physical store (another benefit that NL have over online competitors, as consumers are able to do this which is arguably easier than returning things via post)
- 18% of younger millennial order extra items to avoid a delivery charge; this shows how retailers are struggling with cost implications of returns
- young millennials opt for brands that care (20%); shows consumers are affiliating themselves with companies that share the same values as them (NL are particularly transparent with many of their views which may be attractive for its consumers)
- 48% of UK consumers prefer to shop with retailers that are trying to reduce their impact on the environment (this is 60% of Gen Z consumers)
- females 16-24 (54%) are most likely to treat themselves than replace older items (this is new looks biggest category)
- 80% of females 16-24 enjoy shopping for clothes, but also rarely buy clothes without shopping around first
- 84% of customers who shopped in NL in the past 12 months argue that they prefer to buy clothes that won't go out of style quickly; this is interesting as NL's products are considered fast fashion (quickly mass produced to reflect current 'on trend' styles), and 800 new products are uploaded to their website weekly
- 39% of customers argue that they've had issues with returning clothes; however this is a relatively small number which therefore reflects positively on the brand
- 88% of customers argued that they prefer to shop with retailers that offer a pleasant shopping experience and 85% argued that they enjoy the experience of shopping for new clothes; thus also reflecting positively on the brand as evidently their consumers enjoy the experience of purchasing products from NL
- this graph indicates that millennials who live in cities are the largest group of people who agree with the testament "I enjoy the experience of shopping for new clothes"
- this particular group of people is NL's average consumer base, therefore NL's average consumer would also agree with this statement
- Kristiansen (NL's CEO) admitted; "We haven't been as precise as we could in targeting our customer. Going forward we will be razor sharp. That's how I think we will get our message across best, rather than trying to cater for an 18 year old at the same time as a 50 year old, it just doesn't work"
- the average age of a NL customer is 33 - recently NL are narrowing their target market to be a 'fashion 25 yer old' - this shows that NL are moving away from trying to target 16-24 year olds, probably because there is much more competition for this particular age group, including ones that are considerably cheaper and easier to access
- according to Barometer data; NL's 25-34 and 35-49 year old shoppers are more likely to promote it than its 16-24 year old ones
- if NL distances itself from the relentless chase for newness, it will help it better serve its 'sweet spot' customer base which is 25-40s
- NL themselves state they they don't have a target market, instead they 'aim to cater for everyone'
- cater for men, women, kids, maternity, tall, plus size and petite
- "whether our customers are after; the latest trends, celebrity looks, fashion forward pieces, or simply wardrobe essentials, we’ve got a range of products to suit their personal style"
- NL is trying to broaden its appeal to include older customers, giving it an age target of 18-45
- Pearce (retail analysis at Globaldata) said NL's poor performance is. result of 'loss of relevance' over the past few years. By trying to appeal to too many different shoppers NL has ended up appealing to none as its 'proposition is unclear'. Online retailers like Boohoo are 'more in tune with millenials in terms of providing trend-led and boundary-pushing fashion'. As a result NL would struggle to lure back 16-24 year olds because it hasn't kept up with these other brands. She argues NL should instead adjust its target market to focus on the older 25-34 year olds
- this graph shows that 97% of New Look's average customer age bought clothes for themselves in the past year
- consequently this is an effective target market to have for their type of clothing (cheap, fast-fashion) as these people are likely to see their products and buy them straight away without hesitation
- most of New Look's customers are also in the DE socio demographic category, this survey shows that 92% of people in this category bought clothing for themselves in the last 12 months. This is interesting as it is clear that despite having the smallest amount of income, they still buy clothes for themselves. Although, it is no surprise that they shop at New Look given the affordability of its products and the fact that they are also on trend
- this graph shows that that majority of 16-24 year olds (New Look's average customer) buys mostly from mass market/ high street brand buyers, which is the category that New Look fits into
- this reflects and confirms my previous findings that NL's average consumer is a 16-24 year old female
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