SA Clothing Sector – Summer 2019/20 Range Review

We gain early insights of the retailers’ fashion calls for the Summer 2019/20 season through the assessment of four fashion bloggers and stylists. We believe these shopfloor insights from a consumer perspective are useful inputs in evaluating the investment case of the retailers. The detail and colour provided from these assessments can be used to test company management assertions, and in some cases, can shed early light on company issues. We use an incident of a strikingly similar product stocked at three retailers to show how their business models may differ concerning intake margins and markdowns.