Primark set to clinch 'cheap chic' crown

Primark is set to overtake George at Asda as the UK’s most popular cheap chic fashion chain, a report out today predicts.

Its share of the total value clothing market will hit 18.4% this year compared to 14.3% in 2006.

Primark’s success will help buck overall sales of value clothing by 8.9% on last year, retail analysts Verdict predict.

Its combination of low prices and well-located, modern stores is said to be behind its success.

The chain will be the UK’s number one value clothing retailer this year followed by George at Asda, Tesco, New Look and TK Maxx, according to Verdict’s UK Value Clothing Retailers 2007 report.

Value clothing will do better than the overall UK clothing market which is on track to increase sales by just 3.8% year-on-year.

This year alone, budget fashion sales will hit £8.5bn (€12.1bn) and account for nearly 25% of all clothes bought in the UK.

But the growth rate is starting to stall as more retailers lower their prices to tempt customers.

This means chains selling “value” fashion are now competing against more mid-market clothes shops.

Verdict lead analyst Maureen Hinton said budget fashion chains had made other clothes retailers push their prices down in order to compete.

“This trend heralds a new cycle in the clothing sector in the UK, where retailers must work much harder to inspire people to buy,” she said.

Primark’s success has raised the bar for all value clothing retailers and even some middle market chains, according to Verdict.

Shoppers forced entry to Primark’s flagship London store on its opening day in April this year following rumours of a half-price sale.

Hundreds of customers jostled outside the Oxford Street shop until the glass doors caved in before the official opening time.

Shoppers continued to queue down the street for the rest of opening day.

Primark is famous for its ’fast fashion’, which is when catwalk trends are quickly turned into more cheaply priced clothes for the high street.