Register to continue reading for free
Retail Flash: insights from key footwear markets
Explore the main retail dynamics across France, Germany, Japan, the Netherlands, the UK, the US and Spain based on our latest Retail Flash reports, highlighting that e-commerce expansion and import pressures continue to reshape retail across Europe, while stronger sales growth occurs in Japan and in the US
France
Overall retail sales in France have shown only marginal growth, while footwear sales declined by 1.4% in value and 2.6% in volume over the year, squeezing margins despite slightly higher average prices. Footfall fell by over 5% percent nationally, with shopping centres among the hardest hit.
Retail bodies point to a cautious household behaviour, with year-end trading seen as critical to limiting further losses.
For footwear retailers, the situation is further complicated by rising import volumes paired with falling average import prices, suggesting efforts to lower stock costs amid declining sales.
Retailers warn that intensifying competition, particularly from Asian online platforms, is undermining investment. Without greater stability and a rebound in confidence, expectations for the footwear market remain largely negative.
Germany
Germany’s footwear and leather goods retail sector is sharply underperforming the broader retail market. Hopes of a seasonal rebound failed to materialise as weak consumer sentiment and persistent price discounting continued to weigh on performance.
In contrast, online retail has expanded by 12.9% compared to the first eight months of 2024. This growth has been uneven, favouring large marketplaces and direct-to-consumer platforms, particularly Asian players, while traditional retailers struggle to recover lost ground.
Footwear imports have risen sharply in both value and volume, with the average import price now at 18 euros. Industry representatives note tentative signs of stabilisation, however, expectations for a sustained recovery in the German footwear market remain restrained.
Japan
Japan’s apparel and accessories market, including footwear, has recorded year-on-year growth of 44%, making the sector one of the brightest spots in the domestic economy.
Foreign visitor spending, particularly from China, has played a significant role, boosting demand for premium fashion items. However, momentum has eased as the year progressed, with sales softening in the third quarter.
Online retail sales increased by 27.3% compared to the first nine months of 2024. At the same time, footwear imports have increased in both volume and value, although currency fluctuations and a weaker yen later in the year are beginning to weigh on purchasing power.
A rebound in domestic demand and gradual stabilisation in consumer sentiment suggest that Japan’s footwear and fashion market remains relatively solid.
Netherlands
In the Netherlands, overall retail sales have risen slightly year-on-year, with clothing and footwear showing modest gains after a weak spring. Footwear has outperformed the wider retail average, although results remain volatile, with sharp monthly swings. Online retail now represents 20% of total retail sales.
Inflation has eased from earlier peaks, helping restore some momentum, and recent price increases in footwear suggest a shift away from prolonged discounting.
Imports of footwear have increased strongly in both volume and value, suggesting stronger demand ahead, though falling average import prices raise questions about sourcing and competitive pressure.
With a moderate economic growth forecast and government measures to ease household costs, the outlook suggests gradual stabilisation for the Dutch footwear market.
Spain
Spain’s retail sector has maintained modest overall growth, but fashion has lagged. While total retail sales have increased slightly, clothing and footwear have recorded sustained declines, leaving fashion sales lower year-on-year.
E-commerce has emerged as the clear channel performer, posting strong sales growth of 11% in the first eight months of the year compared with the same period and gaining market share even during the summer months.
Inflationary dynamics and trade flows add further complexity. Headline inflation has moved higher again, yet prices for clothing and footwear remain in deflation, weighing on margins and signalling weak demand.
Rising footwear imports, combined with falling average import prices, suggest retailers are restocking cautiously while managing price sensitivity.
At the same time, retail confidence has improved slightly. With year-end demand heavily reliant on seasonal campaigns, the outlook for Spanish fashion retail remains uncertain, balancing fragile consumer confidence against growing online momentum.
United Kingdom
UK textile, clothing and footwear (TCF) retail sales increased by more than 6% over the summer months, a clear recovery after a weak spring, with stronger momentum than overall retail sales.
Fashion has benefited from seasonal demand and improving sentiment, and footwear stands out as a weaker segment, with sustained discounting. Negative footwear inflation has supported demand but weighed on value growth.
Online channels continue to gain share, with digital fashion sales growing faster than physical retail, now accounting for 28.1% of TCF’s sales. Imports reflect retailers’ cautious and reactive behaviour, with sharp pullbacks following weaker sales months and rapid rebounds when confidence improves.
Against a backdrop of persistent inflation and uncertainty over household finances, retailers are entering the peak trading period focused on promotions and inventory discipline, hoping that stable demand can offset continued pressure on margins.
United States
US retail activity has continued its gradual recovery throughout most of the year, with clothing and footwear broadly following a similar upward path. While overall retail sales remain below last year’s levels, footwear stands out as the only fashion segment to have fully regained ground, posting solid cumulative growth.
Trade pressures are shaping market dynamics. Footwear imports rose in value by 4% despite a slight decline in volume, reflecting higher average prices linked to tariffs and supply chain adjustments. Brands have largely avoided across-the-board price hikes, opting instead for targeted increases on selected styles while working with suppliers to offset cost pressures.
Recent tariff relief on Chinese footwear offers short-term support. Still, rising import prices, easing interest rates and weaker consumer confidence underline an uncertain outlook for the sector heading into the peak trading period.
