The men's underwear market - France

1.2 A dynamic global market

In the second half of the ****s, the global men's underwear market experienced similar trends to the more global underwear market (***).

It declined between **** and **** ; Before experiencing sustained growth between **** and ****, rising from $***.* to $***.* billion ; This market then stagnated in **** at around $*** billion.

A similar trend can be observed in men's underwear worldwide.

Global men's underwear market size World, ****-****, in billions of dollars Source: ****

It's important to note that these figures and estimates were published in ****, i.e. before the emergence of the Covid-** crisis. While the pandemic will therefore have, at least in part, disrupted these estimates, sales should very quickly return to pre-crisis levels. Growth is even set to resume as early as ****, eventually exceeding **** levels by ****. Data Bridge Market Research even forecasts an average annual growth rate of *.**%. The market is therefore proving to be particularly resilient.

1.3 The French market

Underwear production in France

French companies manufacturing men's underwear are registered with INSEE under the code

NAF **.**Z manufacture of men's, women's and children's underwear and nightwear from woven fabrics, knitted fabrics, lace, etc. :

INSEE records the sales of these companies. This does not specifically represent the men's underwear market, but remains a good indicator for approaching market production.

Sales of underwear production France, ****-****, in billions of euros Source: ****

Within this market, underwear production is recorded under the following codes

NACE ******** Men's or boys' knickers and briefs, knitted or crocheted (***) NACE ******** Men's or boys' underpants (***) [***]

We only have data for the first of these codes. Nevertheless, it enables us to refine our idea of the French market and production.

Value of men's underwear production France, ****-****, in M€ NACE******** Source: ****

The value of production marketed or intended to be marketed is calculated on the basis of the ex-works selling price realized or likely to be realized during the survey period. It also includes the cost of packaging, but excludes sales tax, consumption tax, separately invoiced transport costs and customer discounts. [***]

From **** to ****, French production of knitted or crocheted men's underwear fell significantly before growing again from **** to ****. Although this factor ...

1.4 Imports and exports of men's underwear

Balance of trade France, ****, in $M Source: ****

France is a major importer of men's underwear. The main countries of origin are detailed in the graph below. However, there will be a rather sharp drop in the sector's activity between **** and ****, accompanied by a slight rebalancing of the French trade balance.

Main importers France, ****, in Source: ****

The main partners are therefore the Netherlands and China.

Finally, as far as French underwear exports are concerned, the main customer countries are European, benefiting from the trade advantages of the European Union

Main exporters France, ****, in % Source: ****

Morocco is the only non-European country in the top ** countries to which France exports underwear. The main customer for French underwear is Spain, with **.*% of exports in ****.

1.5 Impact of Covid-19

The Covid-** crisis has had a major impact on the clothing market, as can be seen from the chart below, which describes the sales trends of companies operating under this code:

**.**Z: Retail sale of clothing in specialized stores.

The analysis therefore goes beyond the scope of this study, but enables us to visualize the effect of confinement on the activity of ready-to-wear retailers, and therefore underwear retailers. Specialist retailers' sales were in fact divided by * between April **** and April ****, in the midst of containment.

Sales index for specialized clothing retailers France, ****-****, base *** in **** Source: ****

The chart below shows sales trends for companies operating under this code:

**.**Z: Manufacture of underwear

Similarly, lingerie production was drastically reduced during the containment period. The graph below shows the decline in lingerie production sales, with a peak in April ****.

Sales index for underwear manufacturing (***) France, ****-****, base *** in **** Source: ****

2.1 Different types of underwear for different customer profiles

In the men's underwear range, three main products stand out: boxers, briefs and boxer briefs. These three categories are sufficient to meet the demand for men's underwear. The briefs barometer is a survey conducted by BVA in ****, it helps to understand which of these three products is most popular with men.

Breakdown of underwear types worn by men France, ****, in Source: ****

Boxer briefs seem to be men's favorite product. In reality, each of these three products has its own audience.

In a Harris Interactive survey of men over ** carried out for Tena Men in ****, boxers and briefs were the respective preferences of **-** year-olds and over **s.

In terms of brands, Kantar Media ranked French men's favorite brands by number of users. Dim and Athéna are by far the most popular underwear choices, followed by less expensive options such as supermarket brands or unbranded items.

2.2 Preferred colors and the notion of aesthetics

A Harris Interactive study conducted for Tena Men in **** reveals the French's favorite underwear colors:

What are the dominant colors of your underwear? France, ****, in Source: ****

Black is therefore an extremely dominant color in the men's underwear range, with more than two-thirds of men surveyed preferring it. It is followed by blue with **% and gray with **%. The site baromètre du slip, written by BVA, reports on French opinion of the beauty of men's underwear.

Do you think the French wear beautiful underwear? France, ****, in % Source: ****

2.3 Buying habits

According to a study carried out by the Union nationale des étudiants de France, male students spend around ** euros a year on underwear, or around *.*% of their total clothing budget. As the graph shows, male students spend much less on underwear and clothing in general than female students.

Average annual amount spent by students on clothing and undergarments France, ****, in euros Source: ****

Most of the time, these purchases are made by the man himself, but with increasing age, it's not uncommon for spouses to make these purchases, according to Tena's Men and Panties Barometer study.

Who buys your underwear most often? France, ****, in % Source: ****

2.4 Made in France: a fad or a lasting trend?

In recent years, new players have entered the market, producing their underwear locally. Nevertheless, it's important to be cautious about these newcomers. While the market leader, Le Slip Français, is showing solid growth, it is nevertheless one of the few to have such a large presence. This French-made offer is therefore highly concentrated, leaving little room for competition. So, despite the fact that it benefits from extensive media coverage, it remains marginal.

Nevertheless, this trend seems well established, and it's now certain that a small number of brands are managing to pull their weight thanks to quality and/or local positioning.

Founded in ****, Le Slip français is showing strong growth. In ****, its sales were €** million. In ****, sales reached **.* million euros. In ****, the company broke even, and a year later posted EBITDA of €* million. The company is backed by *** Capital Partners and Experienced Capital.

In the same segment, we find Garçon français founded by Vicky Caffet at the end of ****, which competes directly with Le Slip Français. Similarly, brands that have positioned themselves in the premium segment have been able to improve their sales.

The Eminence group holds a leading position in this segment despite the fact ...

3.1 The clothing industry in France

History and development

Underwear production in France has followed the evolution of the textile industry. There are two distinct phases in the history of French underwear production:

From **** to ****

Firstly, a sharp drop in production, with a volume index divided by more than **, from *,*** in **** to almost *** in ****, according toInsee. This drop in production is due to competition from low-wage countries (***), to which production has been relocated following the end of the Multifiber Agreements in ****. These agreements provided for export quotas, by country and by product, which varied over time according to the growth of developing countries, and were intended to protect the textile industries of developed countries from competition from low-wage countries. The DIM Group cut *** jobs in Europe in ****-****, including *** in France. [***]

From **** to ****

The decline in volumes is smaller but still significant (***). Restructuring continues, with brands often choosing to keep their design and creation workshops in France, but relocating production sites. Made in France has only been maintained by premium brands, such as Le Slip Français, which can afford the high production costs in France. In ****, the textile industry in France will generate sales of **.* billion euros.

Estimated underwear stocks

Very few French garment factories produce ...

3.2 Simple market segmentation

The market can be segmented as follows.

The diagram distinguishes between French and foreign production:

Foreign manufacturing

This is the most common method. It is used by entry-level and mid-range brands and by private labels. In France, players diversifying the underwear market offer, whether in supermarkets or online, buy underwear manufactured by foreign companies. This segmentation is similar to that found throughout the textile industry for the entry-level segment. This segmentation is ideal for the underwear industry, as these are low value-added products aimed at a renewal market.

Manufacturing in France

The share of French manufacturers is obviously very small compared to that of foreign manufacturers. They include

French garment factories, which act as subcontractors to underwear players positioned in the French Made in France market Factories specialized in the manufacture of underwear, such as that of the Eminence group, which have been retained following the relocation of other sites

Compared to entry-level and mid-range manufacturers, the positioning of Made in France in terms of offering is radically different. The former concentrate on quantity, while the latter focus on quality. Finally, made in France brands will favor online distribution and a communication strategy to differentiate their offer, while more classic brands ...

3.3 Distribution of players in the region

The breakdown of companies registered under NAF code **.**Z (***) is shown on the map and table below

Bourgogne Franche-Comté, Île-de-France and Auvergne Rhône Alpes together account for **.*% of French production sites.

3.4 Two brands dominate supermarket sales

Distribution via supermarkets has been cannibalized by the same two brands for many years, which are the best-known brands in France.

Underwear brands France, ****, in thousands Source: ****

Both players are owned by investment funds. Eminence, which had been held by investment funds LBO France and LFPI since ****, was acquired by Israeli group Delta Galil in ****.

Dim, meanwhile, has been owned by the American Hanes since ****, after having been successively held by several structures: the Sara Lee conglomerate (***). HanesBrands, which had a more complicated year in **** in terms of operating income, fell to *.* million dollars, compared to nearly*** million in ****, has expressed the wish to divest several of its European brands in order to concentrate on its strategic activities.

4.1 Offer typology

The range of men's underwear is wide and varied, and can be segmented in terms of use and purchasing criteria:

Choice of model and size Choice in terms of style: leading underwear brands combine practicality with fashion trends Choice in terms of comfort, depending on the material used Choice of range: from luxury to low-end Choice of prints and colors: men's underwear models are versatile in terms of colors and patterns.

In terms of men's underwear models, we find the following types:

Briefs: these are quite popular with men, as they ensure a perfect fit. Men's briefs generally feature a thicker or thinner elastic waistband. Many companies offering this type of model print the brand name of the briefs on the elastic. Boxer shorts: named after boxer shorts, their main characteristic is to support without constricting, making them suitable for all types of sport. Traditional boxer briefs G-string for men

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4.2 Products and prices

The range can therefore be divided into * segments:

The entry/mid-range segment : affordable and comfortable

This underwear offer is very often the subject of promotions, so that the real price is more closely approximated if we take into account the discounts offered by distributors. These include the major supermarket brands (***), as well as more general clothing brands such as Ralph Lauren, Tommy Hilfiger and Emporio Armani. These brands are likely to command higher prices because of their notoriety. They play on their brand image to justify these prices, and their products are often only available online or in their stores.

Brand Slip Price Eminence Package of * items **.** €(***) Athena Package of * items ** €(***) DIM Package of * items **.** €(***) Levi's Package of * items ** €(***) Ralph Lauren Package of * items **.** €(***) The high-end / Made in France segment : a focus on quality Brand Product and price Le Slip Français Organic cotton panties: €** (***) Knitted briefs: €** (***) Cotton short boxer shorts: €** Cotton briefs: €** Garçon Français Cotton briefs: €** Short boxer: €** Long boxer: €**

4.3 New supply trends

Innovative offers

Julipet offers a compromise between classic boxer shorts and briefs with the J-Boxer, which guarantees maximum freedom of movement thanks to the presence of a very light brief inserted in the front part of a pure cotton canvas boxer short.

Sports offers

*UNDR , SAXX Underwear Co and MyPackage offer underwear with a pocket that provides much more support than standard briefs.

MRU, or Underwear for Men, uses a drawstring system to create a pocket that can be adjusted to provide different degrees of support depending on the needs of the sport and the wearer.

Environmentally-friendly offerings

Perofil is a quality underwear manufacturer offering solutions that combine tradition and innovation. The X touch push-up underpants are entirely biodegradable, as they are made from cells extracted from beech wood, and therefore entirely natural in origin.

The Vine leaf brand, for its part, relies on this argument to set itself apart from the classic offer: it relies on ethical, social and solidarity-based manufacturing. The concept it puts forward is called Upcycling: recovering materials or products that are no longer in use in order to transform them into materials or products of better quality or utility. Recycling is "top-down".

In the same ...

5.1 Market regulations

The regulations governing the men's underwear market are those that apply more generally to the marketing of ready-to-wear clothing. Thus, all products available for sale must first comply with the ERA tic-tac (***)

Labeling standards

According to the Ministry of Economic Development , the textile and clothing sector is governed by European regulation no. ****/****, which lays down rules on :

names of textile fibers, labeling of textile products and indications on labels, markings and documents accompanying textile products at the various stages of production, processing and distribution determination of the fiber composition of textile products by quantitative analysis of binary and ternary textile fiber mixtures.

In Regulation (***) No. ****/****, there are no information requirements other than that of indicating the fiber composition of textile products on the label, such as garment sizes, care instructions and country of origin. However, some of the information not provided for in the regulation may be required by other EU legislation or by member states. Where information is not mandatory, such as country of origin, economic operators may disclose information on a voluntary basis, provided it is not false or misleading to consumers.

Safety and environmental standards

Textile products must comply with the provisions of general Community legislation on consumer ...

5.2 Details of UN COMTRADE codes

Details of the codes used to compile the trade balance for the study, based on the UN Comtrade database, are as follows

****** Men's or boys' cotton knitted briefs or boxer shorts ****** Men's or boys' underpants and briefs, knitted or crocheted, of man-made fibres ****** Men's or boys' underpants and briefs, of textile materials (***), knitted or crocheted ****** Men's or boys' underpants and briefs, of cotton (***) ****** Men's or boys' underpants and briefs, of textile materials other than cotton (***)

6.1 Segmentation of industry players

• DIM Brands international
• HOM Innovations
• Eminence
• Le slip Français
• Calzedonia Oniverse
• Dagobear
• Arthur
• Calvin klein
• H&M Groupe
• Eden Park
• Lacoste Groupe
• Diesel
• Hugo Boss
• Ralph Lauren
• Monoprix
• Fast Retailing France (Uniqlo)