One-fifth of high street shops in the Netherlands have shut their doors as online sales continue to reshape the retail landscape, according to a comprehensive report by Dutch bank ING. The findings paint a challenging picture for brick-and-mortar retailers, particularly in the fashion and electronics sectors.
Electronic shops have been the hardest hit, with 42% closing as more than half of consumer electronics are now purchased online. Clothing stores and DIY shops have also seen their numbers drop by around a quarter, as shoppers increasingly turn to e-commerce platforms for convenience and competitive pricing.
Fashion Retail Under Pressure
The fashion sector has been particularly affected by the shift to online shopping. Regional chain store businesses are disappearing, said ING retail economist Dirk Mulder. In the fashion sector, chains like Vanilia and Assem Schoenen, along with all the small companies with three or four premises, are having a very hard time competing with digital-first retailers.
For custom apparel printers and independent clothing retailers, these trends highlight the importance of having a strong online presence. Businesses that combine physical stores with robust e-commerce platforms are better positioned to survive and thrive in the evolving retail environment.
The Growth of Online Turnover
The numbers tell a clear story. Online sales grew by 21% over the last three years, compared to just 8% for physical shops. When corrected for inflation, this translates to a modest 3% increase in the number of items sold in-store. Meanwhile, pure online retailers like Amazon and Bol saw their turnover grow by an average of 7% last year, while multi-channel shops, which operate both online and in physical locations, managed just 2% growth.
This data suggests that even retailers with both online and physical presences are struggling to keep up with dedicated e-commerce platforms. For the custom printing and apparel industry, this reinforces the need to invest in digital storefronts and online marketing.
What Survives and What Does Not
Not all retail sectors are equally affected. Cosmetics and drugstores such as Kruidvat and Etos have seen less of their sales move online, with just 13% of their turnover coming through web shops. These businesses benefit from selling everyday essentials that consumers prefer to pick up in person while passing by.
ING noted that traders with a handful of branches were most under threat from online retail, while larger players have been able to respond by making their stores bigger and stocking a wider range of products. This consolidation trend favors scale over small independent operations.
Implications for Custom Apparel Businesses
For businesses in the custom shirt printing and apparel space, the Dutch retail transformation offers important lessons. Having an online ordering system, offering customization tools on your website, and building a direct-to-consumer channel can help independent apparel businesses compete against larger online retailers.
The decline of physical fashion retail also creates opportunities. As traditional clothing chains close their doors, there is growing demand for unique, locally-produced, and custom-printed apparel that stands out from mass-market offerings. Independent printers and designers who embrace both online sales and local community engagement are well-positioned to fill the gap left by disappearing chain stores.
Source: DutchNews.nl / ING Sector Report