The number of outlets is growing in Russia
The change in consumer behavior has influenced the growth in attendance at outlet stores and triggered an increase in the number of outlets in the country. So in 2019, a record 70,5 thousand square meters can be commissioned in Russia. m of retail space in the outlet format, which is 24% more than in the same period last year, Kommersant writes with reference to a study by Knight Frank real estate agency.
In 2019, two new outlets with a total area of 50,3 thousand square meters will be built in Moscow. m. Another outlet will be commissioned in St. Petersburg, the area of the object - 20,3 thousand square meters. m.
Outlet is a multi-brand retail format, where clothes and footwear of well-known brands are sold with a 15-25% discount. Outlets often present clothing and footwear from previous brand collections. Now in Russia there are six outlets with an area of 113 thousand square meters. m. They are open in Moscow, St. Petersburg and Yekaterinburg.
According to Rosstat, in 2018, real incomes of the population decreased by 0,2%. The indicator has been declining for the fifth consecutive year, with the last time a 4% increase in revenue was recorded in 2013. According to Nielsen, the number of Russians spending on new clothes in the fourth quarter of 2018 decreased by 4 pp, to 32%.
The fall in consumer income, and, as a consequence, a change in the consumer model of behavior is called by analysts one of the reasons for the growth in attendance at outlets. According to Mikhail Vasiliev, Project Manager of Watcom Group, the Shopping Index (number of visitors per 1 sq. M of retail space) in Moscow outlets grew by 2018% in 5. For comparison, the average for shopping centers also decreased by 5%. At the same time, the vacancy rate in large outlets, according to JLL, is currently at 1,3% against 5% in shopping centers.
Another reason is the popularity of the outlet format among foreign tourists, mainly from Asia and the Middle East, these customers make up about 20% of the audience of Outlet Village Pulkovo visitors in St. Petersburg.
The change in consumer behavior has influenced the growth in attendance at outlet stores and triggered an increase in the number of outlets in the country. So in 2019 in Russia ...
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