Some 17 international retail brands have announced plans to enter the Russian market this year in an environment of increasing competition combined with low growth in retail sales.
Some 17 international retail brands have announced plans to enter the Russian market this year in an environment of increasing competition combined with low growth in retail sales.
In its report on the Russian real estate market, CBRE said the key feature of the Moscow retail market in 2013 was decreasing consumer activity in the end of the year. Worsened expectations and existing credit activity constraints may lead consumers to switch to lower price segment goods.
Thirty three new brands opened their stores in Moscow in 2013. 24 new retail chains that entered Moscow market in 2013 opened their stores in shopping malls. This trend was taken mostly by fashion retailers. The majority of new international brands opened their stores in such shopping and entertainment centres as: Afimall City, Mega Belaya Dacha, and Atrium.
According to CBRE, 60% of international chains that entered Moscow market were European by origin, 35% were from the US, and 5% were the two Japanese brands: Marukame and Miki House. Several Russian chains had also introduced their first stores in Q4 2013. Fashion retailers Lexmer, Funday, and Bella Potemkina are among them. 17 international brands have already announced their plans to enter Moscow market by the end of 2014.
