Retail Opportunities In Emerging Markets Are Limitless.

Speaking of emerging market retail opportunities, Asia is like a jacket, and China is like a crown jewel.

According to the A.T.Kearney global retail development index report, although the economic returns of China's retail industry have been in a doldrums during the past more than 20 years, it suddenly broke out last year, with a growth rate of 11.6%.

Generally speaking, economists think that the growth of retail trade between 3% and 5% has been very strong.

The survey is based on the analysis of 24 retail segmentation and economic indicators of 30 countries in the global emerging market, and China, which has never won the first in five years, has won the top spot in the report ranking.

This year's report also includes the analysis of luxury brands' attention, and analysts classify different countries based on the status of luxury brands in every market.

In the overall rankings, analysts pointed out that in the next seven years, China

It is expected to grow to $8 trillion, which will be two times that of the United States.

The analysis also shows that although Asia has experienced economic recession earlier, it will still achieve the best performance in the intercontinental area.

As the news headlines prove, emerging markets have gone through harsh experiences.

A.T. Kearney partners and GRDI co editor Mike Moriarty said, "because of the economic turmoil in the Middle East, Latin America and Russia, companies over the past year have chosen to be more cautious about deciding to expand globally in these developing markets.

Retailers, however, hold a long view of emerging markets. They will not quit the market, but will more selectively invest in growth areas.

In China, the authors say retailers are "adapting to slowing economic growth."

This adjustment focuses on the strategic readjustment of market share and profitability. It is obvious that many brands have closed shop due to the reason of "optimizing the store portfolio" in recent years.

Last year, the number of leading brands in the market closed by about 200, while in 2013 only 35 were closed.

Most closed

They are chain supermarkets and department stores.

And when it comes to specialty stores and luxury stores, the situation is quite different.

Investigators say Apple Corp will continue to expand its stores in the next two years with the goal of expanding from 15 to 40.

At the same time, the fast fashion growth bubble is on the verge of collapse.

The global fast fashion retailer opened 264 new stores in 2014, including 80 UNIQLO stores, 60 H&M stores and 16 Zara stores, the authors said.

Luxury brands are still insisting on the pace of expansion, though some believe they will curb demand because of China's anti vanity consumption policy.

Hermes has opened fifth Maison Herm s in Shanghai, and Lian Crawford has opened third stores in China in Chengdu.

At the same time, the Asian region is experiencing a strong wave of electricity suppliers.

The electricity market in the region reached US $525 billion, more than US $483 billion in North America.

The author said, "with the popularity of the Internet and innovation of e-commerce products, the brand turnover of Asian e-commerce will grow at an annual rate of 25%.

In the next few years, online channels will continue to be the focus of retailers' business. "

For other regions, social and economic fluctuations have always been a key issue.

The authors said, "for example, in the Middle East and Latin America, social turbulence has made brands cautious about international expansion in the region, but at the same time, there will not be a large number of retailers withdrawing from the market."

The author also adds that Russia is an exception, which is influenced by "high political risk", leading to "quite a lot of brand closes or making a thorough decision to withdraw from the market, such as Adidas, franchisee Maratex and Mexx".

Further analysis, analysts pointed out that retailers have increased their awareness of emerging markets and know how to operate in the context of "economic and political trend turbulence".

In terms of luxury goods, the authors say it is important for brands to enter emerging markets, which account for 30% of the global luxury market.

A.T. Kearney partners and GRDI co editor Hana Ben-Shabat said, "luxury goods can still shine in emerging markets, because the rich here are more vulnerable than the average person to the economic crisis."

On the basis of

Under the admission, the report divides the country into three categories.

The first category is the "mature market". There are 11 to 15 brands, and the countries under the category are: Brazil, China, Kuwait, Malaysia, Qatar, Russia, Saudi Arabia, Turkey and Arabia, the United Arab Emirates; the next category is the "middle market", with 6 to 10 brands, including Azerbaijan, Columbia, Jordan, Kazakhstan, Mexico, India, India, India and stock; the last category is the "emerging luxury market", and 5 brands are stationed. The countries under this category include:,, Chile, Turkey, Malaysia, Turkey, Arabia, and Sri Lanka.

The report points out that the developed countries such as China and the United Arab Emirates will have lower risk in the luxury market, but at the same time they will also focus more on competitiveness.

"In an intermediate market like India, brands need to actively build their own brands and are ready to seize the opportunity to become top brands.

For those emerging markets that are more willing to break through, if they can overcome their initial difficulties, they will gain greater benefits in the long run. "