CUSHMAN & WAKEFIELD ESG REPORT 2022
Bucharest, November 2022: In 2021, the large retail chains recorded a cumulative turnover almost 20% higher than the corresponding one for 2019 (the last fully operational pre-pandemic year), an increase 60% above the consumption growth rate pertaining to the last two years (12.5%), and over the total inflation registered in the 2020 – 2021 period (7.8%), according to the Romania Retail Snapshot study produced by Cushman & Wakefield Echinox.
The study analyzed the turnover evolution of 110 retail companies operating in 12 different retail market segments, namely FMCG, Fashion, DIY, Sports, Footwear, Kids and Toys, Jewelry, Home & Deco, Food and Beverages, Cosmetics, Electro-IT, Specialized Stores. Together, the 110 retailers in question had more than 6,000 stores, located mainly in shopping centers, retail parks, and commercial galleries.
The surveyed retailers registered a cumulative turnover of 27.5 billion euros in 2021, compared with 22.9 billion euros in 2019 and with 24.8 billion euros in 2020.
The turnover increase reported by the large retailers was sustained both through expansions and also organically, as a result of the consumption recovery in 2021, a recovery which was felt in physical stores despite the pandemic related restrictions and also in terms of the online sales growth.
Dana Radoveneanu, Head of Retail Agency, Cushman & Wakefield Echinox: “The overall appetite for consumption in Romania has encouraged the major retailers to open new stores during the last two years and also to put a strong emphasis on the e-commerce development in order to offer shopping experiences through each and every sales channel. This was reflected in the 2021 turnover dynamics, and will mostly likely also favor the 2022 results, given that most of the analyzed retailers forecast record numbers for this year, even in a context of inflation increases and a general slowdown of consumption.”
Out of the analyzed categories, only the shoes store operators have reported a decrease in turnover in 2021 compared with 2019, as all the other retail segments recorded growth rates between 8.4% and 39.7%, all over the corresponding inflation rate for the period.
The largest turnover increases were registered by Electro – IT retailers (39.7%), DIY (26.4%), Specialized Stores (pet shops, newspapers, tobacco sales points, pharmacies, etc) (22.9%), Sports (19%) and FMCG (18.1%).
Cushman & Wakefield Echinox is a leading real estate company on the local market and the exclusive affiliate of Cushman & Wakefield in Romania, owned and operated independently, with a team of over 80 professionals and collaborators offering a full range of services to investors, developers, owners and tenants.
Cushman & Wakefield, one of the global leaders in commercial real estate services, with 50,000 employees in over 60 countries and $ 9.4 billion in revenue, provides asset and investment management consulting services, capital markets, leasing, properties administration, tenant representation. For more information, visit www.cushmanwakefield.com