Los Angeles – April 13, 2011 – Emerging markets are benefiting from the sluggish recovery as international retailers target economies with the best growth prospects and those least likely to be affected by fiscal austerity measures, according to the 2011 edition of How Global is the Business of Retail? by CB Richard Ellis Global Research and Consulting.
CBRE’s annual survey—now in its fourth year—maps the global footprint of 300 of the world’s top retailers across more than 200 cities to identify trends in global retail expansion at national and local level. The report found that emerging markets are attracting an increasing number of international retailers and are competing with global retail centers, with Dubai climbing CBRE’s rankings to share the top position as the most targeted destination with London.
According to the report, American retailers are the most global, with 73% being present in all three regions. This compares with 45% of retailers from Europe, Middle East and Africa (EMEA) and 26% of those from Asia Pacific.
Dubai and London are followed in the top retail city rankings by the established markets of New York (44.3% of international retailers), Paris (43.6%), and Hong Kong (40.6%), which clearly still hold global pulling power. The composition of the rest of the top 20 comprises a mix of traditional and emerging markets providing an indication of how global the international retail business really is.
“Historically many U.S. retailers have been reluctant to adopt the retail franchise model,” said Anthony Buono, CBRE’s Executive Managing Director of Retail Services. “But with emerging markets continuing to show greater prospects for growth than the U.S., retailers are readily adopting franchising as a near-term strategy, to make inroads into the Middle East, South America and Asia Pacific.”
Attracting more than half (56%) of all international retail brands surveyed, Dubai now equals London as the most popular retail city in the world. With 1.2 million square meters of retail space having come on to the market since 2006, a wealthy consumer base, and very little competition from local retailers Dubai’s stature as a key destination for international retailers has grown quickly. A further trend has been an influx of U.S.-based retailers in the last 18 months.
To obtain a copy of the report, please contact Larry Koestler at Lawrence.firstname.lastname@example.org.
About CB Richard Ellis
CB Richard Ellis Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services firm (in terms of 2010 revenue). The Company has approximately 31,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide. CB Richard Ellis offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our Web site at www.cbre.com.