The high growth period for luxury retailers in Asia Pacific, mainly driven by Greater China, is gradually coming to an end as weaker retail sales, surging operational costs and over-saturation prompt retailers to consolidate their existing store networks and slow their rate of entry into new markets.
However, CBRE Research has identified several emerging trends which are set to provide the sector with a fresh source of leasing demand and partially offset some of the negative effects arising from the slowdown.
This report identifies and analyses three key trends: the emergence of affordable luxury brands; the inclusion of F&B in luxury retail stores; and the growth of the luxury childrenswear segment. It then goes on to explain how retailers and landlords alike can benefit from the projected growth in these market segments.
The report also discusses how the ongoing slowdown – combined with these new trends – is already impacting luxury retailers’ real estate requirements and resulting in new, and in some cases, weaker, demand for different types of retail property.
|Henry Chin, PH.D.
Head of Research, Asia Pacific
+852 2820 8160
Manager, Research Asia Pacific
+852 2820 6557
Head of Retailer Representation
+852 2820 2803
Retail Services Group Australia
+61 2 9333 3396