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Report: Luxury Brands Continue to Rein In China Expansion as Malls Shift to ?Retailtainment?

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Report: Luxury Brands Continue to Rein In China Expansion as Malls Shift to ?Retailtainment? Report: Luxury Brands Continue to Rein In China Expansion as Malls Shift to ?Retailtainment?

Report: Luxury Brands Continue to Rein In China Expansion as Malls Shift to ?Retailtainment?






China’s malls continue to expand as not only a place to shop, but a place for consumers to gather for entertainment. (Shutterstock)
Changes in China?s retail landscape continue to reflect the extent to which online shopping has altered the way Chinese consumers interact with brick-and-mortar stores. E-commerce?s continued influence?combined with China?s economic slowdown and major geopolitical developments over the past year?is leading luxury retailers across Greater China to become much more selective, agile, and efficient when it comes to managing their brick-and-mortar portfolio.
A new report by real estate services company CBRE says that in order to stay ahead in 2017, brick-and-mortar luxury retailers will continue to refrain from the over-expansion that was common for brands several years ago, and will instead focus on consolidating their locations to target consumers in ?core areas.? In these core areas, brands are expected to expand their flagship spaces, rather than total store count, putting more emphasis on brand experience. Meanwhile, more will likely close stores in other areas to ?increase sales efficiency.? In fact, consumer experience will continue to be a leading driver for shopping mall landlords and retailers this year, according to CBRE?s 2017 Asia Pacific Real Estate Market Outlook report. Pushed by e-commerce trends?by 2020, e-commerce sales are expected to jump from 15 percent to account for 24 percent of the retail market share in Asia Pacific...
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Report: Luxury Brands Continue to Rein In China Expansion as Malls Shift to ?Retailtainment? Report: Luxury Brands Continue to Rein In China Expansion as Malls Shift to ?Retailtainment?

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Source of news: thetoptier
Source of publication: 05-02-2017 21:52
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