SA has ranked 32nd in a report by CB Richard Ellis (CBRE) on how active retailers are expected to be in EMEA (Europe, the Middle East and Africa) during 2012, Broll Property Group, part of the CBRE affiliate network said on Monday.
“SA is being targeted by 7% of retailers surveyed, up from 4% in 2011. This places SA at number 32 on the rankings of retailer hotspots, up from 37th place in 2011,” said Sanett Uys, GM research and marketing at Broll Property Group.
No other sub-Saharan country was placed in the top 40 retailer hotspots.
CBRE's annual research report, titled “How Active are Retailers in EMEA?” revealed that retailers were targeting a wide range of countries in both mature and emerging markets in 2012, but were largely focused on opening stores in countries where they already had a presence, a similar strategy to that adopted in 2011.
“Nearly three quarters or 71% of international retailers are planning to open more than five stores in the EMEA region by the end of 2012, with 20% of retailers looking to open 40 stores or more in 2012 compared to 18% in 2011,” Uys said.
For the first time, Italy lead the way as the most targeted country for retailer expansion moving up from eighth place in last year's rankings.
It was followed by Germany, Russia, Spain and France to make up the top five 2012 retailer hotspots, with more than 30% of retailers targeting each country.
More than half of retailers said they were aiming to open stores in new cities, but in markets in which they already have a presence, a similar proportion to last year.
The number of retailers planning to open additional stores in existing cities was also up from 9% last year to 17% this year, as retailers focus on the markets they know best.
“Retailers have had to cope with a more challenging consumer market than expected in 2011 and adopting a cautious approach to expansion has proved to be a sensible call.
“The eurozone crisis has affected investment decisions in all industries, with retail no exception; however, this has not stopped retailers seeking new opportunities in 2012. Far from it, expansion plans for 2012 are just as extensive as they were in 2011,” Uys commented. - I-Net Bridge