A ‘safe’ Russian launch-pad for retailers


May 29, 2014 | By RetailME Bureau

If you wish to enter the Russian market and expand, sign a tenancy agreement with Ikea and set up shop in any of its 14 ‘Mega’ branded shopping centres. That’s the message Ikea Shopping Centres Russia, part of the Sweden-based Ikea Group, seeks to put across to international retailers keen to cash in on a consumer market with high potential and high purchasing power.
That potential is reflected in the statistics. Russia is Europe’s largest consumer market with an annual retail turnover of $690 billion in 2012 and an estimated $730 billion in 2013. The country has 15 cities with a population of over one million people and another 25 cities with a population of over 500,000.

So Ikea’s is a message international brands may want to seriously consider, given the fact that the Russian market is notoriously difficult to enter, with bureaucracy and local customs that are tough to navigate. Ikea SCR, which develops, owns and manages shopping centres throughout Russia, hopes to change this perception by offering easy passage via its Mega shopping centres.

“We offer a safe launch platform to foreign retailers looking to enter the country. Our shopping centres offer retailers international standards in a familiar environment, and we can give them initial advice on operating in the country,” says Armin Michaely, general director, Ikea SCR.

“Our experience and success in running shopping centres for our tenants is reflected in the exceptional 10% increase in tenant sales turnover in 2013, and 67% growth over the last five years. Our centres are located in Russia’s 11 largest cities, so retailers can quickly build a presence across the country in key regional cities as well as Moscow and St Petersburg,” he adds.

Comments

comments

Previous Article Next Article

SHARE

YOU MAY ALSO LIKE /



Employee retention has been on every company’s minds, especially since the fears 

Continue Reading

August 16, 2022 | By Shruthi Nair

The Frozen Chicken’ as Spinneys was fondly referred to back in the 

Continue Reading

August 8, 2022 | By Shruthi Nair

Veppy.com, a Q-Commerce marketplace startup just announced their go live date in the 

Continue Reading

July 20, 2022 | By Justina Eitzinger

GMG, a global well-being company retailing, distributing, and manufacturing a portfolio of leading 

Continue Reading

July 19, 2022 | By Justina Eitzinger

Lulu Group International recently introduced the world’s first AI-powered Food Delivery Robot 

Continue Reading

May 9, 2022 | By Shruthi Nair

Eid Al-Fitr is an occasion to gather with your friends and family 

Continue Reading

April 29, 2022 | By Zubina Ahmed

Leading retailer LuLu Group further strengthened its presence in the Emirate of 

Continue Reading

April 28, 2022 | By RetailME Bureau

Jones the Grocer, the Australian gourmet grocer and café chain, announces further 

Continue Reading

April 28, 2022 | By RetailME Bureau

What is a perfect healthy snack for Ramadan? An assortment of  dried 

Continue Reading

April 14, 2022 | By Zubina Ahmed

With Ramadan almost at it’s first week, we are wondering where can 

Continue Reading

April 6, 2022 | By Zubina Ahmed

In spirit of the holy month, Amazon announced that it will contribute 

Continue Reading

April 5, 2022 | By RetailME Bureau

As consumer behaviour is changing and the demand for delivery is expanding, 

Continue Reading

March 30, 2022 | By Shruthi Nair




f
Download Images RetailME Magazine