Business Monitor International


Czech Republic Retail Report

Published 18 June 2014

  • 66 pages
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  • Includes 3 free updated quarterly reports
 
$1,295.00
Czech Republic Retail Report

BMI View: The Czech Republic retail market is forecast to have strong growth over the next four years. The declines seen in the retail sector over the past few years will continue to have an effect in 2014, but BMI predicts that strong growth will follow, beginning in 2015. BMI forecasts nominal GDP in the Czech Republic to increase from US$181bn in 2014 to US$258bn in 2018. This will help lift the retail sector into growth, and BMI projects that total spending in the retail sector will increase from US$94bn in 2014 to US$131bn in 2018, creating opportunities for investment.

The Czech Republic is one of the more developed nations in Central Europe and has the second largest economy in the region, after Poland. As a more mature economy, the Czech Republic faced similar challenges to many other European nations in recent years and the retail sector has been in a state of decline with total spending in the sector dropping from US$113bn in 2011 to a forecasted US$94bn in 2014. However, BMI predicts that 2014 will be the final year of decline, and 2015 will be a turnaround point for both the overall economy and the retail sector. BMI forecasts that the average net income per household will increase from by more than 28% throughout the course of the five-year projection period from US$17,092 in 2014 to US$23,960 in 2018. This increase in consumer spending power will have a positive effect on the retail sector which we forecast will increase by 7.4% in 2015 and continue this positive growth, increasing by 28% to US$131bn in 2018.

The Czech R epublic is one of the strongest and most stable markets in the region and there is a high concentration of modern retail outlets and foreign operators.

The overall population size of the nation is forecast to increase at a modest 0.3% per year from 2015-2018, creating growth in the market size as well as the per-capita buying power.

The majority of market share continues to go to the headline retail sectors of food & drink,...

Table of Contents

BMI Industry View
7
SWOT
9
Political
11
Economic
12
Industry Forecast
13
Headline Retail Forecast
13
Table: Total Household Spending, 2011-2018
15
Table: Retail Sector Spending %, 2011-2018
17
Table: Retail Sector Spending As A % Of GDP, 2011-2018
18
Table: Headline Retail Sector Spending, 2011-2018
19
Retail Subsectors Forecast
20
Food Drink & Tobacco
21
Table: Food, Drink & Tobacco Spending, 2011-2018
21
Clothing & Footwear
22
Table: Clothing & Footwear Spending, 2011-2018
23
Household Goods
24
Table: Household Goods Spending, 2011-2018
25
Personal Care
26
Table: Personal Care Spending, 2011-2018
27
Household Numbers and Income Forecast
27
Table: Household Data, 2011-2018
28
Table: Labour Market Data, 2011-2018
30
Retail Demographic Forecast
31
Table: Total Population, 2011-2018
32
Table: Population: Babies, 2011-2018
33
Table: Population: Young Children, 2011-2018
33
Table: Population: Children, 2011-2018
33
Table: Population: Young Teens and Older Children, 2011-2018
34
Table: Population: Young People, 2011-2018
34
Table: Population: Older Teenagers, 2011-2018
34
Table: Population: 21yrs +, 2011-2018
35
Table: Population: Young Adults, 2011-2018
35
Table: Population: Middle Aged, 2011-2018
35
Table: Population: Urban, 2011-2018
36
Macroeconomic Forecasts
37
Table: Czech Republic - Economic Activity
41
Industry Risk Reward Ratings
42
Central And Eastern Europe Risk/Reward Ratings
42
Table: Europe Risk/Reward Ratings
42
Industry Risk/ Rewards Ratings
43
Industry Risk/Reward Ratings
43
Rewards
43
Risks
43
Market Overview
44
Store Formats
46
Retail Subsectors
46
Tourism
48
Competitive Landscape
49
MGR
49
Home Improvement
51
Consumer Electronics
52
Pharmacies
52
Glossary
53
Methodology
60
Industry Forecast Methodology
60
Sources
63
Risk/Reward Rating Methodology
63
Table: Retail Risk/Reward Ratings Indicators
65
Table: Weighting Of Indicators
66

The Czech Republic Retail Report has been researched at source and features Business Monitor International (BMI)'s independent assessment and forecasts for the retail sector. The report examines key drivers of retail sales growth and future prospects, including consumer spending and private sector investment.

BMI's Czech Republic Retail Report also examines the level of development and potential for growth of the retail sector, the commercial initiatives of major players, changing consumer demographics that influence demand and the regulatory environment. Key sub-sectors include mass grocery retail, autos, over-the-counter pharmaceuticals, computers and consumer electronics.

Key Benefits

  • Benchmark BMI's independent retail industry forecasts for Czech Republic to test other views - a key input for successful budgeting and strategic business planning in the Czech retail market.
  • Target business opportunities and risks in Czech Republic through our reviews of latest industry trends, regulatory changes and major deals, projects and investments.

Coverage

BMI Industry View

Summary of BMI’s key forecasts and industry analysis, plus a discussion of major industry developments and a snapshot of key short-term demand-driving macroeconomic movements.

Industry SWOT Analysis

Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the retail sector and within the broader political, economic and business environment.

BMI Industry Forecasts

There are four separate 5-year forecast modules in the retail reports. These are:

Headline Retail Forecast: Total Household Spending, (US$bn and local currency, % growth, % GDP, per capita, per household); Spending by Retail Sector for: food and non-alcoholic drink, alcoholic drink, clothing and footwear, housing and utilities, furnishings and home, health, transport, recreation, education, transport, restaurants and hotels, personal care and insurance (US$bn and local currency, % growth, % GDP, % of total spending)

Retail Sector Forecast: Breakdown of Food, Non Alcoholic Drink, Alcohol, Tobacco, Clothing, Footwear, Household Goods, Furnishings, Appliances, Glass and Tableware, Household Textiles, Consumer Electronics, Garden Toys and Pets, Home and Garden tools, Personal Care, Personal Effects Spending (US$bn, % Growth);

Household Income and Numbers Forecast: Number of Households (‘000,% growth); gross income per household and per capita; net income per household and per capita; tax and social contributions per capita; breakdown of household incomes – US$5000+, US$10,000+ US$50000+ (‘000, % of total); labour force, employment and unemployment (‘000, % change)

Demographic Forecast: Total population; Babies 0-12 months; Young Children 0-4yrs; Children 5-9yrs; Young Teens and Older Children 10-14yrs; Older Teens 15-19yrs; Adults 21yrs +; Young Adults 21-29yrs; Middle Aged 40-64yrs (‘000, % growth, male, female); Urban Population (‘000, % population); Rural Population (‘000, % population).

Industry Risk Reward Rankings

BMI’s Retail Industry Risk Reward Rankings provide a country-comparative Risk Reward Rankings index aimed at investors in the regional retail market.

The rankings methodology makes sophisticated use of over 40 industry, economic and demographic data points.

Market Overview

Provides a detailed country-specific analysis of the key trends and developments in the retail sector as a whole, as well as an assessment of the main drivers affecting the major retail segments including mass grocery retail, fashion, pharmacies, consumer electronics, home improvement and personal care.

The market overview also considers the most effective store formats in a given country and the impact of these factors on the main international and domestic players’ development strategies.

Competitive Landscape

This provides a brief overview of the key players in each subsection of the retail sector including MGR, Fashion, Home Improvement, Consumer Electronics, Pharmacies, and Department Store chains.

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Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc