Gulf retailers 'facing new stores setback'.MANAMA: Although there are still some opportunities in new districts or in smaller cities for further retail development in the GCC GCC: see Gulf Cooperation Council.
(compiler, programming) GCC - The GNU Compiler Collection, which currently contains front ends for C, C++, Objective-C, Fortran, Java, and Ada, as well as libraries for these languages (libstdc++, libgcj, etc). , the potential for new store openings is inexorably decreasing.
Currently, it does not stop competing retailers from continuing to open a high number of new stores but the risk is that additional supply outpaces the market growth in the coming years, with new stores cannibalising existing ones, and retailers facing significant challenges to maintain their sales per square metre Noun 1. square metre - a centare is 1/100th of an are
centare, square meter
area unit, square measure - a system of units used to measure areas and their profit, according to according to
1. As stated or indicated by; on the authority of: according to historians.
2. In keeping with: according to instructions.
3. research by consultancy Bain & Company.
"As the existing retail concepts mature, retailers will need to innovate to achieve a sustainable profitable growth," said Bain & Company Middle East chairman Jean-Marie PAan.
"The comparison between the state of development of the GCC retail industry and that of more established markets like the US suggests there are several areas for innovation.
"First, winning retailers will innovate in their existing formats.
"To do so effectively, retailers will need to invest in understanding their shoppers and in adopting a more segmented approach.
"As a first step in this direction, many retailers in the GCC such as Jarir, Landmark and MAF MAF
macrophage activating factor. Carrefour have recently launched loyalty programmes to better understand their shoppers," he said.
"The next step will be to tailor their offerings and promotions to the needs of the customer mix living in the catchment area catchment area or drainage basin, area drained by a stream or other body of water. The limits of a given catchment area are the heights of land—often called drainage divides, or watersheds—separating it from neighboring drainage of each store. This segmented approach is still in infancy in the region.
"But retailers also need to consider seeding new sources of growth, outside of their existing core business," he added.
"There is a significant scope for innovation in format, brands and geographies.
In format, the region is still focused on few models including supermarket, hypermarket hy·per·mar·ket
A very large commercial establishment that is a combination of a department store and a supermarket.
a huge self-service store [translation of French , big box specialised retail, and large malls.
"What about modern convenience stores, cash and carry, hard discounters, outlet malls and e-commerce?
All of these globally successful concepts are still vastly under-developed in the region.
"Besides, despite the high number of brands available in the region, there are still significant gaps in some market segments," he said.
"For instance, in fashion, low-end and high-end international brands are extremely well represented but there are few medium-end brands available.
"Another area for opportunityis the region's stores offer few local brands.
"GCC retailers also have a tremendous potential for innovation in their core and adjacent businesses," he said.
"Capturing this potential will require a focused strategy as well as the development of a stronger organisation able to manage a more complex business model," he added.
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