Key trends and developments of Eastern European …...Key trends and developments of Eastern...

Euromonitor International ©Key trends and developments of Eastern European FMCG markets

Key trends and developments of Eastern European FMCG

markets

Ivan UzunovSenior Research Analyst Euromonitor International


Outline

� About Euromonitor International

� Global retail market overview

� Focus: Romanian retail market

� Future developments

� Learning Historical Lessons

� Winners and Losers

Go

Go

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About Euromonitor International


Euromonitor International

� A trusted business intelligence source

� Helping clients make informed decisions

� Consumer-focused: industries, countries, consumers

� Subscription services and custom research

� 600 analysts in 80 countries

� Regional research hubs and industry specialist

client support teams

Custom research

Passport

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Our research approach

Consistent methodology for all countries

Concurrent international level

research

Benefits from close client relationships

In-depth research in each country:

published data, opinion, analysis

Multiple sourcing for accuracy, perspective

and insight

Rigorous data validation and cross country checks

Comparable definitions and coverage

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Global retail market overview

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Global Retailing market performance in 2008

Eastern Europe

US$ 663 billion

Growth 18%

Latin AmericaUS$ 786 billionGrowth 16%

Middle East and AfricaUS$ 468 billionGrowth 9%

AustralasiaUS$ 209 billionGrowth -11%

Western EuropeUS$ 3,440 billion Growth 8%

North AmericaUS$ 2,880 billionGrowth 2%

Asia PacificUS$ 2,725 billionGrowth 11%

*Current Retail Value RSP excl Sales Tax 7


Global Retailing market performance in 2008

Ukraine

US$43 billion

Growth 24%

PolandUS$97 billionGrowth 4%

Czech RepublicUS$35 billionGrowth 8%

SlovakiaUS$19 billionGrowth 18%

BulgariaUS$11 billion Growth 12%

RomaniaUS$31 billionGrowth 13%

HungaryUS$35 billionGrowth 8%

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Trends 2008: Developed Markets

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Trends 2008: Emerging Markets

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Europe: RSP growth 2000-2008

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Retail Formats Development: % of total grocery retail sales

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Focus: Romanian retail market

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Romanian retail trade in figures

Store based retailing:

� Non store retailing:

Data Type Unit 2008 Growth 07/08

Outlets outlets 137,895.00 0.56%

Selling space '000s sq m 8,238.29 4.85%

Retail RSP ex VAT (curr, local) Million Local Currency 72,867.09 13.73%

Data Type Unit 2008 Growth 07/08

Retail rsp ex VAT (curr, local) Million Local Currency 2,105.11 23.97%


Trends 2008: Romania

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Competitive landscape

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Future developments

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Crisis outlook

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Crisis outlook


Learning Historical Lessons

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Western European Crisis 2002-2004

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Argentina Crisis 1999 – 2002

0.0

20,000.0

40,000.0

60,000.0

80,000.0

100,000.0

120,000.0

0.0

50,000.0

100,000.0

150,000.0

200,000.0

250,000.0

300,000.0

350,000.0

1999 2000 2001 2002 2003 2004

An

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ilin

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ale

s (A

RS

mn

)

Sales in retailing hit by fall in dispoable income

Annual disposable income Retailing

-40.0

-20.0

0.0

20.0

40.0

60.0

80.0

1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08% Growth

Sales growth erratic during and following downturn year

Supermarkets Small grocery retailers

Health and beauty specialist retailers Clothing and footwear specialist retailers

Electronics and appliance specialist retailers

Sales in Retailing hit by fall in disposable income

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Winners and Losers

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Past Crises: Winners and Losers

•Hypermarkets•Supermarkets•Discounters•Internet retailing

•Home and garden retailers•Leisure and personal goods retailers•Clothing and footwear retailers•Electronics and appliance retailers•“Traditional” retailers

LoosingWinning

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Winners and Losers of 2008/2009

• Internet retailers

• Electronics and appliance specialist retailers

• Leveraged retailers

• Grocery retailers

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Q&A

Ivan Uzunov

Euromonitor International – Eastern Europe

e-mail: [email protected]

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Key trends and developments of Eastern European …...Key trends and developments of Eastern...

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