In 2010, Russian retail market recovered after the economic slowdown observed in the previous year and increased by 12.6% to RUB 16.4tr ($541bn). However, the latest PMR report „Retail in Russia 2011 – Regional focus. Market analysis and development forecasts for 2011-2013” shows that particular regional retail markets still reveal differences in their development due to their unique nature and local characteristics.
Being the smallest and the most populous region of Russia, the Central Federal District remains the largest retail market in the country, accounting for 34% of country sales in 2010. The majority of the largest retailers in Russia originate from Moscow, which gives the Central Federal District the special status of the region accommodating the leading domestic operators as well as foreign retailers establishing their presence in Russia.
In dollars, retail market in Russia gained 80bn in 2010, of which 60bn excluding an effect of exchange rates. The majority, i.e. more than one-third, was worked out in the Central Federal District. The Southern and Volga Federal Districts contributed to the Russian growth evenly. Owing to these three districts, the Russian retail market gained nearly $57bn in 2010.
The expectations of local retail operators regarding future development after the financial crisis vary considerably depending on the retail sector. Thus, in grocery retailing the financial crisis has stimulated market consolidation. The segment witnessed many takeovers across the country. Generally, according to PMR report, the retailers remain optimistic regarding the future development of the market.
Source: www.freshplaza.com