Trend Report Fashion Discounter 2018

Whether in 1a inner-city locations, in shopping malls or local supply and retail parks: Textile discounters can be found everywhere.

The market for textile discounters continued to have a positive development in the last few years. Almost all important competitors were able to increase their turnover the last couple of years. This also lead to a further expansion of the branch network of textile discounters.

Due to major differences of the concepts between the individual chains, it is difficult to put them in special categories. However, it can be noticed that tenants like C&A, Primark and H&M are mainly found in 1a locations and shopping malls, while tenants like Takko, Kik, Ernsting’s Family are found in 1a locations, retail parks as well as in local supply parks.

The trend towards online commerce is becoming more and more important in the textile sectors and increasingly takes away turnover shares from the stationary commerce. Textile discounters try to counteract this trend by offering their own distribution channels over the internet.

The investment interest in retail properties is still high. Due to the low offer of retail properties, the investment volume decreased in 2017 compared to the prior year. Market participants currently prefer retail parks with a supermarket or hypermarket. As long as the European Central Bank (ECB) clings to the low interest rate policy, we can assume a stable or even a rising demand for retail investments. A further but slight decline can be expected for yields as well.