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Dubai ranked 4th attractive shopping destination worldwide

May 2016

May 26, 2016 | 9:30 | Dubai

JLL’s released report ‘Destination Retail’, shows 50 major global cities have risen to the top of the list for mainstream, premium and luxury retailers’ expansions. While the list is dominated by cities in Asia Pacific, the Middle East comes in strong, propelled by an ever-increasing array of international retailers with Dubai and Kuwait City making it in the top 10 destinations globally.

Exhibit 1

As per James Brown, Director of Global Retail Research for JLL, “Structural change is sweeping the retail industry as technology and e-commerce platforms become more sophisticated; however, demand for the right physical space, in the right location, is stronger than ever. Borders are becoming less of an issue for retailers pursuing opportunities overseas and we’re seeing the global retail landscape shifting fast to accommodate the change.”

Middle East highlights:

  • Cities including Dubai, Kuwait City, Abu Dhabi, Jeddah and Riyadh are emerging as business and travel hubs, and are increasingly catching the eye of global retail brands.
  • The cities’ strong in-place tourism plays an important role in increasing the flow of foreign money, a key driver for retail spend.
  • The markets each have large quantities of affordable retail space, supported by franchise structures, which present viable options for international retailers and reduce their operational risk at entry.
  • Additionally, the domestic retail market in the Middle East is not as mature as other regions, allowing international brands to enter without too much competition from domestic brands.
  • The report finds that pent up shopping demand across the region has spurred some of the highest sales volumes for retailers.

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