Michael Kors, New Delhi
After China and India, Malaysia, Kazakhstan and Indonesia are the most promising developing retail markets, according to an A.T. Kearney report.
China and India are predictably the two most markets with the most potential, thanks in large part to their enormous populations, but the APAC region in general is full of promise. With retail sales in developing markets now constituting more than half of global revenue, brands must be precise in determining which developing markets offer the greatest opportunity.
?For general retail, the ability to scale is crucial ? thus why the GRDI has a minimum population cutoff and looks at the number of cities with more than 1 million population in each country,? said Jodie Kassack, study co-author and a consultant in A.T. Kearney?s retail and consumer practice. ?For luxury, the number of high-net-worth individuals is much more relevant. ?While markets attractive for overall retail tend to also be attractive for luxury, there are ?small gems? like Qatar, Panama, or Mongolia that are no longer ranked on the GRDI, but have concentrated pockets of wealth ripe for luxury brands to tap into.?
?The 2016 Global Retail Development Index? ranks on a 100-point scale 30 developing countries with populations of at least 5 million and a GDP per capita of at least $3,000. Rankings were determined by market attractiveness, market saturation, time pressure and country and business risk, with each component also broken down into var...