Department store sales growth set to double

Sales growth at department stores will double over the next five years, according to research from retail analysts Verdict. 

The global department store market will see sales rise 17% by 2012, more than twice the increase over the previous five years.

Consolidation in the sector, greater investment to attract aspirational brands, and store openings and retail expansion of department store chains will contribute to the increase, the research says.

According to Verdict, Marks & Spencer's market share has dropped from 4.3% in 2002 to 4.2% last year. US-based department store Macy's has seen the biggest growth in global market share, up to 8.7% in 2006 from 5.5% in 2002.

Verdict predicts that by 2012 Europe will have 22.5% of the world's department stores, compared to North America, which will have 40%, and Japan, which will have 20.3%.

China and India will also see department store retailing develop, the report says.


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