Germans’ 2018 purchasing power will rise to €22,992 per person according to the GfK study released today. This amounts to a nominal per-person increase of 2.8 percent, or €633.
Inhabitants of New Zealand have an average of approximately €100 per person for spending on watches and jewelry. This is one of the results of the study "GfK Purchasing Power for Retail Product Lines 2017," which is now available. But the purchasing power for watches and jewelry differs substantially from region to region.
"We're very pleased with the territory optimization and already experienced positive results shortly after the implementation.“
Europeans have an average of €13,937 available for spending and saving in 2017, according to the latest GfK study. But this purchasing power is very unevenly distributed. First-ranked Liechtenstein has €63,267 per person, while the Ukraine has just €949 per person. Widely varying conditions also await retailers and manufacturers within individual countries. For example, the top-ranked Polish district of Warszawa has €12,473 per person, while last-ranked district Przysuski has just €4,152 per person. These and other insights from the study give retailers and manufacturers the ability to pinpoint the best regions to sell and market their products.
Europeans have an average of €13,937 per person available for spending and saving in 2017. This is one of the many results of GfK's newly released study, "GfK Purchasing Power Europe 2017". The available net income among the researched 42 countries varies enormously: Liechtenstein, Switzerland and Iceland have the highest average purchasing power, while Belarus, Moldova and the Ukraine have the lowest.
GfK has released its Europe Map Edition 2017/2018, which includes thousands of updates to the previous year's edition. The digital maps reveal Europe's current administrative and postcode boundaries. As such, they provide the basis for carrying out accurate geographic analyses in geomarketing software and BI systems.
Online retail comprises a significant component of retail trade in Germany. For retailers and manufacturers looking to enter new market regions, it's important to evaluate potential for both fixed-location and online retail, as these two indicators often deviate. This month's map illustrates the 2017 online spending potential for books and stationery in Germany. GfK offers retailers detailed data on fixed-location and online spending potential for numerous product lines. These insights make it possible to optimize online and brick-and-mortar sales and marketing based on the regional market potential for these channels.
GfK recently updated its digital maps of Russia. The maps offer up-to-date coverage of the boundaries of Russia's administrative and postal regions. As such, they provide a reliable foundation for geographic analyses of market and company operations across all industries.
Retailers and manufacturers face the continual challenge of positioning their products in the market regions where they are most wanted. Our 2017 data on retail purchasing power illuminates the areas of Germany with the highest spending potential for various product lines. As an example, our map of the month shows the hotspots for home improvement products in Germany, including Hamburg, Frankfurt, and areas in the federal states of Bavaria, Saarland, and Rhineland-Palatinate. Retailers and manufacturers of home improvement products can use these insights to tap more market potential.
Growth in sales area productivity (gross retail turnover per m2) is an important gauge of market health for retailers looking to expand to new regions. In 2016, sales area productivity grew by 0.9% in the EU-27 (this excludes the UK due to the exchange rate disparity). Luxembourg, Switzerland, Norway, and Sweden top the rankings, but retailers can also prosper in countries with lower values, but less market saturation. Various factors influence sales area productivity, including retail format, brand strength, location quality, competitor presence, and the available purchasing power of the population.
Europe's largest and most developed economies offer fruitful conditions for retailers, but they can also be fiercely competitive, and in some cases, are near saturation. Results from GfK's recently released European Retail Study bear this out: As a general rule, the greatest growth in brick-and-mortar retail turnover for 2017 is forecasted for mid-sized European markets, such as the Ukraine (+12.3%), Romania (+9.8%), Norway (+6.2%), Hungary (+5.7%), Estonia (+5.5%), and Poland (+5.3%). By contrast, projected growth for the larger economies such as Germany (+1.0%), Italy (+1.2%), France (+2.0%), and Spain (+2.9%) is much more modest. These insights help retailers pinpoint new opportunities for expanding their market share. GfK's Map of the Month for July illustrates these forecasted 2017 growth rates for retail turnover in Europe.
Digital technologies have changed the way consumers approach driving, from automated parking and steering to monitoring car stats via digital devices. This evolution has affected every aspect of the retail and market scene. Today's techno-savvy consumers use apps and social media to feel a sense of belonging and connectedness. These expectations also apply to the automotive industry.