Nuremberg, 25.06.2024

Luxembourgers have the most money to spend on retail


GfK Retail Purchasing Power Europe is now available

The average retail purchasing power in Europe is 6,517 euros per capita. However, there are significant differences between the 25 analyzed European countries in terms of retail spending: At 12,067 euros per capita, Luxembourgers have the most money to spend in the retail sector. Romania, on the other hand, has the lowest retail spending potential. There are also strong regional differences within the respective countries. These are some of the results of the newly released GfK study on retail purchasing power in Europe.

The inhabitants of the 25 European countries considered by the study have a total of almost 3.4 trillion euros at their disposal to spend on retail, which corresponds to an average retail purchasing power of 6,517 euros per capita. This puts front-runner Luxembourg, where people have 12,067 euros for retail expenditures, more than 85 percent above the European average. Switzerland and Denmark follow in second and third place. Closest to the average is Germany, where people have 6,667 euros available for their retail spending.

Filip Vojtech, retail expert in GfK’s geomarketing department, explains: “Compared to other European countries, Germany’s retail spending is pretty average. However, if retail purchasing power is set in relation to general purchasing power, German consumers only spend a relatively small proportion of their net income on retail. The situation is similar in Switzerland and the United Kingdom. In many Eastern European countries, on the other hand, a significantly higher proportion of net income is spent on retail, in Hungary it is even more than half. This is mainly due to the fact that people in Eastern Europe have a lower income.”

Retail purchasing power in Europe

 

Ranking

Country

Inhabitants

Per capita retail

purchasing power in euros

European retail

purchasing power index*

1

Luxembourg

660,809

12,067

185.2

2

Switzerland

8,738,791

11,617

178.3

3

Denmark

5,932,654

9,479

145.5

4

Finland

5,563,970

8,711

133.7

5

France

65,834,837

8,634

132.5

6

Sweden

10,521,556

8,352

128.2

7

Norway

5,488,984

8,284

127.1

8

Austria

8,978,929

8,041

123.4

9

Belgium

11,697,557

7,666

117.6

10

Ireland

5,149,139

7,467

114.6

11

Netherlands

17,811,291

7,314

112.2

12

United Kingdom

67,026,292

6,685

102.6

13

Germany

83,237,124

6,667

102.3

 

Europe-25

515,168,467

6,517

100.0

14

Spain

47,475,420

6,017

92.3

15

Portugal

10,467,366

5,892

90.4

16

Italy

58,850,717

5,861

89.9

17

Slovenia

2,116,972

5,612

86.1

18

Croatia

3,862,305

5,318

81.6

19

Slovakia

5,428,792

4,914

75.4

20

Czech Republic

10,827,529

4,753

72.9

21

Hungary

9,599,744

4,572

70.2

22

Poland

37,766,327

4,051

62.2

23

Serbia

6,641,197

3,977

61.0

24

Bulgaria

6,447,710

3,808

58.4

25

Romania

19,042,455

2,986

45.8

Source: © GfK Retail Purchasing Power Europe 2023        * Index per inhabitant: European average = 100

 

Overall, 13 of the 25 countries have above-average per capita retail purchasing power. In contrast, 12 countries have below-average per capita retail purchasing power. Romania brings up the rear with 2,986 euros, which corresponds to just under 46 percent of the average.

However, there are also significant differences within European countries in terms of potential retail spending. A look at the regional distribution in the United Kingdom, for example, shows that retail purchasing power in the western part of London is twice as high as the national average and is even 2.6 times higher than the last-placed region of Sunderland. In general, it can be observed that the regions in and around European capitals often have above-average retail purchasing power. In addition to the UK, this is also the case in France, Hungary and the Scandinavian countries, for example.

 

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About the study:

The study “GfK Retail Purchasing Power Europe” is available for 25 European countries at detailed regional levels such as municipalities and postcodes, along with seamlessly fitting data on general purchasing power, purchasing power for retail product lines as well as inhabitants and households.

GfK Retail Purchasing Power is the part of the general GfK Purchasing Power that can be spent in the retail sector. Purchasing power is a measure of disposable income after the deduction of taxes and charitable contributions, and it also includes any received state benefits. The study indicates per-person, per-year purchasing power levels in euros and as an index. GfK Purchasing Power is based on the population's nominal disposable income, which means values are not adjusted for inflation. Calculations are carried out on the basis of reported income and earnings, statistics on government benefits, as well as economic forecasts provided by economic institutes.

Consumers draw from their general purchasing power to cover expenses related to eating, living, services, energy, private pensions and insurance plans, as well as other expenditures, such as vacations, mobility and consumer purchases.

Additional information
on GfK's regional market data can be found here.

Print-quality images
can be found here.

Press contact: Eva Böhm, T +49 911 395 4440, public.relations@gfk.com


GfK. Growth from Knowledge.

For over 89 years, clients around the world have trusted us to provide data-driven answers to key questions for their decision-making processes. We support their growth through our comprehensive understanding of buying behavior and the dynamics that influence markets, brands, and media trends. In 2023, industry leaders GfK and NIQ have merged to offer their clients unparalleled global reach. With a holistic view of retail and the most comprehensive consumer insights, provided by forward-looking analytics on state-of-the-art platforms, GfK is driving “Growth from Knowledge.” More information is available at www.gfk.com.



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