Loving Outlet Shopping - Value Retail News

More documents

Recommendations

Info

COVER STORY FOCs countercyclical? Proof’s in the numbers By LiNDA hUMPhERS Editor in Chief T he European outlet sector is hungry for numbers. Not a week goes by that IOJ doesn’t get a request from readers for data on turnover, footfall, occupancy, rents and siting strategies. And lately, the big question has been whether outlets really are countercyclical to a down economy, or as Jayson Eagon of Henderson Global Investors prefers to put it, whether outlets are the defensive asset class. Comparison with high street and other shopping center sectors would seem to say “yes” to both, and anecdotally, FOCs are on the sweetheart train. But when an outlet center such as Hornsea Freeport does fall on hard times, the media are quick to put all FOCs under the spotlight. So, there’s nothing like actual numbers to convince the skeptical and educate the uninformed. The most helpful data would come directly from the brands themselves, those brands that operate outlet retail chains. But in Europe, as in the U.S., brands are 4 InternatIOnal Outlet JOurnal Fall 2009 reluctant – and even prohibited – from sharing this information. We understand the reasons. Brands are using the outlet distribution channel for a variety of purposes and often the numbers aren’t broken out by sector. In some cases, the outlet channel is a good place to hide mistakes; in other cases, the outlet channel is so profitable that it makes wholesale divisions shake in their boots. In an effort to supply more of this much-needed data to the industry, three German researchers have issued an extraordinarily in-depth performance report culled from the retail community’s experience with 58 outlet centers in 16 European countries. It’s no surprise that although the authors contacted 150 brands about participating in the survey, just 19 responded. Still, the data appears credible and the authors have generously allowed IOJ to sift through 150 pages of charts and analyses to share details with our readers. The first story based on this information appears on page 9. European outlet developers are also cautious about sharing numbers. Why give away secrets to success that have been earned through years of hard work, experience and capital expenditure? But IOJ put out a call for total, comparable outlet-center sales and footfall progress and we are pleased to report that we have received data on 28 centers from nine operators: Chester Properties, Dubai Outlet Mall, GVA Grimley Outlet Services, Henderson Global Investors, ING Real Estate, Land Securities, Resolution Property, Stable International and Value Retail. henderson Global Investors/ mcarthurGlen Group Reporting on seven centers, all acquired from McArthurGlen Group, which still operates them: In Austria, Parndorf Designer Outlet; in France, Roubaix Designer Outlet and Troyes Designer Outlet; in Italy, Barberino Designer Outlet, Castel Romano Designer Outlet and Serravalle Designer Outlet; in The Netherlands, (Continued on page 6) Serravalle Designer Outlet Village near Milan has helped push the Henderson Global Investors/McArthurGlen seven-center portfolio to a 10 percent increase in YTD sales.
know-how Nobody knows Outlets better �� For more information please contact: Brendon O’Reilly, Director, GVA Grimley Ltd. +44 (0)7831 381 405 brendon.o’reilly@gvagrimley.co.uk www.gvagrimley.co.uk/outlets
Page 1 and 2: COVER STORY Loving Outlet Shopping
Page 3: PAGE 4 STAFF PETER ShARPE ICSC ChaI
Page 7 and 8: THE NINE CHIC OUTLET SHOPPING ® VI
Page 9 and 10: Chart No. 2 FOC PERFORMaNCE Where t
Page 11 and 12: Building on strong brands BATAVIA S
Page 13 and 14: Weeks after its June opening, Desig
Page 16 and 17: PlaNNED PROJET UPDaTES Construction
Page 18 and 19: NEW PlaNNED PROJETS Premium to deve
Page 20: OPERaTIONS Gva outlet division laun
Page 23 and 24: Fashion Arena plans expansion DOUBL
Page 25 and 26: Filea Spa’s Mondovicino Factory O
Page 28: The first FASHION HOUSE Outlet Cent

Loving Outlet Shopping - Value Retail News

Create successful ePaper yourself

Delete template?

Save as template?