Introduction

Spain, the fifth largest retail market in Europe, has enjoyed strong growth over the past five years and continues to outperform. Unsurprisingly it is attracting the attention of retailers from across the rest of Europe. But with interest rates rising and uncertainty surrounding the property market, the question is how long can the consumer boom continue?

Scope

Spanish retail market size 2001-2006 and forecast to 2011. Sector data for grocers, clothing, DIY, electricals and furniture. Including sales, space and store number data. Market share data for leading grocery retailers.

Highlights

Spain has enjoyed a period of outstanding retail growth since 2002. It has significantly outperformed its Western European peers, delivering growth more comparable to new EU member states. Spain was the second largest contributor to EU retail growth over the past five years, behind France However, expect the favourable economic conditions that have fuelled this growth to diminish. In particular we expect higher interest rates to hinder spending growth and act as a further brake on the already shaky housing market Despite stresses on the economy and the impact this is likely to have on retailers, we still expect the Spanish retail market to outperform peers over the next five years. Investment in new space and further consolidation of the market stand to boost demand. We also believe that there is significant latent demand among younger Spanish consumers.

Reasons to Purchase

Assess the potential of this large, fast growing retail economy. Compare Spain's forecast performance to its main EU rivals, as well as the faster growth economies of Eastern Europe. Identify which sectors have most potential to perform well over the next few years.