Retail markets see a slow recovery as a growing number of nations ease pandemic-related restrictions with the hopes of this time of remaining open throughout the year.
MARKETS
UK retail sales volumes rose 0.5% between May and June and were up 9.5% compared with their pre-pandemic February 2020 levels, the British Office for National Statistics (ONS) said.
EU retailers are facing staffing shortages as employees are forced to self-isolate after having been in close contact with anyone who’s tested positive for COVID.
Australia saw preliminary industry-wide retail sales fall 1.8% in June compared to a month prior per ABS data. The decline is attributed to renewed COVID restrictions.
RETAIL
Beijing welcomed 432 new stores in the first half of 2021, more than twice the total of last year. These are international and domestic brands who opened their first store in the capital city.
- Nearly 17% of the 432 stores were established by international brands, with France, Italy, and Japan ranking top.
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FINANCE
Next (UK) has reported full-price sales between early May and 17 July, were almost 19% higher than during the same period two years earlier, before the pandemic.
- Next is now expecting to make £750m of pre-tax profit this year, after a deduction of £29m in business rates relief, which Next is repaying to the government.
- The retailer said it experienced increased demand for products such as clothing since its stores were allowed to reopen during April.
Ermenegildo Zegna (Italy) is planning a public offering by combining with a US special-purpose acquisition company in a deal that values the business at $3.2 billion.
LVMH (France) is acquiring a 60% stake in Off-White, the label founded by designer Virgil Abloh who has been responsible for Louis Vuitton’s men’s collections since 2018.
- Off-White is a significant player in the streetwear market.
Etro (Italy) is selling a majority stake in the company to LVMH’s investment company L Catterton.
- The deal values Etro at around $590 million.
