Retail in change: new opportunities and challenges in Frankfurt

Retail in change: new opportunities and challenges in Frankfurt

The retail market in Germany is back in motion! In the third quarter of this year, the industry made it clear that it is on an exciting, at the same time challenging course. The current developments show that large and small companies are tirelessly responding to the market with new strategies and acquisitions. Whether it is the famous Kadewe department stores or fresh start-ups, the change is visible to everyone!

The dynamic of the big names that frolic in the retail scene is particularly striking. For example, the takeover of the KadeWe group by the Thai Central Group was considered pioneering. Auch die Markenrechtsinhaberin Bluestar Alliance, die hinter dem Modeunternehmen Scotch & Soda steht, hat bereits signalisiert, dass sie nach der schmerzhaften Schließungswelle zurück auf die deutschen Einkaufsstraßen möchte. The signs are on restart in both global corporations and smaller retailers!

rapid increase in rentals and promising sales

In the nationwide retail market, the first three quarters got down to business: Almost 650 rentals and openings show the positive tendency - that is almost 10 % more than in the previous year! Christoph Scharf, Managing Director of BNP Paribas Real Estate, emphasizes that despite the decline in area sales, the actual dynamics cannot be denied. The big deals from last year are to blame for the reduced area sales, especially those of the Aachener fashion house. But the sheet can turn! If you ignore these major degrees in the previous trends, we will encounter an increase in area sales of over 360,000 m² compared to the previous year.

The inner cities are truly blooming - thanks to numerous successful rental! With a proud 110,000 m² area in downtown centers, the highest sales have been registered since 2019! Here are real top -class players at work, from Peek & Cloppenburg to H&M Home and many more that show the new splendor of inpatient trade.

not only quantity - quality also counts!

Another exciting element: The number of market entries has increased rapidly! Brands such as Guess Jeans, Marella and OVS have impressively integrated into the German market. These new concepts sprout out of the ground like mushrooms and promise fresh wind in the shopping streets!

But the question remains: How sustainable are these developments? Sharp emphasizes that the balance between issuing dealers and new concepts will be decisive in the coming year. It is to be hoped that the rentals of 2024 are more stable than those that were given up after a short time. In particular, the revival of the Galeria objects will be critical of the permanent shops in many cities.

The anticipation of the Christmas business is already noticeable and could represent the decisive Zünglein on the scales for the retailers!

Link to area sales, top rents and passers-by frequencies in the German A locations: