Overview of the department store market in Mexico
Technavio’s market research analyst have predicted the department store market in Mexico to grow at an impressive CAGR of close to 13% over the forecast period. With increasing sales through store-based credit cards, the market for department stores in Mexico is anticipated to have a positive outlook in the coming years. Most department stores offer more lucrative deals through their credit cards than bank credit cards. The deals include better discounts, easier instalment payment options, and interest-free purchases. Moreover, these stores also maintain customer information such as frequency of shopping, buying patterns, and store visits to offer credit options better suited to customer requirements, which will bolster the growth prospects for this market in the coming years.
The increasing demand for private-label brands is one of the emerging trends expected to drive this market’s growth over the predicted period. For instance, Grupo Sanborns, a leading department store operator in Mexico launched a number of private-label fashion brands through its Sears chain of stores to increase sales and offer unique products to customers. Also, these brands are launched exclusively for shoppers at Sears stores and are not available in other stores of Grupo Sanborns. Such private label brands also help companies to try new product launches online before selling them offline as selling online is cost-effective for the company.
Product segmentation and analysis of the department store market in Mexico
- Apparel, footwear, and accessories
- Consumer electronics and electricals
- Home furniture and furnishings
The apparel, footwear, and accessories segment dominated the market and is envisaged to account for more than 47% of the market share in terms of revenue. The majority of department retailers in the country advertise clothing lines through electronic and print media and social media platforms. Moreover, retailers offer a broad range of apparel brands through their online portals which will contribute to this segment’s growth over the next four years.
Competitive landscape and key vendors
The department store market in Mexico is highly competitive due to the presence of both national and international suppliers. The regional providers are increasingly partnering with international brands to compete with the global fashion retailers entering the Mexico market.
The leading vendors in the market are -
- Coppel
- Grupo Elektra
- Grupo Palacio de Hierro
- Grupo Sanborns
- Liverpool
- Suburbia
Other prominent vendors in the market include American Eagle Outfitters, Best Buy, Costco de México, Forever 21, Grupo Famsa, H&M, and Zara.
Key questions answered in the report include
- What will the market size and the growth rate be in 2020?
- What are the key factors driving the department store market in Mexico?
- What are the key market trends impacting the growth of the department store market in Mexico?
- What are the challenges to market growth?
- Who are the key vendors in this market space?
- What are the market opportunities and threats faced by the vendors in the department store market in Mexico?
- What are the trending factors influencing the market shares of Mexico?
- What are the key outcomes of the five forces analysis of the department store market in Mexico?
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Table of Contents
PART 01: Executive summary
PART 02: Scope of the report
- Market overview
- Top-vendor offerings
PART 03: Market research methodology
- Research methodology
- Economic indicators
PART 04: Introduction
PART 05: Country profile: Mexico
PART 06: Market landscape
- Market overview
- Market size and forecast
- Five forces analysis
PART 07: Market segmentation by product category
- Department store market in Mexico by product category
- Apparel, footwear, and accessories
- Consumer electronics and electricals
- Home furniture and furnishings
- Other products
PART 08: Geographical segmentation
- Geographical segmentation
PART 09: Market drivers
- Growth of middle-income class
- Increased sales through store credit cards
- Growing retail real estate
- Reduction in tariffs on imported products
PART 10: Impact of drivers
PART 11: Market challenges
- Increase in penetration of fast-fashion retailers
- Competition from supermarkets
PART 12: Impact of drivers and challenges
PART 13: Market trends
- Potential for consumer credit penetration
- Growth in e-commerce
- Social media marketing
- Increase in demand for private-label brands
- Celebrity endorsement
PART 14: Vendor landscape
- Competitive scenario
- Vendor share analysis
- Comparative analysis of key vendors
- Coppel
- Grupo Elektra
- Grupo Palacio de Hierro
- Grupo Sanborns
- Liverpool (El Puerto de Liverpool)
- Suburbia
- Other prominent vendors
PART 15: Explore Technavio
Research Framework
Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.
INFORMATION SOURCES
Primary sources
- Manufacturers and suppliers
- Channel partners
- Industry experts
- Strategic decision makers
Secondary sources
- Industry journals and periodicals
- Government data
- Financial reports of key industry players
- Historical data
- Press releases
DATA ANALYSIS
Data Synthesis
- Collation of data
- Estimation of key figures
- Analysis of derived insights
Data Validation
- Triangulation with data models
- Reference against proprietary databases
- Corroboration with industry experts
REPORT WRITING
Qualitative
- Market drivers
- Market challenges
- Market trends
- Five forces analysis
Quantitative
- Market size and forecast
- Market segmentation
- Geographical insights
- Competitive landscape