Home / Knowledge / News / Textiles / European economy gaining momentum
European economy gaining momentum
21
May '15
A study by German market intelligence firm GfK has found the situation for retail in crisis countries in Europe has improved. GfK has carried out a comprehensive analysis of the retail scene in 32 European countries. The study examined purchasing power, the retail share of the population's total expenditures, inflation, sales area productivity, changes in retail due to e-commerce, as well as a turnover prognosis for 2015, GfK said in a statement.

A total of approximately 7.75 trillion euro was available to consumers in the EU-28 countries in 2014 for spending and saving. This corresponds to a per-capita purchasing power of 15,360 euro which is a nominal increase of approximately 2.5 per cent compared to 2013.

The study found that growth in online trade is placing increasing pressure on stationary retail throughout Europe. GfK has forecast only moderate nominal stationary retail growth of just 0.5 per cent in 2015 across the EU-28 countries.

The retail share of private consumption fell again in 2014 among the EU-28 countries to 30.9 per cent (2013: 31.2 per cent; 2012: 31.4 per cent). This development was influenced by two key factors with conflicting effects: first, the fall of oil prices in mid-2014, which resulted in decreasing costs for energy and fuel; and second, the long-standing trend toward ever higher spending on accommodation, health and recreation. These expenses translate to less money available for retail consumption and ultimately supersede the short-term effect of falling oil prices.

Consumer prices climbed only moderately in 2014 (+0.6 per cent), and an inflation rate of just 0.2 per cent is forecast1d for 2015. For 2015, the European Commission even expects deflationary tendencies in some countries, with the greatest effects predicted in Spain and Switzerland at -1.0 percent apiece. The highest rates of inflation will again be in Turkey (+6.3 per cent) and Russia (+6.0 per cent). Due to the low inflation, real-value turnover for stationary retail is anticipated to remain stable in 2015.

The GfK reports said in many countries, sales area productivity has begun to increase again after delays to many projects occasioned by the financial crisis.

GfK observed that sales area productivity is increasingly under pressure in Northern and Southern Europe, particularly in Germany, France and Great Britain. A major reason for this is the redirection of turnover to internet retail among many product lines. Although e-commerce has significant momentum in eastern Europe, the effects are not yet having a strong impact, because the absolute volumes being transacted over the internet are comparatively small. (SH)

Fibre2fashion News Desk – India


Must ReadView All

Textiles | On 19th Sep 2017

Maharashtra govt plans 9 textile parks for value-addition

Maharashtra plans to set up nine textile parks in the northern...

Textiles | On 19th Sep 2017

New Delhi urged to include textiles in MERCOSUR PTA talks

The Indian Texpreneurs Federation (ITF) has appealed to the commerce...

Textiles | On 19th Sep 2017

HSBC report says India to be 3rd largest economy by 2028

India is expected to surpass Germany and Japan to become the third...

Interviews View All

Top executives
Textile industry, India

Such fairs are a must for industry to showcase new innovations

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search