Retail
From The Report: Colombia 2013
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Over the past decade retail has become one of the biggest contributors to economic growth. In 2011 the sector’s contribution to GDP reached 8.1%, largely driven by the increasing size and wealth of Colombia’s middle class, greater access to financing and an inflow of foreign retailers. The arrival of foreign competitors with high levels of funding, innovation and efficiency has contributed to the sector’s dynamism as the retail offering continues to diversify and various segments experience rapid growth. Foreign capital inflows rose from $10m to $2.3bn between 2000 and 2011, largely driven by the increase in shopping malls. Colombia’s large population spread over numerous cities has been a key factor in supporting growth and bodes well for the future of the sector.

Articles from this Chapter

Overview

Spending more freely: A young population is ready to consume
OBG
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Over the past decade, retail has become one of the biggest contributors to economic growth, consistently surpassing high-value industries such as oil, gas and mining. According to Fenalco, the national trade federation, the sector’s contribution to GDP reached 8.1% in 2011, placing it just after financial services (19.1%), services (15.3%) and industry (13.1%). As a parameter of macroeconomic performance, retail – which constitutes 78% of total domestic trade – has benefitted from the…

Analysis

Floor space: Efforts to boost gross leasable area drive development
OBG
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Similar to growing economies in the region, Colombia’s shopping mall segment is expanding in both sales and nationwide presence. According to Acecolombia, the national mall association, annual sales had reached COP26trn ($15.6bn) by the end of 2012, representing 13% year-on-year growth. The number of malls with a surface area larger than 5000 sq metres has tripled since the start of the millennium, totalling 206 in 2012. In 2012 six new malls – at a combined value of $520m – opened their…