Beyond the threat of B2B and B2C: Back 2 Basics - Back 2 Consumers?

Brenna O'Roarty

ERES from European Real Estate Society (ERES)

Abstract: European retailing is undergoing an immense process of change. Much attention has been directed to the impact of retailing. Whilst this is an important factor its high profile has led to an oversimplification, indeed masking, of the complexities involved in the current wave of retail change. This project gets back to basics. Ultimately the fundamentals of retailer profitability remain ostensibly a simple function of turnover less costs and a desired profit margin. Consumer appeal therefore continues to be critical to success; however the mass market has turned. Loyalty is waning thin in an increasingly competitive retail market where pricing pressure is compounded by market maturity; retailers must create a sense of want rather than need. We explore the role of globalisation, logistics, polarisation and differentiation as a means of increasing market share while reducing costs, thereby securing growth and consider the implications for retail property. The research will be supported by structured interviews with retail operators. It is intended to use the results of the research to propose a methodology for evaluating the relative risk associated with retail centres.

JEL-codes: R3 (search for similar items in EconPapers)
Date: 2001-06-01
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Persistent link: https://EconPapers.repec.org/RePEc:arz:wpaper:eres2001_248

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