Philippine Retailing Newsletters 2018 PRA Newsletter 2018 Q2 | Page 8

World News PHILIPPINE RETAILING Retail sector is strong and growing—report made purchases. Low-income consumers are 44% more likely to shop in discount stores, supermarkets, convenience stores and department stores than their higher-earning counterparts. According to a new Deloitte report, much of the retail sector is strong and growing, with both high-end and price-conscious retailers seeing revenue gains over the past five years. High-income consumers tend to shop more online and to spend their money at more retailers than the lower-income shoppers. The report noted that fragmentation was even more pronounced online, with affluent consumers being 40% more divided in their choice of online retailers. The study titled “The Great Retail Bifurcation: Why the Retail ‘Apocalypse’ is Really a Renaissance,” disputes the popular theme that retail is facing a battle between online and brick-and-mortar. (CPExecutive.com, 03/21/2018) Earnings growth in the Japanese retail sector is accelerating once again as companies expand beyond their traditional turf by boosting their presence abroad and in cyberspace. Fast Retailing sees overall full-year net profit rising 9% on the year to 130 billion yen -- a second straight annual record. “Brick-and-mortar retail is not on or near its deathbed. In fact, we are seeing retailers open new stores at an astounding pace, and physical retail is growing alongside digital,” Kasey Lobaugh, chief innovation officer said. Muji oper