Crisis Affects the European Retail Sector

With only a few exceptions – Austria, Denmark, or Luxemburg – turnover-figures in the retail sector declined in all other European countries. This is the balance of RegioData`s compiled figures regarding the European retail trade.

With "homeopathic" decreases of 0,2% in Norway right up to strong drops of more than 20% in the Ukraine the year 2009 was a difficult one for the European retailing sector. The main reasons being the increased unemployment rate as well as the consumption credit cuts. Countries like the Ukraine, the Baltic states, Croatia or Romania had to take the strongest hits. Except Estonia all the mentioned countries had to deal with double-digit decreases. At the lower end of the ranking there was also a western European country: the Irish retail turnover dropped by 10% last year.

Despite the feared infraction of consumption and a GDP decrease of 3,6% in 2009 the retail turnovers in Austria remained stable. With a nominal increase of the retail turnover of 1,3% Austria registered the best result in Europe. The demand remained stable in spite of the crisis.

Amongst other reasons this was due because of a purchasing power increase of 1% in the crisis year 2009. Although the Austrian market is not as large as for example the German or French market the Austrian consumers showed more self-confidence than other western European ones. In comparison the German retailing turnover decreased by 2% last year.