Retailing in Egypt

Euromonitor International's Retailing in Egypt report offers insight into key trends and developments affecting the industry. The report examines all retail channels to provide sector insight. Channels include department stores, food retailers, health and beauty retailers, clothing and footwear retailers, home furniture and household goods retailers, durable goods retailers, and leisure and personal goods retailers. There are profiles of leading retailers, with analysis of their performance and the challenges they face. There is also analysis of alternative selling channels (kiosks, homeshopping, internet retailing, service stations, vending and direct selling, as available).

Buy online to access strategic market analysis and an interactive statistical database of retail value sales, number of sites/outlets, retail surface area and employment in retailing.

Tables: 147  |  Publication date: Mar 2009
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GBP1190.00

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  • Get insight into trends in market performance
  • Pinpoint growth sectors and identify factors driving change
  • Identify market and brand leaders and understand the competitive environment

Product coverage

Non-store retailing; Store-based retailing

Executive summary

Retailing Continues to Grow in 2008

The Egyptian retail environment was amongst the most dynamic in the region in 2008, as consumers started to visit retail outlets more frequently. Moreover, new promotional activities attracted more consumers into the major retail outlets, especially grocery retailers. Good economic conditions, with GDP registering a growth rate of 7.2% in 2008, increased sales of packaged food and consumer foodservice; thus contributing to the growth in retailing. Socio-demographic factors were also very favourable to retailing, with population growth of 2% over 2007.

New Entries in the Retail Market

New entries in the market were led by multinational players. Consumers' lifestyles changed and they started to be more prone to spend than save. This affected the market positively and brought high growth, which encouraged international companies to enter the Egyptian market. Thanks to the large number of shopping centres, foreign companies could find ideal retail areas with little risk, which are frequently visited by shoppers. H&M and Korloff Paris were examples of new entries towards the end of the review period.

Mansour Manufacturing & Distribution Leads a Highly Fragmented Market

Retailing is highly fragmented; largely dominated by single-outlet operations in the largest retailing formats, including independent grocers, food specialists and leisure and personal goods retailers. However, in line with the trend demonstrated over the latter years of the review period, 2008 saw strong gains achieved by giant retailers with chained outlets, leading to acceleration of the concentration process. The most dynamic retailers within the top ten in 2008 included Mansour Manufacturing & Distribution (MMD), Majed Al Futtaim Group, Raya Holding Co and Oriental Weavers Co. The strong gains these players experienced were a direct result of their aggressive expansion in terms of number of outlets and selling space.

Store-based Retailers Continues to Dominate and Have Strong Potential in 2008

Store-based retailing dominated the market and was led by grocery retailers. Non-store retailers expanded rapidly, but people did not respond quickly to these new developments. Store-based retailing was larger in size because stores are more involved in the daily lives of consumers, who like to go shopping; touching and inspecting their purchases. Moreover, store-based retailing works well with advertising, because people can check out new launches and new promotions by going to outlets and getting help from the staff. Lastly, store-based retailers is comprised of big retail giants such as Carrefour, Virgin Megastore, Omar Effendi and Oriental Weavers. This brought higher potential for growth.

Value Sales in Retailing Are Threatened

Over the forecast period sales are predicted to increase by a CAGR of 5%, a slightly higher CAGR than in the review period. The rapid population growth will boost spending power, and rising living standards will continue to fuel the expansion of retailing between 2008 and 2013. More shopping malls, hypermarkets, durable goods retailers, furniture stores and department stores, all with large selling spaces, are likely to develop over the next few years, in line with the aggressive expansion plans unveiled by many leading retailers in Egypt. Growth will also be determined by the continuous effort of the Egyptian government to maintain growth in the economy and avoid serious consequences as a result of the worldwide financial crash.

Table of contents

RETAILING IN EGYPT : MARKET INSIGHT

EXECUTIVE SUMMARY

Retailing Continues to Grow in 2008

New Entries in the Retail Market

Mansour Manufacturing & Distribution Leads a Highly Fragmented Market

Store-based Retailers Continues to Dominate and Have Strong Potential in 2008

Value Sales in Retailing Are Threatened

KEY TRENDS AND DEVELOPMENTS

Economy Grows As Inflation Soars

Value Sales Increase in 2008

Increased Use of Credit Cards Brings Dynamism

Growth in Real Estate Continues to Fuel the Retail Landscape

Rapid Expansion by the Main Chained Retailers Leads to Higher Concentration

MARKET INDICATORS

Table 1 Employment in Retailing 2003-2008

MARKET DATA

Table 2 Sales in Retailing by Sector: Value 2003-2008

Table 3 Sales in Retailing by Sector: % Value Growth 2003-2008

Table 4 Sales in Retailing by Grocery vs Non-Grocery 2005-2008

Table 5 Sales in Store-Based Retailing by Sector: Value 2003-2008

Table 6 Sales in Store-Based Retailing by Sector: % Value Growth 2003-2008

Table 7 Sales in Non-store Retailing by Sector: Value 2003-2008

Table 8 Sales in Non-store Retailing by Sector: % Value Growth 2003-2008

Table 9 Retailing Company Shares: % Value 2004-2008

Table 10 Grocery Retailers Company Shares: % Value 2004-2008

Table 11 Grocery Retailers Brand Shares: % Value 2005-2008

Table 12 Non-Grocery Retailers Company Shares: % Value 2004-2008

Table 13 Non-Grocery Retailers Brand Shares: % Value 2005-2008

Table 14 Non-store Retailing Company Shares: % Value 2004-2008

Table 15 Non-store Retailing Brand Shares: % Value 2005-2008

Table 16 Forecast Sales in Retailing by Sector: Value 2008-2013

Table 17 Forecast Sales in Retailing by Sector: % Value Growth 2008-2013

Table 18 Forecast Sales in Store-Based Retailing by Sector: Value 2008-2013

Table 19 Forecast Sales in Store-Based Retailing by Sector: % Value Growth 2008-2013

Table 20 Forecast Sales in Non-store Retailing by Sector: Value 2008-2013

Table 21 Forecast Sales in Non-store Retailing by Sector: % Value Growth 2008-2013

APPENDIX

Operating Environment

Employment in Retailing

Retail Landscape

Cash and Carry/Warehouse Clubs

DEFINITIONS

Summary 1 Research Sources

LOCAL COMPANY PROFILES - EGYPT

BELLA DONNA FOAD HODROJ - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Bella Donna Foad Hodroj: Key Facts

Summary 3 Bella Donna Foad Hodroj: Operational Indicators 2007-2008

COMPANY BACKGROUND

PRIVATE LABEL

COMPETITIVE POSITIONING

Summary 4 Bella Donna Foad Hodroj: Competitive Position 2008

BISHARA GROUP - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 5 Bishara Group: Key Facts

Summary 6 Bishara Group: Operational Indicators 2007-2008

COMPANY BACKGROUND

PRIVATE LABEL

Summary 7 Bishara Group: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 8 Bishara Group: Competitive Position 2008

COMPU ME - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 9 Compu Me: Key Facts

Summary 10 Compu Me: Operational Indicators 2007-2008

COMPANY BACKGROUND

PRIVATE LABEL

COMPETITIVE POSITIONING

Summary 11 Compu Me: Competitive Position 2008

I2 CO - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 12 I2 Co: Key Facts

Summary 13 I2 Co: Operational Indicators 2007-2008

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 14 I2 Co: Competitive Position 2008

MAJID AL FUTTAIM GROUP - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 15 Majid Al Futtaim Group: Key Facts

Summary 16 Majid Al Futtaim Group: Operational Indicators 2007-2008

COMPANY BACKGROUND

PRIVATE LABEL

Summary 17 Majid Al Futtaim Group: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 18 Majid Al Futtaim Group: Competitive Position 2008

ORIENTAL WEAVERS CO - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 19 Oriental Weavers Co: Key Facts

Summary 20 Oriental Weavers Co: Operational Indicators 2007-2008

COMPANY BACKGROUND

PRIVATE LABEL

Summary 21 Oriental Weavers Co: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 22 Oriental Weavers Co: Competitive Position 2008

SHAMSI GROUP - RETAILING - EGYPT

STRATEGIC DIRECTION

KEY FACTS

Summary 23 Shamsi Group: Key Facts

Summary 24 Shamsi Group: Operational Indicators 2007-2008

COMPANY BACKGROUND

PRIVATE LABEL

Summary 25 Shamsi Group: Private Label Portfolio

COMPETITIVE POSITIONING

Summary 26 Shamsi Group: Competitive Position 2008

HYPERMARKETS IN EGYPT

HEADLINES

OVERVIEW

SECTOR FORMATS

Chart 1 Hypermarkets: Hyper 1 in Sheikh Zayed, 6th of October City

Chart 2 Hypermarkets: Spinneys in City Stars, Heliopolis, Cairo

SECTOR DATA

Table 22 Hypermarkets: Value Sales, Outlets and Selling Space 2003-2008

Table 23 Hypermarkets: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 24 Hypermarkets Company Shares by Value 2004-2008

Table 25 Hypermarkets Brand Shares by Value 2005-2008

Table 26 Hypermarkets Brand Shares by Outlets 2005-2008

Table 27 Hypermarkets Brand Shares by Selling Space 2005-2008

Table 28 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 29 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

SUPERMARKETS IN EGYPT

HEADLINES

OVERVIEW

SECTOR DATA

Table 30 Supermarkets: Value Sales, Outlets and Selling Space 2003-2008

Table 31 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 32 Supermarkets Company Shares by Value 2004-2008

Table 33 Supermarkets Brand Shares by Value 2005-2008

Table 34 Supermarkets Brand Shares by Outlets 2005-2008

Table 35 Supermarkets Brand Shares by Selling Space 2005-2008

Table 36 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 37 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

DISCOUNTERS IN EGYPT

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 38 Discounters: Value Sales, Outlets and Selling Space 2003-2008

Table 39 Discounters: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 40 Discounters Company Shares by Value 2004-2008

Table 41 Discounters Brand Shares by Value 2005-2008

Table 42 Discounters Brand Shares by Outlets 2005-2008

Table 43 Discounters Brand Shares by Selling Space 2005-2008

Table 44 Discounters Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 45 Discounters Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

CONVENIENCE STORES IN EGYPT

OVERVIEW

FORECOURT RETAILERS IN EGYPT

HEADLINES

OVERVIEW

SECTOR DATA

Table 46 Forecourt Retailers: Value Sales, Outlets and Selling Space 2003-2008

Table 47 Forecourt Retailers: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 48 Forecourt Retailers Company Shares by Value 2004-2008

Table 49 Forecourt Retailers Brand Shares by Value 2005-2008

Table 50 Forecourt Retailers Brand Shares by Outlets 2005-2008

Table 51 Forecourt Retailers Brand Shares by Selling Space 2005-2008

Table 52 Forecourt Retailers Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 53 Forecourt Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

MIXED RETAILERS IN EGYPT

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 54 Mixed Retailers: Value Sales, Outlets and Selling Space 2003-2008

Table 55 Mixed Retailers: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 56 Mixed Retailers Company Shares by Value 2004-2008

Table 57 Mixed Retailers Brand Shares by Value 2005-2008

Table 58 Mixed Retailers Brand Shares by Outlets 2005-2008

Table 59 Mixed Retailers Brand Shares by Selling Space 2005-2008

Table 60 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 61 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

HEALTH AND BEAUTY SPECIALIST RETAILERS IN EGYPT

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 62 Health and Beauty Retailers: Value Sales, Outlets and Selling Space 2003-2008

Table 63 Health and Beauty Retailers: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 64 Health and Beauty Retailers Company Shares by Value 2004-2008

Table 65 Health and Beauty Retailers Brand Shares by Value 2005-2008

Table 66 Health and Beauty Retailers Brand Shares by Outlets 2005-2008

Table 67 Health and Beauty Retailers Brand Shares by Selling Space 2005-2008

Table 68 Health and Beauty Retailers Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 69 Health and Beauty Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

CLOTHING AND FOOTWEAR SPECIALIST RETAILERS IN EGYPT

HEADLINES

OVERVIEW

SECTOR FORMATS

Chart 3 Clothing and Footwear Specialist Retailers: El Maghraby, City Stars, Heliopolis

Chart 4 Clothing and Footwear Specialist Retailers: Morgan, City Stars, Heliopolis

SECTOR DATA

Table 70 Clothing and Footwear Retailers: Value Sales, Outlets and Selling Space 2003-2008

Table 71 Clothing and Footwear Retailers: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 72 Clothing and Footwear Retailers Company Shares by Value 2004-2008

Table 73 Clothing and Footwear Retailers Brand Shares by Value 2005-2008

Table 74 Clothing and Footwear Retailers Brand Shares by Outlets 2005-2008

Table 75 Clothing and Footwear Retailers Brand Shares by Selling Space 2005-2008

Table 76 Clothing and Footwear Retailers Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 77 Clothing and Footwear Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

FURNITURE AND FURNISHINGS STORES IN EGYPT

HEADLINES

OVERVIEW

SECTOR FORMATS

Chart 5 Furniture and Furnishings Stores: Istikbal, City Stars, Heliopolis

SECTOR DATA

Table 78 Furniture and Furnishings Stores: Value Sales, Outlets and Selling Space 2003-2008

Table 79 Furniture and Furnishings Stores: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 80 Furniture and Furnishings Stores Company Shares by Value 2004-2008

Table 81 Furniture and Furnishings Stores Brand Shares by Value 2005-2008

Table 82 Furniture and Furnishings Stores Brand Shares by Outlets 2005-2008

Table 83 Furniture and Furnishings Stores Brand Shares by Selling Space 2005-2008

Table 84 Furniture and Furnishings Stores Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 85 Furniture and Furnishings Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

DIY, HOME IMPROVEMENT AND GARDEN CENTRES IN EGYPT

HEADLINES

OVERVIEW

SECTOR DATA

Table 86 DIY, Home Improvement and Garden Centres: Value Sales, Outlets and Selling Space 2003-2008

Table 87 DIY, Home Improvement and Garden Centres: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 88 DIY, Home Improvement and Garden Centres Company Shares by Value 2004-2008

Table 89 DIY, Home Improvement and Garden Centres Brand Shares by Value 2005-2008

Table 90 DIY, Home Improvement and Garden Centres Brand Shares by Outlets 2005-2008

Table 91 DIY, Home Improvement and Garden Centres Brand Shares by Selling Space 2005-2008

Table 92 DIY, Home Improvement and Garden Centres Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 93 DIY, Home Improvement and Garden Centres Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

ELECTRONICS AND APPLIANCE SPECIALIST RETAILERS IN EGYPT

HEADLINES

OVERVIEW

SECTOR FORMATS

Chart 6 Electronics and Appliance Specialist Retailers: Virgin, City Stars, Heliopolis

Chart 7 Electronics and Appliance Specialist Retailers: Compu Me, City Stars, Heliopolis

SECTOR DATA

Table 94 Electronics and Appliance Specialist Retailers: Value Sales, Outlets and Selling Space 2003-2008

Table 95 Electronics and Appliance Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 96 Electronics and Appliance Specialist Retailers Company Shares by Value 2004-2008

Table 97 Electronics and Appliance Specialist Retailers Brand Shares by Value 2005-2008

Table 98 Electronics and Appliance Specialist Retailers Brand Shares by Outlets 2005-2008

Table 99 Electronics and Appliance Specialist Retailers Brand Shares by Selling Space 2005-2008

Table 100 Electronics and Appliance Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 101 Electronics and Appliance Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

LEISURE AND PERSONAL GOODS SPECIALIST RETAILERS IN EGYPT

HEADLINES

OVERVIEW

SECTOR DATA

Table 102 Leisure and Personal Goods Specialist Retailers: Value Sales, Outlets and Selling Space 2003-2008

Table 103 Leisure and Personal Goods Specialist Retailers: Value Sales, Outlets and Selling Space: % Growth 2003-2008

Table 104 Leisure and Personal Goods Specialist Retailers Company Shares by Value 2004-2008

Table 105 Leisure and Personal Goods Specialist Retailers Brand Shares by Value 2005-2008

Table 106 Leisure and Personal Goods Specialist Retailers Brand Shares by Outlets 2005-2008

Table 107 Leisure and Personal Goods Specialist Retailers Brand Shares by Selling Space 2005-2008

Table 108 Leisure and Personal Goods Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space 2008-2013

Table 109 Leisure and Personal Goods Specialist Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2008-2013

VENDING IN EGYPT

TRENDS

PROSPECTS

HOMESHOPPING IN EGYPT

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 110 Homeshopping: Value 2003-2008

Table 111 Homeshopping: % Value Growth 2003-2008

Table 112 Homeshopping Company Shares by Value 2004-2008

Table 113 Homeshopping Brand Shares by Value 2005-2008

Table 114 Homeshopping Forecasts: Value 2008-2013

Table 115 Homeshopping Forecasts: % Value Growth 2008-2013

INTERNET RETAILING IN EGYPT

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

DIRECT SELLING IN EGYPT

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 116 Direct Selling: Value 2003-2008

Table 117 Direct Selling: % Value Growth 2003-2008

Table 118 Direct Selling Company Shares by Value 2004-2008

Table 119 Direct Selling Brand Shares by Value 2005-2008

Table 120 Direct Selling Forecasts: Value 2008-2013

Table 121 Direct Selling Forecasts: % Value Growth 2008-2013