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In May 2015, Ecuadorian president Rafael Correa informed the public about the property appreciation law, which in fact is called the Tax of Extraordinary Value, which seeks to do away with land speculation and cut the legitimate sources of accumulation based on inheritance. Owning to the society’s discontent with the law, the president decided to postpone its approval and start an open debate with different affected sectors, amongst which real estate is the principal one. This uncertainty has generated a contraction in the short-term real estate investment.
Comohogar, which is part of Corporación Favorita, led sales in 2015 with a 2% current value share. This was thanks to its brand Sukasa, which is a format of retail that offers whole solutions for construction and real estate decoration.
Forecast period value sales are expected to decrease at a CAGR of 1% at constant 2015 prices. It is expected that the real estate market contraction will remain in the short term, and depending on the results of the debate over the inheritance and property appreciation laws in the mid-term, the category’s growth could deteriorate or start to stabilise in a progressive way.
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Overview
Discover the latest market trends and uncover sources of future market growth for the Home and Garden Specialist Retailers industry in Ecuador with research from Euromonitor's team of in-country analysts.
Find hidden opportunities in the most current research data available, understand competitive threats with our detailed market analysis, and plan your corporate strategy with our expert qualitative analysis and growth projections.
If you're in the Home and Garden Specialist Retailers industry in Ecuador, our research will save you time and money while empowering you to make informed, profitable decisions.
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This industry report originates from Passport, our Retailing market research database.
Gain competitive intelligence about market leaders. Track key industry trends, opportunities and threats. Inform your marketing, brand, strategy and market development, sales and supply functions.