Evolution in E-Commerce and Digitalization to Boost Retailing Market in Turkey: Ken Research

0


Retailing in Turkey Market Shares Summary & Forecasts to 2021 provides a comprehensive analysis of retailing market, various categories in retailing market, leading players in various sectors in retailing market, and future of retail market in Turkey.

Retail Market Over view: Retailing market in Turkey includes clothing, footwear, books, news and stationery, electrical and electronics, food and grocery, health and beauty, furniture and floor coverings, home and garden products, music, video and entertainment software, sports and leisure equipment, jewellery, watches and accessories, and luggage and leather goods. The health and beauty sector in Turkey is expected to witness the continuing double digit growth in the next few years due to increase in aging population, more women in the workforce, and consumers’ awareness of health and wellness benefits. Turkey lags in the e-commerce market and started to develop in the area of digitalization. Turkey’s relatively high rates of mobile Internet and social-network combined with a young and growing urban population, encourages the e-commerce environment.

The rapid urbanization has encouraged the consumer electronics retailers in the country and the sales of smartphones are growing rapidly. The leading domestic players in Turkey’s consumer electronics retailers are Teknosa, Bimeks, Vestel, Vatan Computer, and Koç Holding’s retail banners, Arcelik and Beko. Metro Group is the leading international company in Turkey’s consumer electronics retailers. High-end electronics and smart phones in Turkey will drive the growth in the electrical retail sector in the next few years.

The apparel and footwear segment in Turkey is fragmented with the presence of strong domestic players. Turkish consumers spend more on apparel and footwear and it is one of the fastest-growing retail categories in retail in Turkey. Waikiki is the leading domestic apparel and footwear retailer in Turkey and also operates in other countries. It is one of the best-established retailers in the apparel and footwear market and enjoys strong brand awareness among consumers. Turkey has a relatively young population with westernized tastes in fashion that creates a favourable environment for international fast-fashion retailers. The online purchase of clothing and footwear is increasing steadily and this trend will continue in the next few years. The major clothing and footwear retailers in Turkey are expanding their market by opening new stores within the country.

According to the researchers, the Turkish retail industry witnessed a slight recovery, however, the stagnation still continues. The establishment of the number of shopping malls will continue to be slow and the rental income will decrease. The companies which invested fully in the domestic market need to venture into foreign markets for more growth opportunities. Turkey is a challenge to international retailers who looking for growth in retail markets. Macro factors such as economic expansion, increase in young population, strong retail sales growth, and a fragmented retail sector, go hand in hand for sophisticated retailers. They are benefitted from growth and merged opportunities in the country. As Turkey’s economic growth slowed and its political instability increased, many large international retailers began to withdraw from the retail market. Turkey’s modern retail sector is led by the domestic players, who create a highly competitive market.

Turkish consumers spend on groceries despite slowing economic growth and the expenditure on food and non-alcoholic beverages has increased. The largest sector in the Turkish retail industry is food and grocery which contributes to a major share in the retail industry. Modernization, urbanization, and preference towards shopping in organized retail outlets are encouraging the growth in the food and grocery sector. The largest fastest-growing channel for food and grocery sales in Turkey are hypermarkets, supermarkets and hard-discounter. Online channel is at a budding stage with only top retailers competing in the online sales of foods and grocery. Food and grocery will also witness a continuing growth in the next few years. BIM, A101 and Sok are top three leading grocery discounters in Turkey which hold a mojor share in the retail industry. The discounters channel in Turkey is growing at the expense of supermarkets, hypermarkets and traditional grocery retailers because they provide proximity shopping, one-stop shopping and low prices.

Leading Players and Future of Retail Market in Turkey: More than half the retail market in Turkey is operated by the small independents. The retail sector is more concentrated with leading companies expanding their businesses and market shares. Majority of the international retailers are considering withdrawing their business from the Turkish retail market in view of the recent political events. E-commerce occupies a relatively low share in the Turkish retail market and has scope for future expansion. The leading players such as Hepsiburada are strengthening their market shares; retailers such as Migros and Teknosa are expanding their business by opening multi-channel operations. The leading comapines in the retail industry in Turkey are LC Waikiki, DeFacto, Koton, H&M, Boyner, Zara, YKM, BIM, Migros, A101, Carrefour, Sok, Vatan, Teknosa, Arcelik, Media Markt, Bimeks, Gratis, Watsons, Avon, Yves Rocher, Amway, Bellona, Tekzen, IKEA, Koctas, Bauhaus. Domestic retailing companies in Turkey such as Waikiki lead in apparels, Teknosa in consumer electronics and Hepsiburada in e-commerce.

Consumers today buy everything from food, clothing, smartphones and or cosmetics on Hepsiburada.com. The company Hepsiburada.com, is owned by Turkish conglomerate Dogan Group, which is referred to as the Amazon of Turkey. It is the leading e-commerce retailer in its domestic market. The underlying uncertainty is affecting the Turkey’s economic growth and consumer confidence in recent years. The country’s economy witnessed resilience and started flourishing amid high inflation and volatility of the Turkish currency. The retail industry in Turkey is expected to grow gradually by the year 2021 with the recovery of the country’s GDP, rising employment, increasing wages, and increasing household consumption expenditure.

Key Topics Covered in the Report:

  • Turkey Retailing Market Report
  • Turkey Retailing Market Analysis
  • Turkey Retail Industry Market Outlook
  • Turkey E-commerce industry analysis
  • Online shopping trends Turkey
  • Turkey Retailing Market Leading Players
  • Smartphones penetration in Turkey
  • Apparel market research Turkey
  • Food and Beverages Retail Sector Turkey
  • Electricals and Electronics Sales Turkey
  • Consumer Electronics Retailers Turkey
  • Apparel and Footwear Retail Sales Turkey
  • Turkey retail sector opportunities
  • Turkey retail industry competition

To know more, click on the link below:

https://www.kenresearch.com/consumer-products-and-retail/textile-apparel-and-footwear/retailing-in-turkey-market-shares-summary/142707-95.html

Related Reports

Home Retailing in Turkey Market Shares Summary & Forecasts to 2021

Health & Beauty Retailing in Turkey Market Shares Summary & Forecasts to 2021

Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
sales@kenresearch.com
0124-4230204

Share.

Comments are closed.