PRZOOM - /newswire/ -
Delhi, New Delhi, India, 2007/09/24 - Dubai is called a shopper’s paradise and the events it hosts annually support it. This year’s DSS attracted 30-40% more tourists than 2006 and consequently, turned out to be a money-spinning festival for retailers.
According to a latest market research report “Middle East Retail Sector Analysis (2007-2010)” by RNCOS, with huge number of shopping centers, retail units, and malls cropping up all over the city, Dubai could possibly be on its way to enlist itself among the most densely shopped cities of the world. This aggressive retail activity in the city is expected to account for around 50% of its GDP by 2009.
Also, the report has identified tourism an instrumental parameter in deciding the retail sales of the city. The city generated around 35% of retail sales from tourism industry in 2006 and it is expected to touch 50% by 2010. The research report discusses the other factors too affecting the retail industry in the Middle East region in both positive and negative ways.
As per the report, Dubai Summer Surprises (DSS) plays a vital role in the retail tourism sector of Dubai. In 2005, this event alone attracted around 50% of the total tourists.
2007 commemorated the tenth edition of DSS (from June 21 to August 31) and as predicted, attracted more trippers than ever before.
DSS 2007 witnessed an anticipated 30-40% rise in both sales and footfall over the previous edition because of increased influx of tourists and residents. This sharp growth is generally ascribed to the DSS-related attractions and promotions offered in abundance by airlines, hospitality, travel and tourism, and retail sectors to visitors.
Apart from the annual events, emerging markets are also increasing the tourist influx to Dubai. Large number of inbound tourists from regions such as Far East flocked to the city all through 2006. In the first six months of 2006, hotel guests from Far East in Dubai crossed 152,000 and in the later half of the year, the number surpassed 177,000.
Experts say that consumer spending during the DSS 2007 has dwarfed the previous figures and exceeded AED 3 Billion, translating into high revenue generation for retailers. In 2006, around one million square meter of retail space in Dubai, with over 50% (around AED 1.3 Billion) of cumulative consumer spending, took away the major pie of DSS 2006 expenditure.
As the retail space in expanding in Dubai at an outstanding pace, retailers in the city, as per the RNCOS report, alone have to record sales worth over US$ 7.5 Billion by 2009 to maintain this enormous increment in shopping space and retail activities.
RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of industry experts who analyze data collected from credible sources. They provide industry insights and analysis that helps corporations to take timely and accurate business decision in today's globally competitive environment.