Ukrainian retail is a second chance

Combat actions, the energy crisis, population migration, a decrease in income and the outflow of solvent Ukrainians abroad – all this has strong negative consequences in all spheres of life in our long-suffering country. This has the most significant effect on the retail of the fashion industry. But, despite the negative effects, as the experience of previous crises shows, it gives a chance for the development of domestic brands. “First of all, this is due to the good conditions that shopping center management companies provide to domestic brands. Namely, the opportunity to print your stores in successful shopping malls, to find quality premises of 100-150 square meters and the general loyalty of tenants to Ukrainian brands,” – notes the director of the UTG company Evgenia Loktionova. And many Ukrainian retailers have already used such a chance for a qualitative leap in their development. For example, TM Stimma opened 5 new stores in Lviv, Lutsk, Kamianets-Podilskyi, Drohobych and Khmelnytskyi, and restarted two more in Vinnytsia and Ivano-Frankivsk. Three new sales points are opened by the Solmar retailer (Kyiv, Lviv and Odesa), five by TM Vovk (Kolomiya, Stryi, Mukachevo, Kropyvnytskyi, Vinnytsia), Arber and Goldi are also developing their network.
According to the manager, the domestic market has already experienced such trends. For example, in 2014, on the wave of “buy Ukrainian”, such domestic brands as: “Vsi svoij” (All their own), UA Made, MustHave, Anabel Arto began to develop intensively. And now there is also a surge in the development of local retailers on the market. Besides the loyalty of tenants, some international fashion brands add an additional incentive, against the background of which there is a redistribution of sales towards Ukrainian brands.
UTG analysts note that fashion has always been one of the most diverse industries that has suffered from the crisis. But, if in such a period the leaders of the industry around the world try to join forces, creating funds, giving the opportunity for brands to survive, and the state provides all the financial support, Ukrainian brands one way or another remain face to face with the crisis. That is why many brands today have discounts and special offers, and by buying things from them, Ukrainians help their compatriots survive the dark hours, save jobs, pay salaries and create the next collection. “A crisis always gives a powerful impulse to the development of new products and formats. This is the time of changes in infrastructure, production methods, quantity and quality of modern products. Therefore, it is necessary to make maximum use of new chances and not to lose hope for the best,” Evgenia Loktionova stressed.