- In May 2024, tenant turnover in shopping centers was 5.4% higher than the previous year.
- Turnover increased across all categories of retail properties. The best results were observed in the smallest centers (5-20 thousand sqm GLA), where turnover grew by 8.2%. In the largest centers (over 60 thousand sqm GLA), tenant turnover increased by 6%. In medium-sized properties (20-40 thousand sqm GLA), turnover rose by 4.9%. Large properties (40-60 thousand sqm GLA) saw a turnover increase of 4.2%.
- The highest turnover increases in selected categories in May 2024 were recorded in health and beauty (14.6%), home goods (8.5%), and clothing and accessories (6.8%).
“In May 2024, the turnover dynamics in shopping centers increased compared to April 2024. According to indices from the Polish Council of Shopping Centers, which conducts the largest cyclical study of turnover and footfall in shopping centers in Poland, tenant turnover was 5.4% higher than in May 2023. According to data from GUS, retail sales for the entire trade also saw the same current price dynamics in May,” said Marcin Klammer, Managing Director of the Polish Council of Shopping Centers.
“The turnover growth reported by PRCH for shopping centers in May was twice the inflation rate. This is good news, indicating that consumption, rather than price increases, boosted store turnover. Additionally, as seen from the comparison of the textile, fashion, and footwear category in GUS and PRCH data, branded clothing stores in shopping centers performed better in sales of clothing and accessories than the entire market reported by GUS, which also includes fragmented and independent trade. In May 2024, the turnover in this category for shopping centers increased by nearly 7% compared to May 2023, while retail sales for the entire trade and online sales in this category fell by nearly 14%,” evaluated Przemysław Dwojak, Senior Director at GfK.
The conversion rate for all tenant categories in shopping centers, which is the average customer expenditure per visit to the mall, was 6% higher in May 2024 than in the same period in 2023.
Footfall, measured by the number of customers per square meter of rental space, was 0.6% lower in May 2024 than in May 2023. This difference was due to different weather conditions between the two months. May 2024 in Poland was extremely warm, with temperatures 2.7 degrees Celsius higher than the long-term average measured by the Institute of Meteorology and Water Management. Conversely, May 2023 was a cool month, with temperatures below the long-term average. As a result, more Poles opted for extended trips during the “May holiday,” which affected the footfall in shopping centers to some extent.
PRCH Turnover Index – is the largest indicator of tenant turnover in shopping centers in Poland. Due to the confidentiality and sensitivity of such data, since 2008, PwC, a leading international auditor, has been responsible for collecting, verifying, and analyzing this data. Information is sourced from reports provided directly by tenants to the owners and managers of shopping centers. Tenant turnover results are reported in PLN, converted per square meter of rental space.
PRCH Footfall Density Index – is the largest indicator of shopping center footfall in Poland. Since 2008, PwC, a leading international auditor, has been responsible for collecting, verifying, and analyzing footfall data. The index is prepared based on information from modern camera systems that allow for real-time, daily measurement of traffic in shopping centers. This is the most reliable system for analyzing customer flows in shopping centers, with accuracy reaching up to 98%. Customers visiting malls are counted using 3D cameras installed at every entrance. To minimize the possibility of errors, cameras are also installed in additional key locations for verifying traffic in a given property. Information is collected in retail properties with a total area of over 4.5 million sqm, which accounts for more than 33% of the shopping center market in Poland. Thus, the index very reliably shows the number of customers per month, converted per square meter of rental space.
