Polish shopping mall turnover rises by 3.8% in July despite slight decline in visitor numbers

The turnover of tenants in Polish shopping malls increased by 3.8% year-on-year in July, according to the Polish Council of Shopping Centres (PRCH). However, foot traffic declined slightly, with a 0.6% drop in the number of visitors per square meter of leased space compared to the same period last year.

“The highest year-on-year turnover growth in July 2024 was seen in the health and beauty sector (9.4%) and services (7%), which traditionally perform well during the holiday season,” said Marcin Klammer, Managing Director of PRCH. Overall, tenant turnover in shopping centers saw nearly 4% growth in July. The clothing and accessories sector, which often sees fluctuations, also reported a 2.2% increase in turnover, despite a reported decline in retail sales for these products nationwide.

Growth was observed across all categories of commercial properties, with the most significant gains in smaller shopping centers (5,000–20,000 sqm GLA), where tenant turnover rose by 8%. Medium-sized facilities (20,000–40,000 sqm GLA) saw a 4.6% increase, while the largest shopping centers (over 60,000 sqm GLA) experienced a 3.2% rise. Large centers (40,000–60,000 sqm GLA) recorded a more modest 1.8% increase.

“This divergence between sales trends in shopping centers and broader retail data from the Central Statistical Office is not unusual,” commented Przemysław Dwojak, Senior Client Business Partner at GfK, an NIQ Company. “Shopping centers are responding more effectively to shifts in demand caused by factors like inflation and seasonality. The highest growth in smaller centers is likely due to increased demand in tourist areas, while larger facilities in major cities saw more modest gains, likely influenced by the summer holiday exodus.”

The average customer spending per visit to shopping centers, known as the conversion rate, rose by 4.4% in July 2024 compared to the previous year.

Source: PRCH and ISBnews