China is the leading market for retail expansion and brands looking to grow their business.
According to the AT Kearney Retail Apparel Index, China tops the world's developing markets, helped by its significant size and strong growth in clothing sales, with three trends – the rise of e-commerce, a boom in fast fashion and the evolution of the luxury market – making it the most interesting market.
“In most emerging markets, e-commerce is less than 1 percent of total sales: in China, it is 6 percent, which is higher than in the United States,” said AT Kearnery partner and study co-author Althea Peng. “More than three-quarters of online sales in China are in apparel.”
Latin America is also well represented in the index, led by Chile in third place, Brazil in fifth and Mexico at number nine.
The Middle East region remains an attractive retail apparel market with the UAE in second spot, followed by Kuwait and Saudi Arabia in fourth and sixth place, respectively.