Dubai's retail sector will be worth a phenomenal Dhs150 billion by the end of this year as the emirate's households shopping power is on the rise with positive economic indicators and strong rebound in tourism and hospitality sector, according to reports.
According to the latest data from Colliers International, Dubai's households spend between Dh37,000 and Dh85,000 each year. However, the average spending power of US$14,400 (about Dh53,000) per household per year has seen the retail sector riding a wave of growth to reach record figures.
The city is now rivalling established global shopping hotspots like London, Milan, New York and Sydney, with the U.A.E. now ranked as the world's fourth most attractive retail destination in AT Kearney's latest global index. Business Monitor International (BMI) is projecting that Dubai's retail sector will reach Dhs150 billion mark by the end of this year.
Dubai Economic Council also estimates the city's retail sector to have become as big as the financial and real estate sectors in terms of value.
The retail revolution is set to intensify, as Dubai welcomes 25 million visitors in the build-up to World Expo 2020. As part of this long-term view, The Galleria Mall's sister development, The Galleria Villas offers upmarket residences near the mall in close proximity to Dubai's golden beachfront, with both developments totalling 324,300 square feet.
Shahab Lutfi, founder and chief executive of The Galleria Mall's developers H&H Investment & Development, said the Galleria Mall and Villas is a fresh concept based on family quality time, in Dubai's trendy suburb of Jumeirah Beach. The attractions are as diverse as Dubai's multicultural population.
"By bringing famous global brands here, we are bringing the world to Dubai and helping to make our city the world's undisputed shopping paradise.”
Commenting on what Dubai's shoppers and tourists can expect, Shahab Lutfi said it's no longer enough to simply have a massive mall, because the quality of the visitors' experience is equally as important as the quantity of attractions.
"From the beautiful setting to the convenient parking and intimate family-friendly atmosphere, The Galleria Mall is helping Dubai to raise the bar in retail therapy. With even more shops opening soon, we are living up to our promise that this is truly where you belong.”
At a recent event, CBRE Middle East managing director Nick Maclean said Dubai's success in retaining its position as the second most important city in terms of international retailer presence underpins its status as a regional hub for business and tourism.
"The retail sector remains one of the most vital streams for economic activity in the emirate and the industry is likely to witness significant growth in the lead up to Expo 2020 in six years' time,” he said.