Mexico Retail Report - Q4 2014

Business Monitor International
September 10, 2014
66 Pages - SKU: BMI5325640
Countries covered: Mexico

Mexico Retail Report - Q4 2014

BMI View: Mexico's retail market continues to attract international retailers and investment due to itsgrowing middle class and growth opportunities. Positive demographic trends such as the growth of the keyyoung adult population bracket as well as the rise of household spending will further drive the growth of theretail sector. However the rise of informal vendors in the country is expected to continue chipping away atthe overall growth of the retail market.

BMI forecasts total household spending will rise from USD323bn in 2015 to USD 426bn in 2018. Inaddition, the middle class continues to grow with 23% of households estimated to earn above USD25,000 in2015. By 2018, this figure is expected to grow to 34%. Retail sales will be driven by the growth of wealthand rise in consumer spending power. Furthermore, Mexico's strong demographic forecast will aid thistrend. BMI projects that the labour force will continue to grow into the end of BMI's forecast period in2018, averaging about 1.4% growth. The unemployment rate will continue to fall, dropping to 3.5% in 2016but rising slightly to 4% by 2018.



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