Market size of fashion retail in Russia 2018-2021
The Russian fashion retail market's sales value has generally followed a downward trend over the period observed. In 2021, the figure amounted to 1.8 trillion Russian rubles, having recovered from 1.71 trillion Russian rubles in the year earlier. The negative trend can be attributed to the coronavirus (COVID-19) pandemic, which resulted in clothing stores being forced to temporarily shut down.
Russia in the global perspective
Russia has long been known as a major resource exporter. Justifiably so, as the oil and natural gas sector accounts for a lion’s share of the country’s exports and contributes over a quarter to its gross domestic product (GDP). With a population of nearly 146 million people in mid 2021, Russia is the largest consumer market in Europe and the ninth-largest consumer market in the world. Yet the country has never been thought of as a nation of spenders, especially given its past crusades against capitalism.
What future for the fashion retail market in Russia?
After a worldwide deep crisis phase from 2008 until 2010, the Russian clothing market has recovered comparatively fast in the following years. Furthermore, the total market revenue was projected a stable growth, with an increase of about 30 percent in 2026 compared to 2021. However, the rising cost of salaries and wages, higher rent prices, friction from job rotation of trained employees among competitors, and the unavailability of a skilled labor force had a significant impact on the competitiveness of clothing retailers in Russia. Particularly, the Russian textile production has been struggling, leading to a substantial drop of over 900 percent in employment rates in this sector relative to the 2000 levels.
Russia in the global perspective
Russia has long been known as a major resource exporter. Justifiably so, as the oil and natural gas sector accounts for a lion’s share of the country’s exports and contributes over a quarter to its gross domestic product (GDP). With a population of nearly 146 million people in mid 2021, Russia is the largest consumer market in Europe and the ninth-largest consumer market in the world. Yet the country has never been thought of as a nation of spenders, especially given its past crusades against capitalism.
What future for the fashion retail market in Russia?
After a worldwide deep crisis phase from 2008 until 2010, the Russian clothing market has recovered comparatively fast in the following years. Furthermore, the total market revenue was projected a stable growth, with an increase of about 30 percent in 2026 compared to 2021. However, the rising cost of salaries and wages, higher rent prices, friction from job rotation of trained employees among competitors, and the unavailability of a skilled labor force had a significant impact on the competitiveness of clothing retailers in Russia. Particularly, the Russian textile production has been struggling, leading to a substantial drop of over 900 percent in employment rates in this sector relative to the 2000 levels.
