Two retail giants from the UAE have made it to the list of the world’s top 250 most powerful retailers. The UAE-based Lulu Group and Majid Al-Futtaim Holding have been listed among the world’s top retail brands by international consultancy Deloitte in its “Global Powers of Retailing 2021” report.
Lulu Group — which operates hypermarkets and superstores across 10 countries — posted $7.4 billion revenues in the financial year ending 2019, achieving a compound annual growth rate (CAGR) of 5 percent. The UAE-headquartered Lulu has 210 stores across the GCC, Egypt, India, Indonesia and Malaysia.
While Majid Al-Futtaim Holding’s revenues reached $9.57 billion, it posted group net retail income of $7.65 billion with a CAGR retail revenue of 6.5 percent, revealed the Deloitte report.
The list is led by US giants, with Walmart Inc. at No.1 followed by Amazon, Costco Wholesale Corp., Schwarz Group and The Kroger Co. among others. According to the report, $4.85 trillion is the total aggregate retail revenue generated by the top 250 retailers with 4.4 percent composite year-over-year retail revenue growth.
Some of the key effects of COVID-19 on leading global retailers as per the report are reduced demand, enforced store closure and travel bans. On the other hand, online retailers have benefited from consumers’ aversion to in-store shopping due to the pandemic. Leading retailers were also able to capitalize on the new consumer opportunities presented by the pandemic, particularly online shopping and delivery, and were able to continue trading from their stores.
Since the start of the pandemic, Lulu Group opened 26 new hypermarkets and supermarkets, including four e-commerce fulfillment centers across the region.
“No doubt these are very challenging times and we had to delay our expansion plans last year due to lockdowns and COVID-19 restrictions, but now we are fully back on track to open 30 new hypermarkets and 10 e-commerce fulfillment centers in the GCC, Egypt and Far East by the end of this year. Dubai Expo 2020 coupled with the fast improving health and safety situation is sure to boost the market sentiments sooner than later,” said Yusuff Ali M.A., chairman of Lulu Group.