Informal retail spaces are taking the fight to malls, an industry study has shown.
Owing to the increasing unaffordability of mall rental spaces, Cytonn’s Kenya Retail Sector Report for 2019 released earlier in the month, shows SMEs are turning to more affordable alternatives to the detriment of the formal retail sector.
The report said the formal retail sector is struggling across the country.
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The research found only destination malls are thriving, buoyed by high rental charges (averaging Sh211.6 per square foot, 25.5 per cent higher than the market average of Sh168.6 per square foot).