• KResearch expects the recovery of different retail segments in 2027 to vary, depending on several factors, particularly the still-limited recovery in consumer purchasing power. Meanwhile, the large number of businesses and sellers in the market continues to fuel intense competition.
• Consumer spending is expected to remain relatively resilient in essential product categories, including consumer goods and personal care products. In contrast, demand for discretionary items, such as fashion, furniture, and home furnishings, is likely to remain subdued, as consumers remain price-sensitive and limit spending to essential needs.
• Going forward, retail businesses will need to adapt quickly to changing consumer behavior and leverage technology to reduce costs while offering flexible solutions that meet customer needs, thereby ensuring their long-term viability.
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