Spice boosted its turnover in 2017

Economic growth last year encouraged people to spend more money. The turnover of Spice shopping centre increased by almost 3% in 2017, reaching 211 million euros. The average purchase value in Spice stores increased by 8%.

The turnover of shopping mall Spice increased by 3.3% and the turnover of Spice Home by 1.2% in 2017. The growth was driven by an increase in the average purchase value, as total customer flow in the shopping mall remained at the previous level of 10.5 million visitors a year. The average purchase value in Spice increased by 8% and in Spice Home by 2%. Traditionally, larger purchases have been made by visitors at the end of the year. In November 2017, the average purchase value in Spice was 14.3% higher than in 2016.

The turnover of lingerie and underwear segment grew by 15.7% in 2017, which was supported by the opening of Calvin Klein Underwear store in Spice. The turnover grew by 8.7% in the services segment and 4.7% in gourmet segment. Spanish delicacy store Don Gastronom and Lāču bakery shop was opened in Spice last year.

The best performers in Spice Home were electronics and IT stores, along with hobby stores, the turnover of which grew by 10.3% and 8.1%, respectively. With the opening of Čili Pizza restaurant and the Es mīlu kafiju concept store, the turnover of the catering segment has more than doubled.

“The 3% growth in revenue is very positive, especially due to the fact that the turnover has increased despite an unchanged customer flow. We have noticed that shoppers have become more rational and shop in a more targeted fashion. They come to the store, knowing what they want, choose quality goods and strive to buy everything they need in one go, thus saving time on store visits,” says Iveta Lāce, Managing Director of Spice.

The enhancement in the operation of both shopping centres, by assessing the activity of existing and new stores, has also helped to grow Spice’s total turnover and increased the turnover per square metre. The growth in turnover was also driven by extensive shopping among foreign tourists. Last year, the volume of Tax Free purchases increased by 22%, while the amount of money spent by tourists in Latvian shops rose by 29%. 25% of all Tax Free purchases were made in Spice.

Spice forecasts an increase in turnover of 2-3% in 2018, and will continue to work on attracting new brands and on expanding the range of products. Elkor store has more than doubled its retail space and opened its doors in Spice Home in March. An Elkor Tehnika electronics and household appliances store, Elkor Home household goods store and Elkor Kids children’s store are located on two floors of the 5,500 square metre sales area.

“This year Spice is developing a project for the interior and exterior renovation of existing facilities in the mall, as well as a Spice expansion project – based on current worldwide industry trends and the demands of the local market, we plan to offer a unique range of beauty, wellness, health and sports services under the one roof,” Iveta Lace says in sharing the company’s plans for the future.

In 2018, Spice plans to increase its turnover in the restaurant and cafe segment. At the end of 2017, the range of restaurants and cafes was expanded by catering for different cuisines – the Italian and Mediterranean restaurant D’Arte, the Japanese and Asian cuisine restaurant Kabu, and Sala café, which has returned to its cosy location.