The Retailers Day was hosted at the Paradise Center mall (85,200 sqm GLA) in the Bulgarian capital – one of the top-performing shopping centres in terms of net operating income growth in NEPI Rockcastle’s €7.9 billion portfolio of 60 properties across eight countries in Central and Eastern Europe (CEE).
Rüdiger Dany, NEPI Rockcastle CEO, said: “Bulgaria is growing amazingly and represents a very interesting opportunity for retailers, which is why we are expanding our business presence in this dynamic market. No other real estate company in Europe has a near €800 million retail development pipeline, including Promenada Plovdiv, and that reflects the pace of economic and household consumption growth in the Central and Eastern European region where we are operating.”
Manol Goygadjiev, Asset Manager Bulgaria at NEPI Rockcastle, said the 60,500 sq m GLA Promenada Plovdiv project promises to redefine retail in Bulgaria’s second largest city, with the introduction of dynamic new brands in the tenant mix that have not been present in the region before. The new development, already 40% preleased as of Q1 2025, will have over 200 retail units and 1,500 parking spaces and be almost equal to the entire gross lettable area of the three existing and competing retail centres in the city. Construction is expected to be completed towards the end of 2027.
Plovdiv is one of Europe’s most ancient cities – older than Rome and Athens and is Bulgaria’s manufacturing powerhouse. The greater Plovdiv region has nearly 800,000 inhabitants, which with a predominantly young demographic represents the fastest-growing urban population in the country.
Macroeconomics overview
Valentin Tătaru, Chief Economist at ING Bank in Bucharest, noted Bulgaria recorded the highest peak in real wage growth among CEE countries— at over 16%— between 2021 and 2023 and is forecasted to see a 2.8% rise in consumption this year and projected inflation of 4.8%, The pace of Bulgarian economic growth has also fuelled a remarkable ‘catching-up story’ in purchasing power per capita, with the country rising from about 47% of the EU average in 2012 to more than 65% last year.
ING’s Global Head of Macro, Carsten Brzeski, outlined two possible global economic paths ahead from the current unclear global economic situation — one of stability post-pandemic crisis or one of the unleashing economic power and prosperity of the CEE nations emerging from communism as they joined the EU.
Tackling the Challenge of Consumer Boredom with Experiential Retail Hubs
Jack Stratten, Director at Insider Trends, a London-based retail trendspotting agency, electrified the Retailers Day audience with a fast-paced presentation on how brands can turn around the growing boredom and lack of loyalty among consumers – particularly among the Gen Z younger demographic – due to the increasing saturation and homogeneity of retail markets.
Stratten said consumer loyalty is waning, as customers can sometimes interact across 20-plus channels with brands, leaving them struggling to stand out. Nowadays, 64% of consumers feel overwhelmed by choice, while 90% are fatigued by excessive retail advertising.
He argued that stores must evolve beyond selling points to become experiential hubs. Several well-known retailers design stores as “Instagrammable backdrops”, prioritising digital content creation over immediate sales. Accessible luxury is another key trend, by offering premium experiences at affordable prices.
Marek Noetzel, Chief Operating Officer, at NEPI Rockcastle, concluded the Retailers Day by noting that from everything he’d heard at the conference, it was clear that the pace of change in retail markets over the next 10 years is going to multiply by a factor of 10. But the essential need of humans to socialise, congregate and interact in places like shopping centres would remain unaltered. Meaning that NEPI Rockcastle’s active asset management of its locations and close relationships with retail partners would be even more important in the future.
He added that sustainability remained a key focus for NEPI Rockcastle, underscored by its commitment to cutting its carbon footprint and supporting retailers’ ESG goals by providing competitively priced green electricity. NEPI Rockcastle’s ESG efforts also extend beyond energy to positive community impact, reinforcing its role as a responsible industry leader.
The Retailers Day also featured the fresh rebranding of NEPI Rockcastle to project the company’s forward-looking approach to its identity and mission.
