“Rents per square meter for pop-up stores are much higher than those of traditional stores, due to the lease being short term, from several days to several months (three at most), depending on the final goal of that move,” says Corina Stamate, shopping center manager with real estate consultant JLL Romania.
At times, however, if the owner of the shopping center has space they do not want to rent long-term, they may choose to rent it to pop-up stores for 70% of the normal rate.
Such a store must be put in a premium location, that is a location with a lot of foot traffic, be it a street front space or in a shopping center.
Optimal area for such a project is 15 to 50 square meters, but may be even bigger, several hundred square meters, depending on the project. Rent depends on location and floor space, going from EUR100 per square meter to as much as EUR400 per square meter.
“It’s an extraordinary method to test new concepts and promote new brands and is included in the marketing strategy of companies. To open a pop-up store, brands must have a hefty budget for it or find a store that has everything it needs to be used as rented,” says Carmen Ravon, head of retail leasing with real estate consultant CBRE.
“Using creativity, almost any brand or any industry could create a pop-up store to test the response of consumers targeted. However, some business segments are much more attractive – beauty & cosmetics is constantly developing pop-up stores, food& beverages, home décor, fashion,” JLL’s Corina Stamate says.
Other retailers resorting to this are furniture retailers and those that cater to kids.
The companies to have used pop-p stores in Bucharest so far include Ikea, Lidl, Syoss, Coca-Cola, Dove, Liliac Transilvania (the first wine pop-up store).
Ikea’s Popas Urban on Calea Victoriei in 2017 was not a sales space, but a place for visitors to participate in workshops and various events.
Retailer Lidl opened a pop-up store on the ground floor of Magheru One office building on Magheru Blvd in downtown Bucharest to sell and promote its Heidi Klum apparel collection.
Pop-up stores have also been used in other cities with a higher purchasing power like Cluj, Timisoara, Iasi, Constanta and Brasov.
“Pop-up stores are not a thing yet in Romania, unlike the western countries where they even have platforms to seek specific locations for pop-up businesses,” says JLL’s Corina Stamate.
The first pop-up store in Romania opened on 139, Calea Victoriei in 2010. It was intended by promote the Syoss brand of Henkel and remained open for business for 30 days selling hair care products.
(English version by Loredana Fratila-Cristescu)