El Palacio de Hierro second world’s best department store, Fortnum & Mason first

What: In a new global study analysing 50 top stores and over 46,000 Google reviews, London's Fortnum & Mason is named the world's best department store, followed by El Palacio de Hierro Polanco in Mexico City and Liberty London.

Why it is important: The rankings demonstrate how department stores across different markets are successfully adapting to changing consumer expectations, with both historic European retailers and international players earning recognition for their customer experience excellence.

The study, conducted by CouponPi, evaluated department stores based on average ratings and positive sentiment reviews. Fortnum & Mason achieved a perfect 10/10 score with a 4.6/5 rating and 62.1% positive sentiment, reflecting its success as a luxury food and gifts destination with over £208 million in annual turnover. El Palacio de Hierro Polanco secured second place with a 9.6/10 score and 57.4% positive sentiment, earning praise for its spaciousness, cleanliness, and brand selection. The top ten includes other prominent retailers like Liberty London, Dublin's Arnotts, and Selfridges, with UK and Irish stores featuring prominently. The study also ranked Christmas performance separately, with Saks Fifth Avenue leading that category. 

IADS Notes: The rankings reflect contrasting retail success stories. While Fortnum & Mason leads with strong holiday performance and expansion plans, El Palacio de Hierro's second-place position is supported by consistent growth and successful digital transformation. Both retailers demonstrate how traditional department stores can maintain relevance through customer experience excellence and strategic innovation.