News • 07.02.2018

New A.T. Kearney study projects a changing future for retail real estate

“Retailers are still opening new stores every year.”

Photo: Very busy shopping center; copyright: panthermedia.net / dimmushka...
Source: panthermedia.net / dimmushka

“The Mall Is Dead. Long Live the Mall,” is the main message of The Future of Shopping Centers, a study released today by A.T. Kearney that identifies key trends in retail real estate and how customer demographics and attitudes are changing 21st-century commerce. The study analyzes the global impact of e-commerce on physical retail, and suggests several ways forward for retail real estate operators. The research behind The Future of Shopping Centers points to a shift from traditional shopping centers and malls to re-envisioned, multifaceted consumer engagement centers, or CESs.

"In the future, retail-based real estate will be environments where people gather to engage with friends, connect with like-minded shoppers, seek out unique experiences, reaffirm values, and interactively relate to brands on a personal level," says Michael Brown, A.T. Kearney partner and author of the study. "Innovative retailers, center operators, and technologists are already redefining the 'art of the possible' on a daily basis around the world."

Diverging from the tales of a "retail apocalypse" filling business journals, The Future of Shopping Centers envisions a renaissance of physical retail in America, as shopping centers transform in response to consumer shifts and technology. The study offers an outline and commentary on several different models of how this may happen, from destination and value-based centers to innovation centers and "retaildential" space.

"It's important to remember that while the pace has slowed a bit, retailers are still opening new stores every year," Brown notes. "The future of retail real estate is as robust as the industry's imagination. That said, for operators of these new centers, future success depends to a large degree on being able to "unlearn" the lessons of the past. Tomorrow's success will belong to those operators and tenants willing to break from yesterday's patterns and practices and fully embrace a consumer-driven future."

Consumer engagement centers

Against a research backdrop of the history of shopping centers and consumer demographics, the study points out that, globally, these new consumer engagement centers (CESs) have begun to emerge in countries where limits are placed on the ratio of retail space to people, and where private vehicular travel is far less common than in the US.

"The industry's future potential rests on the ability of operators and retailers to reinvent the rules of an ever-changing game. Where 20th-century malls and shopping centers grew through 'push,' these new engagement centers will be organized around consumer 'pull,'" Brown adds, "and leading retail real estate operators and brands will benefit from the research and analysis of this phenomenon, as well as from the lessons learned from e-commerce."

The Future of Shopping Centers study is a US-centric exploration of interaction of retail real estate, e-commerce, and changing consumer demographics and behaviors projected out to 2030. A.T. Kearney has also released a complementary global exploration of consumer behavior looking 10 years into the future, Global Future Consumer Study: The Consumers of the Future. To view both studies, visit: https://www.atkearney.com/retail/future-of-shopping-centers.

Source: A.T. Kearney

related articles:

popular articles:

Thumbnail-Photo: Colorful shop windows: Christmas decorating tips, part 1...
24.10.2018   #shop decoration #seasonal business

Colorful shop windows: Christmas decorating tips, part 1

From lilac to orange: something different for a change

Christmas is just around the corner. Gingerbread houses greet you in every supermarket and the early birds already wonder about the gifts they should buy. It’s high time to inspire potential shoppers to start buying Christmas gifts. ...

Thumbnail-Photo: What shop design can look like: The Schubert pharmacy in Pullach on the...
17.01.2019   #shop building #ceiling lighting

What shop design can look like: The Schubert pharmacy in Pullach on the Isar

Warm wood and limestone from the surrounding area greet customers after the renovation

If you enter the newly designed Schubert pharmacy, you will directly feel comfortable. After the modernization, the premises score with a holistic appearance that is both concise and modern, yet fits into the rural region with its traditions. ...

Thumbnail-Photo: What shop design can look like: Indistrieel - India meets Industrial...
12.12.2018   #shopfitting #shop equipment

What shop design can look like: Indistrieel - India meets Industrial

For unique furniture and accessories, a visit to the rustic Dutch store is worthwhile

Skilful mixing: What do you get when you mix Indian furniture with industrial look? "Indistrieel". The shop in the town of Middelburg in the Netherlands offers really exciting furniture, lamps, accessories and bags. ...

Thumbnail-Photo: Compartment Systeme POS TUNING
28.11.2018   #product presentation #POS Solutions

Compartment Systeme POS TUNING

For slim products such as drugstore ranges, confectionery and fresh products

POS TUNING has optimized its pushfeed program for use in retail. The new compartment systems by POS TUNING are available in three different sizes: C60 (6 cm height) for narrow products such as drugstore assortments, C90 (9 cm height) for sweets, ...

Thumbnail-Photo: What shop design can look like: Foot Locker in London...
08.10.2018   #shopfitting #shop planing

What shop design can look like: Foot Locker in London

Brand communication and digitization at the Marble Arch Store

Power Stores is the name Foot Locker gives to its new stores in different locations. The most recently redesigned store is located near Marble Arch and Oxford Street. ...

Thumbnail-Photo: A story of ice and snow: Christmas decorating tips, part 4...
30.10.2018   #shop decoration #seasonal business

A story of ice and snow: Christmas decorating tips, part 4

Create a winter wonderland

Though the temperatures outside might not always reflect it, in these parts, winter puts us in the Christmas spirit. This makes white decorations and decorative artificial snow perfect tools to set the scene. A winter landscape with snow-covered ...

Thumbnail-Photo: What shop design can look like: Decorette Woonatelier De Lange Jan...
27.11.2018   #shopfitting #shop equipment

What shop design can look like: Decorette Woonatelier De Lange Jan

Shopping in the store for interior design in Middelburg, Zeeland province of the Netherlands

A small courtyard in Middelburg in the Netherlands, where three shops cuddle up together: the Decorette Woonatelier De Lange Jan, the Kinderkamer Duimelot (children's shop) and the Eetkamer Likkepot (gastronomy). Today you can take a look at the ...

Thumbnail-Photo: Christmas gnomes on the loose: Christmas decorating tips, part 7...
12.11.2018   #shop decoration #seasonal business

Christmas gnomes on the loose: Christmas decorating tips, part 7

Playful: Ways to delight children - and adults alike

The Christmas season can be stressful for adults. Planning ahead for the holidays, getting ready for family visits, buying gifts and getting your house sparkling clean for your guests – all of this leaves little room for festive joy and ...

Thumbnail-Photo: Luxury, tradition, and new trends
19.11.2018   #shop decoration #shop design

Luxury, tradition, and new trends

dlv tour 2018 to Tokyo

In collaboration with EuroShop, the dlv - Netzwerk Ladenbau e.V. shopfitters and suppliers network organizes a tour to a major city of the world once a year. Tour participants visit trendsetting locations that captivate with unique store designs. ...

Thumbnail-Photo: retail trends 3/2018
01.10.2018   #customer relationship management #shop planing

retail trends 3/2018

Topics: retail technology, content management, lighing, interior design, and many more

Have a look at our printed edition as an e-paper. Desire for real paper? We will send you the latest issue. Inquiries to: service@iXtenso.com  Your iXtenso team   ...

Supplier

POS TUNING Udo Voßhenrich GmbH & Co KG
POS TUNING Udo Voßhenrich GmbH & Co KG
Am Zubringer 8
32107 Bad Salzuflen
iXtenso - Magazin für den Einzelhandel
iXtenso - Magazin für den Einzelhandel
Celsiusstraße 43
53125 Bonn