Top 5 Retail Shopping Center Trends
As the face of retail continues to evolve, tremendous opportunity exists for out-of-the-box concepts and creative retail strategies.
Phillips Edison & Company (the “Company” or “Phillips Edison”), a fully integrated real estate firm with a national platform of grocery-anchored shopping centers, released its industry insights on trending themes to be aware of at the International Council of Shopping Centers’ (ICSC’s) RECon conference in Las Vegas recently. The insights were produced by The Company’s emerging trends team, led by Michael Conway, Vice President of National Accounts and Retention for Phillips Edison.
The retail industry at large continues to step-up their game,” said Mr. Conway. “Ecommerce, ease of delivery have encouraged brick and mortar retailers to innovate and improve their in-store experience.”
Retailers and landlords alike are responding to consumers’ need for experience by blurring the lines between experience, retail, and restaurants. Shopping centers are becoming a social arena where shoppers can eat, drink, socialize and shop. “There’s a good chance that the shopping center as we know it will look completely different ten years from now,” added Mr. Conway. “We all have to continue to adapt; when you have an innovative mind-set new ideas come to light. It’s a pivotal time for the industry and we feel lucky to be a part of its evolution.”
The emerging trends team has identified a number of retail concepts that are breaking out this year. Here are the most promising and significant developments of note:
1. Grocery Technology
(Locale Market - St. Petersburg, FL)
Grocery delivery programs, “click and pick” options and prepared meals are examples of how traditional grocers like Kroger and Publix have adapted and responded to consumer needs and also help compete against concepts like Blue Apron, Plated and Hello Fresh. Grocerants and restaurants within grocery stores are also becoming more prevalent.
2. Clicks to Bricks
Amazon’s bookstore in Seattle (Shelf Awareness)
Showrooms like Bonobos, Rent the Runway, BaubleBar, and Gap’s Athleta, will continue to emerge as online retailers find it as a way to achieve growth through brick and mortar locations. Even online power players like Google and Amazon are jumping on this trend with the opening of bookstores and grocery stores in metro areas.