Singapore malls increasingly turning to experiences and activities for repeat customers.
SINGAPORE - With the disruption posed by e-commerce, retail malls in Singapore are rapidly evolving beyond mere sales to introduce experiential- and activity-based concepts to entice returning customers, said a new paper by real estate consultancy Edmund Tie.
While Singapore's GDP (gross domestic product) and household incomes have steadily recovered since the 2009 global financial crisis, rising at a compounded annual growth rate of over 4 per cent, retail and F&B (food and beverage) growth has not kept pace, with annual growth barely reaching 2 per cent over the same period, the report noted.
As such, to boost footfall, maintain high occupancy rates and shore up earnings, malls are adding communal spaces and non-retail components into their mix, with the aim of creating communities within their premises.
Adapted from The Straits Times 21 October 2019