FEATURE
Collaboration is Key to Creating World-Class Retail Destinations
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OVID-19 has created huge challenges for the retail sector in all parts of the world, but if there is one silver lining, it is that this virus seems to have brought landlords and tenants closer together.
Closing centres, maintaining social distancing and reacting quickly to a change in guidance or spike in cases required joined-up thinking and constant communication between dozens of stakeholders across centre management teams, retailers, transport authorities, local government, nearby businesses and residents. As we start 2022, we are all much better prepared to manage any further disruption and drive the recovery because that spirit of collaboration has remained.
David Fuller-Watts Managing Director Mallcomm
When we launched the Mallcomm tenant engagement platform in 2014, it felt like a watershed moment for the retail sector as it battled back from the global recession and adjusted to the growth of mobile technology. At that time, landlords and tenants still had a fundamentally transactional relationship based largely on long leases and quarterly rent collection. Today, the dynamic is very different as landlords and retailers adjust to a new normal post-COVID and look to shape shopping centres around a new purpose in the age of multi-channel retail. One of the major drivers of increased collaboration has been the move in many geographies towards turnover-based leases. This requires much more transparency around daily and weekly trading. Our platform is now increasingly used for that purpose, providing landlords with a realtime update on revenue which enables them to forecast and forwardplan. Similarly, digital tenant engagement has become integral to sustainability strategies. Mallcomm enables landlords to track environmental performance day-to-day and gather data from tenants on energy usage. This means they can make informed decisions on how to reduce the property’s carbon footprint, which is becoming vitally important in attracting today’s conscientious consumers. Finally, the greater sophistication of mobile technology means centres can now engage directly with shoppers and create a tailored, frictionless experience. Convenience and ease of purchase is why many people prefer to shop online, but with the help of proptech, landlords and tenants can replicate this in a physical retail setting.
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Retail places must be easy to access, queues and congestion must be managed, and basic amenities must be available. At leading retail destinations there is also a move towards a digital concierge offer allowing visitors to access luxury services such as valet parking, order food and beverages, access special offers and purchase transport tickets. This level of service, akin to a five-star hotel, is facilitated via an app which allows shoppers to access all the information and services they need instantly – and crucially, plan their next visit. The unexpected silver lining of the disruption in the past 18 months is that landlords and tenants will emerge better connected, and with a better understanding of their customers.
