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Opinion

PERSONAL COMMENTARIES OF PLACEMAKING EXPERTS

From consumer goods to the shopping center industry, the term “Big Data” has reached the shopping center world. It is the new buzzword in the business. But what is it and is it really so important? I think it is.

The UK currently has 23 sq ft of retail space per capita. Although this is half the rate found in the US, it is significantly more than in other developed countries like Canada (13 sq ft) and Australia (6.5 sq ft).

The Spanish economy seems to be recovering. Nowadays, the country enjoys growth forecast at 3.1% according to the IMF, and consumer confidence is increasing in view of the latest public data. Many things have improved, but it is necessary to continue working on reducing unemployment rates and on making family spending growth possible.

When historians one day do a detached and objective analysis of the events that are taking place in Europe during this summer, they will certainly highlight the negative connotation of a multitude of occurrences already called the “perfect storm.”

I was recently very pleased to be invited to speak at the ICSC European Retail Property School in Frankfurt, addressing a group of young delegates who were largely at the early stages of their careers.

The last twelve months have been incredibly active in the retail business at Land Securities and this has been driven by a strategy that has completely transformed our retail portfolio by focusing on schemes that deliver dominance, experience, and convenience in their respective catchments. This transformation is best demonstrated with an in-depth look at the drivers of success that consumers and retail brands have responded to. This has ultimately resulted in having a retail portfolio that is made up of fewer properties overall, but a higher number of bigger, better, flagship centers located in prime shopping locations.

To combine the practical with the useful is a great thing and, because Copenhagen is also quite beautiful to look at in late spring, my participation in the ICSC European Marketing Conference in early June was a great experience. I enjoy the eager discussions with marketing experts from all over the world. Exchanging views and sharing is, after all, an important part of my daily work. Not infrequently, new and exciting friendships sprout on such occasions.

The world of Mobile Location Analytics (MLA), and location-based services is one of today’s fastest-growing technology sectors – and its application in property is the highest growth area of all. With a compound annual growth rate forecast at 28% for 2015 to 2019 and an estimated market size of $43.3 billion in 2019, it’s one that clearly needs to be taken seriously by all owners. Why does it exist at all?

Retail warehousing in Europe has evolved rapidly as a trading format over the last 30+ years and now accounts for a significant share of both retail floor space and sales volumes. Although retail warehouses were initially developed to service the needs of “bulky goods” retailers, the attraction to shoppers of easy access and convenient free parking soon registered with other retailer groups. Increasingly, fashion, footwear, sports, and household goods retailers have committed to out-of-town formats where planning conditions permit.

The concept of what constitutes a good “brand” is not always clear in a retail context, let alone within the shopping center world. It is tempting, and indeed quite common, simply to refer to a brand by name – the world’s great brands such as Apple, Coca-Cola, Louis Vuitton etc. are instantly recognized by name. But what’s in a name and what makes a great brand?

The United Nations has designated 2015 as the International Year of Light, a global initiative to raise awareness of the importance of light and light–based technologies. The campaign (www.light2015.org) aims to highlight how dependent we are on light for our very existence and human development and to explore how science and lighting technology have combined to create solutions in energy, education, and health.

Customers are constantly being offered more opportunities and methods for consumption, both online and offline. Every retailer has to recognize and follow this trend in order to avoid losing out to the competition. We must find a combination of e-commerce, mobile apps or social media, and traditional retail stores. Today’s end consumers are digitally networked at all times and around 63% of buyers use devices like mobile phones and tablets to learn about products in advance or to buy them online.

At the recent opening of a shopping center that I attended, one of the guests remarked: “Let’s be honest, it’s turned out beautifully, but no one here needed the center!” Conversation came to a brief stop, followed by a rapid return, owing to the joyous occasion and the presence of the owner, to the small talk that is usual at such events.

These days, there has been a large debate about the crises of the bricks-and-mortar trade and the threat from e-commerce.