Shopping centres, once synonymous with browsing high-street stores, are undergoing a drastic makeover as landlords seek innovative ways to attract customers in an era where online shopping has taken hold.
Gone are the days when jostling for a spot at Primark was the main event. Instead, developers are bringing sports and health-related activities into the mix, from zip wires to rock climbing walls, in a bid to create immersive experiences that draw in consumers. This shift is driven by the growing demand for socialising and interactive entertainment.
Leisure operators such as Zip World and Go Ape are already exploring opportunities with shopping centre landlords, while US-based group Five Iron has signed up 10 UK sites for its hi-tech golf simulators and coaching facilities. The latter's first location in Broadgate, central London, is set to become a hotspot for entertainment seekers.
As a result, former department stores are being repurposed as leisure destinations. For example, the old Debenhams site on Wandsworth High Street has been transformed into Gravity, featuring go-karting, mini-golf and darts. Meanwhile, Bluewater in Kent is set to open an outdoor events arena, as well as hosting padel courts.
The trend for experiential retail has led to a significant increase in footfall at shopping centres. According to the British Retail Consortium survey, shopper numbers have remained steady despite a decline in overall retail sales. Vive King, chair of Revo, notes that consumers are increasingly seeking "memorable, shared moments" and "experiences" over traditional browsing.
This shift towards experiential retail is particularly evident among younger generations. Gen Z and millennials are prioritising self-improvement and interactive activities, such as yoga studios and immersive play. Bruce Findlay, managing director of LandSec, notes that people are craving new ideas and "creating wonder" through events like Europe's biggest bouncy castle in Braintree.
Retailers are responding by offering a broader range of activities and experiences. Unibail-Rodamco-Westfield has seen its leisure provision increase by 39% since 2022, while Westfield is set to open the Wake the Tiger art experience in London. Even Go Ape is considering moving beyond its park locations if the right space becomes available.
The impact of this trend cannot be overstated. Smaller shopping centres are struggling to stay afloat as retailers opt for smaller, more profitable stores. According to analysis, around 60 of the UK's 500 bigger shopping centres will likely be demolished completely, while another 200 may undergo partial redevelopment.
Landlords are responding by adapting to changing consumer demands and offering a range of activities that can't be replicated online. With many retailers focusing on smaller footprints, shopping centre landlords are seizing the opportunity to create vibrant destinations that attract visitors from far and wide.
Gone are the days when jostling for a spot at Primark was the main event. Instead, developers are bringing sports and health-related activities into the mix, from zip wires to rock climbing walls, in a bid to create immersive experiences that draw in consumers. This shift is driven by the growing demand for socialising and interactive entertainment.
Leisure operators such as Zip World and Go Ape are already exploring opportunities with shopping centre landlords, while US-based group Five Iron has signed up 10 UK sites for its hi-tech golf simulators and coaching facilities. The latter's first location in Broadgate, central London, is set to become a hotspot for entertainment seekers.
As a result, former department stores are being repurposed as leisure destinations. For example, the old Debenhams site on Wandsworth High Street has been transformed into Gravity, featuring go-karting, mini-golf and darts. Meanwhile, Bluewater in Kent is set to open an outdoor events arena, as well as hosting padel courts.
The trend for experiential retail has led to a significant increase in footfall at shopping centres. According to the British Retail Consortium survey, shopper numbers have remained steady despite a decline in overall retail sales. Vive King, chair of Revo, notes that consumers are increasingly seeking "memorable, shared moments" and "experiences" over traditional browsing.
This shift towards experiential retail is particularly evident among younger generations. Gen Z and millennials are prioritising self-improvement and interactive activities, such as yoga studios and immersive play. Bruce Findlay, managing director of LandSec, notes that people are craving new ideas and "creating wonder" through events like Europe's biggest bouncy castle in Braintree.
Retailers are responding by offering a broader range of activities and experiences. Unibail-Rodamco-Westfield has seen its leisure provision increase by 39% since 2022, while Westfield is set to open the Wake the Tiger art experience in London. Even Go Ape is considering moving beyond its park locations if the right space becomes available.
The impact of this trend cannot be overstated. Smaller shopping centres are struggling to stay afloat as retailers opt for smaller, more profitable stores. According to analysis, around 60 of the UK's 500 bigger shopping centres will likely be demolished completely, while another 200 may undergo partial redevelopment.
Landlords are responding by adapting to changing consumer demands and offering a range of activities that can't be replicated online. With many retailers focusing on smaller footprints, shopping centre landlords are seizing the opportunity to create vibrant destinations that attract visitors from far and wide.