Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)
Issue link: https://sct.epubxp.com/i/58695
even be visiting stores to touch and feel items they intend to buy online us- ing a smartphone or a tab- let. This time-consuming phenomenon — dubbed "showrooming" — is perceived as such a threat that some re- tailers are try- ing to boost in-store sales by offering specials on Patterns of U.S. Mall Shoppers," appear to defy conven- tional wisdom, at least at first glance. Despite all the talk about "time-pressed shoppers," for instance, respondents reported lingering longer at the mall. "The duration of visits at 89.4 minutes for all mall shoppers was higher than it has ever been reported," the authors wrote. "This new high was observed for both genders, too." Likewise, the typical U.S. mall shopper spent $50 per visit in 2010. This median figure was actu- ally greater than the spending observed before the recession. People also spent a record $68.80 per visit in mall shops — up 47 percent over the $46.90 per visit posted during the 2005–2007 period. Possible explana- tions may involve the recession's afteref- fects. Cash-strapped customers could be staying longer not be- cause they have extra money and time on hand, but because they are intent on comparison-shopping for the best deals. Some shoppers might bundles of products, says Greg Maloney, president and CEO of Jones Lang La- Salle Retail. "Traffic patterns have been impacted by mobile shopping, and we expect this to continue," Maloney said. If the typical mall of a decade ago was a sea of apparel tenants, today's properties emphasize the customer ex- perience — through the likes of cafés, playgrounds, restaurants and soft-seat- ing areas — as never before. These new amenities and tenants encourage young people, in particular, to slow down and hang out, says Jean Lambert, ICSC's director of industry research, who co- authored the report with senior research analyst John Connolly. "Young people have a lot more time to spend at the mall," Lambert said. "It is not only the white-tablecloth types of restaurants, but also places like Starbucks, where you can have coffee with a friend and enjoy free Wi-Fi for hours. This behavior shows up in the numbers." So does the focus on food. Spend- ing on restaurants and food rose to $8.10 per U.S. mall visit in 2010. That is up from the $6.50 per visit of the 2005–2007 period, and nearly double the $4.70 of 2000–2001. "Bear in mind, these numbers do include the responses of shoppers who spent no money at all on food," said Connolly. "Survey only those who had bought food or eaten at a restaurant, and you would see a more acute spending increase." Combined 2010 mall shops/food venues spending (shares of top 5 categories based on sales) Electronics 10.3% Woman's apparel 10% All other categories 45% Jewelry 7.5% Restaurants 6.6% Family apparel 20.6% SOURCE: ICSC RESEARCH Though the recovery was only just beginning in 2010, monthly spend- ing per person at U.S. malls rose to $316.80, up from $295.20 in 2005– 2007. But in a possible reflection of the outsized economic hit younger shop- pers have taken, the spending increases came from the oldest age groups. In the area of mean spending per person, per visit, for example, those age 55 to 64 shelled out nearly twice as much as the 18-to-24 bracket — $139.45 for the for- mer, versus $70.28 for the latter. This figure is much larger than the $113.10 that the 55-to-64 shoppers spent in 2005–2007. Those in the 45-to-54 age group spent a healthy $136.09. Meanwhile, the 18- to-24 and 25-to-34 groups spent less in 2010 than they had before the re- APRIL 2012 / SCT 37