As GMAP and location planning methods have changed over the past 30 years, so has the global retail environment. The late 1980s and early 1990s saw the shift away from traditional high street retailing to ‘Out of Town’ retail parks and centres. The noughties signified rapid technological developments and with it, the internet and online shopping.
The prevalence of the internet in our homes and pockets has instigated our consumer demand for convenience. As a result, retailers have had to evolve. This has happened in a few ways; supermarkets have gone full circle and re-created smaller format, local stores on the high street and on petrol forecourts, whilst non-grocery retailers have evolved from being purely ‘Bricks and Mortar’ to focussing revenues in developing their online presence. This latter adaptation has resulted in a media frenzy reporting the ‘Death of the High Street’. However, one major feature that online shopping can’t replace is the physical experience, which remains a consumer priority. In fact, 80% of sales transactions still happen in store; therefore, many retailers have adopted ‘omni-channel’ business models. It is recognised that online sales increase within the vicinity of a store, known as the ‘halo effect’. Therefore, the right locations can provide more brand awareness than any other marketing campaign.
Changes have been witnessed across all aspects of retail. Car dealers are exploring alternative retail formats in key shopping destinations, such as the interactive showroom-style FordStore within Next in Manchester’s Arndale Centre. Similarly, ‘big box’ homeware stores are moving into retail centres, for example Ikea are locating smaller stores in city centres. Forecourt retailers are also having to focus on providing convenience through adding store offerings, whilst their business models are more frequently shifting to wholesale operations and mergers.