Breathing New Life Into The American Mall

The changes happening at U.S. shopping malls are both a big topic of conversation and of concern. Is the internet killing the mall, or is it more adaptable? There are many who believe that online retailing is killing the physical store, others aren’t so sure.

Leases for physical stores will be expiring soon, as fellow Forbes contributor Barbara Thau points out, the number of storefronts from existing retailers are dwindling.  Older formats or banners, think Sears, will likely go away, malls will not.

The mall is evolving in some new and interesting ways that could transform that experience in some meaningful ways, thanks to digital technology.

Simon Property Group recently announced it would host mini-marketplaces in six of its U.S. malls. It’s a partnership with with Refinery29, an online site devoted to fashion. Refinery29 doesn’t sell merchandise, but its stamp of approval goes a long way toward furthering a brand or label.

Simon is also creating what it calls “smart malls” by adding iBeacons to roughly 75 properties. The technology, developed by Apple, allows for the placement of small transmitters inside spaces that communicate with smartphones over a version of Bluetooth called Bluetooth low energy (BLE).

In short, it creates a complete Wi-Fi network where signals are hard to get, has a low-drain on mobile devices’ batteries, and offers a seamless solution for shoppers and retailers alike.

Offering ubiquitous Wi-Fi in shopping centers is considered critical to wooing millennial shoppers and reaching them via their preferred form of communication, the smartphone. BLE networks are inexpensive, easy to install and allow retailers to communicate directly to shoppers in new and meaningful ways.

Westfield malls are testing mobile ordering that lets shoppers order food from their smartphones for pick-up or delivery. The goal is to extend the service to other retail tenants.

Westfield’s Labs division earlier this year, installed a life-size touch-screen mirror in a New Jersey mall that lets shoppers browse products offered by retail tenants. These types of digital storefronts are popping up in shopping centers as companies devise ways to bring in younger shoppers and create livelier, more exciting shopping environments.

Some stores may go away, but malls are changing as retailers and management companies breath new life into this American experience.