Retailers continue to shrink their footprint to right size their stores as they position themselves for the future. Omnichannel is a must and retailers must look for ways to condense and maximize their brick and mortar footprint all the while creating and growing an online base. Customers want both the ability to purchase in store as well as the ability to buy online. This move by Abercrombie is one that you are seeing by majority of the traditional retailers that occupy space at the mall. The initiative is to keep a presence, cut the excess and structure themselves to be able to thrive and remain relevant as we move into the future. Retail is evolving as consumers patterns change.
Big and bulky retail is out and new lean and mean “fit” retailers are in the works! The old format of a large retail unit at the mall is extinct and will never come back. The new age format includes a condense and efficient brick and mortar protype, which keeps real estate operating expenses low and allows a retailer to have a physical presence in the market, coupled with an online omnichannel strategy are the ingredients to a successful retail recipe. This is a very big transitional time for retail. The sector is far for dead it is going through a very healthy leaning up period which will serve as a strong structure for the future. Expect retail to continue to evolve over the next 5-10 years with some retailers changing their business, some going out of business, some condensing their business all while growing new leaves and expanding to meet the new age consumer and their demands.
About The Author: Jeff Dervech
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