Everyone likes a bargain regardless of age or income! Majority of U.S. consumers are driven by value and have remained price-conscious shoppers throughout time, regularly visiting discount retailers to seek out a bargain. Regardless of age, looking for the best price remains to be a habit in consumers of almost every demographic group. The art of a steal, is what drives this desire regardless if the consumer is capable of affording to shop elsewhere. The NRF survey concluded that 89% of U.S. adults shop at discount retailers, of which 58% shop at dollar stores, 50% at off price retail and discount grocery, 44% at outlets and 36% at thrift stores. The report found that customers are willing to give up almost anything for the satisfaction of a good bargain. With these concepts so desirable for consumers, shopping centers which include these uses in their tenant mix creates a draw and supports synergy for the remaining tenant base, helping to make these locations desirable destinations.
The discount retail model (dollar stores, discount grocery, off price retail) has served to hold up very strong during the economic downturn and proved to provide great value for consumers when things were tight. The fact of the matter is this retail model continues to provide great value for consumers when things are good as well. This model has appealed both to low- and high-income earners as well as shopper’s young to old creating a very wide based consumer pool. In addition to these models serving consumers well, they have proven to remain strong tenants for shopping center landlords creating foot traffic and increased retail synergy at the properties that they occupy space, driven primarily by their use and consumer demands. The discount retail model remains to be deemed “e-commerce immune” and remains to be one of the few sectors growing in the face of a changing and evolving retail environment.