NEW ENTRANTS
Despite the changes currently under way in the UK fashion market, it continues to be one of the strongest in the world and remains attractive to foreign entrants. The spotlight thrown on the UK, and London in particular, by the 2012
Olympic Games has attracted many international brands (see page 24). That is good news and shows the vibrancy of the UK fashion retail scene, says Curtis. However, these premium brands are often picky about where they locate. Shopping centres and their host towns and cities must stand out on a new level. “In the current climate, many new entrants are considering European locations against each other, so we’re not necessarily competing with other cities in the UK, but places in Europe. We have to work harder to attract those retailers with information that lets them appraise the cities accord- ingly,” Curtis says.
International brands entering and expanding in the UK are often
premium, and they demand exciting locations, which can attract a demographic that refl ects their positioning. They are also prepared to invest heavily in the fi t-out of their stores as they position their brand in the new market. There is also something of a critical mass eff ect, where the
opening of stores by international brands attracts others as it clearly marks out the destination as somewhere that UK consumers can get something diff erent from the average high street.
VIBRANT SHOPPING DESTINATIONS
Curtis believes that just as the fashion market is polarising so are shopping locations – with consumers showing a strong preference for those that really support shopping as a social activity and off er good value for the time visitors ‘invest’ in spending there. Consumers – particularly those with disposable income – tend to be time-
poor, and it is as crucial to attract them to spend time in stores as it is their money. This requires destinations to have a retail and leisure mix closely targeted to the needs and wants of their consumers. And in order to maintain appeal and encourage loyalty to a destination
there is an expectation that this mix will be kept fresh and the centre will work to optimise the experience, rather than relying purely on the ambience within individual stores. Saunders says it is vital now that consumers feel they are being given
“value for time” as well as for money. There are many ways that can be done, whether it is good in-store cafes, an appealing environment or a leisure off er that complements traditional retail. “In some older shopping centres, and some secondary and tertiary
locations, that’s not quite so good,” he observes. “For women, shopping is still very much a social activity,” he reminds retailers. Cafes, bars and places to eat are now core components. He says town centre managers must also be alert to the need to build
a compelling retail off er, and believes that can be done – in fact retailers frequently do it themselves by grouping together when it is to their mutual benefi t. “What you see in some market towns is a cluster of premium retailers, which on their own might be relatively one-dimensional,” says Saunders.
CONSIDERATIONS FOR SHOPPING PLACES CHOICE OF STORES
BRAND PRESENCE LEISURE INTEGRATION VALUE VERSUS PREMIUM INNOVATION AND NEWNESS MARKETING AND PROMOTION
US-based Forever 21 (above) and Hollister (left) are two examples of international retailers expanding in select locations in the UK
autumn 2012
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