As retail begins to open up and we look into going out to dinner again, do we feel safe? Do we want to mask up in the heat of summer and stand in line to wait for a chance to snoop around Marshall’s, Trader Joes, T.J. Maxx and Nordstrom? I don’t think most of us are looking forward to the “new normal”. I know I have not been to one store I have to wait in line to enjoy. It is scary to think this is the new normal.

The shopping center trades say we are going to lose most of our major department stores and super regional shopping centers will no longer be in everyone’s neighborhoods. We all know the Super Regional indoor shopping center was already feeling the squeeze the department store has been over for years. We no longer need them. COVID-19 has escalated these closures and assisted the weaklings to move out and get on with it.

I have been a marketing director for over 30 years now and can remember the feeling of pulling into the parking lot of a big Super Regional shopping center and getting chills up and down my body as I entered the doors. Everything looked so big and expansive. So clean and bright and very exciting. I thought to myself, when I start my own business as a marketing consultant, I am only going to work with these big giant indoor centers. I could not relate to strip centers and thought that outdoor centers were never going to make it as they could not control temperatures, pump in air that kept everything perfect and there was no customer service booth. None of it seemed appealing. Boy did I get that wrong. Thank goodness after a few years of being in business I quickly turned to clients with outdoor properties and local strip centers. Events may be a pain in butt as we can’t control things such as weather, but wow are they more interesting and forgiving during a pandemic.

With the changing times, it looks like we may go from 5-8 regional enclosed malls to 1 or 2 in each community within the next 2-years. All of a sudden, we are faced with empty dinosaurs all around us. What will become of our neighboring gathering places? Will they become homeless shelters for those families that were a paycheck away from living in their cars? Each center is equipped with cooking facilities, bathrooms, loads of space for an easy transition to house 250 square foot spaces for individuals to sleep and live safely off the streets. The government could subsidize this venture, and the landlords would successfully collect and pay their debt service.

Our landlords are in trouble as co-tenancy clauses are becoming a factor and tenants see their way out the door with no repercussions. The outdoor shopping centers will have the benefits of a clear curb appeal with easy access to retail and dining delivered to the car. The drive through event is taking center stage and the virtual visit with Santa will be all the rage this holiday season.

I don’t think our strong retailers are going to leave forever, they are going to get smarter. They won’t let us stand outside in the hot sun or pouring rain, they will find a way to showcase retail in a holding area while we wait. They will provide water, coffee and cocoa. They will have entertainment to keep us enthralled. Maybe the old-fashioned Freeze Modeling will return to showcase what we will soon be trying on as the line moves forward to make our way all the way into the store. Traditional brick and mortar stores will become showrooms, galleries and event spaces. We will be able to preview the merchandise and order online; retail will no longer be able to thrive without e-commerce. Shoppers are still going to get in their cars and drive to shopping destinations; but they are not going to wait in long lines and be given a timer to hurry up and get out. We are going to have to make the wait worth-while and enjoyable. Sorry Trader Joes, I love you, but I am not waiting in line for you!

Source: ICSC, Deep Retail Dive, Washington Post