homepage Forums SimHQ Community Community Hall 20-25% of shopping malls predicted to close in 5 years

This prediction form Credit Suisse seems to be on the mark.

http://www.cnbc.com/2017/06/02/anot...-closures-and-a-possible-bankruptcy.html

Yep. The economy has never recovered from the Great Recession and probably never will due to the impending shift towards heavy roboticisation and dwindling pay. I hate to say it but the 1980s was our golden age.

If only we could reclaim that real estate and put it back to a natural state without just being an eye sore of brush and weeds.

You can see the malls failing if you ever to go them.

I disagree that it's "just the economy".

For years now large store chains stopped to innovate the services available at the store and totally failed to even put up a fight with online retailers regarding prices, variety, and availability. Malls keep their real estate cost at a premium, so there is no room for smaller businesses to offer any alternatives that may bring more customers to the mall.

I may want something from a store in a mall that is 40 minutes away, but I rather save 10-20% on the retail price (or even more on a sale) and just wait a day or two more to get it online. Saves gas too.

Food courts also did not adapt quickly enough to drop fast food joints in favor of higher quality and healthier options.

Finally, movie multiplexes mean nothing when you can get more variety immediately online and with better technology at home. The only thing they still offer that is not available outside the cinema is the screen size.

IMO, there is some backlash from the Black Friday crap. When people started talking openly about that, and how that weekend was hugely profitable even with the big sales, people may have decided that's the only time stores are really useful. And if they can offer those sales and profit, then why can't they offer better sales throughout the year?
Personally, I just can't stand the crowds, parking, searching for something that they most likely don't even OFFER much less in the size/color/brand that I want. Why waste my time, money and MY LAST NERVE going out there when I can find it online with the variety I want and for less money?
The shopping experience continues to evolve. Just like going from general stores, to mail order catalogs, to specialty stores, to malls, to super center/mega stores...now we're online.

Its been 11 years since I last set foot in a mall with the intent of shopping, that's right aroumd the time I started purchasing things online in earnest.

Here's some evidence that it isn't simply online retailers, that it is the economy:

http://www.zerohedge.com/news/2017-05-27/dollar-general-accounts-80-all-new-store-openings-us-year

Why does this correlate? Dollar General Stores are not in malls. They open in buildings they build and own, so yes, there is a demand for cheap merchandise, but these stores are not a direct competitor to any stores in malls.

If anything this just serves as proof that the public values lower prices rather than a store brand name.

EDIT: I should mention I have never been to a Dollar General, and I still do not care for the mall.

Also...

notice that the trend of online surpasing retail started before the recession:

Dollar General's advantage is that they have stores everywhere. I live in a relatively rural area and there is DG a mile and half from me, another 3 and a half miles, 7 more within 10 miles or less.

And they're really not cheaper than Walmart, I only go to DG if I need one or two things in a hurry otherwise I go to Wally World (6 miles away).

They correlate for the same reason you use online retailers as a counter example. Online retailers aren't in malls, either. But they're demonstrative of the state of the economy--people save by shopping online. They save by shopping at Dollar General. When the economy is strong and people are prosperous, malls are prosperous, too, as they aren't as conscious of what they are spending and instead prefer to spend their time in a pleasant shopping environment.

What's funny is that Amazon just opened a book store. LOL
Other stuff too, but looked like it was mainly a book store. Waldenbooks, Barnes & Noble and the like are probably steaming. Not sure Waldenbooks is even around anymore.

When they closed all the Border's Books stores it was a big deal around here. They had a Data Center near Ann Arbor that employed many people. All wiped out. Border's was always WAY over priced. It just became a place for people to "hang out" while trying to look smart. I guess it's mostly e-books now. I used to love the old book stores though. The mom and pops shops, with the creaky wood floors. I used to love even the smell of an old book store. Not a one left around here that I know of.

More troubling signs.

http://www.nbcnews.com/business/consumer/retail-wreck-over-1-000-stores-close-single-week-n767556

I still think one of the biggest problems facing retailers today is that they are trying to sell low quality items for a high price. My whole life I was able to walk into a Kohl's or J.C. Penny and get quality clothes at a fair price. There is almost no quality or value in the products they sell today. Resale cloth shops are booming because of this. If you want a button down office shirt that doesn't feel like it was made out of dog hair, you have to pay a ridiculous price. Consumers today are looking for VALUE, plain and simple.

I think also, when you have giant stores like Walmart, Meijer, Target, Costco, Sams Club, etc that are in close proximity to nearly everyone, that doesn't help malls either. Unless you are looking for something specific that's only sold in a mall store, you can get just about anything you need in one of these stores. A lot of these stores also have a good neighbor like Menards, Home Depot, Lowes for any home improvement, tools, etc. Add a Big R, TSC, or Rural King for hardware, tools, guns/ammo, sporting/hunting/fishing goods, bird feed, and I'm a happy camper...lol.

If I want something special that's usually in a mall, Amazon Prime. Free two day shipping, and I can usually wait. That or a specific brand's website that I can order from.

85% of all our shopping comes from online purchases. 15% of our store buying is only for groceries. So many stores have closed around here. Target, Dollar General, Local Ace hardware
and so many sit down restaurants have gone belly up. I don`t even bother visiting local Auto parts stores until I view their online inventory to if they have what I need, Having a 2006 Honda
Odyssey, 2003 Jaguar S-Type, 2002 Lexux LS430. Not likely to see those parts around here. Amazon Prime member and they are here next day. Better quality to. All the malls in the region
are dying fast. But the big box stores are thriving. We have Walmart,Menards,Runnings,and for grocery, Cashwise, Aldi , and Hyvee. Pretty much what holds this together.

Heading out west on the 18th for 4000 mile trip to the 4 corner region, expecting to see a lot of whats already well under way.

My thoughts exactly!

"Welcome to Slaughter [Louisiana]" (the town sign is in front of the DG). If you need a couple of things and don't want to drive into town, this is where you go...

I googled your town, found that DG and then zoomed out and found 3 more DG's 5-6 miles south of that one and another about 10 miles north. They're everywhere!