Jumbo malls are being less favored by shoppers in the six Gulf Cooperation Council countries, while the popularity of neighborhood stores and discount centers is rising significantly. Research firm Roland Berger conducted a consumer opinion survey, which shows that differentiation of the “shopping experience” in malls is becoming an increasing challenge. Bigger malls are not necessarily more appealing, while concepts such as “discount malls” get higher agreement during the survey. Some of the highlights:
a) “Bricks and mortar” clearly dominates retail landscape − Yet, multi-channel is pitching up across countries to varying degrees reaching from 16 percent to 42 percent
b) Approximately half of online shoppers state intention to buy (more) online – Intention of “bricks and mortar” consumers varies across countries, so the effort needed to push online is clearly different c) It’s promising to see that the majority of people state that they feel online payment has become more secure – especially current “click” credit systems
d) Reasons not to shop online are mainly attributed to a lack of visual inspection, a dull shopping experience and complicated return policy. Reasons vary across countries
e) Online shoppers value benefits apart from delivery and price, especially reviews and variety opening up opportunities for differentiation
f) Research reveals that “brick and click” consumers are the bigger “shopping enthusiast”; they are placing a much greater emphasis on emotional appeal.
