A decade ago shopping malls were one of the greatest trends, they were sprouting up every single place in urban centers and big cities. Great advantage that shopping malls had is people could do their shopping in one place, therefore, giving out so much convenience. Current world events have sparked a great change in how shopping was. Shopping malls have experienced a steady decline to the point of even closing down and here are some reasons why shopping malls are dying.
Due to the popularity shopping malls had that time, strong demand for stalls in shopping malls grew at a skyrocketing speed. There seems to be a tendency of prices going up when demand goes up which led to owners of shopping malls charging so much for renting little space in the shopping mall. This has played a major role in the death of shopping malls because the high rent is unbearable, unaffordable leading to businesses at the malls closing down. Due to this, the convenience of shopping malls has gone down since customers cannot find everything in one mall leading to a decline in population in the mall.
Another factor that may have influenced the death of shopping malls is the great technological advancements that have taken place lately. Online shopping has become a new trend and shopping malls customers have shifted to it. The advantage of online shopping is that the goods are delivered at your doorstep and have reduced the need to frequently visiting the mall. Online shops like Amazon have taken a big market share in countries like America and customers have shifted to shopping there not only because of free deliveries but because the goods are a bit cheaper than compared to shopping malls. Great discounts also tend to attract people to buy in online shops, shopping malls lose business and are unable to compete with the prices of online shops.
Convenient stores, small supermarkets have been established in many neighborhoods. This means that people don’t have to go to malls for shopping. These convenience stores have been a big blow to malls which had been popular. Malls have also lost customers since current times are so much demanding and buyers no longer have time to loiter around in malls. Shopping in malls has turned out to be no longer necessary. Today’s society continues to be busier and malls will lose more clients due to the living cost that require working for longer hours, might not have time to go to malls.
Competition in shopping malls has led to the death of malls. As malls compete which mall is bigger or more classy, much shift from going to the smaller malls and going to the new classy malls making the small malls run out of business. If the stiff competitions continue more malls will keep on being faced out, malls will keep rising and falling. Healthy competition is needed for malls to thrive but the opposite is being done going to a point of selling things at a very low price just to face other malls out of business. This unfavorable competition has greatly contributed to the fall of malls.
A reason why shopping malls are dying is due to the high prices being charged at the shopping malls have really continuously discouraged people from buying in the malls. Due to high rent that is charged at shopping malls and wages to be paid to workers, stalls owners are forced to sell things at a high price as compared to other places. Besides high prices, most shopping malls are not located close to where many live, and people are forced to go for long distances to get to the malls which is a turn-off.
These are some reasons why shopping malls have faced a hard time to keep afloat in these technological advancements. It will really take measures to bring back the glory shopping malls had a few years ago. Malls are faced with the challenge of how they will remain in business as new challenges come up. Due to the low turnout on malls, some investors have restructured their malls to serve other purposes rather than just being malls or setting new businesses. Malls have a hard time in this dynamic times and changes taking place every day.