Updated: Feb 3, 2021
Malls were the place to hang out
Not long back malls were the place where everyone will spend their time shopping. People will spend their weekend in the malls browsing the stores, shopping and eating in the food courts.
Malls are closing
Now, over several years, the malls have starting closing. It is projected that a third of shopping malls will either close. There is so much retail space available and there is no one to take.
Impact of Anchor Stores leaving malls
The major factor for the small stores in the mall going belly up is attributed to the anchor stores like Macy’s, JC Penney, and Sears, often known as anchor stores. Anchor stores brings traffic. Without anchor stores, malls are bound to lose traffic which forces other smaller stores to go out of business.
People buying habits have changed
The biggest factor to blame is the growth in online shopping. With only 8% to 10% of the total sales, online sales have already started taking its toll on the retail stores and malls.
Even while buying at the store, people still visit online stores to check prices and read reviews.