Insights from Japan for Australian Retailers, Developers and Landlords
My first LFRA study tour was marked by the formation of new relationships and opportunities, a look at inspiring and innovative built form and a master-class in consumer orientated and experience-based retail.
The Japan study tour took us to a range of large, small and mixed-use retail destinations all of which contained insights worth reflecting on in the context of the rapidly-changing Australian retail landscape.
As a developer, I was particularly interested in how retail spaces were being crafted to attract more consumers and encourage them to stay for longer. Here are a few of my key learnings from the study tour.
Key Learnings:
- Urbanisation represents opportunity – Tokyo and Osaka are densely populated and Australian cities are increasing in density at a rapid rate. While retail expansion could be impacted by land constraints opportunities exist to capture a constrained volume of consumers through mixed use development, which provides multiple retail and service offerings.
- Consumer expectations are evolving – In Japan it is easy for your senses to be overwhelmed by sites, sounds and crowds. In this environment, retailers are constantly competing for consumer attention. This is forcing retailers and landlords to include ancillary food and beverage, entertainment, and lifestyle offerings. Proud customer service remains a core part of the Japanese retail experience.
- Experienced based retail wins the day – Consumers are demanding immersive experiences. The Japanese expect a purchase to come with a fond memory or feeling of exclusivity. Different experiences are pulling customers into retail shops and centres and purchases are occurring organically from there.
The next generation of Large Format Retail:
At Geon Property we are seeking to develop the new definition of the Large Format Retail experience. We’re combing some of the elements we uncovered in Japan, with some of the traditional thinking that has served Australian retail well in decades gone by. Our current and future projects will seek to include retail, entertainment, food and beverage and lifestyle offerings, which pull consumers in and encourage them to stay for longer.
The LFRA tours are world-class. We are fortunate to have the experience of people like Phil Schoutrop within the LFRA, preparing and managing these global experiences. The study tours represent an opportunity that every contributor to Australia’s retail economy should consider being a part of.
By Glen Wright,
Development Manager
Geon Property
