Canopies in the sky, an avenue of stars and more play areas for kids – retail expert Theodore Knipfing dreams of new possibilities for Orchard Road.
It is all about the experience, with frequent and regular programming. Managing Partner of Plus Curiosity Ltd., Theodore Knipfing believes brands not only need to work a lot harder to attract people to their stores but they need to also work more closely with other stakeholders in the shopping district in creating unique experiences given the evolving retail landscape.
With future plans envisioned for Orchard Road, we catch up with Theodore on the retail scene and how brands and shopping districts can stay relevant with changing consumer demands.
Future plans and possibilities for Orchard Road were exhibited in January 2019 as a result of a multi-agency review.
Shopping at malls or online: what is happening in the retail scene?
Theodore: If you read the headlines every day, it appears that physical retail shops and malls are under threat by e-commerce, and yet, you see more malls are opening everywhere than ever before. As of today, it is estimated that e-commerce actually only contributes an estimate of about 10 to 15 per cent of total retail sales.
Having said that, brands are coming or have come to that pivotal moment where they must innovate and reinvent themselves in the face of infinitely more choices for the ever fickler consumer, and an ever widening field of choices and experiences.
What is really happening today is that bad or boring stores or malls are the ones that are closing. With the Instagram generation of shorter attention spans and higher expectations for more diverse experiences, brands have to work a lot harder to give people reasons to keep coming back to their physical stores.
Tell us more about how brands are integrating physical shops and online shopping.
Theodore: One approach is to use the physical shop as a showroom. You go to shops to check out the products first and then go and buy them online. Or shops show a limited selection and more options and varieties are available online.
The merging and blending of both the online and offline experiences is increasingly important if you want to keep enticing shoppers to come back to the shop and the brand.
Others are also using technology to make shopping at stores more fun and interactive. For example, beauty shops are offering options such as the magic mirror where one can test and try out different products on the face digitally and see the effects straightaway. However, these experiences cannot replicate what the consumer can do on an app or website. Otherwise, there is no point in visiting the store.
From shops to whole shopping streets, what can shopping destinations such as Orchard Road offer?
Theodore: Orchard Road is actually in an enviable position. It is still the undisputed flagship destination of Singapore, and arguably of the entire region around Singapore. Therefore, it must become more than a place to come to cross things off the shopping list, but a unique and “only one” destination where people can come to enjoy, experience, and spend quality time together.
When you buy online, or at the neighbourhood grocery store, there is typically no emotion, no tingling in the spine. Orchard Road should offer an amazing experience that cannot be replicated on your phone or at your local shopping destination.
What can shops and shopping streets do to attract more people?
Theodore: People want to have an experience that engages all the senses. If the experiences are really good and unique, many will be willing to pay for it. It may be exhausting and constant work, but brands will eventually start to offer regular and constantly upgraded programming. As there is a shift away from shopping, and towards experience in the physical store, the staff composition of retail store and shopping destination may shift more towards experience creation and execution.
What is one shopping district in the region that stands out to you?
Theodore: The central area in Bangkok. Each mall is doing something different. There is always something cool to see and do. There is unity amongst the developers in the sense that they are all constantly offering something unique.
What do shopping districts need to do to sustain its relevance in future?
Theodore: Stakeholders in the district need to come together and work more closely to make shopping areas more attractive and lively, sustaining its appeal in the long run.
One example is Ginza, the upscale shopping area of Tokyo, where the place management associations are strong and active. The Ginza associations are made up of a diverse group of both landlords and tenants and all of them play a part in contributing to the district’s public realm, whether big or small.
Place-making efforts play a major role in shaping Ginza, Tokyo's premier shopping, dining and entertainment district.
What are 3 things you would like to see for Orchard Road in future?
Theodore: The road itself should be an award-winning experience. The trees can be used to create a more jungle-like environment, offering a canopy in the sky. This would appeal to kids and the kid in all of us.
Capitalising on the beautiful trees and wide boulevards, a multisensory multimedia show can also be explored for the whole road. Traffic can be closed for certain times of the day. People can even pay to sit at different prime viewing areas, enjoying an avenue of stars, intimate spaces and amazing shows that are unparalleled in the region.
There should also be greater unity and collaboration amongst stakeholders in shaping and programming the various public spaces.
As a consumer, what do you hope to enjoy more of in shopping districts?
Theodore: I hope shopping districts can offer a more diverse range of experiences and some of them can even be paid experiences. Perhaps while out shopping, I can book a nice restaurant and order the food in advance and by the time I get to the restaurant with my family, the food can be served as soon as we sit down. It would be good to also have more play areas for children.
Theodore Knipfing is a Managing Partner of Plus Curiosity Ltd., a Hong Kong and Tokyo-based boutique consulting firm that focuses on assisting retailers on their expansion in Asia, as well as advising developers/investors on retail trends, and helping them make unique experiences out of their centres.
For more on plans for Orchard Road, read about property consulting firm Cistri’s views and ideas shaping its future.