But malls are not going extinct, they are merely adapting to a new environment. In fact, many have reported robust occupancy levels and bigger crowds than before the pandemic, according to a recent market analysis from Coresight Research. In a report published in June, Coresight found foot traffic in top-tier malls was up by 12% in 2022 compared to 2019, while traffic in lower-tier malls was up 10%.
“Retailers today have that advantage where they can use digital solutions to build brand rather than just throw stores everywhere like they did in the 70s, 80s and 90s,” said Isner. It means brands can be selective about where they open physical locations, and focus on top-tier malls with an energetic consumer base. “We have a handful of brands that are opening up in the outlet space that were formally digitally native brands,” said Tanger Outlets CEO Stephen Yalof.