The weak stores have been purged from the system.
Obviously retail has been dying for at least the last 10 years, as online shopping giants like Amazon explode. COVID made it extra tough the last 2 years for physical retail.
But now that the bad has been sweated out, store openings may top store closures for the first time in five years.
The lower rents are a big draw now for retailers.
The key is finding the right balance of physical vs online presence. And that’s not going to be the same across the board for all businesses.
My prediction is a hybrid model will be the most successful. It will be big hub stores in high population areas that customers can come check out in person what they already viewed online as the last step.
Or the other way around... You go to the store in person first to get a feel for everything. Then you seal the deal in the comfort of your own home.
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