Advertise with

Is there a place for pop-up stores in shopping centres?

Feb 15th 2012, 07:39

Is there a place for pop-up stores in shopping centres?

The exercise of setting up a temporary store and trading for a short period of time is not new (look at the many boerewors stands that pop-up at sporting events), but what is becoming a more accepted practice is to set up a temporary store, or a pop-up store in a shopping centre.

A pop-up store is only open for a short period of time. However, it is set up with a more strategic approach in mind, such as, for the purposes of testing out a new product (for retailers), or to earn income when stores are left empty for incoming international brands (for management).

But, is there a place for pop-up stores in South African retail and how do they fit into a shopping mall scenario especially since shopping malls are typically designed for permanent and long standing tenants?

Yael Shapiro, from the National Retail Leasing department at Old Mutual Property, who runs top retailer accounts across Old Mutual’s shopping centre portfolio says that: “Pop-up stores are an excellent solution for recessionary times; they can assist with strategic vacancies (particularly when stores are kept vacant for incoming international brands). They offer retailers an opportunity to test their product with minimal risk.”

While pop-up stores may reap benefits for shopping centre management and incoming retailers, they may not always be ideal for permanent tenants, especially if a pop-up store opens during a tenant’s most lucrative trading period and sells similar goods.

In answer to this, Shapiro comments that “it is all about the consumer and embracing competition. When one first allows a store (temporary or permanent), we look at the concept from a mix point of view to see whether it (a) fits into the mix and (b) whether there is overlap with an existing tenant. Obviously we want our permanent tenants to continue to do well, however competition is healthy and it allows for cross selling opportunities.”

Perhaps a time will come when shopping centres will be made up mainly of pop-up stores that open for certain trading periods. Until then, what’s needed is a healthy mix of shops that benefits the consumer, while satisfying both shopping centre management and permanent tenants.

Wendy Smith

P.S. Look out for this editorial on our editor’s blog.

Please feel free to make comments or raise new issues by emailing the editor
Zetes (formerly ProScan)
Zetes (formerly ProScan) is part of the leading pan-European company that provides value added solutions and services based on the Automatic Identification of Goods and People (Goods ID and People ID).

Zetes uses both emerging and mature technologies (barcode, voice recognition, RFID, smartcards, biometrics), and develops focused solutions to optimise the business performance of many customers through the supply chain across many market segments: manufacturing, transportation, logistics, retail, healthcare, finance, telecommunication, government and public services. Read more
Cellphone revolution to change way SA shops
SA middle class a new retailer target
Retailers of two minds on use of digital tech
Consumer Confidence in U.S. Increases for a Second Week in Bloomberg Index
Massmart expects better earnings
Consumer goods distributor Massmart Holdings [JSE:MSM] advised on Tuesday that headline earnings per share (Heps) would be between 10%-18% higher, or 402.4 cents to 431.6c, for the six months to 25 December 2011. Excluding forex, earnings would be between 5% lower to 3% higher, or in a range of 374.4c to 405.9c per share.

It also advised that headline earnings would be between R865.2m and R924.4m, or between 17 and 25% higher. Excluding forex, earnings would be in a range of R804.7m and R868.4m, or 1-9% higher.
· Holdsport ups sales
· Capi in exclusive partnership with Hugo Boss
· Pick n Pay CEO, Nick Badminton, calls it a day
· Lewis lifts sales 5.5%
· Local Clothing sector boosted by TFG acquisition of fashion manufacturer
· Steinhoff to take over JD Group
· Cashbuild Q2 revenue up 9%
· Musica shifts focus to tech
· Foschini boosts sales
· Truworths dives on below-forecast sales
· Edcon appoints new CFO
· Mr Price third quarter sales growth 15.9%
· Tribunal tells Massmart to tweak deals
· Woolworths 26-week sales up 11,4%
· Clicks Group turnover up
· CNA Readathon Success Strikes Another Resounding Blow Against Illiteracy
Best Consumer-Stock Gain Seen Ending on South Africa Valuations
The world’s best-performing consumer stocks have become the lowest-rated by analysts after valuations of South African retailers and food producers climbed to the most expensive levels on record.

Five companies in the MSCI South Africa Consumer Staples Index including Shoprite Holdings Ltd. and Massmart Holdings Ltd. are rated the lowest among peers in 36 countries, according to more than 3,800 recommendations compiled by Bloomberg.
· SA firms improve position
· SA business in Nigeria suffering
· Paying a premium for the emerging market story
· Manufacturing to boost fourth quarter GDP
· Shipping signal gnaws at market optimism
· Emerging markets switch on to gadgets
· African growth set for new chapter: Deloitte
· SA CPI annual average 5.0% in 2011 (4.3% 2010)
· ‘Glimmer of hope’ as jobless rate hits new low
· Tech demand to defy economic headwinds says Deloitte
Kodak to exit the camera market
South African customers may soon be buying cellphones and airtime from Kodak Express stores as the company chooses to opt out of the digital camera market and move into more lucrative revenue streams, it said on Friday.

This follows the announcement by Eastman Kodak Company that, as a result of its "ongoing review process and commitment to drive sustainable profitability through its most valuable business lines", it planned to phase out its capture devices business — including digital cameras, pocket video cameras and digital picture frames — this year.
· Nokia no longer on ‘burning platform’
· Apple Names Dixons CEO Browett as Retail Head in Cook’s First Outside Pick
· Manufacturing Circle appoints Executive Director
· Cotton price and labour costs weigh on H&M's profitability
· Transnet ‘sinks plan’ for ship repair hub
· E-tag conditions illegal - report
· Safmarine moves in with Maersk
· Kodak replaces restructuring guru
· Sony Ericsson slips into the red ahead of rebrand
Top 10 Retailers With The Most Sales Worldwide: Deloitte
Regardless of the number of mom and pops around the world, a small number of retailers continue to dominate the industry as a whole.

Of the top 250 global retailers in 2010, 10 alone accounted for 29.4 percent of the all sales, according to a new report from Deloitte Touche Tohmatsu Limited and STORES Media.
· Supplier collaboration stabilises McBride
· Timberland stores testing interactive shopping experience
· Planet Retail recruits former Mintel Sales Director
· Avenue Clothing Chain Owner United Retail Files Bankruptcy
· Charming Shoppes shakes up supply chain leadership
· Losses of Japanese Electronic Firms Worsen
· US warned of imminent rare earth shortage
· Consumer Confidence in U.S. Increases for a Second Week in Bloomberg Index
· Unilever Volume Rises at Slowest Pace in Almost Three Years
Time Link Cargo
Time Link Cargo is a privately owned logistics company. Headquartered in Cape Town and operating nationwide the company offers specialist service in the areas of long distance transport, national distribution, warehousing and dedicated logistical solutions.
At the highest level, Footprint(c) will provide a map of selected shopping malls, stores or outlets (e.g., bank branches) across South Africa. At present, we have over 26,000 outlets coded, encompassing over 360 brands.
In business longevity does not equate to loyalty
In the world of business an individual’s loyalty is not measured by how long he or she has been at a company. This is an outdated perspective say HR experts and the focus today is more on relationship building and trust earned from consistent and effective service delivery.
· Communication strategy says a lot about a company
· Imperial Logistics acquires Kings Transport, boosts load consolidation offering
· Imperial Logistics expands Africa access with Snyman Transport
· Paltrack Claims Gold Award at Logistics Achiever Awards
Nicolene Di Bartolo
It is our mission to source exceptional talent in mid-to executive management levels across all job categories.
Strategy Recruitment Marketing
Strategy Recruitment Marketing is focused on providing tailor-made, alternative recruitment solutions that are based on out-the-box strategic and creative thinking.
Job vacancies at The Clicks Group
Find out more about job vacancies at The Clicks Group. Read more about Clicks in our retailer profiles
Managing Director: Commodities
A leading FMCG manufacturer, wholesaler and distributor of dry foods in West Africa. They seek to appoint a Managing Director for one of their key businesses with emphasis on gaining further market share in West Africa.
To advertise:
Cape Town
Vivienne Ayerst

Tel: or
Tina Baney

Tel: or
For editorial:
Wendy Smith