Shoppers Seek Malls Tailored to Their Preferences

Luxury and Aspirational Shoppers Embrace New Lifestyle Development at Fashion Valley Mall

In a move that aims to cater to the evolving needs of luxury and aspirational shoppers, Simon, a leading real estate company, has announced a new “luxury lifestyle” development at Fashion Valley Mall in San Diego. This development will integrate 850 residences into the designer retail hub, creating a unique and vibrant community for high-end consumers.

Mark Silvestri, President of Development at Simon, expressed excitement about the project, stating, “We’re excited about this next phase of Fashion Valley as we continue to reinvest and add a walkable, livable lifestyle community that is intertwined with handpicked luxury brands that can only be found here. This redevelopment marks a new era of sophistication and convenient living in San Diego.”

The decision to combine residential living with luxury retail reflects a growing trend among high-income shoppers who seek convenience and a sense of community in their shopping experiences. According to a recent PYMNTS Intelligence study, two-thirds of high-income shoppers still prefer physical stores for their retail needs, even though they may also make purchases digitally. Luxury malls, like Fashion Valley, offer a curated selection of high-end designer brands under one roof, providing a comprehensive shopping experience for discerning consumers.

However, operating luxury shopping centers comes with high costs, and economic fluctuations can impact luxury spending. To address this challenge, operators must build strong relationships with tenants to weather economic downturns and ensure the sustainability of these upscale retail environments.

On the other end of the spectrum, Tanger, known for its outlet malls, is optimistic about the future and has expansion plans in place. The company sees an opportunity to attract aspirational consumers who seek premium items at more affordable prices, especially during challenging economic times. Outlet malls offer discounts on premium and designer brands, making luxury items accessible to budget-conscious shoppers. These shopping centers often carry past-season items or factory seconds, providing unique appeal to aspirational shoppers looking for exclusive deals.

Justin Stein, Executive Vice President of Leasing for Tanger, highlighted the company’s focus on offering value to consumers, stating, “We always say we operate at the intersection of brands and value. When you shop our centers, you see a lot of name brands. And why is that? Well, the average person is looking to buy a brand at the best possible value. That’s another reason why when things get a little bit challenging, that’s where we accelerate.”

As consumer preferences continue to evolve, malls are adapting to meet the diverse needs of shoppers across different financial lifestyles. By reimagining their offerings and creating integrated spaces that cater to the changing retail landscape, malls like Fashion Valley and Tanger are staying ahead of the curve and providing a unique shopping experience for luxury and aspirational consumers alike.

In conclusion, the new luxury lifestyle development at Fashion Valley Mall represents a shift towards creating vibrant and integrated spaces that cater to the diverse clientele of high-end and budget-conscious shoppers. As the retail industry continues to evolve, these developments signal a new era of sophistication and convenience in the world of luxury shopping.