The market share of shopping malls in the US is a complex figure to pin down precisely, as it depends heavily on how "shopping mall" is defined and what segment of retail sales is being measured. However, a clear trend of declining market share for traditional, enclosed shopping malls has been evident for many years.
Here's a breakdown of the situation:
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Defining "Shopping Malls":
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Traditional Enclosed Malls: These are the large, indoor shopping centers typically anchored by department stores. Their market share has significantly eroded.
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Open-Air Lifestyle Centers/Strip Malls/Power Centers: These formats, which are often more convenient with direct store access and ample parking, have generally fared better and account for a larger share of physical retail. When "shopping mall" is discussed in a broader sense, it might sometimes include these, which can skew the numbers.
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Overall Retail Landscape:
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The total US retail market is immense, exceeding $7 trillion annually.
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E-commerce has steadily grown its share, now representing over 15-20% of total retail sales (and growing, especially after the pandemic). This online growth directly competes with physical retail, including malls.
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Market Share of Traditional Enclosed Malls (Indicative Figures):
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It's challenging to find a single, universally accepted recent percentage for "traditional shopping mall market share of all US retail sales." However, most industry analyses suggest it's now a relatively small percentage, likely in the low to mid-single digits (e.g., 3-7%) of overall retail sales. This is a dramatic drop from their peak in the 1990s and early 2000s when they were dominant retail destinations.
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Their share is often discussed in terms of decreasing foot traffic, declining sales per square foot, and anchor store closures.
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Factors Contributing to Decline:
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Rise of E-commerce: The convenience, vast selection, and competitive pricing of online shopping.
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Shift to Other Physical Formats: Consumers often prefer the convenience of strip malls, power centers (with big-box stores), and lifestyle centers.
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Changing Consumer Preferences: A move away from pure shopping to more experiential activities, which many traditional malls struggled to offer.
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Demographic Shifts: Younger generations often prefer different shopping environments.
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In summary: While exact, real-time market share percentages for traditional shopping malls are elusive and constantly shifting, it's clear that their share of the overall US retail market has significantly decreased. They now represent a much smaller piece of the pie compared to e-commerce and other physical retail formats like strip malls and power centers. Many malls are attempting to adapt by transforming into mixed-use destinations, incorporating dining, entertainment, residential, and office spaces to attract visitors.
This content was generated by a generative AI.