Opinion: Radical thinking is needed to ensure town centre retailing thrives

There’s no two ways about it; as highlighted this week by the British Retail Consortium, the introduction of the national living wage and the revaluation of business rates will mean retailers face pressure to extract more sales from each unit of floorspace.

In theory, the national living wage should leave more money in people’s pockets and drive up demand.

However, the increase of online sales and property costs will push retailers to reduce floor space and develop more effective digital opportunities.

In order for retail to thrive in this new environment, a different approach to retail and town centre planning is needed.

Unsurprisingly, it will be the secondary centres that will be the first to be affected and required to adapt.

Proactive planning

From a planning perspective, local authorities need to start thinking more proactively about permitting a wider range of uses in town centres.

This is not a new message by any means, but at the moment there are still too many locations, even in current draft plans, where the planning focus is on retail and nothing else.

This approach restricts reasons to visit such centres and reduces opportunities for surrounding businesses.

The future really is combining retail with leisure and community uses to create a ‘destination’.

While residential can also be incorporated into these plans, it is important that they do not hinder the ability of town centres to provide evening entertainment such as live music venues.

“The future really is combining retail with leisure and community uses to create a ‘destination’”

Bob Robinson, DPP Planning

A number of supermarkets and department stores have successfully introduced coffee shops, but there is scope for so much more.

For example, retailers for whom families are a key part of the customer base should incorporate nurseries or activity play areas into their units.

In terms of the physical space, shopping centres need to offer ‘experiences’, providing a range of activities and maximising public areas. Essentially, after the initial draw that gets shoppers in, there needs to be a reason for them to want to stay longer – and spend more.

As Apple and Samsung have already recognised, the arrangement of the traditional retail shop, which requires a backroom of stock is becoming a thing of history.

“As Apple and Samsung have already recognised, the arrangement of the traditional retail shop, which requires a backroom of stock is becoming a thing of history”

Bob Robinson, DPP Planning

Space in stores in primary shopping centres is best used to sell an ‘experience’ – a showroom where items can then be purchased online in the store and delivered to the customer’s home the same day.

Online, stores need to think about brand partnerships. The recent deal between Amazon and Morrisons is a case in point, offering a broader range of products at the click of a button.

As a result, there will be a need for more click-and-collect stations, which creates an opportunity for smaller retail centres. These secondary centres will also need to evolve and offer a leisure/community element to survive.

So yes, changes are coming, but retail planning policy remains rooted in the tradition of the town and city centres.

Retailers and planners will need to work proactively and creatively to ensure floor and online spaces are best utilised to maintain profits without taking customers away from retail centres.

• Bob Robinson is a director at DPP Planning