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“We'd all like to have a crystal ball to answer this question with clarity. The fact is, compared to 15 years ago, the world truly is a "global" village and a we are all subject to the vagaries of the global economy. The U.S. is still considered a safe haven for investment as nations like China continue to emerge; unrest continues to plague the Middle East and the ramifications of having a common European currency come to bear. On the macroeconomic level, retail and retail investment will ebb and flow as these global forces filter and manifest at the local level. For consumers and retailers, technological innovation will continue to drive changes in the retail experience and the way we buy. However, just as we breathed a collective sigh of relief when Y2K didn't obliterate decades of American data, fortunately I think we are finally moving away from the idea that the internet will obliterate bricks-and-mortar retail. Instead, it is adding a new and exciting dimension to the buying experience. Retailers will continue to integrate technology to become multi-channel businesses, with the internet complementing bricks and mortar to drive more traffic to the store and vice versa. As an overall trend, we will continue to see the redevelopment or re-purposing of retail spaces to suit the evolving needs and desires of the Millennials as they continue through major life stages. Current trends would indicate that to mean more high tech, urban and mixed-use spaces with flexible live/work/play amenities. The Boomers will still be relevant, but will not be the generation driving retail evolution as they are more focused on retirement and rebuilding wealth lost in the downturn. Finally, the continued increase in ethnic diversity and the growing spending power of certain ethnic groups will drive changes in tenant mix, product mix and retailer marketing and communications.”

--Rick Chichester, president and CEO, Faris Lee Investments
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“We are in the midst of a rapid evolution of retail that is driven by demographic shifts, technological innovation, and consumer behavior. The retail landscape will have to rapidly adapt at a pace similar to new technology. Although mobile and web retail has impacted store sales, the impact is nominal. We believe that the intrinsic value of “place” is strong, and the shopping experience will not be replaced by online shopping portals. In addition to shopping, new QSR concepts will emerge, placing pressure on established QSR or full service restaurants, such as Chili's, McDonald's and KFC, to revamp their brand and stay competitive with industry trends. From an investment perspective, retail will remain a robust space, especially single tenant NNN assets. We believe that well located NNN assets that offer consumers strong convenience—such as urban drugstores, convenience stores, or drive-thru restaurants—will thrive over time.”

—Jereme Snyder, Executive Vice President of the Colliers International Triple Net group, Snyder Carlton

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“Malls: The need for a brick-and-mortar presence will continue for most categories, however, I see that evolving. Mall programing and how we interact with malls will evolve into even more of a lifestyle venue of entertainment, dining and specialty retail … even more than it has it has been changing in recent years. We will see more grocery-anchored malls that become truly a one-stop-shop with co-branding amongst fashion and food retailers.

Co-Branding/Cross-Selling: Co-branding will be more prevalent with “stores within a store.” Food brands will partner with certain fashion brands … there will be a great deal of mergers and acquisitions where fashion and music start to blend and there will be a lot more cross-selling under one conglomerate. For example, where you go to buy your shoes and your pants is also where you will have the opportunity to buy music, travel packages, and be introduced to a new vegan concept or other socially conscious product or service. The cross-selling concept will thrive as customer psychographic information capabilities are refined even more. Via online technology, companies will be able to hone in and retrieve very specific customer information. To illustrate, they will know that a certain organic coffee brand customer will also likely be interested in organic clothing and wants to purchase an electric car … retailers will market to those categories as well. They will also know what you like to eat through your Yelp review or an Open Table app. Retailers will have 24/7 access to customers interests and spending habits.”

—Derrick Moore, principal of Urban Retail Properties at Avison Young