VERTICAL RETAILING IN SINGAPORE : ANALYSIS AND ISSUES

Abstract

Singapore’s retail scene has transformed over the recent years. New forms of retailing have been introduced into the local market to provide more choices to consumers and add vibrancy to the retail environment. More high-rise shopping malls and vertical malls like ION Orchard and Orchard Central have been introduced in Singapore. Hence, it is crucial to investigate the key factors influencing local shoppers’ motivation to go to higher retail grounds in such malls in Singapore. This study aims to (i) to identify factors that will influence local shoppers to the upper floors, and (ii) to recommend potential management or marketing strategies to capture patronage to the upper floors. A total of 321 shoppers were interviewed for this study. The study found that the resistance level at which local shoppers begins to contemplate whether to go to higher retail level is at level 5. The findings also showed that 7 component factors are significant in affecting shopper’s motivation to move to higher levels. These factors, namely ‘Circulation’, ‘Orientation’, ‘Variety’, ‘Tenant Mix’, ‘Spatial Features & Design’, ‘Safety Features’ and ‘Location’, were extracted from various variables to be examined. Subsequent analysis revealed that age and gender differences do have an impact on some of the factors mentioned. This study is useful to shopping mall developers and management teams as it provides some insights into consumer behaviour studies on multi-level high-rise retail environments. Keywords: Singapore, high-rise, vertical mall, vertical retailing, resistance level.