DRIVING MALL SUCCESS THROUGH MOBILE APPS

Abstract

In the light of the new knowledge economy and fast advancement in technologies, retailers and mall owners are under siege from e-commerce and digitalisation. Changes in shopping habits and behaviours are putting strains on retail traffic and profitability, causing malls to lose its appeal. Some have advocated the swift adoption of mobile apps into mall management and retail marketing to drive traffic but given the resource commitments of such, mall owners are taking a prudent approach towards mobile app technology.

This study investigates the use of a mobile app to attract a higher footfall to Singapore’s shopping malls through the creation of a seamless experience for shoppers suggested by current research. The results of two e-questionnaires administered to mall owners and shoppers, indicate that shoppers welcome the mobile app initiative, but opine that mall owners could improve on the app’s capability to enhance shoppers’ experience and increase foot traffic, admitting that they are currently using mall apps largely for redemption purposes. In contrast, mall owners’ skepticism in the performance of mobile apps is one hampering factor in app development although much of its lacklustre performance is due to shortcomings in the mall’s own marketing efforts.

Unless mall owners can achieve a breakthrough in creating a more personalised and seamless experience through better app strategy, such as customising app content based on users’ shopping habits and preferences across multiple online and offline channels, there is a general consensus that a mall app is limited in its use for driving mall success.