THE VIABILITY OF MEGA MALLS IN SINGAPORE

Abstract

With mega malls located in close proximity within the central region and with the upcoming new retail developments along the Orchard Shopping Belt and Marina Bay, the need to assess the viability of mega malls is ever more important.

This study seeks to examine whether mega malls are competing for the same profile of shoppers. The research has adopted a mixture of qualitative and quantitative method in the form of observation, in-depth interviews and survey.

The analysis found that mega malls are targeting a common group of shoppers, that is, people from all walks of lives. However, mega malls are differentiating themselves in terms of tenant mix, marketing strategies and unique attractions to cater for the varying needs of shoppers. The majority of shoppers are generally satisfied with the attributes of mega malls and it is found that “Availability of F&B outlets/restaurants/cafes”, “Accessibility to mega mall via public transport”, “Wide range of products and services”, “Clean Restrooms” and “Cleanliness of the mall” are the top five most important attributes as perceived by the shoppers in gauging the attractiveness of mega malls. Using factor analysis (principal axis factoring), nine critical factors in influencing the viability of the co-existence of mega malls are extracted.

This study reveals interesting findings and suggestions that will assist the shopping centre management, developers or any stakeholders in attracting and retaining patronage. This can ensure the continued success of mega malls and match the needs and wants of shoppers.