The COVID-19 pandemic has accelerated the consumer shift to online shopping, and the strain is being felt more acutely at mall retailers because of their indoor locations and difficulty in establishing features such as curbside pickup for customers looking to avoid mingling with other shoppers.
“Malls have been in trouble for years. This is not new,” said Kristen Regine, a marketing professor at Johnson & Wales University’s College of Business. “The pandemic magnified the crack.”
At Providence Place mall, this dynamic is playing out this month with the impending closure of Clarks, a British-based shoe store chain that has had presence at the mall for 22 years. The 1,800-square-foot store is set to close on Feb. 22.
This follows the recent shuttering of Abercrombie & Fitch, the trendy apparel company that leased a 9,000-square-foot store.
Providence Place management declined to comment.
The departures from Providence Place are part of larger consolidations by both Clarks and Abercrombie & Fitch, and it’s not unusual for tenants to leave mall locations even in the best of economic climates. High-end retailer Nordstrom pulled out as an anchor two years ago and was replaced by Boscov’s Inc., a family-owned department store chain that has tried to add curbside pickup in the mall garage.
Still, Regine said malls and their tenants need to pivot and invest in technology to have a chance at adapting. She said malls have been “trending downward for years” because they are less compatible with the consumers’ changing shopping habits.
Regine pointed to a Deloitte report released in July 2020 that concluded that malls and their retailers need to focus on safety and convenience, rethink the role of mall stores in the purchase process, capitalize on digital tools to create dynamic mall experiences, become a “destination,” and make food and dining experiences a main attraction.
In a recent walkthrough of Providence Place, about seven storefronts appeared to be vacant out of approximately 160, not including Clarks.
“It’s sad,” said Lisa Duclos, Clarks store manager. “The pandemic hurt Clarks. It’s had a huge impact. Traffic has been down in the mall.”
It hasn’t helped that Providence Place has also lost what had been a built-in source of foot traffic – the Omni Providence Hotel and R.I. Convention Center, both of which have been closed since the pandemic started last spring.
Duclos surmised that people are spending more time at home and see less of a need to buy shoes. As a result, she said, “It’s tough to get the product out the door.”
A few stores away, Ade Neya, owner of Aya Africa LLC, a store featuring African apparel, said she “could be doing better” after moving into the mall three months ago, but she remains optimistic.
“This is an opportunity for me,” she said of her business, which she began with one store in Dorchester, Mass., two years ago. Her colorful clothing line is predominantly produced in her native Nigeria.
Neya said she learned firsthand the pandemic’s impact on businesses. After signing a lease at a mall in Braintree, Mass., in March, the mall closed a few days later as COVID-19 spread quickly. “Fortunately, they reopened in June,” she said.
“I have seen so many stores closing,” she said. “But I see it as part of the natural turnover of businesses. Somebody goes out. Somebody comes in.”
Cassius Shuman is a PBN staff writer. Email him at Shuman@PBN.com.