The Future of American Malls: Recreation Over Retail

Keith Rubenstein is acting CEO of KidZania USA

NEW YORK CITY—The digital age has presented mall operators with their greatest challenge in a generation. Major retail centers that once dominated the local market are now rethinking their long-term plans as so many consumers choose internet shopping over a trip to Macy’s, Sears or Kohl’s.

This is a nationwide issue that spans well beyond individual regions and represents a sea change across the industry. As e-commerce takes more customers away from traditional retail, malls face the prospect of losing the foot traffic they need to remain financially viable. Operators are already developing new strategies for capturing consumer interest with attractions that bring people back to the mall and keep them inside.