For shopping centres worldwide, catering has become a key part of the retail and leisure experience on offer to visitors. As such, the catering developments and changes made by the shopping centre operators send important signals to the watching industry: what’s going on, and why?
In the UK, such changes have been highly visible in West London and at the Olympics, whilst Intu – with many leading centres – has become increasingly sophisticated and analytical as it invests in and develops its operations.
Intu: ten of the UK’s top shopping centres
Intu (formerly Capital Shopping Centres) owns and operates sixteen shopping centres in the UK – ten of the top twenty-five – and, as you would expect, takes the catering in them very seriously. Their centres attract some 340 million customer visits a year, whilst two thirds of the UK population live within a 45 minute drive of one of their centres. These are big numbers, delivering big opportunities in a very competitive retail environment.
H & C News was therefore delighted to meet Helen Carr, Catering Manager at Intu, and learn more.
Diversity: every shopping centre is different
It may seem obvious, but it’s worth stating: every shopping centre comprises (very) different buildings and environment, whilst visitor demographics, regional characteristics, spend per head, and other metrics also differ considerably.
It’s therefore not simply a case of replicating the food on offer in each location: even if it was physically possible (and it isn’t), the customers require a different mix in each location. Gone are the days of simply telling consumers what they (should) want!
However, Intu does hold a lot of data on its visitors, which is used to guide its choice of catering ‘partners’ in its centres. Many retailers, of course, have long been famed for the sophistication of their customer databases – Tesco being an obvious leader – built using sales analysis as well as loyalty and other cards.
These days, restaurant and coffee shop chains – from fine dining through to fast casual – have become equally sophisticated in analysing the customer demographics they achieve and seek to achieve.
Not only does each venue seek a different mix of brands from fine dining to coffee shops, good local or regional brands are also wanted, as are emerging brands.
Of course, and depending on the number of outlets, proven brands are at the heart of the operation, but it is also necessary to refresh the mix – which can not only attract but retain visitors, extending their dwell time in the centre.
Experience has also shown that the choice of catering in different centres has real influence on the one they choose to visit: it’s not just the shopping experience that visitors consider, but the choice of ‘refreshment’ as well.
Environment and services
As many will have noted, shopping centres now work very hard to provide an environment that shoppers can enjoy – especially families. It may be ‘efficient’ to provide a bare, sterile environment, but it’s no longer welcomed by shoppers!
From surface finishes and colours, to lighting, to escalators and their positioning, it is critical to make the shopping experience enjoyable.
Clustering and zoning of catering services, too, is part of that experience: customers quickly become familiar with where to go, and that it is accessible, with plenty of choice.
Marketing
Again, much has changed in this area: shopping centres are working much harder to promote themselves and the enjoyable ‘experience’ that they offer in the catchment area within which they operate – which can be extensive.
Many centres now run programmes of widely varying events: not just Father Christmas in December, but ladies nights, or student lock-ins, or musical events, and more.
Much greater creativity is being employed and tested in order to first attract and then retain the visitors and footfall that is required by the centre and its tenants. The threat of (some) high streets may have reduced, but there are plenty of online services seeking to anchor buyers to their seats!
Watch out for…
Intu has already made and is making considerable changes, some of which have been flagged up in H & C News in recent months, including:
- Victoria Centre, Nottingham – plans for a new catering cluster (12 units), including a ‘feature entrance’
- Eldon Square, Newcastle – refurbishment and development of two malls, including a destination dining quarter with 21 units
- Intu lakeside – new food hall and eating zone
In Summary
There’s no doubt that Helen Carr at Intu has a challenging job: helping to guide and facilitate change across sixteen shopping centres across the UK is no small task, as is the challenge of keeping up with the fast-moving restaurant scene and the ‘players’ in it that could or should become Intu tenants. And then there’s the additional task of finding the significant local or regional operators who can add to the ‘mix’ and attract visitors.
H & C News will be watching with great interest the developments that are underway, and their impact both on the shopping centres, and on the wider industry!
