On the plus side, outlet center traffic in August was higher than July.
Al Urbanski|Real Estate Editor & Manager
Source: chainstoreage.com, September 2022
Inflation caused a deflation in back-to-school traffic at malls and lifestyle centers in August.
August traffic fell by 4.3% at indoor malls and by 2.3% at open-air lifestyle centers compared to the same month in 2021, according to a report conducted by digital traffic data company Placer.ai of counts at 100 leadings centers in each sector.
Outlet centers, however, experienced a BTS rebound. Though crowds still lagged behind those of August 2021 by 8.1%, that figure represented a 1.1% gain in traffic compared to July 2022.
Placer.ai’s VP of marketing Ethan Chernofsky observed that, considering the challenges posed by inflation and high gas prices, declines were to be expected.
“These centers faced economic headwinds and were up against traffic numbers that were uniquely strong in August 2021, so the fact that visits were down only two to four percent is a sign of relative strength,” Chernofsky said. “This indicates the steps that malls have taken to diversify their tenant mix and push for more experience and dining-oriented options.”
The lesser traffic gap experienced by outlet centers—to which customers are willing to drive much farther to reach than their local malls and outdoor centers—might be a sign that gas prices are dissipating, Chernofsky observed.
