Will e-commerce replace traditional retail spaces? This paper presents findings from parallel research projects in the UK and the USA, exploring the impact of e-commerce on retailers and retail property. It examines key differences in internet strategies, perceptions, barriers to growth, and future space requirements among retailers in both countries. Notably, the research reveals similar attitudes towards e-commerce among UK and US retailers. Specifically, retailers perceive little threat or impact from e-commerce. Furthermore, the barriers to growth, including fulfillment and security issues, are consistent across both regions. Both UK and US retailers anticipate stable or increasing retail space needs in the short term, despite the rise of e-commerce. Overall, this research suggests that entertainment is an important strategy for maintaining the viability of shopping centers. It concludes that brick and mortar retail spaces can continue to thrive by adapting to changing consumer behavior.
This paper is a fitting contribution to the Journal of Property Investment & Finance, which addresses the intersection of finance and real estate. By focusing on the specific impact of e-commerce on retail property, the paper provides valuable insights for investors and financial professionals interested in the evolving dynamics of the property market.