fastcompany.com

Many brands that typically have large stores, including Sephora and Nordstrom, are creating smaller-format stores embedded in neighborhoods. These stores feature less inventory, since customers can order items to be delivered to their homes, and store managers curate the products available on shelves to meet the needs of the specific community.

Instead of setting up shop in malls, brands are increasingly entering cool neighborhoods and renting storefronts next to the places where people work, eat, and seek out entertainment. Retail in “town center”-type locations is strong; according to Public Square, occupancy rates in those areas average around 95%.

So, in a strange way, this version of the retail store of the future will actually take us back to the past, when shopping was something we did locally, in our own communities.

In some ways, the many brands that sprinkle the Seaport District are not really the point. Sure, there are shopfronts everywhere you turn, but they’re part of a broader landscape of things to do and see. And the result is that shopping feels a lot more like a communal activity you might do after a meal with friends or a visit to a museum.

Brands can win if they create events that will bring people together in person. There are many ways to do this.