Begin Your Organizational Change Today.

It Starts With A Conversation.

Here To Support You.

diversity of tenants, retail tenant mix
Diversity In Shopping Centers

Increasing Diversity In Your Tenant Mix

Things Have Changed

Property Owners can no longer
rely primarily on large retailers to fill vacancies in their shopping centers

In early 2020, if you looked at news headlines, you would’ve thought there was a retail apocalypse happening.  One iconic retailer after another shutting down hundreds of stores, filing for bankruptcy, and massive corporate layoffs happening on a regular basis.

These events directly impacted your shopping centers, finding yourselves no longer having anchor stores to bring in the core of your traffic.  Today, in the middle of the pandemic, the impact has simply accelerated what we’d already seen trending in the industry.

What does the future of your properties look like?  How did the industry get here?  Keep reading.

DeAnna McIntosh, Retail Consultant, Diversify Retail

DeAnna McIntosh
Leader of the Diversify
Retail Initiative

Established Brands

The Industry Issue

The retail industry is highly focused on well-established brands. Review the latest industry newsletter and see how many emerging brands, or even trends that are happening in the indie brand world, are discussed. These well-established brands were once ones of these small, innovative, industry-shaking brands that are going unnoticed. Retail properties are focus this exact same way - featuring the same large stores and little to no presence of innovative, indie brands. The state of retail shows that consumers are bored with malls and a transformation must happen.

Historically Underserved

The Funding Gap

Studies show that in regards to Venture Capital funding, less than one percent goes to Black founders. The number doesn't get much better when you include all Founders of color. This lack of funding, from venture capital or other funding sources, carries over to all areas of business. If businesses don't have access to needed funding, they can't properly build a foundation for growth. That growth includes expansion into their own retail storefronts - causing them to be underrepresented in properties nationwide.

Sink or Swim

Profit Over Values

For so long, there has been more focus on profit margins of a product versus the story of it and the people behind it. The same can be said for the Tenant and Landlord relationship. Why can't the relationship be about more than rent, but rather be symbiotic - for the success of both the tenant and the property as a whole? We can't just care about profit. We have to care about people too. Tenants and Landlords both need support now more than ever.

A Way In

Point of Entry

For not just brands founded by people of color, but for small businesses in general, moving into a physical space is a huge feat. It requires true dedication and commitment, a clear vision, having a strategic plan for their business, with financials drilled down to the penny, and the biggest feat of all for some - funding. Malls can revive themselves through mutually beneficial partnerships and experiences that incorporate local and indie brands.

What’s the Solution?

How can you diversify your tenant mix and revive your retail property?

supplier diversity in your retail products

Create a role for us on your team - Director, Tenant Success

Your tenants’ success is directly correlated with your property’s success.

We become your tenant success team, creating innovative ways to support your tenants while simultaneously driving traffic and interest to your property.

We will also ensure that your values of creating a diverse and inclusive environment for all, align with your internal and external communication, company images and other collateral, and ultimately, any plans you put into action.

For Retail to Have a true “comeback”, things have to change, and fast. You have to try things you’ve never tried, and welcome concepts you may have been opposed to previously.

We believe the future of retail is small (businesses).

Considering that 98% of retail companies are small businesses (and that number may be growing with the increasing number of large retailers going out of business), Retail Property Managers need to believe that too.

Together, we will create programs and even collaborative store concepts incporating local and indie brands, which are used as a “stepping stone” to selling inside your property – with the goal of the brands growing into their own storefront.

We believe the future of retail shopping center is a blend of “work and sell” – where consumers see the entire lifecycle of a product.

This can be easily achievable with local and indie brands as tenants inside your property.

We have to rethink the entire concept of what a mall is.

We envision malls as immersion spaces for the “culture of fashion”, where enthusiasts can come to shop, attend events, and even to conduct business – experiencing retail at a local, national, and international level.

We must put the “behind the scenes” magic of retail into the forefront through experiential elements + a diverse tenant mix of all nationalities, product types, and company sizes.

With this brings stories and exploration – this is how we get customers to fall back in love with physical shopping again.
Maybe You’re Thinking

Working with small businesses is a hassle and they’re rarely ready to do business with us.

We have answers for that

Totally understand, but let us take that on.
Our role in working on your team is ensuring that tenants are successful and that their presence inside your property is mutually beneficial.

That means there is prep work we will conduct with them to ensure they have a solid business foundation prior to becoming a tenant.

There are core elements that we see consistently see missing from most small businesses’ strategy, so we will host educational seminars, work sessions, etc. to close that gap.

We need to work together to create an environment that welcomes them.
We will create a “stepping stone” program for growing brands, with the intention of helping them grow to having their own storefront.

With this program, you will constantly have a pipeline of brands who can become tenants when the space opens and they are ready to grow.

Our Retail Consultants have extensive experience in working with brick and mortar and e-commerce brands, and will serve as advisors and program managers, ensuring the brands are operating their businesses strategically and are growing sustainably.

We would be working with these brands + property management on experiential events, marketing communication, and traffic-driving incentives to truly create a local desire to shop with you.

You would be receiving rental income from them as a part of the program.

There are several ways to approach this, depending on what we discuss together!

Do you have a role dedicated to this?
Is this role dedicated exclusively or primarily to working with local and indie brands?

Working with these brands is a full-time responsibility.  It requires extra effort, patience, and time, but this is what we are passionate about and will happily partner with you on shifting your business focus to include more of them.

You need the support of your local community now more than ever, and the best way to show that you are a part of it, is to welcome local brands inside.

You must make up the lost revenue of the large brands who are going out of business.

Through innovation and supporting local businesses, working with us you absolutely will.

Our Retail Consultants have extensive experience in working with brick and mortar and e-commerce brands, and will serve as advisors and program managers, ensuring the brands are operating their businesses strategically and are growing sustainably.

You would be receiving rental income from them as a part of the program.

There are several ways to approach this, depending on what we discuss together!

Get In Touch

Contact Us To Get The Work Started

Be The Change This Industry So Desperately Needs.

 

The Affinity Group International
Diversify Retail Initiative
hello@diversifyretail.com
833-600-8244

Newsletter