To study the impacts of online shopping on leasing management and property management

Abstract

When we look back to the history of the shopping modes of people, shopping has been transformed from trading in markets, to trading in well-organized and properly maintained shopping malls, and nowadays in online stores. With the growth of Internet technology, online shopping has become a new trend in many countries in the world. Shoppers are shifting their choices of shopping between online and offline shopping as there exists different pros and cons on online and offline shopping which affect their preference of choices.

This paper aims to investigate the impacts of online shopping on traditional shops and shopping malls, thus may affect the strategy of the shopping mall landlords and property managers. The study examined more than 130 numbers of shop tenants in several shopping malls in Hong Kong for the purposes of identification of the impacts from online shopping they are recently facing and the respective changes dealing from the new shopping trend. Due to massive information that aimed to be sought, face-to-face questionnaire survey was conducted and the result was analyzed with reference to the type of trade of the shops. Apart from the impacts on sales turnover and patron flow of the shops, other influences such as new demand from shoppers and the newly implemented strategy was discovered.

To abound the study, personal interview with leasing and property management professionals was conducted in order to obtain the views and the respective countermeasures on the new shopping trend from the shopping malls’ management perspective. After reviewing their points of views, online shopping may not be harming the mall shopping. In most of the situation, online shopping platforms help with the publicity of products and advertisement of the brand and the products. In some cases, the online trading of coupons and service vouchers secure the visit of shoppers to the traditional shops. For the objective of enhancing the shopping experience in traditional malls and maintain the malls’ competiveness, recommendations on the leasing and property management were made by reviewing the impacts of online shopping on the retailers, the leasing and property management.

In conclusion of the paper, findings of the impacts from online shopping were summarized and analyzed. Recommendations to retailers and shopping mall leasing and property management professionals were made for enhancing the prosperity of the malls.