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China’s shopping centers expected to increase by 100% by 2016



It is expected that the number of shopping center within China will double by 2016, to reach 600.


This is almost a 100% increase from the 360 it had during 2013 to 2014. This drastic increase will create a huge challenge for operators of these centers.


KK Fung, the managing director for Greater China at the real estate service provider, Jones Lang LaSalle, said this booming shopping center market within China is very much like the massive supply of commercial premises within the US during the 1970s and 1980s. He said it will be crucial for operators of these centers to attract both customers and retailers.


He added that operators may have to adjust their operation methods to overcome the impact the e-commerce industry may have. An example he provided included creating plans for the improvement of customer experiences.


In the past, shopping centers offered cinemas, play areas for children, coffee shops and beauty parlors, but according to Fung, a wider selection of brands is also important. He stated that the centers within China should use more initiative when rolling out new brands.


He remains optimistic about the market as he believes that centers could meet the demands for recreation and socializing.

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