An issue which affects those big and small...

 

When Ragtrader magazine gathered a group of retail executives to discuss the growth of multichannel retailing last year, there was a good deal of optimism in the room.

This was even before waiters at the afternoon roundtable, staged at Melbourne restaurant Cutler & Co, cracked open a Moet so what I’m about to write next holds some gravitas.

Representatives from Witchery, JeansWest, JAG, Sportsgirl and other major chain stores seemed genuinely enthused by the opportunity to engage consumers via mobile marketing, online retail channels, social media and interactive films and flash campaigns.

Of course the debate soured a few months later, when local businesses rallied against a loophole which allowed international e-tailers to ship products under $1000 into Australia GST-free. With sluggish retail sales and rising costs in manufacturing and supply, why is there a government initiative which creates an uneven playing field for local traders?

A new report from commercial property firm Colliers International has introduced another skew to the retail bricks versus retail clicks fracas. In order to adapt to the changing environment, major Australian retailers are working with developers and investors to provide shopping destinations as a point of difference to their digital counterparts.

For instance, the addition of a concierge at the Apple store, a computerised fitting system at The Athlete’s Foot and an in-store stylist service at Sportsgirl.

Multimillion dollar upgrades to Chadstone Shopping Centre (Melbourne), Westfield Pitt Street (Sydney) and Robina Town Centre (Gold Coast) were also referenced in the report, in addition to world-class revamps by David Jones and Myer Melbourne.

To be honest, I’m not sure all of these initiatives can be squarely attributed to the growth of e-tail. Local retailers are not only competing with brands in the online arena, but with a wave of international retailers hitting our shores, they are fighting for dollars in malls and shopping strips too. Zara for instance, which will land here in April, has built a reputation for its high-octane flagship stores. So too then must our retailers.

In the spirit of our Independent Edition, let’s not forget the little guys. Boutique stores are also upping the stakes when it comes to innovative retail concepts.

For those concerned about dollars, the Australian Retailers Association has offered a practical guide to punchy VM on page 32. As for other fronts, we’ve looked at major trends, case studies and developments affecting indies from page 16.

Let me know your thoughts: assia@yaffa.com.au.