SHAH ALAM, Oct 9 — For many people, going to the mall is no longer just about shopping and bargain hunting, with more looking for dining, entertainment and social activities now, too.
This has also changed the way malls approach physical retail, with operators finding new ways to give consumers more reasons to visit and stay longer, particularly as online shopping offers consumers greater convenience and choice.
This is especially true for Sunway Malls, which sees the appeal of physical retail increasingly centred on giving shoppers reasons to stay, explore and connect.
Sunway Malls’ Selangor chief executive officer Jason Chin said the shift towards online shopping has not negatively affected the mall’s visitor numbers or performance, with consumers continuing to seek experiences that digital platforms cannot provide.
“Today's consumers are still actively seeking unique physical experiences, vibrant dining, entertaining experiences and warm hospitality. Such social engagements are experiences that digital platforms simply cannot replicate.
“By curating a dynamic environment centred on community, trends and lifestyle, we continue to drive high-value foot traffic, which in turn strengthens our retailers' performance and fosters customer loyalty,” he told Media Selangor.
According to Jason, the role of malls have evolved over the past decade from a simple “shop-and-go” model into lifestyle destinations built around community, connection and hospitality.
He said physical malls have an advantage in offering consumers experiences that engage all five senses — sight, smell, sound, taste and touch — which online shopping cannot replicate.
Jason added that tenant turnover remains within a healthy range, with the company’s malls instead regularly reviewing their brand mixes and making changes such as improving shopfronts or relocating outlets.
Malls offer what screens cannot
Meanwhile, Malaysian Retail Chain Association (MRCA) Retail Division head Marcus Chew echoed Jason’s view, saying physical retail remains relevant when it offers experiences that online platforms cannot reproduce, including human interaction, entertainment, social connection, and instant gratification.
“Consumers will still visit malls for food and beverages, beauty and wellness services, entertainment, family activities, product demonstrations, experiential retail, events and brands where touching, trying or experiencing the product matters.
“Another important factor is social interaction. Shopping malls in Malaysia are not purely transactional spaces. They are also places where families spend time together, friends meet, people dine, children play and communities gather.”
Chew said the strongest malls would increasingly combine retail with dining, entertainment, services and experiences, while retailers need to think beyond simply getting customers through the door.
“The better question is: ‘What can customers experience here that they cannot get from their phone?’” he said, adding that Malaysians are not necessarily losing interest in physical shopping, but are becoming more selective about when and why they visit malls.
Similarly, SME Association of Malaysia president Chin Chee Seong said physical shops retain certain advantages over their online rivals, allowing customers to “see, touch, try and experience a product before buying”.
“This is particularly important for certain products and services where customers want (to be sure) before making a purchase. There is also the human element.”
He said face-to-face interaction allows SMEs to understand customers’ needs, build long-term relationships and provide immediate service.
“I don’t see physical retail disappearing. The role of the physical shop may change, but it will continue to be important for many types of businesses,” added Chee Seong.
