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DRAZEN VUJOVIC Contributor, Mapsted

9 Problems for Shopping Malls
with Poor Indoor Navigation

Shopping malls are money-making factories.
Global retail sales are projected to surpass $26 trillion in 2019,
with shopping centres leading the way . But here comes a plot twist: shopping malls are leaving money on the table.

A focused study revealed that large retail outlets cause frustration and boredom for 80% of shoppers , much of this due to a lack of “excitement” and substandard indoor navigation. Amusement solutions like rock climbing or water parks are a nice way to occupy the mind of indifferent visitors, but they don't fulfill the basic purpose of the business, which is to turn guests into buyers.

At the same time, low-quality and ineffective indoor positioning systems (such as Google Maps Indoor) cause even more problems for shopping centre operators. Visitors who can't find their way through the mall get frustrated and spend significantly less than their well-oriented peers. This is only the tip of the iceberg. Shopping centres are facing several issues due to inadequate indoor location systems.

1. The customer experience is paramount!

People who cannot cruise through the shopping centre easily waste energy needed for trying on
clothes and testing products. If you don't think this is a real problem, check out this stat:

86% of buyers are willing to pay more
for great customer experience

Not many things influence mall experience more than the frustration of feeling lost or unable to find your way. However, this can easily be alleviated by using an indoor navigation app such as Mapsted, a free platform that ensures simple navigation
and boosts customer satisfaction.

2. Crowds suck!

Shopping centres host thousands of visitors every day and it is impossible to avoid crowds and
high traffic. However, the real problem occurs when most people rush into popular or narrow areas
of the mall, congregate, and create bottlenecks. It's the point of no return where the fun stops and
shopping becomes a nightmare.

3. Malls want customers to come back!

Satisfied customers are loyal customers, but you can't expect people to keep coming back to the mall with a serious navigation problem. This is a huge issue since it costs five times more to acquire a new consumer than it does to retain a returning one. A simple solution is to provide visitors with state of the
art tools to guarantee a rewarding and carefree experience.

4. Rental revenue is a key to mall success!

With the issues mentioned so far, it is evident that underperforming shopping centres could be facing a substantial decrease in rental revenue. When people don’t buy, retailers suffer. In turn, malls take the hit. There is no winner in this type of situation. Retail stores lose door traffic while malls are unable to optimize their rental income.. This is one of the most threatening consequences of low-quality indoor navigation.

5. Zone-to-zone conversion rates should be simple!

Shopping mall operators should use navigation platforms to give turn-by-turn real-time directions and track common wayfinding patterns. Without them, there is a real danger of minimizing zone-to-zone
conversion rates.

For instance, Zara and H&M may be attracting the same types of customers. Using an indoor mapping platform such as Mapsted, the mall can position the two stores close to each other, with one or two less robust shops in between. Such a tactic has been proven to increase the profitability of each and every store in that zone and makes it easier for this target customer group to move around the mall.

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6. Capture customers to capture profits!

The capture rate represents the ratio between the number of shopping centre visitors and the number of people who enter a store. The higher the capture rate, the higher the profitability of a shop.
The easiest way to increase capture rates is to improve the ability of visitors to get to stores. More circulation at quicker rates is a simple recipe for success.

A visitor must be able to identify the desired
store easily and get there quickly

7. Respect customers’ valuable time!

Disorientation and slow-moving customers don't just obstruct retail stores — they also jeopardize the productivity of ancillary services such as restaurants, game rooms, cinemas, coffee shops, and so on.
It's a vicious cycle: visitors that spend more of their limited time locating stores have less time for shopping and less time for complementary activities.

8. Do you feel safe?

Safety is yet another issue that can have serious consequences. Consider an emergency where people need to exit immediately. If people cannot get out of the shopping centre quickly, there is a real danger of panic behaviour and stampedes. Such incidents mostly occur in cases of emergency or fire. While this is a worst-case scenario, one only has to look at the evening news to hear reports about how real this can be. Creating a simple mall layout and giving visitors the tools and opportunity to get acquainted with it through indoor location platforms can certainly help reduce the impact of these negative events.

9. No navigation equals lost profits!

After everything we've seen so far, it is clear to see that shopping malls forgo a significant amount of money when not employing a proper indoor positioning system. While not always obvious to the naked eye, these “leaks”in their ship are dragging them down:

  • Rents are not where they could be and may even be getting lower
  • Revenue sharing is not generating enough profit
  • Marketing investments are shrinking
  • Clients are less likely to organize live events in a mall

Mapsted Solution offers FREE indoor navigation to help solve these issues

The problems we mentioned above may seem overwhelming, but there is a quick-fix to plug the leaks and have your mall sailing to new levels of profitability… and it’s FREE!
Mapsted offers high-quality handheld indoor navigation for shopping centres completely free. The platform does not require any additional investment, nor does it require installation of any hardware. Deployment of the technology is as simple as walking around your mall and takes only a few days.

You can finally forget about those cumbersome hardware-based systems of old that require weeks to months for implementation.
Mapsted’s next generation technology gives you a cost-free navigation platform that enables effortless orientation and drastically improves the customer experience in shopping malls.

The issue of insufficient indoor positioning system accuracy not only frustrates visitors, it also jeopardizes the profitability of a shopping centre. While these issue can be a huge burden for mall managers, they can be virtually wiped out with a free download of Mapsted Solution. The solution is only a click away — don't miss
your chance to use it!

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