Younger consumers do still like to shop in physical stores, preferably in the city. Experience and advice are decisive factors. They prefer ‘Instagrammable’ outlets that bridge the digital channel.
Fewer physical shops
For years, the total number of physical shops has been decreasing. In the Netherlands, between 2015 and August 2024, it was a decline of almost 23,000 retail outlets or 10%, while vacancy rates in retail real estate are also increasing again. There are big differences between sectors though: in food, the shrinkage was only 3%, in fashion it was 22%, the number of antique shops fell by 46%.
Retailers are in trouble because of the sharp rise in wage and rental costs, among other things, but also because of the growth of e-commerce. 58% of Dutch consumers think that the physical shop will change dramatically in the next ten years, 11% even think that in ten years there will be no shops at all. This is according to a survey conducted by ABN Amro in collaboration with Q&A Retail among 2171 respondents across five age groups. Yet there is hope for the high street: younger generations are positive about physical shopping.
