Adapting Architectural Design Approaches to Meet the Latest Shopping Trends
It wasn’t too long ago that those born in the mid or late 1990s didn’t have much spending power in our economy. But as Generation Z (those born between 1997 and 2012) has come to age over the last decade, this is the cohort currently driving some of the more significant retail trends.
The numbers also make it clear. People born in the mid-1990s through the early 2010s now make up about 40 percent of the global population and boast $360 billion in disposable income, according to a 2021 Bloomberg report.
From implementation of the latest technology to supporting sustainable and ethical business practices, the current retail environment looks notably different than it did just 10 to 20 years ago. While these changes were in motion throughout the 2010s, the pandemic only accelerated the shift towards the use of technology in retail settings. At RDL, our commercial studio has had a unique, front row seat to these evolving retail trends in recent years.
The following trends are items that our team has observed and responded to in our approach, that commercial developers should keep in mind:
There is a renewed loyalty towards local businesses
While one might assume the convenience of retail giants like Amazon and Walmart have all but eroded young adult’s support for local businesses, there is good reason to believe this isn’t the case. Recent research indicates that Gen Z shoppers are motivated to shop locally in order to connect with their community, find unique and quality products, and support their local economy.
One project that highlights this trend is Cleveland’s CentroVilla25 project on W. 25th Street, an adaptive reuse of a vacant property. An existing warehouse and office space was converted into a “mercado” featuring several local retail vendors. With a central marketplace designed for 20 local Hispanic-owned retailers to showcase their businesses, this design leans into persistent consumer loyalty to authentic, local brands.
Intentional space for live music and social gatherings is included, making this a sought-after neighborhood destination. A commercial kitchen, office and co-working space intended for local community organizations, and an outdoor community plaza are also key features of this project.
In line with the Gen Z consumer shift towards shopping local, this design was part of a deliberate approach to build a connection between the community and the vendors at CentroVilla25.
Lisa Elton, RA, LEED AP, MBA, Commercial Studio Director, RDL Architects
Tech integration is a must
Loyalty to local businesses remains, but that doesn’t mean the latest technology can be ignored. Today’s retail economy is increasingly focused on providing positive customer experiences in addition to the products and services being sold. Utilizing the latest technology is a key driver in enhancing the customer experience, underscoring the need to prioritize tech integration in retail design. It’s helpful to understand Gen Z not just in terms of the years they were born, but also through the lens that they grew up with, having phones and internet access in their pockets. Given that they only know a world where this digital convenience exists, they understandably desire experiences that effectively integrate technology.
Sgt. Clean, a Northeast Ohio-based car wash franchise, engaged our team to enhance and modernize its layout in a manner that promotes an optimal customer experience. As part of Sgt. Clean’s expansion, the new layout at its Green, OH location features a first-of-its-kind Interior Cleaning Building (ICB). This new feature gives customers the convenience to expressly clean the inside of their car without lifting a finger. Customers pull up to the tunnel, exit their car while it is cleaned, and re-enter a freshly cleaned car at the end of the tunnel. As part of the early design process, we helped to arrange the conveyor belt, equipment needed for this operation, and seating area for customers to wait. Sgt. Clean’s commitment to tech integration paired with this updated design is enabling a new level of convenience for customers.
Sustainability is a new priority
This one probably isn’t too surprising, but Gen Z is likely the most eco-conscious generation to date. As this generation rises in both age and economic influence, sustainability is increasingly becoming more embedded in business practices as organizations look to appeal to younger consumers. To get a pulse for where this trend is at, a 2023 PDI Technologies study found that 91 percent of Gen Z prioritizes shopping at companies they believe adhere to sustainable practices.
Arhaus Furniture, who RDL has collaborated with to design several of its retail locations nationwide, is one of the many brands emphasizing its commitment to sustainability and other social causes valued by young consumers. Arhaus has a strong reputation for sourcing sustainable, high-quality materials for its furniture, making this a popular centerpiece of modern commercial shopping districts. By designing commercial districts tailored to retailers like Arhaus, developers can effectively attract customers who value sustainability.
Working with developers to meet emerging consumer trends
At RDL, we know that you have a bold vision and big project ideas. It’s our mission to bring your ideas to life, ensuring your specific vision is met with the latest and best design approaches. Don’t overlook the importance of having a forward-thinking, innovative design partner that can elevate your value-driven ideas for a 21st century market.
Let’s start a conversation.