The upcoming ICSC conference in London in April is broadening its focus beyond traditional shopping centres to high street retail, outlet centres and retail parks.

The upcoming ICSC conference in London in April is broadening its focus beyond traditional shopping centres to high street retail, outlet centres and retail parks.

ICSC Europe has chosen an eminently suitable location to celebrate its 40th anniversary this year. London is not only the undisputed retail capital of Europe, it is also one of the leading top-tier destinations globally. ‘And,’ notes conference chair and Redevco fund director Joris de van der Schueren, ‘this is the first time ICSC has been in London since 1980.’

With registrations for its annual conference up significantly so far compared with previous years, ICSC Europe is entering a ‘very new phase of its organisation’, says De van der Schueren. ‘We have grown in the last two years from 2,000 to 7,000 members. Since 2012, we have also become more vocal at a European level and are and becoming more engaged as an industry.’

The key challenge facing ICSC Europe members is no different to those facing Redevco and other retail property landlords, says De van der Schueren. ‘The value proposition of retail is changing. We need to have a product that is relevant today and in the years to come. That means rightsizing stores and the ongoing analysis of what we can improve and where to invest. This is one of the most exciting times for our industry. So much is changing and nobody really knows where we’re going. The only thing we do know is that sitting still is not an answer.’

Close ties with retailers is an essential building block
An essential building block for future-proofing retail properties is forging close relationships with retailers, De van der Schueren says. ‘That is very valuable and retailers, too, appreciate the opportunity to discuss their concerns with their landlords. Retailers have so many more options these days, but they find it useful to engage with us on our own city analysis. This leads to productive discussions and creates opportunities in existing portfolios.’

Closer ties with retailers have enabled some forward-thinking landlords to create retail destinations by clustering stores together. That theme is again on the agenda at this year’s conference, De van der Schueren says. ‘A store itself can be a destination. It’s all about how you can make a compelling proposition.’

In the past, ICSC focussed virtually exclusively on shopping centres, but its remit is broadening, De van der Schueren says. ‘It’s not about fixed formats. Even the high street needs to be curated and needs a coordinator,’ he points out. ‘We’re taking the focus away from pure shopping centres as part of the transition that ICSC is making in general. ICSC is becoming more international as part of the global trend and the exchange between continents. Many landlords deal with the same tenants across Europe and even the world.’

New shopping districts are evolving
One of the panels at the annual conference will explore different formats such as the classical shopping centre model, a hybrid model such as London’s Covent Garden, outlet centres and pop-up destinations with representatives from ECE, CapCo, McArthurglen and Appear Hear. The importance of leisure, entertainment and food and beverage is also on the agenda, De van der Schueren adds: ‘There are different ways for brands to use their stores to connect with consumers. London has some great examples of retail estates like Covent Garden, but also Carnaby Street, Regent Street and Marylebone High Street. It’s also very interesting to see how new shopping districts are evolving like Shoreditch. Thanks to a curated offer, new brands keep popping up which keep the area moving and buzzing. On the continent, the Marais in Paris and the Nine Streets in Amsterdam are creating great interest as well.’

In addition to panels with industry leaders from Hammerson (David Atkins), Klépierre (Laurent Morel), JLL, CBRE and C&W, the conference features a keynote address from Sarah Quinlan of Mastercard Advisors who will provide a perspective on the European credit card industry in a global context, and Robert F. Blackstone, global head of retail and ICSC chairman. Innovation is also a major topic for the conference, De van der Schueren says, pointing to a presentation from Kevin McKenzie from Westfield Labs in San Francisco. ‘That is where Westfield incubates technologies, like touch screens in shop windows and other tools that bring omnichannel retail into the mall. ‘There will also be presentations on new ways to count visitors. As these technologies become more quantifiable, we can give more substance to our fingerspitzengefühl and guestimates.’

Another topic that will be highlighted at the conference is ICSC’s research on changing rental models. ‘That is one of the benefits of ICSC,’ De van der Schueren says. 'It can combine research with practical experience to see where the industry is heading. Should rents be turnover-based or footfall-based? ICSC has already been looking at this in the US and we will hear about the first initial results in London.’

Finding the common denominator
Research initiatives and efforts to collaborate industry-wide on cross-border issues remain a key focus for ICSC Europe, De van der Schueren says. ‘Our aim is to find a common denominator in all these interests. We can achieve so much more if we form a common front in the area of European legislation, innovation and asset management. What ICSC can do is help our stakeholders professionalise and give them tools to become more pro-active.’

In that context, ICSC Europe’s achievements in the area of sustainability have been something of ‘a lightning rod’, De van der Schueren says. ‘Our members saw how it helps to collaborate on certain topics and that is now being multiplied across different areas. ICSC Europe is formulating retail action plans to create a level playing field for the taxation of online sales and to address restrictive planning in some cities where vested interests have the upper hand.’

De van der Schueren strongly believes that planning rules in cities across Europe should not be limited by existing competition and that densification may be required in certain areas to meet the requirements of modern consumers. ‘In certain areas planning laws may be far too rigid and we are engaging with the European Commission on that issue. Retail destinations must remain relevant and choices must be made. ICSC aims to facilitate that process by engaging with stakeholders and addressing the need to engage with cities. We all win when we serve the interests of consumers.’