Tenant mix refers to the combination of retail shops occupying space in a mall. A right tenant mix would form an assemblage that produces optimum sales, rents, service to the community and financiability of the shopping mall venture. 4 Zoning refers to the division of mall space into zones for the placement of various retailers. A mall is dependent on the success of its tenants, which translates to the financial feasibility of the tenant in the mall. Generally, there are two types of consumers visiting malls – focused and impulse buyers. The time spent by focused buyers in malls is relatively lower compared with impulse buyers who also enjoy window shopping. There is little that retailers can do to attract focused buyers as they usually know what they require and from where. However, right tenant mix and optimum retailer placement after a diligent zoning exercise can help retailers attract both types of consumers, especially the impulse buyers.
Formulating the right tenant mix based on zoning not only helps attract and retain shoppers by offering them multiple choices and satisfying multiple needs, but also facilitates the smooth movement of shoppers within the mall, avoiding clusters and bottlenecks.This helps influence shoppers’ mall preference and frequency of visits. It also helps in building a distinct image in the minds of shoppers, which is critical considering the robust upcoming supply of malls. The selection of the right anchor tenant plays a crucial role in establishing a good tenant mix. The anchor tenant is defined as the largest occupier in a mall in terms of square feet. Midriff city centre and feed off the shopping traffic it generates. The successful execution of the zoning exercise for a mall is carried forward through lease management on an ongoing basis. Presence of the right retailers in a mall. The Dubai Mall, Mall of the emirates, is an example of a successful mall led by good zoning and tenant-mix mall management practices.