The last 10 years have enabled us to understand change and what the challenges are; the next 10 years are about implementing that change. Food service will be at the forefront of said change and continue its' integral role in fortifying the retail industry. Dining and entertainment played a large part in saving the 'traditional' shopping center for a few key reasons. Firstly, food service elicits higher dwell times - consumers spending more time at a shopping center - and those who dwell longer, spend longer. In other words, because consumers spend more time in any given retail center as a product of more restaurants and other food uses, they tend to linger at the surrounding retail as well contributing to higher overall sales volume for that center.

Additionally, having a well thought out dining configuration which promotes socializing is highly effective in introducing some vitality and diversity to a shopping center. Having a vibrant foodservice tenant mix can differentiate retail space as a part of a broader recreational experience, especially given the increasing consumer propensity for experience above all. Consequently, shopping centers can adopt a certain aura which consumers become accustomed to, and thus, loyal to.

On another note, consumer focus has undergone a noticeable shift away from material possessions and toward experience. Today’s generation much prefers spending toward a memorable dining experience than on new article of clothing. But property owners have to be deliberate in their locational strategies toward food service. While there are certainly benefits 'clustering' of food services by product type - casual dining, fast-casual, etc. as part of impulse buying offers - it's imperative not to over cluster, which can have a cannibalizing effect on weaker tenants. A good rule of thumb is to disperse 20 percent of food service across  the center and have 80 percent remaining in a cluster. 

Despite problems related to disruptions in the supply chain and COVID-19 spike, and the resulting confining regulations, retail and food service sales grew to $1.34 trillion in Q4-2021. There is much potential and value-add opportunities within the food service sector - more so with new advancements in food technology (delivery services, curbside pickup, online ordering, ghost kitchens, etc.) and, I for one, look forward to seeing all the future applications to come.