An Anchor Store is a large department store that is used to offer a major point of interest for a shopping mall or center. It is sometimes referred to as draw tenant or key tenant and is usually a popular chain store that is well-known to customers. The establishment of this kind of store can stir consumers to visit the shopping center or mall, and possibly keep shopping at the smaller-stores in the complex.
A shadow anchor is a big retailer situated near the mall. Reference to a shadow anchor can attract an anchor store since the shadow anchor is already attracting traffic to the area. In mall locations, a shadow anchor is a mostly large free-standing store like eBay, Walmart, or Macy’s.
Impact of Anchor Store on Businesses
This is the impact that the anchor store on Businesses:
Their customers fit your customer profile
Having an Anchor store next to your store can be an advantage to your store if their customers also fit your customer profile. This is why when you are choosing to position your store next to an anchor store, you have to sure that their customers also fit your customer profile.
It will be ideal to ask yourself if their customers would shop at your store too. Thus you can actually watch to see if their customers first shop, and consistently so at your store before you can consider your location.
Having customers that fit your shopper profile can also be beneficial when the anchor stores either become too busy to shop or when a shopper is in a rush. If they happen to be on their way home and they know that it will be faster to shop your store, they will definitely do that.
Increased Foot Traffic
Having an anchor store in a shopping mall is to draw traffic. This is the attraction that draws in shoppers, and while these shoppers are most likely in the mall to visit this particular store, you can be sure they will walk past your business also.
As more shoppers notice you are open, more will walk-in and shop your store, and this will lead to increased foot traffic. Note also that because anchor stores tend to be busy, more shoppers might view your store as more convenient and this will also give you an opportunity to build customer loyalty.
You may Cut on your Marketing Spend
Anchor stores are known to have deep pockets and they also do the majority of the work when it comes to advertising.
Your store benefits as well as anyone else in the near vicinity since you don’t have to spend as much money on advertising your stores and products. Truth is, you may not even need a marketing budget. All you need to do is consider the stores around your average supermarket in a shopping mall in order to see that.
Now the good thing about cutting market spend is so that you can place the money you have saved into other important aspects. This includes deals with your suppliers, staff salaries, and the general upkeep of your store.
Another thing to note is that if you are located near an anchor store, your rent will most likely be on the higher side. But, you need to stay focused on offering the right products for your target market.