A new retail Index has found that 76% of consumers who shop in person say a physical retail format delivers the best overall experience, compared to online, underlining the continued value of stores and destinations in an increasingly omnichannel retail environment.
The Retail Mood Index, created by Touchwood Solihull, shows that while consumers are becoming more selective, physical retail remains resilient when destinations offer a compelling reason to visit.
The index also found that 60% say they would travel more than 20 minutes for a shopping destination that offers a strong overall experience, combining shopping, dining, leisure and atmosphere.
Touchwood says the findings point to a clear opportunity for physical retail destinations to strengthen their role as places where consumers spend time, not just money.
Tony Elvin, General Manager at Touchwood, said: “The first wave of the Retail Mood Index shows that physical retail continues to have real relevance, but the role of destinations is changing. Consumers are not simply choosing between online and offline retail. They are deciding whether a physical trip feels worth their time.
“That means experience, convenience, atmosphere, accessibility and emotional value all matter. The destinations that succeed will be those that combine the practical benefits of physical retail with the kind of experience consumers cannot replicate online.
“For landlords, retailers and town centre partners, the message is clear: physical retail still has a powerful role to play, but destinations need to earn the journey.”
The Index is built around five core pillars:
- Physical Retail Relevance — whether consumers believe physical retail offers something online cannot
- Experience Preference — the extent to which consumers value retail as a leisure or social experience
- Physical Experience Preference — which shopping formats consumers believe deliver the best overall experience
- Destination Appeal — how far consumers are willing to travel for a strong retail and leisure offer
- Future Retail Resilience — how consumer attitudes towards physical shopping destinations are changing over time
In the first wave, Physical Experience Preference was the strongest-performing pillar, scoring 76, while Future Retail Resilience scored 66, suggesting that many consumers continue to see physical shopping destinations as important, experience-led or at least as relevant as they were a year ago.
The Index will be tracked over future waves to monitor shifts in shopper sentiment and provide insight into how expectations of physical retail are changing.
