3 days ago
Singapore retail needs a rethink, not a eulogy
[SINGAPORE] They say the lights never go out in Orchard Road. But these days, they dim a little earlier. With iconic cinemas shuttered, retail institutions disappearing and foot traffic thinning, one cannot help but wonder: Is Singapore's retail scene slowly fading into irrelevance?
For over a decade, Singapore's retail has been haemorrhaging, caught between rising rents, labour crunches and digital disruption. Covid-19 pressed fast-forward on that trend: Consumers retreated online and landlords clung to pre-pandemic rents; leading to retailers getting caught in a perfect storm of higher costs and lower margins.
But before we mourn the death of brick-and-mortar, let's pause and reflect. Retail isn't dying; it's evolving. The question is whether Singapore wants to evolve with it.
The risk of irrelevance
Cinema chains such as Filmgarde have exited. Global brands from Topshop to Times Bookstore and Robinsons have folded. At the same time, suburban malls are populated by cookie-cutter chains offering the same bubble tea, fast fashion and pharmacy experience.
Beyond transactions, retail shapes the cultural and social rhythm of a city. But today, other than a few lifestyle precincts such as Jewel and Funan, the Singapore retail experience is flatlining. And when landlords and tenants alike play the short-term rental game, innovation gets priced out.
More than bad news for shopkeepers, a hollowed-out retail sector hurts tourism, urban vibrancy, employment and even Singapore's soft power as a regional trendsetter.
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The problem isn't just retail economics. It's vision – or the lack of one.
The China playbook: What we can learn
This is why the new initiatives at the Singapore Retailers Association (SRA) matter. New leadership brings fresh eyes. And one of their first moves is partnering with Singapore Management University (SMU) to send a study team to China.
Why? Because if you want to understand retail reinvention, China is the lab.
Companies such as Xiaomi, Huawei, DJI, and BYD aren't just selling electronics or cars. They're turning their brand ecosystems into experiential retail platforms – where visitors interact, test and share.
And developers like Coastal City in Shenzhen aren't building malls. They're building day-to-night, content-led, lifestyle micro-cities.
As one participant, Lionel Tan, ecommerce director at Singtel, commented: 'The Shenzhen trip reaffirmed that true innovation starts with understanding what customers value. Companies like Tencent, Pagoda, and Kingdee showed how artificial intelligence (AI), data and product-led thinking can transform retail into a deeply personalised and intuitive experience. This is exactly what Singtel hopes to build: journeys that resonate, designed around people, not just platforms.'
Beyond space and layout, China also leads in one underappreciated area: intellectual property (IP) merchandising and promotional gifting.
From Pop Mart's blind-box figurines to Tencent's League of Legends merchandise and Chagee's collectibles, there's much proof that Chinese firms are masters at turning brand assets into physical extensions of identity and loyalty. These aren't afterthoughts – they're part of the core brand strategy that prioritises storytelling.
Done well, promotional gifting and branded merchandise are footfall drivers, retention tools and social media bait rolled into one. Singapore's retailers have much to learn from this playbook.
Ultimately, it's about content, community and experience.
SRA's role in the new era
Singapore lacks neither talent nor infrastructure. What it needs is orchestration.
For any of this to succeed, SRA must evolve from a traditional industry body to become the industry's chief convener and provocateur – one that can convene retailers, landlords, the Urban Redevelopment Authority (URA), Enterprise Singapore, and even the Singapore Tourism Board (STB) to co-create the next chapter.
This could mean:
Working with URA to rethink retail zoning for more pop-up and mixed-use formats;
Partnering with landlords to pilot experiential zones, where return on investment is measured not just by rents, but by time spent and community value;
Collaborating with STB to reposition Singapore as more than a shopping hub, but an experience lab; and
Supporting local and regional brands with market entry via incubation spaces, digital integration grants and AI-enabled retail analytics.
As Clement Yew, director at AutoStore put it: 'To stay competitive and thrive, retailers must embrace and embark on digital and automation transformation. This will equip retailers to optimise their operations and enhance productivity, leading to a more sustainable and profitable business model. And SRA should lead this charge.'
Rethinking success: From sales per foot to stories per visit
Singapore's malls do not need more shops. They need more stories.
Living brand experiences already exist in China: Miniso's global flagship store in Chengdu allows customers to design their own merchandise and interact with AI-powered retail displays. Bosideng's tech-enhanced concept store in Shanghai combines fashion with immersive experiences, enabling shoppers to customise winter wear using augmented reality mirrors and thermal simulation zones.
Singapore has the ingredients to do the same – and better.
Concurring, SRA representative Bryan Woon said: 'The future lies in creating experiences, not just transactions. And SRA's mission is to rally retailers, landlords, and policymakers to reimagine the retail landscape together, so that Singapore remains not only a shopping destination, but a place where brands, culture and people connect in meaningful ways.'
Shopping as culture, not mere commerce
Beyond simple purchases, retail is where culture meets commerce, where memories are created. Singapore's challenge is rediscovering its own retail identity, not fighting e-commerce.
The good news? Green shoots are emerging. The SRA reboot, government support for digitalisation and a growing appetite for curated experiences suggest momentum is building.
But time is short. If Singapore doesn't act, others will fill the void. So, retailers, landlords, planners and policymakers, let's not write an obituary for Singapore retail. Let's write its next chapter.
After all, malls may fade, but magic doesn't have to.
The writer, a seasoned economist, adviser and entrepreneur, is an affiliate lecturer at Singapore Management University
