LSN : Daily Signals : Thought-starter: Why community is critical to the future of malls

Zalando opens a physical beauty store

Zalando Beauty Store, Berlin

Berlin – Following the launch of its beauty vertical earlier this year, online fashion giant Zalando has opened its first physical store in Berlin dedicated to beauty brands.

Designed by the German studio Batek Architekten, the space will double up as both a store and a ‘lab’ for interactive experiences such as product launches, tutorials and pop-up events.

Stocking cosmetics, hair and skincare products, fragrances, and tools, the store design is entirely customisable, made up of modular, stainless steel cubes and shelves that can be adjusted according to the purpose of the space and needs of its users.

‘The lab environment will put the beauty-savvy customer first, offering a tangible product experience through a curated beauty assortment,’ explains Claudia Reth, vice-president of category specialties at Zalando. ‘We can test digital use cases in an offline setting and get to know the beauty customer even better.’

For more on why online retailers are expanding into physical spaces, see our Storefront Salvation macrotrend.

Klasha brings fast fashion to West Africa

Klasha, Nigeria

Africa – Fashion e-commerce platform Klasha aims to deliver fast fashion to underserved consumers in West Africa.

Owing to a lack of online fashion retailers operating in the region, women in countries such as Ghana and Nigeria often wait up to four weeks to receive online purchases from international platforms. In recognition of the potential for an African fast fashion e-commerce platform, founder and CEO Jessica Anuna recently launched Klasha, offering women’s ready-to-wear fashion and a selection of beauty products all priced under £38.70 ($50, €42.69).

With warehouses in Nigeria and the UK, Klasha can deliver within one to five working days in markets including Nigeria, Ghana, Senegal and the Ivory Coast. It will also focus on delivering to customers in rural areas, ensuring those in small towns are equally catered for.

‘Young people inemerging markets should have the same access to the e-commerce infrastructure offered in other developed markets,’ says Anuna. ‘I started Klasha to connect young Millennial consumers in emerging marketsto the global e-commerce economy and to give them access to high-quality fashion at affordable prices, with fast delivery and excellent customer service.’

Google uses AI to cool data centres

UK – While Microsoft is sinking data centres to save energy costs, Google is teaching artificial intelligence (AI) to adjust its cooling systems to lower power consumption.

Developed by Google’s AI branch DeepMind, the new autonomous system will employ a technique known as reinforcement learning. AI will determine what cooling configurations could reduce energy consumption through trial and error. Once identified and verified, the recommendations are sent back to the data centre and implemented by a local control system.

In comparison to the initial system, which had human operators vetting and implementing every action, the new AI control system directly delivers the actions itself, leading to consistent energy savings of around 30%.

For more on how businesses are beginning to re-evaluate trust in AI technology, explore our macrotrend Morality Recoded.

Google Data Centre

A beer made from waste water

PU:REST by New Carnegie Brewery, Sweden

Sweden – New Carnegie Brewery (Nya Carnegiebryggeriet) has collaborated with IVL Swedish Environmental Institute and Carlsberg Swedento create PU:REST, the first beer brewed with recycled sewage water.

The lager is made with organic pilsner malt, organic Spalter hops, Brooklyn House lager yeast and recycled water from Hammarby Sjöstadsverk, a facility that conducts wastewater treatments.

To meet Swedish safety standards, the water is filtered multiple times using a combination of powerful microbiological treatments, chemical removal, and an activated carbon filter that removes any pharmaceutical residues. As a final precaution, the water is exposed to a bacteria-killing ultraviolet light.

By using purified wastewater in its beer, New Carnegie Brewery hopes to change consumer attitudes towards the use of waste in consumer products. To discover how other breweries are using innovation to stand out in a crowded market, see our latest report on the state of craft beer.

Stat: Millennial ‘side hustles’ boost UK economy

The rise of ‘side hustling’ among Millennials – having a separate money-making pursuit alongside a full-time job – is contributing an estimated £72 billion to the UK economy, according to a new report by Henley Business School. Its research suggests that this figure is increasing due to advances in technology and the ability for people to run small businesses from using their phone.

With Millennials seeking freedom and flexibility in their working life, the option to follow a passion or explore a new challenge with additional financial benefits is becoming increasingly popular. According to the report, over a half (53%) of UK Millennial side businesses were created in the last two years. By 2030, Henley anticipates that the number of people with side hustles could increase to 50% of the UK population.

Thought-starter: Why community is critical to the future of malls

With incessant news of closures, future retail spaces must draw on the worldview of locals, writes Tori Tasch, senior brand strategist at FRCH Design Worldwide.

In the heyday of bustling shopping centres, developers were safe with the ‘if you build it, they will come’ strategy. Across their national mall sites, they could echo layouts, tenants and amenities with a justified confidence that visitors would swarm to shop, mall-walk and people-watch.

But with incessant updates about retailers shutting their doors, we know all too well that this passive strategy is no longer sufficient.

Consumers are now expecting better, smarter experiences, priming the retail landscape for disruptive leaders to shake things up. Already, leading shopping centres are those that balance a deep understanding of both widely universal, sociocultural trends and unique, localised insights of the community they’re serving. They track and anticipate broad shifts of attitudes and behaviours occurring in the world-at-large, and respond accordingly.

An understanding of the nuanced demographics and psychographics of the town or region is also paramount. Drawing on locals’ interests and worldviews, future malls must unify residents’ similarities and celebrate their diversity.

Read the full opinion here.