Boutique stores get a local, experiential upgrade

The Future. As ecommerce retail has reached its peak, the next era of retail may be hyper-local, in-person-only boutiques that craft a shopping experience. While online retail will still hit record numbers thanks to Instagram and TikTok, those looking to step out of the mainstream may fuel a localized boutique boom that mirrors Gen Z’s obsession with thrifted clothing.

Community centers
Post-pandemic, many luxury ecommerce stores have been saddled with disappointing sales, falling valuations and, in some cases, closures.

• That’s because online customers have endless options to find clothes at the lowest prices possible while also expecting retailers to carry everything they may be looking for — a trend that hurts new designers or niche styles.
• That has opened a lane for smaller stores like ESSX in NYC, Just One Eye in LA, ANT/DOTE in Atlanta, Sportivo in Madrid, and The Broken Arm in Paris.
• The allure? IRL comes first, giving customers a curated experience featuring several new designers and local styles — things harder to find online.
• Additionally, they offer events, parties, and activations that build community among customers (something skate shops have been doing for decades).

Julie Gilhart, a business consultant and former long-time fashion director at the legendary Barneys, said these types of stores stock “the hardest thing to create: intimacy.”