Mall RatZ

Malls are back but they’re not the same. After rumors of their demise wouldn’t go away for years, Gen Z (born 1997-2012) stepped in and occupied them. No, not like other generations occupied Wall St. Instead, they’re using these relics of retail’s past as a social nexus.  According to this note from Capital One, 72% of Gen Z visit a mall in a given month. The caveat, however, is that over 80% of those who visit go primarily to socialize but shopping happens as well.

A relatively bright line could be developing. According to this Wall St. Journal article, shoppers between 18 and 24 bought 62% of their general merchandise purchases in store last year. By contrast, those 25 and older made just 52% of those purchases at a brick and mortar.  Foot traffic was up in 2025. Both indoor and outdoor malls experienced an uptick in foot traffic. Weekday visits were up substantially as well, but weekend visits still accounted for 65% of mall visits.

These structural behemoths have had to adapt. Malls are making social media-friendly spaces and are engaging with influencers to entice shoppers to stop in. Even online retailers are making changes, opting for space inside traditional malls. Gen Z expects an experience. After being cooped up during some of their formative years due to the COVID-19 pandemic, these young adults are looking to get out.

Efforts by malls to capture the attention of this generation appear to be working. Data from Deloitte suggests shopping center vacancy rates have reached just 5.4%, the lowest in a couple of decades. Mall success does not seem to be one of nostalgia but instead reflects changing relevance. Perhaps this resurgence will bring folks back to movie theaters allowing Gen Z to experience their generation’s Mallrats or Clueless. While they didn’t forecast it like the T-800 in Terminator, malls are back.