GHOST TOWN, CLONE TOWN or HOME TOWN - … September 2013... · you have reached a tipping point such as this, ... have seen them around the world and there are hardly ... JOHN STANLEY

business and f inance

LGAT News September 201358

The reasons for this are numerous. Part of the reason is that some retailers have not kept up with technology and consumer trends. Other businesses may have matured and had no succession plan, or there are financial restrictions that are out of the control of the retailer. Another reason may be where the store is located.

In my travels around the world, I visit many small towns and retail communities and it is clear to me that they can be grouped into one of three categories. Whatever the overall state of the economy in the country, the following three categories tend to exist:

Ghost Towns

‘Ghost towns’ are those that were once vibrant retail High Streets that are now mostly boarded up. During a recent visit to a town in Ireland, I counted over 50% of the shops in the High Street boarded up and consumers were shopping out of town in a new retail park. It does not matter how good an independent retailer is, it is very difficult to operate a positive, proactive, profitable business when surrounded by such despair. Once you have reached a tipping point such as this, it is very difficult for a retail community to rebuild a proactive spirit in the retail hub.

Clone Towns

On the same tour of the same country, I visited another retail hub, this time it was full of shoppers, and retailers were doing great business. I recognised all the international retail brands but found very few local

retail brands. My personal problem was that if you had landed me blindfolded into the retail community and asked me what country I was in, I would not have been able to tell you. This ‘clone town’ was familiar to me, I have seen them around the world and there are hardly any indicators of the local culture, or traditions in the town. These ‘clone towns’ are ideal for international retailers, but do not help independent local retailers and I question how much long-term value they will provide to the local community.

Home Towns

During my stay in Ireland, I also visited what I call a ‘home town’ – a town that supports its local community, is vibrant and a unique, fun place to shop. I will guarantee that many of the ‘home town’ shoppers are still shopping online, we all do. But consumers were coming to town for the experience, to relax, meet friends and support local retailers.

Many ‘home towns’ are built on a number of success factors:

• They have a proactive Chamber of Commerce that helps local retailers work together;

• They have a local market, sometimes this is a dedicated farmers market and others are craft markets;

• They have the correct balance between local independent retailers and national and international brands;

Futurists predict that retailing will get more challenging rather than less challenging. A recent report by the Retail Council for Research in the UK predicts

that 20% of retailers will disappear in the next five years.

JOHN STANLEYJohn Stanley Associates

GHOST TOWN, CLONE TOWN

or HOME TOWN


Once you have reached a tipping point, it is very difficult for a retail community to rebuild a proactive spirit in the retail hub


59September 2013 LGAT News

• They have the correct selection of independent retailers so that customers can do a weekly shop in the same location;

• They have a vibrant ‘coffee culture’ that encourages locals and visitors to linger longer;

• Local retailers are seen to work with the community to enhance the community;

• There is vibrancy about the High Street; and

• They often have a specific point of difference that makes them stand out from the crowd. For example, Hay on Wye in the UK and Sidney on Sea on Vancouver Island, Canada are Book Towns and have gained global recognition. Chemainus on Vancouver Island is the mural capital of the world and Boddington in West Australia hosts West Australia’s biggest rodeo.

Many retailers cannot change their location but can work together with other retailers to ensure that they have retail businesses that are located in ‘home towns’ as the future of retailing will revolve around being in the right community.

To find out more, email John Stanley at [email protected].



One of the murals found at Chemainus which add interest

to the shopping precinct on Vancouver Island

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61September 2013 LGAT Newswww.mav.asn.au

Collaborative consumption describes the reinvention of traditional market behaviours, such as bartering, swapping, trading, exchanging, renting and lending, through technology, enabling us to share all kinds of assets in ways and on a scale never possible before. Supported by the proliferation of new technologies, such as smartphones, social networks and GPS location data, we can now maximise the use of the things we have and get access more easily to the things we need, bringing about the rise of a new range of technology start-ups that can help us do so. Also known as the sharing economy, these companies are providing valuable platforms that make our everyday lives easier, as well as having potential to support Local Government in interesting ways.

From bike-sharing systems such as Melbourne Bike Share, to civic crowdfunding platforms like Citizinvestor, to peer-to-peer accommodation rental enabled by new startup Airbnb, there are many ways the emerging collaborative consumption sector could have impact on Local Government and building stronger communities. We have identified four key areas where local councils can explore and participate in the growing sharing economy.

1. Public-private partnerships

A familiar notion to most local governments, there is great potential for public-private partnerships to be leveraged for the sharing economy. Many collaborative consumption businesses require council support to work and at the same time, these companies can alleviate stress on existing public services. For example, without the infrastructure and planning support of councils, bikesharing systems such as those operating in Brisbane, Melbourne and hundreds of other cities around the world would have extremely restricted application and most likely not enough distribution to provide a good service. At the same time, local governments would not be able to bear all the financial burden of the infrastructure without the help of larger companies.

2. Resiliency planning

By enabling local residents to tap into their existing assets and make them more widely available for use by others, sharing economy startups are also creating resources that can be tapped into in the case of emergency response. Peer-to-peer accommodation marketplace, Airbnb, enables people to list their spare rooms or other accommodation which can become useful in times of crisis. During New York City’s Hurricane Sandy, more than 150 Airbnb hosts provided accommodation to people who had been displaced, just one example of how collaborative consumption can support resiliency planning.

3. Collaborative governments

Governments themselves have a unique opportunity to tap into collaborative consumption models to make better use of their own resources, or simply connect their community with services that would be of benefit. From endorsing local collaborative consumption startups to their constituents, to making their underutilised or old equipment available to the community, there is great potential for councils to tap into these services for great mutual benefit.

4. Policies for collaboration

New collaborative consumption startups are often operating in a legal grey area as they encourage new behaviours that aren’t always within the boundaries of existing legislation. Rather than enforcing regulation in a heavy-handed way, councils can work closely with startups to help them comply, or review legislation that is unsupportive to these new business models, without disadvantaging the incumbents.

As we begin to recognise the benefit of collaborating with each other once again, supported by technology, rather than aiming to be self-sufficient, we see that collaborative consumption can help us not only better meet the needs of local stakeholders but also forge stronger bonds within the community.

LAUREN ANDERSON, CHIEF KNOWLEDGE OFFICER Collaborative Lab

Local governments increasingly face resource constraints while still being required to deliver needed public services and respond effectively in the face of emergency.

Despite these growing challenges, an emerging socio-economic movement may present new solutions as well as supporting the development of stronger communities.



Building STRONG Communities The Future of Collaboration


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You could ask your mate, Tez, who studied finance in the 80s. You could look into your crystal ball, read your tea leaves, or undertake some other hocus-pocus. You could try an online super calculator...or you could chat to a financial expert about your personal needs and circumstances.

Shortcuts to a ballpark

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GHOST TOWN, CLONE TOWN or HOME TOWN - … September 2013... · you have reached a tipping point such as this, ... have seen them around the world and there are hardly ... JOHN STANLEY

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