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In recent history, online shopping has reigned supreme, especially during the holidays. However, recent data suggests that shopping districts, like Domain NORTHSIDE and South Congress Avenue, are experiencing a resurgence — especially in Austin.

This is a trend that has been years in the making as mixed-use projects have strategically allowed shoppers to enjoy food, shopping, entertainment and more — all in the same outing. This has been emphasized at Domain NORTHSIDE, which has leveraged its mixture of classic and new-age retailers with entertainment amenities to drive numbers up.

On South Congress, the same trend has emerged as classic Austin establishments have been joined by household-name clothing brands, providing shoppers a unique experience.

Now, with Black Friday on the horizon, Austin’s shopping centers are hoping foot traffic will continue to increase as it has year over year — and there is good reason to think it might.

Domain NORTHSIDE Looks to Capitalize on Black Friday

Nina Berenato, the owner of Nina Berenato Jewelry, said she is anticipating big Black Friday shopping numbers this year as a tense mood across the country has motivated people to seek retail therapy.

“Overall, the energy this November has been tense and, as people visit the store, I have felt an overwhelming feeling that, this year especially, people need a break and are looking forward to checking out a bit and spending time with friends and family who lift them up,” Berenato said.

The business owner also mentioned that capitalizing on the Black Friday sales comes with more nuance than people expect — especially for smaller companies.

“We really have to grab our crystal balls and try to predict what people want, how much they will want and what type of experience shoppers are looking for this particular year. Mistakes you make in inventory projections or product mix can haunt you for the next six months or even all year if you don’t hedge the right bets,” said Berenato.

For that reason, Berenato places even more importance on in-person shopping as a way to connect with the community and to figure out what shoppers want.

“It shouldn’t feel that personal, but, for small businesses, it definitely does. It impacts myself and my team, both financially and emotionally,” Berenato said. “Even though it’s scary to think you might guess wrong, when you get it right it really does feel so great.”

Another theme that is emerging this year is the idea of experience-based shopping, something that Nicole Trunfio, founder of BUMPSUIT, has emphasized.

This comes in the form of a new retail pop-up at the Domain NORTHSIDE. Offerings such as free gift wrapping and in-store events, like free embroidery and a meet-and-greet with Santa, illustrate various ways businesses are hoping to get creative.

Ward Kampf, president of Northwood Retail, which owns and operates Domain NORTHSIDE, gave his prediction on how Black Friday will play out at the growing shopping district.

“We expect Black Friday Weekend to be promotion-heavy due to the five fewer days of the season, but still extremely busy based on our year-over-year property traffic patterns and trajectory and having overcome a lower point in shopping this summer due to inflation and geopolitical tensions,” he said.

Lastly, numbers post-pandemic have shown soaring attendance for Black Friday seasons at the shopping district. In fact, 2023 saw 70,000 visitors on Black Friday alone – an increase of almost 10,000 from the year prior.

South Congress Has Established Itself as a Premier Shopping Street

Brandon Hodge, president of the South Congress Merchants Association, which represents retailers in the popular shopping, dining and entertainment district, spoke hopefully about the numbers this holiday season could produce.

In particular, Hodge said that small businesses really rely on this time of year to cement their place year-round in the city.

“Overall, the holiday sales season remains a vital month for retailers and a chance for us to recoup after some of those difficult days, we get through Austin’s brutal summer season, and pack on a little financial fat for the winter to see us through to the sales boon of SXSW again,” he said.

Hodge speaks from experience as he owns Monkey See, Monkey Do! and Big Top Candy Shop on South Congress that encapsulates the classic small business flair that Austin brings.

An important factor that Hodge is hoping to rely on is the fact that, as a shopping district, SoCo can provide an all-inclusive and all-day shopping experience that isn’t too dense or boring.

“While it’s always a busy weekend, Black Friday on South Congress has always been fortunately spared from the sometimes riot-like chaos of the big box stores, which is just a more pleasant and relaxed environment that gives us a chance to really focus on our customers to help guide them to the perfect gifts,” Hodge said.

Nick Naumann is director of brokerage in Austin for Weitzman, a commercial real estate services firm that manages and leases more than 10 million square feet of retail space in the Austin region.

Naumann offered hopeful statistics on the city’s retail occupation rates that have comforted retailers. He mentioned that the market is currently approaching 97% occupancy, which makes it the healthiest major market in Texas in terms of supply and demand.

Beyond that strong number, there is a chance to improve in all categories, especially since a fourth-quarter retail sales forecast from the International Council of Shopping Centers estimates that retail sales will grow 3% to 3.5% this holiday season, with food and beverage expected to grow 6%.

“Brick-and-mortar shopping is as strong as it ever was, based on traffic analysis reports and location intelligence, and we expect that our retailers and our centers will benefit from a healthy level of Black Friday traffic. Further, our centers continue to report basically full occupancy, and as such, they offer cross-shopping advantages that can drive traffic and sales,” Naumann said.

Data Show Austin Shoppers are Returning to Stores

According to an annual survey from the National Retail Federation and Prosper Insights & Analytics, a record 183.4 million people are planning to shop in-store and online from Thanksgiving Day through Cyber Monday this year.

While shoppers are predictably more active throughout the whole holiday weekend, Black Friday remains the most popular day to shop, with 72% (131.7 million) planning to head out to stores or shop online. About two-thirds (65%) of Black Friday shoppers expect to specifically shop in stores that day.

As for numbers that point at shopping centers and districts as emerging trends, nationwide data shows that demand for retail space is outpacing supply for the first time in 20 years.

Moreover, a report from the New York Times pinpoints Austin as one of the cities where in-person shopping is growing the most — along with Nashville, Tenn., and Phoenix.

The resurgence in malls, shopping districts and shopping centers is a trend that has followed the COVID-19 pandemic. According to Coresight Research from 2023, which tracks consumer trends, 12.9% of U.S. consumer expenditures on retail goods and retail-adjacent services in the first quarter of 2023 went through malls — meaning malls generally outperform other retail formats per square foot.

And the holiday season has produced increasing traffic year-over-year at Austin’s most popular shopping hubs.

While these numbers might not outline a return to the door-busting antics of Black Fridays in the past, it does indicate that shopping districts have adapted to consumer desires and can generate large sums of revenue.