Did you attend RECON24 (Property Council New Zealand’s annual retail conference) last week?
On a panel hosted by Andy Florkowski from RCG, I had the privilege of stepping onto the stage alongside two incredibly talented professionals—Emily Cain from CTRL Space and Jo Pennycuick from SSP Group London—to discuss the rapidly evolving world of retail design.
Here are three key interior design insights from the panel that explore the future of retail:
(The experience also gave me some personal lessons, but I will focus more on that later!)
Stores Are Shrinking
Here’s a shocking statistic: the average size of in-person retail spaces has been shrinking by about three percent each year for the past five years.
Why? Skyrocketing construction costs, high rents, and the rise of e-commerce are forcing retailers to rethink their physical spaces.
But smaller doesn’t mean less impactful. Instead of sprawling stores, savvy retailers are embracing compact yet impactful designs—spaces that do more with less.
This shift is about maximising every square metre. Thoughtful interior designers are turning these smaller spaces into immersive, sensory-driven environments that prioritise customer flow and create unforgettable moments.
Nike Live and IKEA Planning Studio are great examples. Nike Live stores, under 4,000 square feet, offer data-driven, neighborhood-focused experiences with personalised product selections and digital services like app integration.
IKEA Planning Studios focus on urban areas, helping customers design compact living spaces in a smaller, more interactive setting.
These smaller spaces blend digital and physical elements seamlessly, showing that less square footage can still deliver powerful, immersive customer experiences.
It’s not just the big players like Nike and IKEA leading the charge. Independent retailers are also finding innovative ways to create impactful, smaller spaces. Local boutique stores, for example, are embracing pop-up formats, interactive in-store events, and highly curated interiors to draw in their communities.
We’re Saying Goodbye to Cookie-Cutter Design
Retailers are moving away from generic designs and leaning into tailored interiors that reflect their unique brand identity. Even large-format stores are evolving, with trends suggesting that big-box spaces will feel more curated and personal in the years ahead.
This isn’t just about aesthetics; it’s about gaining a competitive edge. With so many options available, stores must tell their brand’s story to stand out and connect with customers on a deeper level.
Consider Nike's House of Innovation stores. Found in New York City, Shanghai, and Paris, these spaces offer interactive displays and highly personalised shopping, giving every visitor a memorable experience.
Independent retailers are following suit, too. From coffee shops designed with local artwork to boutique fashion stores using repurposed materials that tell their sustainability story, smaller businesses are creating their own unforgettable spaces.
Blending Online and Offline Experiences Seamlessly
With 73% of consumers now using multiple platforms to research and buy products, it’s clear that in-person stores must fully embrace their digital counterparts. This is called omnichannel strategy, where online and offline experiences come together cohesively to elevate the customer journey.
Interior designers are at the forefront of this evolution, creating spaces that bridge the gap between digital and physical worlds to make shopping more engaging, intuitive, and personalised.
The most successful spaces today are destinations—bold, immersive environments that go beyond selling products to foster genuine connections.
Consider Glossier’s flagship stores. Originally an online-only brand, Glossier expanded into physical retail to give their community a tangible "home." Their immersive stores seamlessly combine digital innovation with in-person magic. With soft pastel interiors, polished terrazzo counters, and Instagram-worthy installations, Glossier creates beauty playgrounds that invite exploration.
The result? Memorable, sensory-driven spaces that deepen customer loyalty and showcase how to successfully merge online innovation with offline experience.
Independent retailers can take cues here too. A small homewares store, for instance, might integrate QR codes that link to product stories, or host interactive workshops that showcase their products' uses, blending the convenience of digital with the warmth of in-person interaction.
When designing these spaces, it’s essential to think about what customers want and need from each channel. Online is about accessibility—reaching those who can’t visit your store. In person, it’s about offering rich, interactive experiences that can’t be replicated online. Physical stores have the power to build brand loyalty through emotional connections, curated designs, and memorable interactions that leave customers eager to return.
And now for a personal insight about overcoming imposter syndrome!
This was my first time as a panellist, and wow, did I feel self-doubt in the lead-up to RECON24!
Am I really going to be on stage with these impressive women?
If you’ve ever been in that spiral, you know how hard it is to break free. I had to step back and remind myself: Bridget, you’re here for a reason.
How did I overcome the nerves?
I reflected on the incredible experiences I’ve had over the last 15 years—especially the last five with Hellospace—working alongside fascinating clients and creating impactful spaces.
And then—girls gotta have her nails, hair, and that dress on! It wasn’t just about appearances—it was about shifting my mindset to feel empowered and ready to share my knowledge.
What’s next for retail design—and for you?
RECON24 left me feeling inspired about the future of retail design. From smaller, smarter spaces to tailored designs and integrated experiences, the future is bold, innovative, and focused on human connection.
What about you? Which of these trends resonates most with you? Have you ever faced a career moment that pushed you outside your comfort zone?
I’d love to hear your thoughts—drop me a message or share your story below!
Bridget x
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