MANILA, Philippines – After opening their 88th mall in the President’s hometown last May, the Sy family is set to unveil mall No. 89 to the public in La Union, the Philippines’ surfing capital in the north, on Friday, October 17.
And the opening of SM City La Union perhaps best exemplifies why bricks-and-mortar retail are here to stay in the Philippines despite the popularity of online shopping.
The three-story mall’s opening weekend in what’s also known as “ELYU” offers physical and community engagements that e-commerce can never match.
Lined up are a beach volleyball tournament with 16 participating teams, frisbee play, three nights with DJs, sunset music sessions, and fireworks. All these seek to match the mall’s “vibe” with La Union’s reputation as a surfing capital.
@smsupermalls Inspired by the vibrant energy of the coast, SM City La Union brings play, flavors, and lifestyle together. A place to gather, unwind, and create everyday escapes in the New Era of SM Supermalls — All For You, La Union. #EverythingsHereAtSM ♬ original sound – SM Supermalls
These events are set to be held within the mall’s premises, mostly in a central common area called “Boardwalk.” There’s also a recreational space called Sandbox.
SM Megamalls describes this as an “open-air complex constructed on a seawall made of local Mactan stone,” and “features restaurants, food trucks, and a sand volleyball court, with balcony extensions offering sweeping views of the coast.”
SM City La Union also has water fountains, a long faćade with vertical fins that mimic waves, plus an art installation by artist-designer Leeroy New, whose works often portray the need for sustainable development.
“Using bamboo, upcycled bottles, and construction scraps, he created a spaceship-inspired canopy that reflects light and sound throughout the day, symbolizing transformation and renewal,” said SM Megamalls.
The mall’s interior also has “double-height atrium”that connects the Department Store, cinemas, and food hall,“with clerestories and wide glass spans bringing natural light across all three levels,” the country’s largest mall operator and developer said.
Unlike SM’s early shopping centers with retail outlets that sell shoes, groceries, plus a few restaurants, the Sy family’s newer malls and the newly renovated ones put a premium on experiential retail rather than retail as simply shopping.
Experiential retail
In a recent interview with the ABS-CBN News Channel, SM Megamalls president Steven Tan said this shift is in response to what a younger demographic wants.
“Filipinos, especially the GenZs and the Gen Alphas, they look for experiences nowadays. It’s no longer you put out your wares, they come and they buy. You really have to entice them, to make it really pleasurable and enjoyable for them,” Tan said.
Sports activities have become big draws for the Sys’ malls. Their Mall of Asia Arena in SM MOA, Pasay City, for instance, has become a major source of revenues, with major sporting events being held there, including the FIBA World Cup in 2023. They recently renovated the MOA to include a 1,800-seat FIFA-grade football pitch at the rooftop.
SM City La Union’s beach volleyball tournament from October 17, Friday, to October 19, Sunday, with 16 participating teams reflects the growing popularity of volleyball in the Philippines.
Indoor volleyball is perhaps now the second most-watched sport next to basketball, with the country’s Premier Volleyball League (PVL) drawing large crowds, even dwarfing audiences in Philippine Basketball Association (PBA) games.
Tan said around 40 SM malls also now have pickleball courts, a response to another rising sport in the country.
“SM is now the biggest active lifestyle hub [in the Philippines],” he said.
Last year, SM Megamalls opened the Japanese-inspired SM City J Mall in Mandaue City, Cebu in Central Visayas. It includes a JDistrict that allows visitors to experience some of Japan’s attractions.
Tan said this shift means going to a mall is not just to buy essentials but “has become very experiential.”
“Malls have become the modern-day plazas of this era,” he said.
SM Supermalls saw a record high of 5.2 million average daily foot traffic in 2024, up 6% from the 4.9 million logged in 2023. It had also set aside P21 billion for mall expansions this year.
Another mall in San Fernando is the Gokongweis’ four-level Robinsons Place La Union. – Rappler.com