McKinsey store in MOA to test concepts, technology

McKinsey is subletting space in the Modern Retail Collective, as the nearly 5,000-square-foot store is called, to beauty and fashion retailers. But the store will not only be testing merchandise and retail concepts. Cameras will monitor customers’ movements and shopping behavior; smart mirrors will enable shoppers to try on appropriately sized apparel; visitors will learn about the products by means of interactive mobile hot spots throughout the space — and they will even be able to pay using cryptocurrency.

The store will enable McKinsey to better inform its retail clients about emerging trends and technology, said Praveen Adhi, a partner who specializes in McKinsey's retail operations for the Americas, speaking to the Financial Times. McKinsey will not be paying rent for the space but will be receiving a fee from the retailers to offset costs. “This is a large investment for us,” Adhi told the newspaper. “The economics of the store itself don’t come close to breaking even. That’s not why we’re doing this.”

The four brands that will occupy the store at its Sept. 27 opening are Elevé Cosmetics, jeweler Kendra Scott, lingerie retailer ThirdLove and deodorant concept Type:A Deodorant.

“Mall of America recognizes the importance of evolving the consumer experience and has been leading efforts to help current and new tenants alike succeed in the ever-changing retail landscape,” said Jill Renslow, Mall of America's senior vice president for business development, in a press release. “Modern Retail Collective will offer brands a flexible environment to test new technology and discover what resonates with their customers."