Rundle Mall Precinct Business Plan & Budget 2021/22 Rundle Mall 2 Business Plan 2021/22 3 Kaurna Acknowledgement Rundle Mall acknowledges the traditional Country of the Kaurna people of the Adelaide Plains and pays respect to Elders past, present and emerging. We recognise and respect their cultural heritage, beliefs and relationship with the land. We acknowledge that they are of continuing importance to the Kaurna people living today. And we also extend that respect to other Aboriginal Language Groups and other First Nations. Rundle Mall 4 Business Plan 2021/22 5 Business Plan Summary King William Street This Business Plan has been prepared by the Adelaide This Rundle Mall Business Plan encompasses the Rundle James Place The Myer Economic Development Agency (AEDA). Mall Precinct, which is bound by North Terrace, King Centre William Street, Grenfell Street and Pulteney Street. City Under Section 34 of the AEDA Charter it is stated as a The Precinct includes a mix of retail, hospitality, Cross requirement that an annual budget be prepared. AEDA commercial, educational and residential offerings. Stephens Place is required to produce an annual business plan and Pa budget consistent with the Charter and must submit The Rundle Mall Precinct also forms the Rundle Mall Levy rc Rundle Mall Ar to Council for approval. Area with funds being raised through a separate rate on Plaza cade rateable land declared by Council. Gawler Place Gawler Place The annual Business Plan must set out or include: These funds provided to AEDA will be expended by AEDA Da Costa in accordance with the annual Rundle Mall Business Plan Arcade • The performance targets the subsidiary is to pursue and Budget. Gr Francis Street Noh • The performance measures that are to be used to e nfe monitor and assess the performance against targets Te • A statement of the financial and other resources and ll Rundle Place St rr ac internal processes that will be required to achieve the re et subsidiary’s performance targets e No Fixed Address Lane Adelaide Central Plaza Regent Arcade Charles Street Charle Adelaide Arcade s Ga St re y’ s et Ar Plaza cade Renaissance Tower Twin Street Twin Street Plaza Re Au naissanc stin St e Ar re cade Hindmarsh Square Rundle Square et Pulteney Street Rundle Mall 6 AEDA & Rundle Mall Team AEDA Board AEDA Team AEDA was established as a Section 42 Subsidiary under AEDA is supported by an executive and management the Local Government Act 1999 (SA), and in all things team, resourced to achieve the strategic outcomes of acts through the Board. The Board has a responsibility to the organisation. manage the business and other affairs of the subsidiary, ensuring that AEDA acts in accordance with the Local Led by a Managing Director, the team is made up of Government Act and the AEDA Charter. experienced and skilled professionals in retail, events, property, investment, business support, tourism, brand The Board is skills-based, including expertise across and marketing. hospitality, property development, place making, business development, investment, events and tourism. The Board The AEDA team provides marketing, advocacy and consists of a Chairperson, one Elected Member (the Lord governance services to improve the economic outcomes Mayor of the day) and up to 7 Directors (including one for the Precinct’s diverse range of stakeholders. representative from the Advisory Committee). The team acts as the information hub for the Precinct, supports and drives initiatives that enhance visitor experience, and continuously analyses consumer and retail trends to ensure that the Mall’s offering meets the needs of local, interstate and international visitors. Business Plan 2021/22 9 City Trends & Insights The biggest challenge facing retail, Rundle Mall and the city for 2021/22 is recovering from the impacts of the COVID-19 pandemic. Whilst the last 12 months caused significant disruption to the local retail sector, each person and business having a unique experience, Australia and South Australia are in a fortunate position and we remain watchful, yet cautiously optimistic, that 2021/22 will be a better year. 1 COVID-19 Impacts Cities will play a key role to implement recovery strategies post COVID-19. There will be an accelerated approach and shift towards how we need to re-build from this. As have most cities across the globe, we too have become exposed in certain areas of business, and the health and wellbeing of our community. Consequently, society has accelerated their environmental City visitation awareness and started to change habits and behaviours reduced, but in their decisions and thinking regarding the environment, positive signs and more broadly the circular economy. Digitalisation was a major game changer during the crisis. International This will remain and be the future of how we work and do student numbers business. have reduced These challenges and changes give rise to opportunities for the city. To close the gap in the recovery period, as a city we need to act on how to support local business, the SA is one of the future economy and environmental sustainability in our safest places city. Never has there been a better time to speak to our vision to make Adelaide the most liveable city in the world. SA consumer confidence is up Rundle Mall 10 Business Plan 2021/22 11 2 Flexible Working 4 Experiential Flexible workplaces are a global trend that is here After a year of working from home, sometimes isolated to stay. With more people craving a greater work/life from family and friends, more than ever people are looking balance, businesses will need to adapt to find new for new and unique experiences. ways of operating. People want to learn new skills, try new things, be out with This presents challenges for capital cities who have less friends and family and enjoy ‘money can’t buy’ experiences people coming into the city, and the ripple effect into that connect them to people and places. secondary economic drivers including hospitality, retail, Brands must More people and the night-time economy. It is critical moving forward adapt and Events, activations, retail and hospitality experiences are are working that we activate and create experiences to incentivise innovate going to be important to bring people into the city, and from home people to visit the city, and capitalise on the city’s point to create vibrant, dynamic spaces. As a city that is full of of difference. surprising places, we have the opportunity to create a city experience that make people feel delighted and fulfilled with the desire to explore more. 3 Uncertainty 5 Sustainability 2020 was a year like no other, and the unprecedented Sustainability issues are increasingly becoming embedded nature of the global pandemic has impacted communities into good business practices. This has been demonstrated all over the world. Many South Australians have been from some of the largest ASX companies in Australia, impacted by uncertainty about COVID-19. Federal and State Governments. Moving forward we need to market and communicate The City of There is a rising trend that more companies will make the benefits of health and wellbeing. As a city we are Adelaide’s sustainability a core part of their brand identity in 2021. People are operations are craving committed to maintaining a high standard of liveability and powered by This will range from beauty and transport, to events and connection vibrancy, and will invest in a range of initiatives, projects 100% renewable technology. There is an expectation to see companies put and programs to support health and wellbeing. Being energy sustainability at the forefront of their brand. surrounded by Park Lands means we have 760 hectares of backyard to explore and escape to, with a number of Within the broader area of sustainability, the strongest walking trails, runs and outdoor activities. drivers of change are related to the circular economy and responding to climate change. Because of the increasingly We will continue to build trust and hope in our community stringent corporate governance around climate change, by creating opportunities for connection, authenticity, and it is likely to become important in the year ahead as the reinforcing that Adelaide is one of the most liveable cities primary sustainability driver for issues such as energy, in the world. transportation and waste management. Rundle Mall 12 Business Plan 2021/22 13 6 Online/Digital/Omnichannel Retailing 8 Supporting Local Most businesses (particularly retail) have seen an increase COVID-19 has seen buying habits change dramatically in online shopping, with market share being diverted away in the past 12 months. It is evident that even with from traditional bricks and mortar operations. restrictions lifted, shopping behaviours have remained, such as an increase in online shopping Many retailers have been pursuing omnichannel strategies and food deliveries. More people are staying close for over a decade. At the end of 2019, an omnichannel to home and spending money in their local shopping approach referred to the combination of a store, website district rather than travelling into the city. and app, with limited interaction between these channels. Online shopping This approach now has many retailers re-thinking Consumer habits have shown they want to buy from has increased omnichannel as the full suite of ways a consumer can local and independent retailers. This is something that engage with a brand. This still includes a store, website has continued to increase during the pandemic. There is and brand-owned app, but may also include a marketplace a clear appetite for small, independent businesses with presence and selling on social media. unique offerings and personalised customer service There is an opportunity for businesses to provide multi- Innovation and re-creating new ways of doing business platform experiences for their customers both in their will be key.