Millennials reverse urban migration, head for suburbs. What does this mean for Drizly & brick-and-mortar retailers?

 

A new study by the Brookings Institute — Early decade big city growth continues to fall off — means that “the “decade of the city” may be less valid during the waning years of the 2010s. While most big cities are still gaining population, the rates of that gain are falling off for many of them as the nation’s population shows signs of broad dispersal.”

The new numbers for big cities—those with a population of over a quarter million—are telling. Among these 84 cities, 55 of them either grew at lower rates than the previous year or sustained population losses. This growth fall-off further exacerbates a pattern that was suggested last year. The average population growth of this group from 2016 to 2017 was 0.83 percent—down from well over 1 percent for earlier years of the decade and lower than the average annual growth rate among these cities for the 2000 to 2010 decade.”

An article in Axios —  “Millennials are moving to the exurbs in droves” — expanded on that study and notes that:

Businesses need to adjust: They may have to build more locations, perhaps smaller and at greater distances. But that doesn’t necessarily mean astronomical costs, as among the new ways to deliver stuff will be inexpensive drones.

Upping their game: Brick and mortar shops will have to “re-focus their mission on providing amazing customer experiences.”