Tanger’s Big Move: Shopping Centers Are Changing, and Here’s Why It Matters

Tanger, a big name in outlet malls, is making a surprising shift. Instead of just selling discounted goods, the company is buying up full-price shopping centers and inviting high-end brands into its stores. This isn’t just a small tweak—it’s a full business makeover. Why? Because open-air shopping centers, where people can eat, work out, and shop all in one place, are drawing more crowds than traditional malls. While outlet centers used to rely on tourists and bargain hunters, today’s shoppers want convenience and experiences. Tanger is responding by turning some of its locations into mini downtowns, where locals can grab coffee, see a movie, or even work out without leaving the parking lot. What’s driving this change? For one, people are moving away from big cities to smaller towns where Tanger has stores. These new residents need places to shop, and Tanger’s centers are filling that gap. Meanwhile, some department stores are closing, leaving shoppers without access to brands like Banana Republic or Ann Taylor in their neighborhoods. Tanger is stepping in by offering those stores in its centers. Another factor is Gen Z, a generation that loves shopping in person but can’t always afford full prices. Tanger’s outlets give them a chance to try brands they’ve seen online or on social media before committing to buying.But it’s not just about adding new stores. Tanger is also upgrading its lineup, kicking out weaker brands and bringing in trendier ones like Birkenstock, L. L. Bean, and Aritzia. The numbers show this is working: sales per square foot have jumped from $385 before the pandemic to $485 today. More surprising? The fastest-growing sections of its stores aren’t clothes—they’re restaurants, beauty shops, and even bookstores. Tanger is betting that food, entertainment, and wellness will keep people coming back. The company’s loyalty program, TangerClub, is another smart move. Shoppers who sign up get discounts and rewards, making the experience feel more personal. It’s rare for a real estate company to focus so much on customer perks, which gives Tanger an edge over competitors. Still, the company isn’t done growing. With outlets in only half the country, there’s plenty of room to expand and keep changing the game.