Kiosk culture is thriving at the malls

You've every intention of hitting up that Nordstrom sale at the mall but are sidetracked by cute yoga pants and a little black slip dress that both shapes and contours. But the clothes aren't in a store — they're hanging on a cart outside the stores.

Welcome to Maidenform's Shaper Shop kiosk, just one of the many mini-stores dotting the mall's interior. And the expanding kiosk market now includes everything from shapewear to $20 sheets, sunglasses to language-learning software and Crocs to socks.

Born in Boston's Faneuil Hall Marketplace in 1976, the kiosk concept has grown into a $12 billion specialty retail industry, said Poornima Apte, editor in chief of Specialty Retail Report. And IBISWorld research indicates that sales from kiosks increased from $975.9 million in 2006 to an estimated $2.07 billion in 2011, according to analyst Janet Shim.

Apte said the kiosks can provide an entrepreneur a way to test new retail concepts. "It can be temporary, doesn't require too much capital investment, and merchandise can be rotated quickly and effectively."

What’s next

The top five kiosk concepts for 2011, according to Specialty Retail Report:
1. Portable device accessories
2. Service delivery (i.e., threading stations)
3. DIY concepts (i.e., beading stations)
4. Electronic cigarettes
5. New takes on toys and plush

"This format pulls the products together in a focused way," said Lisa McClelland, vice president of retail for Maidenform. "Retail has evolved as to how the customer shops and this allows us to easily change inventory or location."

An art and a science, the placement of a kiosk is a delicate balance of maximizing a vendor's visibility and minimizing disruption to store-based retailers.

"Because mall kiosks are merchandised beautifully, they attract consumers to come check them out," Apte said. Demonstration concepts like toy helicopters also cater to customers' attention spans. "Many of the products sold through this market have a price point that makes them especially attractive as impulse buys."BY ELLEN WILKOWE

From: NJ Shopping.com: Kiosks a Thriving Business