What’s Changing in Retail Network Planning?

When it comes to network planning in the retail industry, few can match the expertise of Toni Newell, our General Manager here at Pathzz. 

With years of experience driving success across retail networks, Toni is a trusted name in the field and a go-to for actionable insights.

As we near the halfway point of 2025, we asked Toni to share her insights on the industry, the common mistakes retailers are making, and how they can refine their strategies for the remainder of the year.

“The retail landscape is evolving faster than ever,” Toni explains. “From shifting consumer behaviours to the rise of hybrid work and the ongoing impact of e-commerce, retailers need to adapt their network strategies to meet new realities.”

One of the most significant shifts she’s observed is the growing importance of data-driven decision-making. “The days of relying purely on instinct or past performance are over. Retailers that are succeeding in 2025 are the ones that leverage advanced analytics and behavioural data to predict what their customers want—and where they want it.”

The Most Common Mistakes

Toni highlights three key pitfalls that many retailers are still falling into:

1️⃣ Focusing Solely on High-Profile Locations:
Too often, retail teams fixate on flagship locations, ignoring suburban or regional areas where customer demand might be higher. It’s about finding the right location – which even comes down to the right end or side of a street, not the one with the most prestige which also comes with the highest rent.

2️⃣ Under estimating the Role of Localised Insights:
Consumer behaviour isn’t one-size-fits-all. A strategy that works in Sydney’s CBD might not apply to Brisbane or Perth. Retailers need localised insights to tailor their approach for each market.

3️⃣ Overlooking Store Network Optimisation:
Network planning isn’t just about opening new stores—it’s about ensuring your current stores are performing optimally. Are they located in the right places? Are they attracting the right customers? This ongoing assessment is critical.

How to Succeed in 2025

So, how can retail teams level up their network planning strategy this year? Here are Toni’s top tips:

✅ Invest in Predictive Analytics:
Use tools that combine behavioural data and AI to forecast where your customers are going to be—and why. This is key to staying ahead of the curve.

✅ Adopt a Flexible Approach:
With hybrid work patterns and fluctuating economic conditions, flexibility is more important than ever. Build a strategy that can adapt as trends change.

✅ Focus on Customer Experience:
At the end of the day, your stores are about serving your customers. Understand their needs and create spaces that deliver an experience they can’t get online.

✅ Collaborate Across Teams:
Network planning shouldn’t happen in a silo. Align your property, marketing, and analytics teams to create a cohesive strategy that addresses every part of the customer journey.

The Path Forward

“The second half of 2025 is set to be a defining period for retail” Toni concludes. “Those who embrace innovation and adapt to changing dynamics will come out ahead. Retailers who stick to the status quo? They risk being left behind.”

At Pathzz, we’re committed to helping retailers navigate these challenges with AI driven insights and tools to optimise network planning strategies.