Malls mushroom, but high streets rule retail
Malls continue to mushroom in key cities across the country but traditional shopping streets are still giving them tough competition. Accessibility along with readiness to change with the retail trends give them the edge, reports Naresh Kamath.Updated: Jul 17, 2008 00:44 IST
Malls continue to mushroom in key cities across the country but traditional shopping streets are still giving them tough competition.
Research conducted by real estate consultancy firm Jones Lang LaSalle Meghraj (JLLM) said shopping streets, with their close proximity to residential places, easy accessibility along with readiness to change with the retail trends, continue to rule the retail business.
The research report titled Leading High Streets of India said shopping streets like Linking Road in Mumbai, Khan Market in New Delhi and MG Road in Pune continue to retain their customers and attract new ones.
According to the report, almost half of the top 30 brands in the market have a presence in more than 50 per cent of the 21 shopping streets surveyed.
"This high level of presence is an apt validation of the importance of High-Street stores in major shopping stretches for major retail brands operating in the country," said Shubhranshu Pani, Managing Director, JLLM. "It is also an important pointer that brands should have a well-diversified presence in the leading high streets of India in addition to their presence in malls."
Pani added that there have been many instances where brands have registered higher sales on shopping streets than malls. "On a shopping street, a brand gets prominence in its retail outlet whereas in malls there are multiple brands threatening to overshadow it."
The survey covered 21 shopping streets across the country with brands like Adidas, Levi's, Louis Phillipe and Pizza Hut present. It revealed that rentals along these streets have also increased from 30 to 100 per cent in the last few years with Mumbai and Delhi being among the top six most expensive.