Although shopping malls started making their presence felt, consumers still had to go to the traditional stand-alone stores

Shopping Malls – A New Shopping Experience

Although shopping malls started making their presence felt, consumers still had to go to the traditional stand-alone stores

The caselet deals with the development of organized retailing in India in the form of shopping malls. It looks into the reasons for the growth of shopping malls in India. With the changing shopping needs and aspirations, consumers are finding it easier to shop at malls where a wide choice of merchandise is available under one roof. The caselet also delves into the growth of specialty malls and the challenges faced by shopping malls in India.

Issues:

» Growth of organized retailing in India

» How changing customer aspirations result in the evolution of retail formats

» Challenges faced by organized retailing outlets

In 1999-2000 three modern shopping malls opened in India, viz. Crossroads in Mumbai (Refer Exhibit) promoted by the Piramal Group, Ansal’s Plaza in Delhi promoted by the Ansal Group, and Spencer Plaza in Chennai promoted by the Mangal Tirth Group. These malls were expected to bring about a mall revolution in India, based on changing consumer preferences, and growing incomes…

Questions for Discussion:

  1. Although shopping malls started making their presence felt, consumers still had to go to the traditional stand-alone stores, when they were purchasing specialized products like electronics, home needs, and jewelry. What are the ways in which shopping malls in India can attract more number of customers? 

  2. Poor mall management and poor tenant mix have resulted in poor mall traffic and low conversion rate. This has led to the closure of individual shops, at several malls. What can the mall management do, to attract serious buyers?

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