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1) The mismatch of the brand & the consumer.

Brand selected should be consistent with the demographic profile of the

2) Go through a detailed research on the consumer decision making process of
those regions in particular. This means taking a microscopic view of the
consumer behavior including the study of consumer psychology & studying
their tastes & preferences & the factors which can influence their buying
behavior in a positive direction.
3) ANOVA and mean analysis shows that there is a greater effect of location,
age, education, and income on merchandise, store location, price, structure,
culture and purpose which influence the failure of malls.
4) In general, people of India lacked awareness about mall structure and so they
were reluctant in buying different products from mall. The presence of kirana
(or local stores) and the bargaining advantage from them drove people to
shop from these local stores. Moreover, the urban people refrained from
buying vegetables and dairy products from mall because of the freshness
perception. In malls usually, ethnic products are not available in range; hence
people have to explore different shops to buy such. However, the discount
season in mall increases the footfalls and product selling also escalates.
5) Location is an important differentiating variable between most of the
successful malls in NCR and their less spectacularly performing counterparts.
For example, if a mall is situated in or near a high-street retail location, it
tends to perform poorly. By the same coin, malls operating in locations away
far away from high-street retail perform much better. Good examples of this
would be the Ambience and DLF malls in Vasant Kunj and MGF Metropolitan
on MG Road, Gurgaon.
6) Challenges that the developers of malls have not been able to address are
providing for adequate parking and scientific people movement within the
malls, coming up with a dynamic plan for upgrading facilities, attracting a
suitable tenant mix and proper positioning.
7) There is an increasing awareness among mall developers that leasing mall
spaces as opposed to selling them is the way to go. Malls in which spaces are
individually sold (or strata sold) tend to suffer from the absence of proper
mall management which is now the acknowledged fulcrum for success,
regardless of how large or well-conceived the mall is.
8) These teams also evaluate placement of different brand retail stores, revenue
targets to decide continuation of lease agreements, branding, and
promotions and customer outreach events in the atrium. They are also
involved in design and layout, which starts right from the ease of entry to

open spaces and parking within the premises, entertainment avenues, flow of
the floors to circulate traffic correctly, clustering similar brands on a floor,
placement of food zones and exits and, most importantly, the overall
9) Smaller malls find difficult to survive as they are facing stiff completion from
bigger malls those built before 2010 are specially facing issues as these malls
are much smaller to malls built after 2010. Unless these are strongly
positioned and differentiated, these malls will not be able to survive in the
competitive environment. One example of a successful small mall is Alpha
mall in Mumbai that sells a large variety of electronic good- imported and
domestic at competitive prices.
The measures they undertaken include a revamped tenant mix,
adoption of mixed use format and delivering theme based shopping
Some new mall owners are creating "zones" (read, multiplexes, food courts,
kids' play area) to meet the changing needs of the shoppers and upgrading
services like access, parking (in terms of even lanes leading up to the malls),
security, providing prams for children etc., going as far as to organize regular
events around celebrity visits, shopping festivals, flea market fiestas etc. to
ensure footfalls and consumer involvement. The amenities draw the
consumer in for reasons other than to just purchase items.
Better visibility of brands in malls is needed. DLF moved to a revenue
sharing model when many of its branded malls started faltering. The group
initially gave out space on a first-come-first-serve basis besides offering
shops to those who promised higher rentals. DLF allowed many investors to
buy the shops and rent them out later. The result: no sense of ownership and
low overall accountability from brands.
Prime South
Prime Others

Gross rent pm/sq ft