Couple of days back we three friends visited kolkata’s newest mall, south city mall, to have fun and food. It was the first time for me and Dipan. Rajdipta has guided us to the entire mall. It is the finest of all the malls so far in kolkata. I am not comparing it nationally or globally…it shoudn’t be so. Yet the architecture and services are attractive and innovative. Its a good place for the youth at the weekend.
We were struggling to figure out as to where the business and profitability lies. No store we found to be a non-branded one. If it were to be Bangalore, Mumbai or Delhi, no question at all to check out the profit raising ways. As it is Kolkata, and the average expenditure level is low as compared to other metropolitans in India how many people hopped for the brands specially in malls? The mental set up is different in comparison to other cosmopolitans, though it is changing. Thats why we tried to chalk out the possible ways where from the mall builders could raise the investible amount.
1. High rents for the branded stores (Again the question, how many people buy? Everything is not meant for sell perhaps. Brand Building might be one reason. And in the long run this could be encashed with the help of highly paid younger generation in the long run).
2. Excessive profit margins for the food stores… that in turn generate revenues.
3. Window shopping is one of the ways.
4. This mall is attached with high-rised (35 storyed buildings) South City targeting the High net worth individuals.
In the long run, shop owners would be benefited of having more net worth customer base and higher profitability.