Malls threaten traditional dominance of high streets

The festive season is witnessing several innovations to attract footfalls

A battle is brewing in the retail sector. With mega malls taking an aggresive marketing and promotional route to attract foot falls, the high streets are feeling the heat and have had to change their strategy.

The three traditional shopping destinations in Bangalore "" MG Road, Commercial Street and Brigade Road "" have not organised the customary annual melas during the festival time (Ganesh Chathurthi and Dasara) buying season. They are instead focusing on a combined stratergy for the Diwali-Ramzan-Christmas season.

Said Prakash Mandoth, founder-president, Jayanagar Traders Association,"For the first time MG Road, Brigade Road, Commercial Street and Jayanagar Traders Association, besides a few other sections, have come forward to float 'Bangalore Shopping Festival.' With this, we intend to stem the possible downslide of footfalls."

They are seeking to go professional by planning to hire an event manager and rope in sponsorships. Some residential locality-based established shopping pockets which are turning on their efforts to attract shoppers are also posing a threat to the high streets.

Said Harkirat Singh Bedi, Managing Director of IDEB Constructions, which has built the Sigma Mall on Cunningham road in city: "Of late, malls have become a wholesome family destination where they can spend a full day without any hassles. In the case of high streets, people know where they want to go for their needs and make the purchase. They don't go there to spend time. Both high streets and malls will exist but with different flavours and both will have to formulate their own initiatives to draw the crowds."

The mega mall onslaught is symbolised by what the newly launched Garuda Mall is doing. It is going in for an advertising splash the way the high streets used to do in earlier years. However, The Forum, which is the biggest mall and a little older, has not gone in for much ad spending as it is already getting sufficient footfalls.

Said Balamurali Krishna, GM-Marketing, Garuda Mall, "The waning of interest in high streets is only a short-term phenomena and it will surely pick up as high streets mature as they have done in developed markets. In the US and UK, high streets host some of the super premium brands and this is the route they will most probably take. Even now, most of the brands have their outlets on the high streets to make their presence felt. For sales they are all gravitating towards the malls."

Says Vikram Linsay, CEO & principal consultant, Helicon Consulting, which is into retail consulting,"Companies have a dual policy. Stand alone shops at high streets display the entire company range while in a mall they will offer a focussed selection depending on the profile of the crowd coming to the mall. What is therefore required, is a mature and a symbiotic relationship between brand and mall owners."