)
Malls across India are registering up to 25 per cent year-on-year growth in sales with a similar rise in footfall, on the back of end-of-season discount offers.
Leading online players have shown even higher growth - of up to 300 per cent - during the end of season sale, which started last week.
Malls are trying to beat the growing challenge from online retailers by getting higher conversion rates and bring customer loyalty for repeat purchases.
"We registered a footfall of 130,000 in a single day last Sunday at the Gurgaon Mall - this is over 30 per cent growth year-on-year. The slowdown has not affected the shopper's sentiment and this year we are expecting better prospects," said Raj Singh Gehlot, chairman and managing director of Ambience Mall. The anchor stores in malls have been the best performers with stores such as Lifestyle and Shopper's Stop recording 35-37 per cent growth in sale, much higher than the average.
| TIME TO GO SHOPPING |
|
Leading brands such as Zara, Mango, Marks & Spencer and Tommy Hilfiger have been the best performers in the fashion category. Food and beverages, too, have picked up.
This year, the focus is to increase the customer engagement through mobile application and couponing plans, according to Naiju Thomas, centre director, Pacific Mall. "With each purchase, the customer earns reward points which can be used for the next purchase in the mall. Our target is to increase the sales growth with higher conversion rates," said Thomas. Dinaz Madhukar, senior vice-president and mall head at DLF Promenade and DLF Emporio, claimed the merchandise on sale is much better this year and that price points are lower.
In the online segment, leading websites such as Flipkart-Myntra, Snapdeal, Jabong are offering deep discounts across categories. Customer response to the end-of-season sale has been tremendous so far. We have seen more than a 50 per cent spike in traffic in the past week. "Compared to last year, we are seeing a five-fold jump in sales," said Sandeep Komaravelly, vice-president (marketing), Snapdeal.com.
Fashion portals such as Myntra and Jabong are offering up to 50-80 per cent discount on leading fashion brands. Myntra recorded a 300 per cent jump in sales, and similar growth was recorded by key rival Jabong. During the sale period, the online world has a minimal impact because e-commerce market is small. "Today, there is no material impact of the online world on the malls, though online can be challenge in the coming time," said Praveen Sinha, co-founder and managing director, Jabong.
