When you are investing in a retail space, there is always a dilemma associated with the right choice for the retail space. Is it a good idea to invest in a High street retail or in a shop in a mall? With the malls taking over the customer psyche in most of the Indian cities, it may be a battle for the best choice among the good old High street retail and a shop in small. So, what are the advantages of investing in high street retail? Let us try finding out.
The Advantages of investing in High street retail
High street comes with its own advantages. In essence, most of the big brands prefer the high street retail shops.
Here are a few prime advantages that you stand to gain with a high street retail space –
· A better Visibility – One of the major advantages that a high street retail space can offer would be the better visibility for the property. If you have a well known brand in a mall or a similar larger establishment or even inside a restaurant complex, it will not attract any sort of attention. Having a retail space in the high street can be a great way to attract the passers-by.
· The convenience of entering and exiting the venue – As opposed to entering and exiting a mall, a separate high street shop will let you enjoy a better experience in saving the time for your potential customers. It can also double up as a landmark which can perhaps add more recognition to your retail space.
· Maintenance and utility benefits – A shop in a mall can have a huge maintenance charges levied on the shops and retail spaces located inside. In many cases, this amount can be as much as the rentals themselves. Moreover, in a mall, you may not have a control over utility services such as heating, air conditioning and ventilation. In a standalone store in a high street, you stand to get a complete control over the utility services more effectively.
· Exclusivity – Having a standalone store in a high street can provide you much the much needed exclusivity. Even when you are a big brand and are located inside a mall, you are likely to be lost among the multiple stores and establishments located inside the mall.
· Better conversion rate – It is most likely that you may get more footfalls in a mall, and thereby an attention. But not all these footfalls are likely to be converted into sales. You would find that the conversions are likely to be high in a high street retail space.
· Less likelihood of cannibalism – A retail space in a high street will ensure that you have access to a better visibility, and more importantly, a better exclusivity. The presence in a mall is likely to cause cannibalization by the other competitors. A standalone store in a high street can provide better protection against the cannibalization in any way.
All the factors outlined above apart, a shop in a mall can largely be dependent on several options and factors as opposed to the high street retail space. The success of a mall will be more important for a retailer to achieve success. The location of the mall and the accessibility can be a few other factors that may affect your prospects. The well planned marketing of the mall in itself would play a major role in deciding the proper marketing of the retailer.
In essence, you would find that the high street retail space is a better option for a big brand or even a brand that is looking to strike big. The advantages offered by the high street spaces above should perhaps help you understand how effective they can be.
