Shopping Malls

Shoppers prefer shopping centres/malls to stand-alone shops for various reasons:

  • They have their own parking facility.
  • There is a wide variety of products available.
  • There are products from competing producers available under one roof. So, they can compare and make purchases.
  • They have facilities such as restrooms.
  • They have gaming zones.
  • There are food courts with a wide variety of cuisine.
  • There are movie theatres in shopping centres.

All these features making shopping a fun-filled and satisfying experience.

Since shopping centres are the most sought-after shopping destinations, it is beneficial for a businessman to set up a store in a shopping mall. Generally, retail store owners rent shop space in a mall. Renting store space benefits the businessman in many ways.

  • Shopping malls are usually located in prime locations which are easily accessible. If a retailer sets up a store in a mall, he can have the shop in a prime location with a minimal investment. On the other hand, if he attempts purchasing a shop in such a location, he may not be able to afford it. A rented property implies low initial investment. This enables the businessman to utilize the saved amount on his business.
  • He can attract clients of competitors who have shops in the mall. This enables him to build a clientele easily.
  • He does not have to direct his time and efforts towards the maintenance of the shop. This helps him to focus on his business.
  • Generally, the charges for utilities are included in the rent. Hence, he does not have to involve himself in these matters.
  • Many a time, businessmen set up pop-up stores in shopping centres in order to attract customers for new products. This is a popular location for a pop-up store as it is a high traffic area.