High street space supply not enough to meet demand: Report

India has just 13.2 million sq ft high street space available across the country for retailers, compared to malls that occupy seven times the combined high street space of 93 million sq ft.

This is despite potential consumption at high streets is almost three times than in a mall, according to a research by global property consultant Knight Frank. In fact, NCR (National Capital Region) accounts for more than a third of all high street locations in India including Khan Market and Connaught Place, followed by Hyderabad and Bengaluru, which contribute a fourth of the outdoor shopping space.

“In a post pandemic environment, leading retail brands across categories are zeroing in on high streets in metro cities to expand across India. Post Covid-19, convenience, easy access and open spaces have become pivotal aspects driving consumer interest while choosing a retail format to visit,” the report said.

Experts said both global and domestic retailers prefer the high street despite high rental due to better visibility and after the pandemic eased, even shoppers seek open spaces.

“As we assess the market dynamics, it is imperative for India to have an infusion of quality and world-class retail infrastructure. Currently, the country’s high street landscape is insufficient to meet the growing demand for luxury experiences,” said Niladri Mazumder, president, Seiko Watch India. About 60% of Biba stores are on the high street and does brisk business despite the challenges in the shopping environment.

“If the environment and infrastructure is improved at the local level, high street sales can substantially increase,” said Siddharath Bindra, managing director, BIBA Fashion Limited, adding that redevelopment done on high streets in Bengaluru and Connaught Place have had a positive impact.

Preference for open shopping experience increased during the pandemic as customers felt safe in an environment which did not have closed spaces with centralized air conditioning.