Cord has worked across the Middle East for the last 6 years and recently conducted an in-depth visual brand audit for one of India’s leading property companies. It is interesting to compare the expansion of property businesses from the Middle East in relation to India, as there are certain marked similarities between both markets. Here are a number of observations:
The proliferation of shopping centres with no apparent planning.
More and more centres are located in close proximity, which results in increased competition between the schemes with no apparent distinction between brand positioning, offer and service except ‘bigger and better’.
Where there has been a distinction i.e. high end and mid market the question is twofold:
- to the target retailer, especially within the international luxury market how does this reflect on their brand status/values and does it perceptionaly down value it?
- to the consumer there is the question of “voyeurism” versus exclusivity
Mall proliferation in India is best experienced in Gurgaon, Delhi.
The role of retail leisure.
With the changing aspirations and needs for leisure time and the temperatures outside, retail environments have become the prime leisure destination and as such have to be adaptable to offer more than just retail in order to increase dwell time and spending power.
Both in India and the Middle East there is a marked increase in weekend and evening visits, people hanging out and meeting up with friends and relatives etc. However, the net result is that there will be people wandering around not necessarily purchasing. Cord’s work on Mall of the Emirates created a fusion of retail and leisure by introducing Dubai’s first snow dome.
The disparity within the population.
Whilst in the Middle East the lower end of the market are transient workers from the Indian continent they similarly take up a large proportion of the total market whilst having minimal spending power.
The mid-market is increasing in size but the lower end is still fairly naïve in their shopping patterns and the smaller hi-end market have higher than average expectations in offer and service.
The propensity to travel.
Wealthier locals have a greater awareness of not only the major International brands but also what is expected of flagship stores through the total offer. It is all about those “added extras” – service delivery, design and branding.
This means that if retailers are not careful there can be over promise and under delivery.
In addition there is also the added kudos of the wealthier consumer to say they have purchased the item in New York, London, Paris etc. At this moment in time can the same apply to say “Gurgaon”?
