Retail Sector has witnessed an immense growth in the last few years. The key factors responsible for the retail boom have been the change in consumer profile and demographics, increase in the number of international brands available in the market, economic implications of the government, increasing urbanization, credit availability, improvement in the infrastructure, increasing investments in technology and real estate building a world class shopping environment for the consumers.
Retail is amongst the fastest growing sectors in the country and India ranks 1st, ahead of Russia, in terms of emerging markets potential in retail.
There is a concern on the following challenges to the retail market in many countries:
1. Lack of quality locations
2. Shortage of trained staff
3. Rising rental values
4. Mall management
[...] Finance Management- Professional financial management of a mall as a business venture is a must. Mall management also covers financial management, which involves monitoring and controlling of various issues such as: Cash receipts and collection of income including rentals, service charges, car park receipts, electricity and other utility income Developing accounting systems to track the ageing of debts, payment delay patterns, bad debts and payment of all invoices and expenses Developing standard financial templates so that a detailed annual property budget is prepared At times, organizing resources to deliver an efficient and effective annual external audit Occupant's Management: Occupant's Management includes the following Help desk Periodic feedback Coordinate construction of shops Billing Collections Attending to grievances & complaints Ensure observance of rules & regulations of the mall Scope of Services: Utilities Management Service Management Fire Detection and fire fighting Security system Electrical & Mechanical HVAC DG & HVAC Operations Lifts & Elevator House Keeping Water and Fire Pumps Sanitary & Plumbing Closed Circuit Television System Pest Control Access Control System Landscaping Vertical Elevation Systems Office Support Staff Water & Fire Fighting Pumps Water Effluent Treatment Plant Backup Power Supply Maintenance Parking Area Management Management Functions Minor Repairs Quality Control Equipments Health and Fire Safety Civil works Preventive Management Carpentry Energy Management Masonry work Help Desk Furniture Vendor Management & Procurements Painting Tender Processing Trouble shooting Inventory Control Project Work Budgeting MALL MANAGEMENT: Typical Organization Structure- Issues Related to Mall Management in the Retail Market: Lack of Feasibility/Market Research (Prior to the Development of a Mall) In the past, some malls were constructed without carrying out a rigorous due diligence exercise on their feasibility. [...]
[...] Promotions and Marketing- Promotional activities and events in a mall form an integral part of mall management. Activities like food festivals, handicraft exhibitions and celebrity visits increase foot traffic and in turn sales volumes. Organizing cultural events has time and again proved vital in attracting consumers to a mall. Such activities may also act as a differentiator for a mall. Developers can work on drafting marketing strategies for individual malls to meet the needs of the local consumer base and the challenges of local, and in some cases, regional competitors. [...]
[...] in the retail industry, whereas mall management is specific to individual malls. Experts anticipate that the success of malls will be achieved not only by housing the biggest and the best mix of retailers, but also by setting up new standards and procedures in mall management that will provide a platform to differentiate its products and services from competitors. In the current market scenario, both consumers and retailers have limited choice in terms of mall shopping experience. As organized retail grows, experts expect the market to be more competitive by providing more choices to consumers and retailers. [...]
[...] Traffic Management Traffic management includes managing foot traffic into the mall and parking facilities. Foot traffic management involves crowd management inside the operational area of a mall. The flow of people is related to the design of the mall and the spatial distribution of its tenants. For example, a star-shaped mall tends to have a problem of crowding in the center of the mall, as everyone has to pass through the center while moving from one side to the other. [...]
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