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Shopping For The Right Model

Hypermarkets, Department Stores, Supermarkets, Malls/Multiplexes, Speciality Stores, Discount Stores...

Hypermarkets

Largest format with a mix of large and small retailers

  • Key players: Big Bazaar, Spencer's, More, Star Bazaar, Nilgiris, Vishal, Reliance, Shoprite
  • What’s up: Sales, profits hit, huge inventories, expansion plans on hold.
  • What’s next: Mass market appeal; volumes will help but consumers have to spend first.

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Department Stores

Small format that serves up a wide range of merchandise

  • Key players: Lifestyle, Shopper's Stop, Food Bazaar, Globus, Westside, Max, Trent, Reliance Mart, Pantaloon
  • What's up: Sales is down, those offering attractive discounts are faring better.
  • What's next: Discounts have increased impulse shopping, but sustainability not certain without it.

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Supermarkets

Competing with the kirana store in food and groceries

  • Key players: Spencer's, Big Bazaar, Subhiksha, Reliance Fresh, Daily Needs, Nilgiris, Spinach, Foodland
  • What's up: Strapped for cash, some renegotiating rents, others moving shop. Subhiksha is first casualty.
  • What's next: Cater to basic shopping pie of consumers, keep overheads under control.

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Malls/Multiplexes

Hangout zones that pack in entertainment, food courts, shopping

  • Key players: PVR, Satyam, Spice, Wave, Big Cinemas, DT Cinemas, Same, Fun Republic, INOX
  • What's up: Good footfalls but demand more for movies, not shopping. Rentals being renegotiated.
  • What's next: Unless shopping arcades are able to convert footfalls into sales, sustainability uncertain.

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Speciality Stores

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Niche needs like shoes, jewellery, healthcare, furnishing, electronics, entertainment

  • Key players: Steel Junction, Food Bazaar (Gourmet), Music World, Planet M, Hotspot, eZone, Next, Landmark
  • What's up: Feeling the pinch as consumers put off non-essential purchases. Healthcare is an exception.
  • What's next: Depends on how fast consumer sentiment revives, and how stores manage costs.

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Discount Stores

Gift articles and even branded products offered at marked-down prices

  • Key players: Brand Factory, Megamart, Promart, The Loot, Coupon
  • What's up: Doing well as value-for-money remains their driving force.
  • What's next: With the fall in rentals, may become more viable models.
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