Franchising a Big Saviour for Malls

The franchising in retail real estate is emerging as a model to encounter the challenges of sluggish sales, occupancy and fluctuating rentals. With the industry leaders adopting this model, the model has unveiled new dimensions in the mall business. Let’s have a look at the way forward.

- Pushpa Bector

Franchising business in India has gained a lot of importance in the last 10 years and has opened the doors for many individuals looking to venture into retail business with limited access to capital and domain expertise. Franchising is a thriving business model that was initially the only means to reach out to non-metros, this worked in favour of the brands as it helped them to curtail costs and penetrate the markets with making significant investments. Franchisees now play a crucial role in not only helping the brands to spread geographically and attract investments but also to open flagship stores across key locations.

Malls: The new franchise destination

The rising trend of mall culture across India has provided new location for franchisees to set up stores that provide instant access to a huge number of potential customers from day one. In addition, they also benefit from the amenities provided by mall developers to run the day to day operations.