Indira Gandhi International Airport is one of the Hottest Retail Location
Indira Gandhi International Airport in the capital is the most lucrative retail location in the country, having generated sales of 5,000 per square feet. With the coming up of several brands inside the Airport retailers inside shops and malls have to suffer huge losses. There are many famous outlets at the airport such as Kimaya, Swarovski, Hidesign, Shopper’s stop. etc. Croma was among the first of the big retailers to foray into airport retail in India. Delhi's Indira Gandhi International Airport has close to 500 brands spread over 323,000 sq ft. The Airport store sales are much higher than its high street outlets at around 3,500 per sq ft every month. The Delhi airport is one of the largest and busiest airports in South Asia which leads to huge sales. More than 35 million passengers used it last year. The Indira Gandhi International Airport is the fourth largest retail hub in the country with sales of 1,200 crore despite being 10 times smaller than malls such as Ambience Mall in Gurgaon. It reflects the profitability of an outlet as the per square feet cost is comparable in most prime locations in the metros.
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The leather accessory brand hi design mopped up over 10,000 per sq ft per month on an average against 1,500-6,000 elsewhere. While Samsonite generated sales of 7,200 from the Delhi Airport store compared to 1,350 in the other stores. Today, airport retailing has become a business no chain can ignore. Croma already has seven airport stores across Mumbai, Delhi, Hyderabad and Ahmedabad. It soon plans to set up its stores in Kolkata and Chennai airports. Sales at its airport stores is much higher in comparison and is growing at a fast pace. Croma sold close to 15,000 smart phones at its airport stores in the past one year. Airport retailing is a popular concept that is still fancied by travelers. Most of the retailers plan to scale up and are all excited about the future. In recent years, not only has passenger traffic gone up significantly with more low cost airlines on the scene, but also the time spent by passengers at airports has increased due to early check in times set by airlines following security and operational concerns. Retailers believe that airports are a very good place to get customers as there has always been shortage of quality retail space in India. Global airport retailers are eyeing opportunities in India. The Hidesign brand is a perfect fit with airports, considering that its customer is the corporate traveler. However, retailers have to pay much higher rent per square foot for the space that they occupy at airports compared with other locations in cities. The benefit of opening stores on the airport is that you can target the direct audience and also open the stores seven days a week. The returns per square foot are much higher at airports than at other stores. For croma, the annualized realization is close to Rs 1.2 lakh per sq ft at the airport, while in the cities it is close to Rs 30,000 to 40,000 per sq ft. It is much more profitable than the regular stores. The stores at the airport are as profitable as those at malls or high streets.For More Information Related to Real Estate Visit : http://www.realtytree.in/
