KOLKATA: Footfalls and sales in malls plummeted a day after the state government announced complete lockdown twice a week, indicating a possible washout this weekend. Mall operators fear the two-day lockdown can lead to 75% drop in weekly business.
Usually, Fridays, Saturdays and Sundays contribute to 60%-65% of the week’s sales. But with a lockdown being announced on Thursday and Saturday this week, mall managers are apprehensive shoppers will not venture out on Friday and Sunday either. “The situation had just started to look up since last weekend, after the rather dismal sentiment in the first week of July, when there was confusion over a stricter lockdown that the government announced. But Sunday’s announcement of a total lockdown twice a week has dashed all hopes of revival,” said South City mall vice-president Manmohan Bagree. The mall had in the first four weeks of business recorded a footfall of 3 lakh shoppers and garnered revenue of Rs 20 crore.
The lockdown also comes around the time retailers are scheduled to launch end-of-season sale. “Retailers are desperate for business. But with this lockdown reimposed and likely to continue in fits and starts for a month or more, it will be difficult to tempt customers with discounts,” said Ramesh Pandey, wholetime director of Ambuja Neotia that developed City Centre I and II. The two malls have recorded a footfall of 4.5 lakh and revenue of Rs 14 crore in the first month of reopening.
While acknowledging the government will have to take measures to save lives and protect livelihood, Acropolis mall developer Sushil Mohta said the uncertainty caused by the lockdown’s return would lead to closure of several fashion brands and small retailers. While some mall operators are trying to provide support to retailers by waiving up to half of the rent, they said the renewed lockdown was sending retailers into panic mode. “It took a long while to convince the Centre that malls in India were geared to enforce preventive norms. In six weeks of operation, not a single case has been recorded in a mall. Customers were feeling confident about visiting malls but now, the total lockdown has made shoppers panic,” said Mohta. Acropolis recorded a footfall of 2.5 lakh and earned Rs 8 crore in the first month of operation post Covid.
Sanjeev Mehra, vice-president of Quest, that clocked a revenue of Rs 25 crore and footfall of 2 lakh, admitted the situation was difficult but felt the industry needed to dig its heel and survive. “ I am sure if we work shoulder-to-shoulder with the government, the future will be much better,” said Mehra.
Usually, Fridays, Saturdays and Sundays contribute to 60%-65% of the week’s sales. But with a lockdown being announced on Thursday and Saturday this week, mall managers are apprehensive shoppers will not venture out on Friday and Sunday either. “The situation had just started to look up since last weekend, after the rather dismal sentiment in the first week of July, when there was confusion over a stricter lockdown that the government announced. But Sunday’s announcement of a total lockdown twice a week has dashed all hopes of revival,” said South City mall vice-president Manmohan Bagree. The mall had in the first four weeks of business recorded a footfall of 3 lakh shoppers and garnered revenue of Rs 20 crore.
The lockdown also comes around the time retailers are scheduled to launch end-of-season sale. “Retailers are desperate for business. But with this lockdown reimposed and likely to continue in fits and starts for a month or more, it will be difficult to tempt customers with discounts,” said Ramesh Pandey, wholetime director of Ambuja Neotia that developed City Centre I and II. The two malls have recorded a footfall of 4.5 lakh and revenue of Rs 14 crore in the first month of reopening.
While acknowledging the government will have to take measures to save lives and protect livelihood, Acropolis mall developer Sushil Mohta said the uncertainty caused by the lockdown’s return would lead to closure of several fashion brands and small retailers. While some mall operators are trying to provide support to retailers by waiving up to half of the rent, they said the renewed lockdown was sending retailers into panic mode. “It took a long while to convince the Centre that malls in India were geared to enforce preventive norms. In six weeks of operation, not a single case has been recorded in a mall. Customers were feeling confident about visiting malls but now, the total lockdown has made shoppers panic,” said Mohta. Acropolis recorded a footfall of 2.5 lakh and earned Rs 8 crore in the first month of operation post Covid.
Sanjeev Mehra, vice-president of Quest, that clocked a revenue of Rs 25 crore and footfall of 2 lakh, admitted the situation was difficult but felt the industry needed to dig its heel and survive. “ I am sure if we work shoulder-to-shoulder with the government, the future will be much better,” said Mehra.
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