A strong demand by Indian consumers for luxury goods in the country has property developers allocating up to 40 percent of retail space for luxury brands, The Economic Times reports.
Builders are replicating the same mixed-use retail formula that is working well in Southeast Asian countries. Luxury brands the likes of Jimmy Choo, Canall, and Gucci are being mixed in with mass-market products in malls in cities, such as Surat, Chandigarh, Ludhiana, Amritsar and Pune.
This mixed-use model has proved a success with shoppers in South East Asian countries like Thailand, Malaysia and Hong Kong. Mall developers in India now hope to pull off the same trick. "India is replicating the mixed-use model from South East Asian countries as the luxury market is still small," said Bappaditya Basu, senior vice-president at retail advisory Jones Lang Lasalle India.