Long time....

February to September...indeed a long time.....I have been busy setting up a new recruitment firm. Now that it is up and running, I am touching back on retail a bit. For some time now I have been looking at writing a book on retail - in the Indian context, mainly retail operations. I do have an outline ready , just have to get down to it.



I have lately been taking up a module on Facility Management - couldnt really find a good Indian book for the same. Also, being September , now again many B Schools are coming back to me about content development across modules in retail. Maybe , I will be able to spend more time on knowledge work, as Ajay (http://www.linkedin.com/profile?viewProfile=&key=6957913&fromSearch=0&sik=1221285088344&split_page=1&rd=in&authToken=kEkq&authType=NAME_SEARCH&goback=%2Esrp_1_1221285088344_in) was mentioning today - add some value and feel good job.



So long!

Mall Management In India

I haven't written in some time, though I have been working on mall Management Modules for a couple of B Schools. Simultaneously, I have also been thinking about Franchising vis a vis Joint ventures as against FDI entry in retail in India. More on that later. For now, what we have all been noticing is that malls are moving quickly from selling most of their space to leasing all of their space to retailers. And they are increasingly also Zoning the malls in great detail in order to ensure space productivity.

Largely, mall management which has been sketchy as a function so far in India(and has been confused with facility management) is now beginning to be looked at as as a revenue generating function rather than as a support function. That itself give sit the importance it deserves. However, to make it a revenue generator, mall management has to be looked at from the following 2 key elements as strategic initiatives:

• Mall Positioning
  
• Zoning

Positioning to mean that the product categories and prices included are aligned with a particular profile or segment basis demographics, psychographics etc.

Zoning would stand for dividing the mall space into various categories of stores and therefore deriving the tenant mix.

While infrastructure management, which would include managing all kinds of mall facilities like security and housekeeping would be a support function. As an outsider, one could be able to evaluate this just by looking at a mall and evaluating whether or not it has a clear positioning and zoning. Like they say, retail is no rocket science!!

Rural Retail In India

Much has been said about rural retail in India and much still remains. During my teaching assignments a couple of my students have shown a passion for this domain and I don't think it emerges out of a social cause but sheerly out of the great learning and business opportunity that it is. Some of my very committed students Neha, Priya and Deepak(student of IILM, Gurgaon) have done a preliminary report on Rural Retail , it would benefit people who would want to have a basic analytical and fact based understanding of Enables and Impediments etc in this space. Happy Reading!

Jobs In Retail

I have been trying to put in perspective the job market in retail and am amazed at the sheer demand in the sector. Currently, huge requirements exist for front line staff, supervisory staff and all support functions. Of course, we are looking at expats bringing in huge knowledge and experience pool at leadership levels.

I was at a B School a while ago, looking at hiring a couple of people for the retail practice at Milagrow (www.milagrow.in). Every such transaction leaves me gasping at the lack of applicable knowledge. I have has some brilliant students in retail courses who have through sheer good choices and then performance found good careers in the industry. However, they are not a rule. Here, I am not even mentioning the commercialization of management education in India. What I am really deliberating on are the huge gaps in the minds of students about the roles.jobs, moneys associated with them and mapping them against real knowledge and skills.

I was probably hard on a few students but real time work is harder. Hope B Schools encourage 'thought led action' for students and help our largely rote oriented new generation.

Forward Integration In Retail in India

I have typically seen India manufacturers in apparels and even more so in Consumer Durables forward integrate to retail sales and/or service to cover all customer touch points. Lately, this trend has been extended to another industry of stationery and related categories.

We have seen 'Just Linc' exclusive brand outlet (EBO) chain which has an assortment as large as 100 SKUS in a good ambience, ease of shopping and 'try and buy' concept. Tthen in a similar format, there is Pidilite which is promoting 'Hobby Ideas' which is basically an assortment for art, craft and related hobbies.

I am sure, other manufacturers in the same category are also looking at increasing business channels and thereby exploring opportunities in either export or domestic retail. The space is still new and we will have many players to watch.

Retail Training In India

Retail probably is the biggest customer interface industry and worldwide marred by little education at front end level. 8% share in total employment in India and 80% attrition. Could translate into huge employment opportunities for many.
After recruitment, training seems to be a large opportunity in this space which many are looking at. So we have many training schools focussed on retail.
As a retailer what perhaps I would look for is customised training for my front end team, ability to successfully circumvent the 'just looking', and be able to advise. Seems like a great challenge! Also, as far as I know very little customisation is happening in the retail training space. SO there definitely seems to be a gap.
Also, a standardisation of knowledge and skills might be required. Groups like RAI (Retailers' Association of India) could look at certification for front end and supervisory levels just like they are trying to raise the bar for retail education in B Schools.

Luxury Retail In India

I recently visited the Select CityWalk mall (http://www.selectcitywalk.com/) in New Delhi. Whoever has had a chance to visit the mall would have no doubts about the viability of luxury retail in India. I have also had a chance to briefly meet and hear their CEO Pranay Sinha (http://www.linkedin.com/in/pranaysinha). Besides being an eloquent speaker, Pranay displays an in depth understanding of retail and mall management. All of this reflects in the mall.

Lest this sound like an ad for that mall, I only want to comment on the upswing in the high end retail in India. Whilst we all keep talking about the income pyramid being a diamond in India, thus denoting the expansion of the middle class, the footfalls and conversions at some destinations stand to question this. Perhaps, the top of the pyramid is also rapidly expanding. There is tremendous underlying opportunity for high end retail in India and hereafter, the biggest constraint i.e paucity of appropriate location is taken care of. Way to go!