Our previous cover on the retail revolution

My experience of shopping malls in India happened purely by chance after I shifted my place of residence to the outskirts of Delhi. I found that the distance to the nearest mall had shrunk and it became convenient to unwind after work by catching the occasional movie at the multiplex that is an integral part of today's malls. What immediately struck me was how well maintained and clean these malls were, specially the public conveniences. No paan stains, no spitting, no dust, litter or foul odour-the curse of any public space in urban India. By itself, that is remarkable, but these shopping malls are also symbolic of another significant landmark. They are the prime drivers of an organised retail revolution in the country. At the rate new ones are coming up, it's virtually a mall a minute. According to a recent KSA Technopak study of the Indian retail industry, there were just three shopping malls (of at least one lakh sq ft retail space) operating in India in 2000. By 2007 that figure is expected to reach 343. By 2006, almost 18 million sq ft of mall space will be developed across 12 cities in India, with 54 new malls coming up in Delhi alone. Significantly, a number of new and proposed malls are located in small towns. For India's middle classes, riding the current economic upturn and a jump in disposable incomes, they represent the new temples of retail worship.

Across the country, malls are changing retail landscapes and lifestyles. As marketeers tell us, you don't buy a product in a mall, you buy an experience. Combining shopping in air-conditioned comfort, entertainment, coffee bars, multiplexes, play areas for children, gaming and food courts, they have created a new breed: mall rats. They are also changing spending habits, consumption patterns and leisure time and laying the foundation for the organised retail industry to reach a projected Rs 1,00,000 crore from its current status as a Rs 35,000 crore industry. Thanks to the entertainment options available, mall crawling has become the favourite activity of well-heeled urbanites.

It hasn't been all smooth sailing. Some malls have had to switch strategy, realising that footfalls do not necessarily translate into fortunes. Moreover, India is in an early stage of retail development. Organised retailing accounts for less than 5 per cent of the market. High real-estate prices mean that malls have to command heavy volumes or fat margins to break even. Yet, there is no denying that malls are taking over from traditional high streets as the places to shop-and also to be seen. Our cover story looks at the new mall culture and the dramatic changes it has brought about in lifestyles. Says Associate Editor Malini Bhupta, who anchored and researched the story: "Malls are the new destination. In fact, the Great Indian Middle Class is now referred to as the Great Indian Mall Class."

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