The growth of every company is fueled by the passion, dedication, and steadfast beliefs of its leaders. The narrative behind the success of the K Raheja Realty Group follows the same principle. Spearheaded by the visionary approach and business acumen of Sandeep Raheja, the brand has so far set exacting standards of excellence.
Known for his enterprising spirit, foresight, drive, and entrepreneurial skills, he has been the driving force behind expanding the company’s presence, formulating high-yielding strategies, and delivering landmark projects. Holding a degree in architecture from The Academy of Architecture, Mumbai, he not only focuses his efforts on constructing architectural marvels but also on a diverse range of philanthropic activities, ensuring the well-balanced development of society.
With experience spanning more than 25 years in the real estate industry, he has kept pace with changing consumer expectations and emerging trends, introducing new concepts to the market, including self-contained townships, IT parks, hospitality, and super malls.
In an exclusive interaction with Shopping Centre News, Sandeep Raheja, Chairman, K Raheja Realty, talks about his retail journey, highlighting the evolution, biggest changes, and ambitions of the group.
Edited excerpts:
Retail real estate is capitalizing on a healthy economic outlook. What pace of growth are we looking at for the sector in this coming year?
The retail real estate is currently experiencing a commendable surge, and we firmly believe that this upward trajectory shall persist. It is our conviction that shopping, entertainment, and fine dining shall continue to draw individuals to the mall.
How has the financial year been for the Group?
This fiscal year has undeniably been remarkable, marked by strong performance metrics. The footfall and trading activity in both our malls have shown commendable strength and vitality. As the fiscal year ends, we anticipate achieving an impressive 30% to 35% growth in aggregate trading volumes across our retail destinations.
Consumer shopping behavior has undergone a sea change. What are your thoughts on its impact on retail real estate?
Before Covid, shoppers preferred value-driven experiences. However, the post-Covid era has seen experiential shopping take the spotlight, as customers now seek memorable visits. In 2022 and 2023, we introduced brands like Bounce, Azorte, and Tira to elevate the experiential aspect for our customers across both the malls. As we look ahead, we envision experiential shopping becoming increasingly tech-driven, thereby ensuring that our mall maintains its status as a premier destination for immersive retail.
How do you adapt to these changes at Infiniti Malls?
We firmly believe that the fundamental touch and feel aspect are the cornerstone of our retail philosophy. With this steadfast commitment, we are strategically directing our efforts towards engaging with discerning family audiences. We are dedicated to continually enhancing the visitor experience with distinctive events, introducing new retail destinations, and expanding our diverse array of offerings. We seek to ensure that every visit to our mall is enriching with the essence of exceptional retail and leisure.
The dynamics of category mix have completely changed. Tell us about the new category mix at your malls?
We have witnessed notable shifts in various categories, most prominently within the domains of electronics, beauty and wellness, and food and beverages (F&B). Furthermore, the surging interest in family entertainment centers has been particularly remarkable.
We have also witnessed an emergent demand for live events, a facet previously skewed. This evolving landscape reflects the dynamic nature of consumer preferences and our commitment to adapting to these changing currents.
What has changed for the new stores at the mall?
Brands have redirected their focus toward embracing technological innovations to enhance shopping experiences.
The brand Azorte has strategically integrated RFID-enabled interactive screens within their stores, serving a dual purpose as virtual styling aides that allow shoppers to fine-tune their outfits. In parallel, Hamleys, located at Infiniti Mall Malad, has recently unveiled a captivating mirror maze, adding an exciting dimension to its offerings. Similarly, Tiara has introduced an enticing self-enhancement beauty bar, while Salt Attire now offers an exquisite range of made-to-order customized women’s office wear.
Earlier, the success of malls depended on location and retail mix. It is all about experience and luxury now. Do you agree?
Experiential engagement is a burgeoning trend, and as such, we continually strive to captivate and delight our customers by infusing an element of novelty into our daily operations. Our objective is to provide them with a fresh and distinctive experience during every visit to the mall, leaving an enduring impression on their minds. Aspirational brands continue to enjoy significant demand, owing to their distinctive value propositions.
What strategies help cope with change?
Embracing innovation is paramount for the success of retail real estate in adapting to changing times. Therefore, there will always be a demand for brand evolution, grand installations, and immersive experiential elements.
Any category which has been given more space and importance as per the growth?
At Infiniti Mall, we have dedicated approximately 25% of our total space to F&B, ensuring a diverse landscape, and a significant increase in allocation, compared to the past 2-3 years. We are also proud to feature Funcity, occupying a generous 40,000 sq. ft., and Bounce, which encompasses an additional 30,000 sq. ft. (approximately). In addition to our existing attractions, it is evident that the segments of F&B and Family Entertainment Centers have experienced a remarkable and sustained growth trajectory.
Infiniti Malad recently introduced the globally acclaimed indoor trampoline park sensation, Bounce. Do you think FEC is the new hot spot in retail?
Infiniti Mall introduced Bounce in India, which stands as the country’s largest Trampoline Park. Infiniti Mall is committed to providing an unparalleled experience to its guests, boasting a spacious dedicated area for the Family Entertainment Center. The mall has recently incorporated numerous new rides and games designed to engage and delight children. Infiniti Mall also holds the distinction of being the sole mall in India to feature a 360-degree indoor roller coaster.
Will we see digital brands find unique ways to build their physical presence, whether through a store, a ghost-retailer, or in collaboration with a department store?
We have brands such as Nykaa, Neeman’s, Orra, and several others that have now recognized the significance of bridging the online-to-offline gap, fostering a human connection through tangible, touch-and-feel experiences.
What is new in experiential retail?
New experiential ideas consistently draw customers into our stores. Many retailers now showcase their products through cutting-edge AI technologies, virtual trials, tech-based assistance, and larger-than-life screens at the entrances.
How do you address sustainability and environmental concerns at your shopping malls?
We are steadfast in our commitment to sustainable practices at our mall, exemplified by our eco-conscious initiatives. We utilize recycled STP (Sewage Treatment Plant) water and repurpose organic waste from wet garbage converters into valuable manure. Additionally, we have consciously incorporated lush green belts both inside and outside the mall, enhancing its eco-friendly appeal.
We have meticulously designed our dome to maximize natural daylight, thereby minimizing the need for artificial lighting during the daytime. Throughout the mall’s development, we have conscientiously integrated sustainable and environmentally friendly design elements wherever possible, aligning our efforts with a broader commitment to eco-responsibility.
What marketing tactics have proven effective in driving foot traffic to your mall?
Experiential engagement has emerged as a prominent trend, and we consistently endeavor to captivate and delight our cherished customers by infusing a sense of novelty into our day-to-day operations. Our aim is to ensure that each visit to the mall imparts a unique and enduring impression upon their minds.
We orchestrate activities such as the Lock the Box Book Fair, cake-mixing event featuring talented chefs from the Sheila Raheja Institute of Hotel Management, awe-inspiring illusion setup in the atrium, and the screening of the FIFA World Cup 2022 at the mall. These initiatives have significantly enriched the overall experience for our patrons, making their visits truly memorable.
Beyond our commercial engagements, we organize community engagement activities, including exhibitions dedicated to the specially-abled community during Women’s and Independence Day celebrations. Additionally, we proudly showcase exquisite HOPE installations created by young cancer patients from the Tata Memorial Hospital, fostering a sense of community and inclusivity.
