D2C Brands Turn to Malls for Immersive Retail Experiences Amid Booming Demand

D2C Brands Turn to Malls for Immersive Retail Experiences Amid Booming Demand

India’s D2C brands are increasingly establishing a presence in malls to boost customer engagement and create immersive shopping experiences. As per industry experts, mall environments provide better customer interaction and support brand growth as online customer acquisition costs rise. This trend extends beyond major cities to tier-2 cities, aligning with the growing demand for experiential retail and premium shopping spaces.

As India’s retail landscape rapidly evolves, a growing number of direct-to-consumer (D2C) brands are embracing malls to enhance their customer engagement and create immersive shopping experiences.

Sharing their thoughts, industry players point to malls as the ideal platform for brands to build a tangible presence, foster connections, and drive profitability.

Nirzar Jain, chief leasing officer of Nexus Select Malls, said, “D2C brands are increasingly opting for malls because they offer an engaging and curated environment that allows for better customer interaction and brand recall. Once brands reach a certain threshold, offline strategies become key to sustaining growth as the cost of customer acquisition online rises.”

Aman Trehan, executive director of Trehan Iris, echoed this sentiment, noting, “Malls enable D2C brands to engage customers beyond transactions, turning retail into an immersive journey. Brands are crafting destinations for shoppers with interactive displays, events, and personalized experiences.”

This move to physical retail is not limited to larger cities. Aman Sharma, managing director of Aarize Group, highlighted that tier-2 cities are becoming hotspots for both residential and commercial expansion, further boosting demand for malls in emerging markets.

The trend aligns with India’s burgeoning demand for Grade-A mall spaces, with 55 million square feet expected to be required by 2027, according to industry experts. This growth is driven by the consumer shift towards experiential retail, as consumers seek more than just products—they want experiences. Pankaj Pal, managing director of Whiteland Corporation, emphasized, “Malls are no longer just retail hubs; they have transformed into lifestyle destinations that integrate shopping, dining, and entertainment under one roof.”

Need for Retail Infrastructure

With the increasing integration of online and offline strategies, D2C brands are finding that malls provide the appropriate platform to build loyalty and expand their consumer base, positioning themselves for long-term success, the experts shared.

Sharing thoughts on the need for retail spaces, Pankaj Bansal from M3M India said the surge in mall demand signals a significant investment opportunity in India’s retail infrastructure, with modern, sustainable, and tech-driven spaces at the forefront of the next wave of growth.

Differentiating mall spaces and high streets, Renu Singh, director – sales & marketing, Aarize Group, said, “Unlike high streets, malls ensure steady footfall due to their entertainment, food, and retail mix, attracting a wider demographic. Moreover, the controlled environment of malls, with facilities like ample parking, air conditioning, and safety protocols, offers brands a more structured and premium showcase. As D2C brands prioritize personalization, being in a mall helps create a seamless, omnichannel strategy, bridging the gap between online and offline. With the rising demand for experience-driven retail, mall locations provide a strategic edge.”

Sharing his views on the premium spaces, Vineet Dawar, senior VP of sales & strategy at Elan Group said, “This shift towards premium shopping is particularly evident in Gurgaon, a key hub in the Delhi NCR region. The city has become the epicenter of India’s retail revolution, driven by its cosmopolitan culture, strong economy, and top-tier infrastructure.

Dawar added, “The demand for premium shopping environments is outpacing supply as consumers seek curated experiences, personalized services, and unique interactions.”

Source : ET Retail

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