Urban and emerging markets witness shift in retail trends
The fast fashion industry in India is witnessing a significant expansion, with a 20-25 per cent rise in new store openings across Tier 3 and Tier 4 cities. This shift highlights the growing importance of these regions as retailers seek to tap into emerging consumer markets. According to Enalytix, an AI-driven technology firm specialising in video analytics and retail insights, foot traffic in fashion-related stores is experiencing a strong upward trend, driven by evolving shopping patterns and regional demand shifts.
Major Cities Lead in Fashion Footfall
Mumbai (25 per cent), Bangalore (18 per cent), and Delhi/NCR (17 per cent) are at the forefront of footfall in fashion-related stores, underscoring their dominance in India’s retail landscape. Hyderabad (16 per cent) and Kolkata (11 per cent) round out the top five cities with the highest foot traffic. The findings suggest that these urban hubs continue to attract a large number of shoppers, reinforcing their status as key retail destinations.
Footfall Surge in Emerging Markets
A remarkable 20 per cent increase in footfall has been observed in high-street stores across Tier 1 and Tier 2 cities, while mall stores in these regions have seen a 40 per cent rise in traffic. The growth is even more pronounced in Tier 3 and Tier 4 cities, where high-street stores report a 40 per cent increase in foot traffic, and mall stores follow closely with a 35 per cent rise. These figures indicate a notable shift, as smaller cities increasingly gain access to urban retail experiences and are influenced by digital and social media marketing. The surge has encouraged many value fashion brands to actively expand into these regions, capitalising on the demand for affordable fashion.
Shopper Behaviour and Engagement Trends
On average, shoppers spend 10-14 minutes in fashion stores, with 20-25 per cent staying beyond 15 minutes, signalling a strong potential for conversion. During weekends, the dwell time increases, with nearly 30 per cent of shoppers spending extended periods in mall stores. The peak shopping hours are between 5 to 8 PM, presenting an ideal opportunity for brands to enhance engagement strategies. However, challenges remain, with apparel brands facing a 30 per cent bounce rate on weekdays, suggesting lower engagement levels due to less immersive store experiences or shorter shopping durations.
Fast Fashion’s Expansion Strategy
The notable increase in fast fashion store openings across Tier 3 and Tier 4 cities reflects a strategic shift by retailers aiming to capture emerging markets. As consumers in these regions seek greater access to fashionable yet affordable clothing, brands are adjusting their footprint to meet demand.
Rajul Tandon, Founder & CEO of Enalytix, emphasised the role of data-driven insights in shaping retail strategies. “Having closely worked with the retail sector, we’ve gained deep insights into consumer behaviour and the critical role of data-driven decisions. The footfall trends we’ve captured go beyond mere statistics—they represent a significant signal of growth and opportunity for fashion retailers. In an ever-evolving retail environment, leveraging data to understand both online and offline engagement is key to staying ahead of the curve and driving sustained business success,” he said.
The Future of Fashion Retail in India
With footfall rising across both established metros and emerging cities, the future of fashion retail in India appears dynamic and promising. As shopping behaviours shift towards smaller cities, retailers have a golden opportunity to tap into new markets and enhance in-store experiences. The data underscores the need for brands to innovate and creatively engage consumers to foster lasting loyalty in an increasingly competitive space.
