Brands test malls via kiosks as premium space crunch forces low-risk entry

Beauty, fashion and D2C brands are using kiosks as low-commitment trials to gauge demand before signing full-store leases. Operators like Nexus Select Trust and Brigade deploy kiosks to screen tenants, with the format now accounting for roughly 25% of retail leasing in 2025.

— Source publishedMon, 6 Jul, 2026, 21:14 IST·First seen Mon, 6 Jul, 2026, 21:27 IST·Source The Hindu BusinessLine

What happened

Nexus Select Trust · Amid premium mall space shortages, beauty, fashion and D2C brands are using kiosks as low-risk entry points to test demand before

Key facts

  • 19 malls
  • 15 cities
  • 11 months
  • 25 per cent of retail leasing in 2025

Why this matters

The kiosk-as-trial model creates a pipeline of pre-validated tenants and partnership opportunities with mall operators screening brands ahead of long-term lease deals.

What to watch

  • Kiosk share of leasing crossing 30% or reversing below 20%
  • Kiosk-to-full-store conversion rates disclosed in REIT earnings
  • Shift in kiosk rent structure from fixed to revenue-share
  • Vacancy or churn spike among short-tenor kiosk tenants
  • New premium mall supply coming online easing the space crunch
  • REIT operators build data dashboards tracking kiosk footfall/conversion to prioritize full-store lease offers
  • Mall landlords ring-fence kiosk zones and cap density to protect premium tenant experience
  • Beauty and fashion brands run multi-mall kiosk A/B tests before committing capex to flagship stores
  • Fit-out and modular retail vendors expand plug-and-play kiosk supply chains
  • Competing operators launch discounted kiosk entry tiers to poach emerging brand pipelines