Wednesday 17 April 2013

Accra Mall: Magnet for All


When hip-life artiste Edem wanted to launch his first music album he chose an unusual venue. He chose the Accra Mall near the Tetteh Quarshie Interchange. When 2 months ago technology giant Samsung wanted to outdoor their new computer tablet -- the Galaxy Note 10.1 -- they did it at the Accra Mall (hereafter referred to as AM for short).

These are but a few cases that show the lure and attraction of Ghana’s most visited shopping centre. According to private equity firm Arctis, the AM receives an astonishing 135,000 shoppers (or visitors) a week, or about 7million a year.

The late businessman Joseph Owusu-Akyaw dreamt about the AM and, after much planning and in partnership with UK equity firm Arctis, opened the mall in July 2008.  According to Alex Bruks, son of Mr. Owusu-Akyaw, the original idea of his father was to “create a focal point where Ghanaians could come to socialise, shop and relax, and to bring a new standard of retail to Ghana”.

Today AM has become Ghana’s first-grade shopping centre, offering a “one-stop” concept that boasts shops, supermarkets, restaurants, a food court, children’s play area, a cinema, radio station, banks, salon, forex bureau and so on. 

So a family can go and watch a movie at the cinema, then have lunch thereafter at the food court; their mother can have her hair done at the salon while the kids play at the kids play area; and at the same time their dad can check out the latest gadgets on show at the Apple store. After all that, they can buy some groceries for the home at South Africa-owned Shoprite supermarket before they head home. They did all these at one central location, thanks to the vision of the founder.
 

Built at a cost of US$36million the AM has over 60 shops, a parking lot for 500 cars and crucially provides employment for 1,200 directly and 5,000 indirectly (suppliers, service providers, manufacturers, etc).
So, what then makes AM such a huge draw for people?

According to the African Development Bank, the African middle-class now makes up 34% of the continent’s population and is still growing, with Ghana not an exception.

This middle-class group has disposable income to spend. Thus the impact of the middle-class expansion and rapid urbanisation has led to increased consumers with new retail habits, and who are also seeking new products and services to enjoy. Thus, AM serves as the ideal location for such retail and leisure activities.

Secondly, the one-stop shopping concept mentioned above is another factor. It offers business, leisure and recreation -- thus drawing people with different interests all to one place. Another allied point to this one is that the ‘family-oriented nature’ (children’s play area offering food, ice-cream joints, and cinema) draws families and hence draws shoppers, especially during weekends.

Another reason is that the new integrated shopping experience is not only new to Ghanaians but also centrally located, making it accessible.

Although the A & C shopping mall is the first truly one-stop shop concept in Ghana, its location in East Legon makes it not to be patronised as much as AM.  The AM can be easily accessed by residents in Spintex road, Airport, Dzorwulu, Madina, Adenta, and Haatso because it is close to an interchange.

Ghana lacks recreational facilities like parks, cinema centres, children’s play grounds and the like, so places like AM fill a void.  It will not be surprising to learn that many of the 135,000 who throng the mall every week may not go to buy anything.

  They just want to ‘experience or have a feel’ of how the place is. It is not unusual to pass by on weekends and find that all the alleys of the mall are filled with people while the shops are empty. Many people go to visit and look around (domestic tourists).

The AM also serves as central meeting place for meetings, especially the food court which is the sitting area. Many shoppers can be seen discussing stuff over laptops and tablets.

AM still has its drawbacks, which some people have highlighted. Firstly, many people are unhappy with its location which they blame for the heavy vehicular traffic on the roads in front of it. This is especially a big headache for motorists and residents of Spintex Road, Sakumono and so on. Others also complain that exiting the mall is a frustrating nightmare, especially on weekends and holidays.

In his article ‘Accra Mall: Right Solution, Wrong Location’, Town Planner Ernest Addae-Bosompra made some good points but said the location was wrong. I beg to disagree with him and others with similar views. To me, the AM location is just fine.

In Europe and United States where big shopping malls abound, they are usually located where they can be accessed via many links -- like near intersections, interchanges and highways. If they happen to be situated far from town, adequate efforts are made by city authorities to ensure buses, trains and trams are closer to serve the shoppers.

Thus the traffic situation around AM is not a problem created by the founders of the mall. If anyone must take the blame it should be our public officials at the department of urban roads, the ministry of roads and transport and the Accra Metropolitan Authority (AMA).

These authorities were aware that AM was going to be built so they should have factored it into the design when the Tetteh Quarshie interchange was constructed. 

The roundabout at the AM intersection should have been a mini-flyover. I need to mention here the government is currently constructing a new diversion road from the Spintex Road to the Airport by-pass via the polo grounds. This should also ease the traffic situation when it is completed.

The AM cost US$36 million to build, which is equivalent to the Foreign Direct Investment into the country of Sierra Leone for the whole year 2011.

One deficiency I find is the unavailability of free wireless (wi-fi) connectivity at the mall. With 6 telecom operators in the country and a mobile phone penetration rate of about 93%, it is surprising that wi-fi is a luxury at AM. This service would even draw more many shoppers if this it was available.

One concern with AM is that some of the items in the shops are expensive and beyond the reach of ordinary folks. The middle-class and others can afford this, but many others who do not fall into that income bracket just visit the place to window-shop.

In the UK for example, many shopping malls and ‘retail parks’ every class of society have prices to match their pocket. In a typical shopping centre, one will find high-end and expensive shops like Next, Marks & Spencer, Debenhams and the like.

In the same malls are also shops like Poundland, Pound Stretcher, Asda and so on, whose prices are cheaper and thus cater for low-income earners. But as a country, I believe this is a gradual step and we shall get there someday.

As it is now, AM cannot add new shops as it was fully subscribed before it was opened. Although this says a lot about the ingenuity of the founder, it would have raked in more revenue if there were opportunities for new shops to pitch in.  Would an underground car park been a viable option? So that the huge car parking lot over ground would have been ideal for development into new shops.

Lastly, as someone who loves traditional food, it is my humble view that new shopping malls springing up in Accra and elsewhere should consider attracting traditional but well-run Ghanaian restaurants like ‘Ashanti Hometouch’, ‘Asanka local’, ‘Agba Maame’ and others to have joints at their food courts.

Traditional food will spice-up the menu and draw even more people to the centres. After all, we are Ghanaians and these restaurants serve our own food.

The success of AM and A & C mall have spurred new retail developments across the country. If the Marina Mall at Airport City is opened, it will take some pressure off Accra Mall I believe.

Every visionary/entrepreneur will have his/her critics and doubters. Although Mr. Owusu-Akyaw died 2 years after his AM dream eventually became a reality, future generations will judge him and his partners favourably.  Those of us in the present can only pray that he is enjoying a well-deserved rest in the bosom of the Maker.     

                        
By Anthony Sedzro
sedtony@yahoo.com   

1 comment:

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