➢ Retail scenario in India
➢ Challenges ahead for Retailing
➢ Industry profile
➢ Company profile
➢ SWOT Analysis
➢ Objectives & scope of study
➢ Research methodology
➢ Data analysis
➢ Suggestions and Recommendations
The retail sector in India is witnessing a huge revamping exercise as traditional markets make way for new formats such as departmental stores, hypermarkets, supermarkets and specialty stores. Western-style malls have begun appearing in metros and second-rung cities alike introducing the Indian consumer to a shopping experience like never before. India’s vast middle class and its almost untapped retail industry are key attractions for global retail giants wanting to enter newer markets. The organized retail sector is expected to grow stronger than GDP growth in the next five years driven by changing lifestyles, strong income growth and favorable demographic patterns, a KPMG report titled ‘Consumer Markets in India: the next big thing?’ said. The structure of retailing is developing rapidly with shopping malls becoming increasingly common in large cities, and development plans being projected at 150 new shopping malls by 2008. According to the report, the annual growth of department stores has been estimated at 24 per cent, which is faster than overall retail; and supermarkets have taken an increased share of general food and grocery trade over the last two decades. Disposable incomes remain concentrated in urban areas, “well-off” and affluent classes and the growing number of double-income households. However, the report reveals that the sheer size and potential of the rural segment has been underestimated. Rated the fifth most attractive emerging retail market, India is being seen as a potential goldmine. It has been ranked second in a Global Retail Development Index of 30 developing countries drawn up by AT Kearney. The list was developed as a response to requests from retail chains facing saturated demand in most western markets. Retailing, considered a sunrise industry today after infotech, is the most happening industry with almost all the big players vying for a share of the coveted pie. Buoyed by a strong increase in private consumption [pic]
Today however, organized retailing is less than 2 per cent of the retailing industry in India, that is, about Rs 5,000 crore which is evident from the above table. Therefore, there is no real retail revolution in India; the industry is still in the stage of infancy. Organized retailing is bound to grow tremendously provided the right marketing strategies are adopted. Retail businesses have broken rank and seem poised to surge ahead with renewed vigor, optimism, confidence and capability. There is an incredible amount of activity in terms of creation of retail-oriented space across India. As per some estimates, there are over 200 retail mall projects under construction or under active planning stage spanning over 25 cities. This may translate into over 25 million sq. ft. of new retail space in the market within next 24 months. Huge retail formats, with high quality ambience and very courteous and ambivalent sales staff, are the regular features of retail formats in most Asian countries. However, in India except for a few big towns where modern retailing formats abound, these features are grossly missing. ETIG expects organized retailing to slowly penetrate the second rung and smaller towns which will catapult the growth rate for the sector.
Even though the big retail chains are concentrating on the upper segment and selling products at higher prices like Crossroads, Akbarally's and...
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