(Mrs.V.G.Sumathy,B.com.,MBA.,M.Phil.,(ph.D),Lecturer,Kongu Arts & Science College,Erode.) (Dr.P.Prabhu,MBA,Ph.D,Prof & Head,Dept.of Management Science,SNR SONS College,CBE.)
‘Retailers are no longer dependent on the manufacturers to sell what is available and have emerged as the new leaders in the marketing channel’
We are all witness to the change happening in retail in the country. The local bania has gradually transformed himself into a small super market. This change is not restricted to the metro cities but rapidly spread to smaller cities and towns. The person driving this change is the Indian consumer. The size of the population also have made it a large market. Nearly 70% of the population is below the age of 34.These young service sector earners are expected to spend close to one lakh crore in a year and the most visible symbol of this increasingly prosperous society is that are thronging the shopping malls, flashing the latest cell phones, and sporting hip designer wear. Retailing is one of the fastest growing industries in India, catering to the world’s second-largest consumer market. A sunrise industry it offers tremendous potential for growth and contributes 8-10% to overall employment. The number of outlet is growing at about 8.5% annually in the urban areas, and the town with the population between 1,00,000 to 1 million the growth rate is about 4.5%.The retail sector in the country is poised for a significant change in the coming decades. Retail outlets exist in all shapes and sizes from a ‘panwala’ to ‘shoppers’stop’in India. In India retail is the new buzzword. The number of outlets in India have increase from 0.25 million in 1950 to approximately 13 million today. This translates to the growth of 48 times over a certain period when the population has trebles. While it has not as yet been accorded the status of an industry, it is witness to a large number of formats emerging in the market at a very fast pace. The need of the hour for Indian retailers to develop systems and processes keeping the unique nature of the country in mind. In the retail trade, change is the only constant, survival in retail will depend on the ability to adopt to these changes. The existence of the customer is integral to the existence of the retailer. The behaviour of the retail shoppers varies across markets. A mix of factors like the range of merchandise sold in the store, the convenience of outlet, the time spend on traveling to the stores, the socio-economic background, the culture and the stage of family life cycle, all influence the buying behaviuor. It is easy to grow in the good economic time conditions and it tempting to pull back when times are tough. But retailers can downturns as an opportunity to improve their businesses. One place to start is to better understand the trends unfolding in today’s global market.-all in the context of more sophisticated consumers who shop in the expanding global market place. By understanding this dynamic and anticipating new once retailers, can develop ways to differentiate themselves and cultivate distinctive capabilities that help achieving high performance. This article capture our view to some of the hottest ideas and trends that will affect the way the retailer do business in 2010 and beyond.
Projected Retail Trends
Change in the format of retail..
Domination of private labels.
More FDI investments.
Rapid Growth in rural retail.
Consolidation will increase in the retail sector.
Retailing is the world’s largest private industry, ahead of even finance and Engineering. As many as 10% of the world’s billionaires are retailers. The Indian retail industry is the fifth largest in the world. Comprising of organized and unorganized sectors, India retail industry is...