Retail
Industry

The Indian retail industry has emerged as one of the most dynamic and fast-paced industries due to the entry of several new players. Total consumption expenditure is expected to reach nearly US$ 3,600 billion by 2020 from US$ 1,824 billion in 2017. It accounts for over 10 per cent of the country’s Gross Domestic Product (GDP) and around 8 per cent of the employment. With the rising need for consumer goods in different sectors including consumer electronics and home appliances, many companies have invested in the Indian retail space in the past few months. As per FDI Confidence Index, India is the world’s fifth-largest global destination in the retail space.

E-commerce is expanding steadily in the country. Customers have the ever-increasing choice of products at the lowest rates. E-commerce is probably creating the biggest revolution in the retail industry, and this trend would continue in the years to come. Retailers should leverage the digital retail channels (e-commerce), which would enable them to spend less money on real estate while reaching out to more customers in tier-2 and tier-3 cities. The Union Budget 2019-20 is expected to give boost to the rural consumption in India.

It is projected that by 2021 traditional retail will hold a major share of 75 percent, organised retail share will reach 18 per cent and e-commerce retail share will reach 7 per cent of the total retail market.

Favourable demographics, increasing urbanisation, nuclear families, purchasing power of consumers, preference for branded products and higher aspirations are some factors which will drive retail consumption in the country.

Market search India specialised in this field and providing continuous support to some of the leading retail companies like Inorbit Mall, Trent Westside, Tata Star India Bazaar, Godrej & Boyce, Samsonite, The Mobile Store, Unlimited Store etc.

https://www.ibef.org/download/retail-jan-2019.pdf