7/28/2019 growth-gv

1/12

7/28/2019 growth-gv

2/12

Emergence of neighborhood kirana storescatering to the convenience of theconsumers

Era of government support to ruraldevelopment

1980s experienced slow change as India

began to open up an economy

The latter half of the 1990s saw a freshwave of entrants with a shift frommanufacturers to pure retailers

7/28/2019 growth-gv

3/12

Post 1995 onwards saw an emergence of

shopping centersMainly in urban areas, with facilities like car

parking

Targeted to provide a complete destination

experience for all segments of society Emergence of hyper and super markets trying

to provide customer with 3 Vs - Value,Variety and Volume

At year end of 2000 the size of the Indianorganized retail industry is estimated at Rs.13,000 crore

7/28/2019 growth-gv

4/12

India is the country having the mostunorganized retail market

Traditionally it is a familys livelihood, with

their shop in the front and house at the backMore than 99% retailers function in less than

500 square feet of shopping space

The Indian retail sector is estimated at

around Rs 12,00,000 crore, of which theorganized sector accounts for a mere 3 percent indicating a huge potential marketopportunity

7/28/2019 growth-gv

5/12

The India Retail Industry is the largest amongall the industries, accounting for over 12 per

cent of the countrys GDP and around 9 percent of the employment

The Retail Industry in India has come forth asone of the most dynamic and fast pacedindustries with several players entering themarket

A large young working population withmedian age of 24 years, nuclear families inurban areas, along with increasingworkingwomen are the key factors in thegrowth of the organized Retail sector in India

7/28/2019 growth-gv

6/12

India has well over 500 million retail outlets Indian retail is expected to grow 25 per cent

annually. Modern retail in India could beworth US$ 175-200 billion by 2016

The Mobile phone Retail Industry in India isalready a US$ 16.7 billion business, growingat over 20 per cent per year

government policies becoming more

favorable and the emerging technologiesfacilitating operations

7/28/2019 growth-gv

7/12

The contemporary retail sector in India isreflected in sprawling shopping centers,multiplex- malls and huge complexes offershopping, entertainment and food all under

one roof, the concept of shopping hasaltered in terms of format and consumerbuying behavior, ushering in a revolution inshopping in India

If development plans till 2007 is studied itshows the projection of 220 shopping malls,with 139 malls in metros and the remaining81 in the Tier II cities

7/28/2019 growth-gv

8/12

Low share of organized retailing

Falling real estate prices

Increase in disposable income and customer

aspiration Increase in expenditure for luxury items

7/28/2019 growth-gv

9/12

Malls

Discount stores

Department stores

Hyper marts

Super markets

Convenience storesMBOs

7/28/2019 growth-gv

10/12

India is rated the fifth most attractiveemerging retail market: a potential goldmine

Ranked second in a Global Retail

Development Index of 30 developingcountries

Organized retailing in India has been largelyan urban

Rural markets emerging as a hugeopportunity for retailers reflected in theshare of the rural market across mostcategories of consumption

7/28/2019 growth-gv

11/12

Favorable demographics

Growth in income

Increasing population of women

Raising aspirations: Value added goods sales

IT is a tool that has been used by retailers

ranging from Amazon.com to eBay toradically change buying behavior across theglobe

7/28/2019 growth-gv

12/12

By:Amzad Ali.E09MBI005