3. indian retailing scenario ppt 3 23-08-2012Presentation Transcript
accordIng to the report
‘strong and steady 2011’
released by global
consultancy and research
(pwc), IndIa's retaIl sector,
whIch Is currently estImated
at about us$ 500 bIllIon, Is
expected to grow to about us$
900 bIllIon by 2014.
IndIa has also been ranked as
the fourth most attractIve
natIon for retaIl Investment
among 30 emergIng markets by
the us-based global
management consultIng fIrm, a
t kearney In Its 9th annual
global retaIl development
Index (grdI) 2011.
retaIl accounts for 22 % gdp
the organIzed and
unorganIzed sector co exIst.
the share of unorganIzed
sector Is more than 90%
accordIng to the IndIan councIl for
research and InternatIonal relatIons
( IcrIer) IndIa Is the 7th
market In the world.
IndIa has the largest number of retaIl
outlets In the world at over 13 mIllIon
and the average sIze of a store Is 50-
100 square feet.
It also has the hIghest number
of outlets per mIllIon
the per capIta retaIl space In
IndIa Is among the lowest In the
world, though the per capIta
retaIl store Is the hIghest.
majorIty of these stores are
Strong underlying economic
higher income levelS
high conSumer Spending
aVERaGE aGE 25 YEaRS IS THE
LOWEST aS COMPaRED TO OTHER
IT WILL BE 28 YEaRS IN 2020 aND
53% WOULD BE UNDER THE aGE OF
30 BY 2020
Increase In workIng populatIon
IndIa Is the second-largest country In the world In
terms of populatIon, and Is the largest consumer
markets In the world owIng to Its favorable
further, the Increase In the number of workIng
women has fuelled the growth In sales .
there has been a 20% Increase In the number of
workIng women In the last decade wIth an
average salary of rs9492
spurt In urbanIzatIon
hIstorIcally cItIes and towns have been the
drIvIng force of overall economIc and socIal
currently over 350 mIllIon people of IndIa resIde
In cItIes and towns, whIch translates to around
25% of the total populatIon.
the rapId growth In urbanIsatIon has facIlItated
organIsed retaIlIng In IndIa, and has caused the
speedy mIgratIon of populatIon Into major tIer I
and tIer II cItIes,
whIch have a sIgnIfIcant share In the retaIl sales
the urban populatIon’s contrIbutIon In
IndIa’s gdp shot up from 29% In 1951 to
60% In 2001 and Is expected to Increase
to 70% by 2018, as mIgratIon to cItIes
and towns grows rapIdly In antIcIpatIon
of hIgher Income opportunItIes provIded
by these epIcenters.
Stiff competition from unorganized sector.
Organized retail sector has to pay huge taxes,
which is negligible for small retail business.
In retail sector, Automatic approval is not
allowed for foreign investment.
There is a shortage of quality real estate
and infrastructure requirements in our
Opposition to Foreign Direct Investment
from small traders affects retail industry.
Shortage of retail space in central and
downtown locations also hinders the growth
of retail industry.
Presence of strong Pro-tenancy laws makes
it difficult to evict tenants and this is posing
Lack of trained work force.