The document discusses the divers of retail change in India. It outlines several factors driving change in the Indian retail industry including a rise in disposable incomes, changing consumer preferences toward convenience, and demographic shifts. Technological advances, urbanization, and government policy changes promoting FDI and GST have also transformed retail. The industry is moving toward organized retail formats, e-commerce, and sustainability practices to address opportunities and challenges in India's competitive retail market.
3. INCREASE IN DISPOSABLE INCOME
• Rising incomes and improved living standards of Indian
consumers
• Increased spending on luxury and lifestyle products
• Expansion of organized retail chains to cater to this demand
4. CHANGING CONSUMER PREFERENCES
•Younger demographic with different shopping habits
•Preference for convenience and experience-based shopping
•Increase in demand for online shopping and omnichannel retail
5. DEMOGRAPHIC CHANGES
• Increasing proportion of working women leading to demand for time-saving and
convenience-based shopping
• Aging population leading to demand for specialized products and services
• Growing middle class leading to demand for higher quality and luxury products
6. GOVERNMENT POLICIES
• FDI policy changes promoting foreign investment in retail
• GST implementation and simplification of tax structure
• Increased focus on promoting entrepreneurship and small
businesses
7. TECHNOLOGICAL ADVANCES
• Digital transformation of retail industry
• Growth of e-commerce platforms
• Integration of technology in physical stores
8. URBANIZATION AND INFRASTRUCTURE
DEVELOPMENT
• Migration to urban areas leading to increased demand for
organized retail
• Development of malls and shopping centers in urban areas
• Improved logistics and supply chain infrastructure
9. COMPETITION
• Increased competition among retailers leading to innovation and
better consumer offerings
• Entry of global retail giants like Amazon and Walmart
• Emergence of new retail formats such as hypermarkets and
convenience stores
10. CHANGING RETAIL FORMATS
• Emergence of new retail formats like pop-up stores and vending
machines
• Increase in franchise models and online marketplaces
• Shift from traditional brick-and-mortar stores to hybrid and online
stores
11. SUPPLY CHAIN AND LOGISTICS
• Adoption of technology for efficient inventory management
• Introduction of cold chain and other specialized logistics services
• Increased use of data analytics for demand forecasting and supply chain
optimization
12. SUSTAINABILITY AND SOCIAL RESPONSIBILITY
• Growing awareness of environmental and social impact of retail
industry
• Adoption of sustainable and eco-friendly practices by retailers
• Increase in corporate social responsibility initiatives by retailers
13. CHALLENGES
• Highly competitive market with thin margins
• Inconsistent policies and regulations across states
• Lack of skilled manpower and infrastructure in some areas
14. FUTURE OUTLOOK
• Continued growth of organized retail
• Increased adoption of technology and data analytics
• Greater focus on sustainability and social responsibility
15. CONCLUSION
• Retail industry in India undergoing rapid change
• Factors driving change include rising incomes, changing consumer
preferences, and technological advances
• Future growth opportunities in organized retail, technology
adoption, and sustainability.