Retail marketing in India

16
Presentation On Evaluation of Indian Retail Marketing

Transcript of Retail marketing in India

Presentation On

Evaluation of Indian Retail Marketing

Country GRDI (2012) GRDI (2014)

USA 1 1

Brazil 2 2

India 5 3

China 3 4

UAE 7 5

Mongolia 9 6

Georgia 6 7

Kuwait 12 8

Turkey 13 9

Armenia -- 10

Source: India Retail Report (2014)

Global Scenario

Comparison of Organized Retail Sector

(2013-14)

820

3040

55

81 85

9280

7060

45

19 15

India China Indonesia Thailand Malaysia Taiwan US

Organized Unorganized

92%

8%

8%

33%

11%

22%

2%

7%

6%

8%

11%

Appareal

Food and

Grocery

Others

Pharmacy

Food Service

Jewellery

Consumer

Electronics

Mobile and

TelecomUnorganized Retail Sector

Organized Retail Sector Organized Retail Sector

Retail Sector in India (2013-14)

Source : Ernst and Young Retail Report

Traditional Retail Outlets

Departmental Stores

Complex and Hyper Market

Malls

Market Maturity of Organized Retail Sector in India

Pre 80 s

Mid 90 s

2000

2010

Future Prospects of Retail Market in India

Source: Crisil Research Estimates- 2014

India’s GDP

growth trend

Retail market

growth trend

Share of

organized

retailing

CAGR- Compound Annual Growth Rate

Why Retail Sector is Increasing in India…?

Reason for increasing Retail Sector in India.

1. Personal Disposal Income growth

Source : Euromonitor Estimates

Reason for increasing Retail Sector in India.

2. Cheaper Labour availability

Source: Department of Industrial Policy and Promotion

Reason for increasing Retail Sector in India.

3. Young Population

Source: India Census

Reason for increasing Retail Sector in India.

4.E-retailing

Reason for increasing Retail Sector in India.

5. Franchising Growth

Source: Department of Industrial Policy and Promotion

Reason for increasing Retail Sector in India.

6. Easier access to Money

Source: Crisil Research

Reasons for increasing Retail Sector in India.

Urbanization

Brand Consciousness

FDI

-Single brand production retailing- 100 %

-Multi brand production retailing- 51 %

Technology Adoption

Promotional Activity

Communication Network

Challenges before Retail Sector

Heterogeneous Marketing

Poor SCM

Real Estate Concern

Workforce

Available retail space (500 sq. feet)

Cultural diversity

Lack of Infrastructure and Logistics

High with Unorganized sector

Concerns with e-tailing.