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Evolution Of Organized Retail In India & Its Impact On Consumer Behavior

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Evolution Of Organized Retail In India & Its Impact On Consumer Behavior

  1. 1. Anand Choudhary International Academy of Management & Entrepreneurship (IAME) Copyright©2008: IIMB- Anand Choudhary
  2. 2. <ul><li>Total market size (in 2008) (USD): 350 billion. </li></ul><ul><li>Compounded Annual Growth Rate: 5 %. </li></ul><ul><li>12 million retail outlets. </li></ul><ul><li>Mall space: 60 million feet 2 by end 2008 . </li></ul><ul><li>India’s consumer market: 400 million. </li></ul>Copyright©2008: IIMB- Anand Choudhary
  3. 3. CAGR: 7-8% Source: CII – A. T. Kearney Report 2006 Copyright©2008: IIMB- Anand Choudhary
  4. 4. Window of opportunity for Retail entry in markets (based on Global Retail Development Index (GRDI) ranking from 1995-2006 ) Source: CII – A. T. Kearney Report 2006 Copyright©2008: IIMB- Anand Choudhary
  5. 5. Source: CII – A. T. Kearney Report 2006 Copyright©2008: IIMB- Anand Choudhary
  6. 6. Source: CII – A. T. Kearney Report 2006 Copyright©2008: IIMB- Anand Choudhary
  7. 7. Source: CII – A. T. Kearney Report 2006 Copyright©2008: IIMB- Anand Choudhary
  8. 8. <ul><li>Demographic dynamics </li></ul><ul><li>Double incomes </li></ul><ul><li>Plastic money revolution </li></ul><ul><li>Urbanization </li></ul><ul><li>Potential for investment </li></ul><ul><li>Location </li></ul><ul><li>Sectors with high growth potential </li></ul><ul><li>Rural retail </li></ul>Copyright©2008: IIMB- Anand Choudhary
  9. 9. Personal Disposable Income Credit Card Growth Number of card (in millions) US $ billion Source: Reserve Bank of India Copyright©2008: IIMB- Anand Choudhary
  10. 10. <ul><li>New retail forms and combinations </li></ul><ul><li>Growth of intertype combination </li></ul><ul><li>Competition between store-based and non-store-based retailing helps customer </li></ul><ul><li>Growth of giant retailers </li></ul>Copyright©2008: IIMB- Anand Choudhary
  11. 11. <ul><li>Greater choices and lower prices </li></ul><ul><li>Direct engagement with products and new innovations </li></ul><ul><li>Shopping environment and service </li></ul><ul><li>Proper arrangement of products depending upon: age, gender, status, culture of consumer. </li></ul>Copyright©2008: IIMB- Anand Choudhary

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