BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
Gilman final
1. COMPREHENSIVE AREA SEMINAR
TOPIC:- Potential of Organised Retail In India
PRESENTED BY :-
MD. GILMAN
4th SEM
SIDDAGANGA INSTITUTE OF TECHNOLOGY (TUMKUR)
PGDMS&RC
2. Evolution of Retail :
Barter System was known as the first form of retail.
As time passed currency was exchanged with goods and
services.
Hawkers carried out the first Retailing in Push Carts
Followed by Kirana Stores …….. Mom and Pop Stores
Finally Manufacturing era necessitated the small stores and
Specialty stores
It was a seller market still than this point of time with the
limited no of brands available
Barter chain Single brand franchise chain Standalone
large store <Chain of large stores And Finally Malls
Economist says that Boom Has Started of Retail due to
more spending Capacity of Indians
Emerging of retail started in brief in patterns like changing
face of the Indian retail sector
Provide customers with 3 V’s i.e.(. Value, Variety and
3. What is Retail?
“A retail is one who stocks the producers goods and is
involved in the act of it to the individual consumer, at the
Margin of Profit
As such retailing is the last link that connects the individual
consumer with the manufacturing and distribution chain.
Selling Directly to consumer selling in smaller units /
quantities the bulk.
Very high numbers near to neighborhood
Reorganized by the service levels
Retail Sector today is worth of US $ 394 Billion
4. ORGANISED RETAILING
refers to trading activities undertaken by licensed
retailers, that is, those who are registered for sales
tax, income tax, etc. These include the corporate-backed
hypermarkets and retail chains, and also the privately owned
large retail businesses.
5. Retailing formats in India
Malls
Specialty Stores
Discount Stores
Department Stores
Hyper marts / Supermarkets
Convenience Store
7. Challenges:
Taxation laws that favor small retailers.
Different structure of sales tax in different states.
Multi-point octroi collection.
Lack of trained workforce.
Problems of supply chain and logistics.
High cost of real estate.
Limited land available at prime locations
8. ADAVANTAGES:
Largest and fastest growing sector in
India.
Modern retailing forms one point stop for
all shopping.
Consumer gets a large product variety of
brands to choose from one roof.
First it was a sellers market and now its
changing to buyers market.
9. DISADVANTAGES :
Margins are low
High property cost
Poor Infrastructure
Expertise in logistics
Couple of firms in retail sector have turn
over more than Rs 100 cr
10. Analysis
Organized retail growing at estimated 25%
It is expected that retail in India could be worth 175-200 billion by
2016.
2008 – Retail Growth rate – 25-28%, Unorganized and organized
retail size – 300 billion
Opening 10 to 15 outlets by 2015, it plans to employ about 5,000
people selling groceries, consumer goods, fruits and vegetables.
India's retail industry is worth 300bn
E.g : Bharti has invested 60 Billion with the largest retail Wal-
Mart (last year)
11. OPPORTUNITIES FOR THE ORGANIZED
RETAIL SECTOR IN INDIA
India’s booming economy is a major source of
opportunity. It is the third largest in the world in
terms of purchasing power. India is the second
fastest growing major economy in the world.
India's huge population has a per capita
income of Rs 44,345.
The proportionate increase in spending with
earnings is another source of opportunity.
Increasing instances of Double Incomes in
most families coupled with the rise in spending
power.
12. CONCLUSION
There is very huge potential for the growth of organized Retailing in India.
By following some of the strategies it can rise tremendously and can
reach each and every nock and corner.
Open communication should be established between functional
departments.
A balance should be maintained between brand building and promotion.
Non-marketing factors like gas prices, weather etc. Huge Scope for
Development
Competitive Market
Organized retail is fast growing at a rate of 30% Per Year
Greater opportunity for employment