PPT 1-1 Consumer Behavior

Ignacio J. Vzquez E. 2007

TRENDS IN RETAIL MARKET
IN INDIA
Presented By
Dr.G.MAHESWARAN, M.B.A., M.Com, M.Phil, Ph.D, P.G.D.C.A.,
PPT 1-2 Consumer Behavior
Ignacio J. Vzquez E. 2007
WHAT IS RETAILING?
Retailing a set of business activities that
adds value to the products and services sold to
consumers for their personal or family use.

A retailer is a business that sells products
and/or services to consumers for personal or
family use.

PPT 1-3 Consumer Behavior
Ignacio J. Vzquez E. 2007
TYPES OF RETAILING
1.Specialty store narrow product line
2. Department store several product line
3. Super market large & low cost product
4.Convenience store small store in residential area
5.Discount Store Standard or specialty
6.merchandise Off price retailer merchandise sold
at less than retail
7.Superstore Huge space & sell all products
8.Catalog showroom Goods sold by catalog at
discount
PPT 1-4 Consumer Behavior
Ignacio J. Vzquez E. 2007
RETAIL MARKET SEGMENTS
1.Apparel
2.Foot Wear
3.Gifts and Toys
4.Hard Goods
5.Home Furnishings
6.Jewellery
7.Sporting goods

PPT 1-5 Consumer Behavior
Ignacio J. Vzquez E. 2007
TOP 10 GLOBAL RETAILERS IN THE
WORLD
1.Warby Parker
2. Amazon
3. The Legaspi Company
4. J.Crew
5. Walmart
6. eBay
7. Burberry
8. Zady
9. Farfetch
10. Macy's


PPT 1-6 Consumer Behavior
Ignacio J. Vzquez E. 2007
TOP 10 RETAIL COMPANIES IN INDIA
2013

1.LIFESTYLE INTERNATIONAL PVT. LTD.
2.TITAN COMPANY LIMITED
3.SHOPPERS STOP LIMITED
4.UNITED COLORS OF BENETTON INDIA
5.FUTURE RETAIL
6.METRO CASH & CARRY INDIA PVT. LTD.
7.MARKS AND SPENCER RELIANCE INDIA PVT. LTD.
8.PUMA SPORTS INDIA PVT. LTD.
9.JUBILANT FOODWORKS LTD.
10LEVI STRAUSS (INDIA) PVT. LTD.


PPT 1-7 Consumer Behavior
Ignacio J. Vzquez E. 2007
RETAIL INDUSTRY IN INDIA
**Retailing Worlds largest private industry US$ 6.6 trillion sales
annually Indian retailing.
**India has been a nation of Dukandars, having approximately 12
million retailers.
**Largest employer after agriculture - 8%* of population Highest
outlet density in world.
**The Indian Retail market is estimated to grow to U. S. $ 637 billion
by 2015.
**Retail which contributes 10% of our GDP is the largest source of
employment after agriculture .
** It is not just the global players like Wal-Mart are eying to capture
a pie of this galloping market but also the domestic corporate
behemoths like Reliance, NeelKamal, KK Modi, Aditya Birla group,
and Bharti group too Retailing in India
PPT 1-8 Consumer Behavior
Ignacio J. Vzquez E. 2007
GROWTH OF RETAIL INDUSTRY IN
** Indian Retail Industry has seen phenomenal growth in the
last five years
**The growth and development of organized retailers in India is
driven by the two main factors
i) Lower prices ii) Benefits the consumers can't resists.
According to the experts , economic scale driven down the
cost of the supply chain, allowing the retails to offer more
benefits to the customers.
** Organized retail will form 10% of total retailing by the end of
the decade (2010)




PPT 1-9 Consumer Behavior
Ignacio J. Vzquez E. 2007
GROWTH OF RETAIL INDUSTRY IN INDIA Cond
** **From 2006 to 2010 , the organized sector will grow 49.53%.
**The arrival of multinationals will further push the growth of hyper
market.
**Retailing will show good prospects in cities Mumbai, Delhi,
Chennai, Kolkatta, Bangluru and kanpur.
**Delhi has the good recourse and conditions for the retail sector.
Out of the total earnings of the government of Delhi Rs 11,000
crores , Rs 6,500 crores is achieved from the retail sectors.
PPT 1-10 Consumer Behavior
Ignacio J. Vzquez E. 2007
Growth Drivers in India for Retail sector
Raising income and improvements in
infrastructure are enlarging consumer market.
Liberalization of the Indian economy
Increase in spending and per capita income.
Availability of quality real estate with low price.
Shift in consumer demand for foreign brands.
PPT 1-11 Consumer Behavior
Ignacio J. Vzquez E. 2007
CHALLENGES OF RETAILING IN INDIA
** Automatic approved is not allowed for the foreign investment.
**Lack of trained work force.
**Low skill level for retailing management.
**Rapid price changes.
** Threaten of product obsolescence cost of business operation
is very high in India.
**High competitiveness among existing market participants and
resulting low profit margins
**Unfavorable taxation structures,
**Absence of developed supply chain and integrated IT
management

PPT 1-12 Consumer Behavior
Ignacio J. Vzquez E. 2007
RETAIL MANAGEMENT
Retail Management
Distinct position Defined target
audience
Quantifiable
goods
Detailed
Tactical elements
Budget
Time table
PPT 1-13 Consumer Behavior
Ignacio J. Vzquez E. 2007
MISCONCEPTIONS ABOUT CAREERS IN RETAILING
Low pay
Long hours
Boring
Dead-end job
No benefits
Everyone is part-time
Unstable environment


PPT 1-14 Consumer Behavior
Ignacio J. Vzquez E. 2007
SUGGESTIONS
Merger and buy out of week retailers by a strong
one.
Use of technology to the greatest extent possible
may also help strengthening the retailers.
Setting up of more and more non- store retailing
centres would also ensure a strong retailing
organization.
Setting up of the franchise/ licence organization
may also help in strengthening the position of the
retailers.