a population of mastadons always ready for cannibalism invading green pastures worldwide healthier than ever

Global 9 retailers belong to Fortune 100


       

1 - Wallmart 35 Careff. 38 Ahold 46 Home Depot 56 - Kroger 72 - Metro 83 - Sears 89 - Target 100 - Albertsons

International presence of top 20 retailers

Global retail industry is of size USD 8 trillion Fortune # 1 Walmart is a retailer . Over 50 of the fortune 500 companies are retailers 25 of the Asian top 200 companies ,are retailers

8 1
50

25

India s increasingly affluent middle class

300 million

Increasing population
Higher disposable income,83000 millionaires, India to be the fastest wealth creator by 2010

The New Age Indian Youth

modern, well informed, but still entrenched in.

Indian Value System

Price Sensitive

Market Growth
8-10% annual growth with 30%+ growth rate for modern format retail

Strong Economy
4th largest economy on Purchasing Parity Basis

Market Opportunities
Growing consumer aspirations together with very low penetration of modern format retailing

Infrastructure
Large amount of quality retail space being added

Convenience stores, Mom & Pop stores Weekly Markets Village Fairs Melas

PDS Outlet, Khadi Stores, Co-operatives

Exclusive Brand Outlets, Hyper/Super Mkt., Shopping Malls

 Over 12 million outlets in India  Organized retail is 3%  Set to grow to 8-10% by 2010  Organized retail expected to be around

Rs. 110000 crore by 2010

     

Hyper marts Large supermarkets, typically (3500-5000 sq.ft) Mini supermarkets, typically (1000-2000 sq.ft) Convenience stores, typically (750-1000 sq.ft) Discount/Shopping list grocer Traditional retailers trying to reinvent by introducing self service formats as well as value-added services such as credit, free home delivery, etc.

COMPANY Pantaloon Retail

INVESTOR ICICI Ventures, Bennett & Coleman IIML, ICICI Ventures & Zodiac Clothing ICICI Ventures GW Capital Bennett & Coleman ICICI Ventures

AMOUNT Rs 750 million

Shopper Stop

Rs 752 million

Subhiksha Trinethra & Fabmall Vishal Retail Crossword

Rs 350 million Rs 450 million NA NA

Franchise Nike, Pizza Hut, Hilfiger, Marks & Spencer, Mango Manufacturing Bata India Distribution Swarovski, Hugo Boss Wholesale Trading Metro Cash & Carry Food Outlets McDonald s, KFC, Pizza Hut, Domino s

Automatic approval is not allowed for foreign investment in detail Regulation restricting real estate purchases, and cumbersome local laws Taxation, which favors small retail businesses Absence of developed supply chain and integrated IT management Lack of trained workforce Low skill level for retailing management

 

 

     

Grant full industry status to retail Permit FDI in retail in phases Invest in supply chain infrastructure Ease distribution infrastructure creation, octroi Ensure single window clearance for retail chains Organize market for real estate Ensure proper rent laws Enforce zoning laws & city development plans Increase land supply Ensure flexibility of labor laws

 Be ready!  Be realistic!  Be resilient!

THANK-YOU