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Traditional Retailing in India Beginning of Retail Wave Unorganized Retailing Organized Retailing Emergence of new formats Focus on Supply chain Management


Trends and Scope of Retailing

Retailing in India is witnessing a huge revamping exercise India is rated the fifth most attractive emerging retail market: a potential goldmine. Estimated to be US$ 200 billion, of which organized retailing (i.e. modern trade) makes up 3 percent or US$ 6.4 billion As per a report by KPMG the annual growth of department stores is estimated at 24% Ranked second in a Global Retail Development Index of 30 developing countries drawn up by AT Kearney. Multiple drivers leading to a consumption boom: Favorable demographics Growth in income Increasing population of women Raising aspirations : Value added goods sales


Food and apparel retailing key drivers of growth Organized retailing in India has been largely an urban phenomenon with affluent classes and growing number of double-income households. More successful in cities in the south and west of India. Reasons range from differences in consumer buying behavior to cost of real estate and taxation laws. IT is a tool that has been used by retailers ranging from to eBay to radically change buying behavior across the globe. e-tailing slowly making its presence felt. Companies using their own web portal or tie-sups with horizontal players like and to offer products on the web.

Retailing RETAILING - Role of retailers TO MANUFACTURERS 1) Help in Distribution manufacturers to consumers 2) As an Agent Feedback from market 3) Share risks of Obsolescence and Inventory carrying 4) Largest industry in the world Help Economy Grow

1) Supply Small quantities and also in Bulk 2) Provide assorted goods (collected from different sources) 3) Provide credit facilities 4) Door delivery service 5) Link between consumers and producer for any complaint

Retailing RETAILING It includes all activities of selling goods to final consumer for personal nonbusiness use. Any organisation selling to final consumers whether it is manufacturer, wholesaler or retailer, is a RETAILER. Types of Retailing There are basically two types of retailing STORE BASED RETAILERS; A. OWNERSHIP BASED STORES 1) Independent stores 2) Chain stores

3) Franchise stores
4) Department stores 5) Vertical Marketing system 6) Consumer co-operative store


B. BY STRATEGIC MIX 1) Convenience store 2) Conventional supermarket 3) Food based supermarket 4) Combination store C. NON STORE RETAILERS

Direct selling also called as door to door selling Person to person Multi level marketing Party plan

Retailing Catalog marketing Telemarketing over telephone TV Home shopping on programs organised by manufacturers over TV

2) NON TRADITIONAL Web marketing

Video kiosks
Video catalog like a paper catalog, the consumer can get Cds watch on computer and then contact manufacturers/wholesalers

Retailing Retailers can provide one of the four levels of service; 1. Self Service 2. Self Selection 3. Limited Service 4. Full Service

The above are store retailers. Non store retailing is also picking up very fast and fall into four categories; 1. Direct selling 2. Direct Marketing 3. Automatic Vending 4. Buying Service