Trends in Retail Industry

India is currently ranked twentieth among the top thirty developing countriesin its Global Retail Development index. TheIndian Retail Industry is one of the most fast growing industries in the country.

Because of India’s demographyit remains an appealing, long-term retail destination. More that half of India’s population is below the age ofthirty fiveandabouta third lives in the city. The disposable income of Indians is increasing which allows them to spend more and try new products and brands. Increasing urbanisation, rise of nuclear families and growing preference for branded products will increase retail consumption in India.

With growth in the retail industry, the demand for real estate is also increasing. The introduction of the internet as an online medium for retail is gaining more acceptance. As a result a tremendous growth opportunity for retail companies can be seen.

Due to changing demographics, the retail industry is on a growth curve. The growing middle class in India is not only buying luxury goods but is also redefining the market. The luxury goods that are purchased in India come from non-metros which constitutes about 40 per cent. This in itself is a healthy sign for countries investing in this sector.

Many retailers have launched their business online with the trend of e-commerce. These online retailers are also using the medium of mobile apps to increase their reach to more customers. The need for consumer goods in different sectors including consumer electronics and home appliances is rising so many companies have invested in the Indian retail space in the past few months.

The Union Minister of Commerce and Industry has stressed on building a culture of branding and marketing its products to the rest of the world. The ministry is also willing to take steps to start a Free Trade Agreement with the European Union.

The Government of India has taken various initiatives to improve the retail industry in India. Such initiatives include the Goods and Services Bill which is seen as a key to starting industrial growth in the country.

Higher incomes, younger shoppers andthe increased use of credit cards are some factors which are expected to affect Retail Trends. E-commerce and online delivery are also becoming popular trends in retail industry.

The School of Retail & Fashion Merchandise FDDI was established to fulfilthedemand of trained professionals and provide manpower at various levels of the growing retail sector.