Blitz Bureau
NEW DELHI: Retail market in India is on the cusp of significant growth, with estimates suggesting a remarkable leap to $2 trillion in the next decade, a substantial increase from the $820 billion recorded in 2023, according to a report by Boston Consulting Group (BCG) and the Retailers Association of India (RAI).
This optimistic projection aligns with a notable shift in consumer behaviour, preferring experiences like travel and entertainment over traditional product purchases. This trend, influencing spending patterns in the last two years, forms a key aspect of the report.
The retail sector has experienced a whopping 200-pc surge since 2010, reaching a valuation of $250 billion. A growing middle class and the entry of international fashion and food chains drive this growth. Projections for the next decade anticipate a 9-10 per cent growth.
However, there are considerable performance variations among retailers, as highlighted by Namit Puri, Managing Director and Senior Partner at BCG. He emphasises that success hinges on retailers’ capacity to refine delivery models, leverage artificial intelligence (AI) and analytics, and implement robust cost management strategies.
The report foresees continued store expansion and an increase in consumption across cities of all tiers, propelled by ongoing urbanisation.
