The most convenient yet lucrative way of retail trade. Retail refers to the selling of good, purchased from a wholesaler to the final consumer in small quantities. Retail trade is undertaken by businessmen who are known as retailers.
India ranks second in Global Retail Development, with 1.3 billion people. Its revenue accounts for 8% of the economic development in the country. The Indian Retail Industry is one of the most promising and fastest-growing markets in the country. Its growth rate is exemplary. Retail businesses in the country, essentially include grocery, pharmaceuticals, beauty products etc. Reliance Industries is the largest retailer in the country.
This industry has evolved through various stages since 2003. From owner-manned shops to extensive online purchase. Implementing Foreign Direct Investment in the country, notably conferred on the prosperity of the retail sector of the economy. The policy brought in a variety of goods that sped up the competition in the markets, providing the consumer with multiple options.
Retail in India depends not only on departmental stores and shopping malls. With the cosmic escalation in using technology in every household, online shopping through various e-commerce portals has significantly contributed to the retail industry. Consumers now prefer to select and purchase their desired products online rather than resorting to malls to purchase them. Discounts and price reduction is some of the chief factors that have furnished the growth in the retail sector.
Other than that, Artificial Intelligence also plays an important role in determining consumer behaviour. AI has had a developing impact on the retail industry, which is expected to quadruple sales in the coming years. Advertising, income levels, acceptance towards technology, quality expectancy rank among other important factors that affect retail businesses in the market.
The retail industry underwent substantial losses because of the outbreak of the Covid-19 pandemic. The outbreak also prompted panic buying among the people. Due to the lockdown, the sales graph drastically fell, which led to the lowest revenue figures ever recorded. Thus, modern retail groups such as Future Group, Shoppers Stop, Aditya Birla Fashion & Retail approached the government for minimum 50% wage subsidies.
However, the post lockdown period was graced by a boom in this industry, consumption touched high figures. The business has proliferated by 80% when compared to the lockdown lows. The sudden boom has also led to an increase in the demand for warehouses in the country.
