Expanding retail business in India

by Your RetailCoach YourRetailCoach

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Why the Indian retail market looks promising?

India is the fifth largest retail destination in the world and its retail market is projected to grow from USD 672 billion (2017) to USD 1200 billion by the year 2021 with almost double the growth rate. However, India’s consumer expenditure is far beyond what its existing domestic and foreign retail players could cover. India’s consumer expenditure is expected to reach from USD 1824 billion in 2017 to USD 3600 billion in 2020. That’s a void that many foreign and domestic retail players will seek to capitalize on by entering the Indian market.

The online retail market in India is currently one-fourth of its organized retail market and is growing at a CAGR of 23%. It is expected to reach USD 170 billion in the next ten years. And these figures are like nothing as compared to the ever-growing retail market appetite of India.

Source: www.ibef.org

Associating with an Indian company

With a massive traditional market space and growing popularity of eCommerce, opportunities galore but it is not easy to decode and enter the Indian market for foreign retailers.

Despite having web stores even the big brands fail to attract the retail customers to their online channels as the online marketplaces have become more favorable with customers. And the competition is intense at the popular online marketplaces like Amazon India and Walmart-Flipkart. One big demerit with online marketplaces is that the end customers hardly get to know the retailer where branding takes some serious beating.

In a vast country like India with its mature and burgeoning retail market, inventory and logistics can no longer be done in traditional ways. It may be even more challenging for foreign retail players seeking to enter the Indian retail market to set up their inventory channels, acquire the associated technologies, and build the infrastructure.

Establishing and managing the distribution network in a vast country like India poses yet another stiff challenge to retailers – both domestic and international. The inventory often has to pass through two or more states or territories. There often are multiple entities involved. Knowledge and understanding of the country’s domestic and local distribution networking are critical.

Apart from taking advantage of the online marketplaces, retail businesses also need to focus on their web and physical stores. A strategic balance between online and offline retail channels needs to be maintained especially bearing in mind that by the year 2021 traditional retail is projected to hold a massive 3/4th of India’s total retail market.

YRC as a Business Associate

Your Retail Coach (YRC) is a retail consulting and outsourcing company in India offering a wide range of services in offline retail and retail ecommerce catering to a multitude of business types in retail.

Your Retail Coach (YRC) helps domestic and foreign retail players right from conceptualization to launch of their web store and physical stores with a focus on strategy and operations. Our experience and expertise in both offline and online retail channels will help businesses quickly establish omnichannel retail experience.

YRC assists foreign retail players in managing their supply chain via services and support in warehouse management, procurement, inventory management, dispatch and team management riding on proven models of logistics and use of technology.

YRC provides the necessary assistance to businesses in setting up and maintaining a robust distribution network across the country.

With its domain experience and expertise in the retail sector, YRC not only helps retail players in managing online sales channels but also in setting up brick and mortar retail stores and provide a range of operational assistance services.

Source Article: http://retail-business-management.over-blog.com/2020/01/expanding-retail-business-in-india.html