1. Presented by
Arshdeep soni 112261003
Pankaj ranwa 112261009
Rohit goyal 112261012
Abhilash maheshwari 112261014

2. What is Retailing
 Most common form of doing business
 It consists of selling merchandise from a permanent
location (a retail store) in small quantities directly to the
consumers.
 These consumers may be individual buyers or corporate.
 Retailer purchases goods or merchandise in bulk from
manufacturers directly and then sells in small quantities
 Shops may be located in residential areas, colony streets,
community centers or in modern shopping arcades/ malls.

3. Retailing Defined
 According to Kotler: ´Retailing includes all the
activities involved in selling goods or services to the
final consumers for personal, non business uses.
 The Indian retail is dotted by traditionally market
place called bazaars or haats comprises of numerous
small and large shops, selling different or similar
merchandise.

4. Retailing in India
The Indian retail industry is broadly divided into two
segments:
1. Organized retailing
2. Unorganized retailing.

5. Organized retail

6. 6

7. Self Service
S-38 © Copyright Dr. Harjit Singh (2010) 7

8. Organized Retail
 Organized retail is nothing but a retail place where all
the items are segregated and brought under one roof.
 4-9% of the total volume
 Licensed/registered retailers
 These include the corporate-backed hypermarkets and
retail chains, and also the privately owned large retail
businesses.
 Examples: Pantaloon Retail, K Raheja Group, Tata group,
RPG group, Piramal Group, Bharti-Walmart, Reliance, AV
Birla Group

9. Unorganized retail

11. Unorganized Retail
 It refers to the traditional formats of low-cost
retailing
 The unorganized retailing comprises of ‘mom and
pop’ stores or ‘kirana’ stores.
 These are very small shops located near the
residential areas, popularly known as ‘baniya
shops’.

12. Percentage of organized &
unorganized retail across the Globe

13. Retail in future
 According to a study the size of the Indian Retail
market is currently estimated at Rs. 704 cr which
accounts for a meager 3 % of the total retail market. As
the market becomes more and more organized the
Indian retail industry will gain greater worth. The
Retail sector in the small towns and cities will increase
by 50 to 60 % pertaining to easy and inexpensive
availability of land and demand among consumers.

14. Contd…
 According to a report, from the year 2003 to 2008 the
retail sales are growing at a rate of 8.3% per annum.
With this the organized retail which currently has only
3% of the total market share will acquire 15-20 % of the
market share by the year 2010.

15. Factors for the bright future of
retail
 The income of an average Indian is increasing and thus
there is a proportional increase in the purchasing
power.
 Indian economy and its policies are also becoming
more and more liberal making way for a wide range of
companies to enter Indian market.
 Indian population has learnt to become a good
consumer and all national and international brands
are benefiting with this new awareness

16. Contd..
 Another great factor is the internet revolution, which
is allowing foreign brands to understand Indian
consumers and influence them before entering the
market. Due to the reach of media in the remotest of
the markets, consumers are now aware of the global
products and it helps brands to build themselves faster
in a new region