RETAIL MANAGEMENTRetail management is the sale by seller in Retail management is the sale by seller in small quantities to customer not for resale.small quantities to customer not for resale.

It is the process of bringing the ultimate It is the process of bringing the ultimate user to the main producer, through a series user to the main producer, through a series of stages, where retailing is the last one. It of stages, where retailing is the last one. It is not limited to quantities, but limited to is not limited to quantities, but limited to

the exact requirement of the ultimate user. the exact requirement of the ultimate user. It includes various processes which help the It includes various processes which help the

customers to procure the desired customers to procure the desired merchandise from retail stores for their end merchandise from retail stores for their end

use.use.

RETAIL MIX

Retail mix is a blend of traits that Retail mix is a blend of traits that work together to form a distinct retail work together to form a distinct retail

operation.operation.

Retailers examine their retail mix for Retailers examine their retail mix for formulating strategy. The retailing formulating strategy. The retailing

mix approach helps business mix approach helps business managers consider how to use each managers consider how to use each of traits in meeting the needs and of traits in meeting the needs and

desires of customers.desires of customers.

Retail SectorRetail Sector

The retail sector can be divided into two segments:

•Value retailing- which is typically a low margin- high volume business (primarily food and groceries)

•Lifestyle retailing- which is a high margin-low volume business ( apparel, footwear, etc )

TYPES OF RETAIL OPERATIONS

1. Department store1. Department store

2. Specialty store2. Specialty store

3. Discount/Mass Merchandisers3. Discount/Mass Merchandisers

4. Warehouse/Wholesale clubs4. Warehouse/Wholesale clubs

5. Factory outlet5. Factory outlet

EMERGING SECTORS IN RETAILING

Retailing is one of the largest sectors in the global economy. It is going through a

transition phase not only in India but the world over. The corner grocery store is slowly

giving way to international formats of retailing. The traditional food and grocery

segment has seen the emergence of supermarkets/grocery chains (Food World,

Nilgiris, and Apna Bazaar), books/music/gifts (Archie’s, MusicWorld, Crosswords,

Landmark).

RETAIL INDUSTRY IN INDIA

Retail is India’s largest industry, Retail is India’s largest industry, accounting for over 10 percent of the accounting for over 10 percent of the

country. Its GDP is around eight percent country. Its GDP is around eight percent of employment. Retail in India is at the of employment. Retail in India is at the crossroads. It has emerged as one of crossroads. It has emerged as one of

the most dynamic and fast paced the most dynamic and fast paced industries with several players entering industries with several players entering

the market. The market is growing, the market. The market is growing, government policies are becoming more government policies are becoming more

favorable and emerging technologies favorable and emerging technologies are facilitating operations.are facilitating operations.

FOREIGN DIRECT INVESTMENT IN RETAILING IN INDIA

Until 2011, Indian central Until 2011, Indian central government denied FDI in multi-government denied FDI in multi-brand retail, forbidding foreign brand retail, forbidding foreign groups from any ownership in groups from any ownership in

supermarkets, convenience stores or supermarkets, convenience stores or any retail outlets. Even single-brand any retail outlets. Even single-brand retail was limited to 51% ownership retail was limited to 51% ownership

and a bureaucratic process.and a bureaucratic process.

CURRENT STATUS OF FDI FOR CURRENT STATUS OF FDI FOR SINGLE BRAND RETAIL STORESSINGLE BRAND RETAIL STORES

In November 2011, India’s centralIn November 2011, India’s central

government announced retail reforms for government announced retail reforms for both multi-brand stores and single brand both multi-brand stores and single brand stores. In January 2012, India approved stores. In January 2012, India approved

reforms for single-brand stores welcoming reforms for single-brand stores welcoming anyone in the world to innovate in Indian anyone in the world to innovate in Indian retail market with 100% ownership. But retail market with 100% ownership. But imposed the requirement that the single imposed the requirement that the single brand retailer source 30% of its goods brand retailer source 30% of its goods

from India. from India.

CURRENT STATUS OF FDI FOR CURRENT STATUS OF FDI FOR MULTI-BRAND RETAIL STORESMULTI-BRAND RETAIL STORES

On 14 September 2012, the government On 14 September 2012, the government of India announced the opening of FDI in of India announced the opening of FDI in multi-brand retail, subject to approvals multi-brand retail, subject to approvals by individual states. On 20 September by individual states. On 20 September 2012, the government of India formally 2012, the government of India formally notified the FDI reforms for single and notified the FDI reforms for single and multi-brand retail, thereby making it multi-brand retail, thereby making it

effective under Indian law. On 7 effective under Indian law. On 7 December, 2012, the Federal December, 2012, the Federal

Government of India allowed 51% FDI in Government of India allowed 51% FDI in multi-brand retail in India.multi-brand retail in India.

GROWTH OF RETAILING IN INDIA

Indian retailing industry has seen phenomenal growth in the last few

years. Currently, India is the 5th largest retail market in the world. The

country ranks fourth among the surveyed 30 countries in terms of

global retail development.

RETAILERS IN INDIA

• Reliance Retail• Big Bazaar• Bharti-walmart• Subhiksha• DLF Shopping Malls• Pantaloon Retail• Tata Group• K Raheja Group

TOP RETAILERS IN INDIA

GROWTH OF RETAIL OUTLETS IN INDIA

RETAIL SALES IN INDIA

TECHNOLOGY IMPACT ON RETAIL

Retailing is a ‘technology-intensive' Retailing is a ‘technology-intensive' industry. It is quoted that everyday at industry. It is quoted that everyday at

least 500 gigabytes of data are least 500 gigabytes of data are transmitted via satellite. Online transmitted via satellite. Online

systems link point-of-sales terminals to systems link point-of-sales terminals to the main office where detailed analyses the main office where detailed analyses on sales by item, classification, stores on sales by item, classification, stores

or vendor are carried out online. or vendor are carried out online. Besides vendors, the focus of the Besides vendors, the focus of the

retailing sector is to develop the link retailing sector is to develop the link with the consumer. with the consumer.

CONCLUSION

Retailing, thus enjoys many unique Retailing, thus enjoys many unique features. Inefficiency in retailing leads features. Inefficiency in retailing leads

to lower profitability of the retailers to lower profitability of the retailers and lower service outputs for the and lower service outputs for the

consumers.consumers.Steps to strengthen the position of the Steps to strengthen the position of the retailing industry must be taken. Such retailing industry must be taken. Such

steps may include establishment of steps may include establishment of retailer’s co-operatives, merger and retailer’s co-operatives, merger and

buy-out, use of technology to the buy-out, use of technology to the greatest possible extent, setting up of greatest possible extent, setting up of

non-store retailing centers and non-store retailing centers and increase in franchisee network.increase in franchisee network.

VARIOUS RETAILERS AROUND THE WORLD