At the India Retail Forum 2015, Anurag Mathur, Retail & Consumer practice leader, PwC India, shared his views on what drives profits and growth in Indian retailing, which is going through a very exciting period from the point of view of both, a customer and a retailer.
While the customer is spoilt for choice in products and purchase channels, retailers are engaged in a fierce battle to charm the Indian customer and gain their mind space.
Given the increasing pricing pressure from etail, the never decreasing rentals, sluggish market demand and a round of consolidation, India Retailing foresee this churn in the Indian retail industry to continue over the next five years, but with a renewed focus on profitable growth.
Watch the video here:
- Even after more than a decade of the commencement of organised retail in India,profitability continues to be elusive to most retailers
- In the face of increasing competition,sustained cost pressures and the constantly evolving customer,the need to create differentiation has never been as important
- Omni channel capabilities to drive higher revenues has emerged as key
- Customer loyalty in Indian retail continues to be a myth
- Profitability is perceived differently by the various retail businesses in operation today. Conglomerates stand alone
- Retail chains and upcoming online retailers interpret profitability and growth in line with capital availability
- The battle between the brick and mortar and the pure play online retailers continues with little indication of whether the richest or the fittest will survive.