Global & Indian retail overview

Presented by :

Jwala Nayak - 41Shehnaz Bajaria - 03

Retail is the sale of goods to end users, not for resale, but for use and consumption by the purchaser. The retail transaction is at the

end of the supply chain.

Manufacturers sell large quantities of products to retailers, and retailers sell small quantities of those products to consumers.

Retail

The Global Retail Industry

• Of the world’s 10 largest retail companies, 7 are from the US and 3 from Europe.

• Retailing is a primary driver of the global economy.

• To maintain the highest level of profitability, retailers are establishing a presence in fertile foreign markets.

• Retail organizations now view their potential market share to include worldwide consumers, not just customers in their home country.

• Wal-Mart Dominates as the World’s Biggest Retailer and America's Biggest Grocer.

Retailer Base Type

Sales in U.S.

$millions RegionRegional Station

% of sales in foreign country

1 Wal-Mart Stores, lnc USA Discount Store 163,532.00 N.America Global 13.90%

2 Carrefour Group FRA Hypermarkets 52,196.10 Europe Global 37.70%

3 The Kroger Co USA Supermarkets 45,352.00 N.AmericaSingle

Country 0.00%

4 MetroAG GER Diversified 44,163.37 Europe Global 40.00%

5 The Home Depot, lnc USA Hardlines 38,434.00 N.America Global 3.70%

6 Albertson's, lnc USA Supermarkets 37,478.00 N.AmericaSingle

Country 0.00%

7 ITM Entreprises SA FRA Supermarkets 36,762.45 Europe Regional 36.00%

8 Sears, Roebuck and Co USA Dept Store 36,728.00 N.America Regional 10.60%

9 Kmart Corporation USA Discount Store 35,925.00 N.AmericaSingle

Country 0.00%

10 Target Corporation USA Discount Store 33,702.00 N.AmericaSingle

Country 0.00%

World’s TOP 10 Retailers

Ten of the top 20, and 21 of the top 50 retail organizations in the world are U.S. based companies

Exxon Mobil

• Wal-Mart Stores•  Chevron• Conoco Phillips• General Electric

TOP Companies

AppleElectronic

CoachLuxury

AeropostaleSpeciality retail for

7-12 Yr oldsPublix

Supermarket

Top Retailers

"100 Best Companies to Work For " RETAIL COMPANIES

Wegmans Food Markets -  Rank: 5

Nugget Market  - Rank :10

Whole Foods Market - Rank: 22

Zappos.com - Rank: 23

Starbucks - Rank: 24

World’s top 10 fastest growing grocery retailers

Ref : Euromonitor International

Companies from Asia-Pacific and Latin America appear prominently in the top 10 list of fastest growing grocery retailers                                     

Cencosud SA  38.6

FEMSA (Fomento Economico Mexicano SA de CV)  28.1

Supervalu Inc  27.3

Lotte Group  25.0

China Resources Enterprise Co Ltd  24.7

Shinsegae Department Store Co Ltd  23.2

Eroski, Grupo  23.2

Metro Inc  22.4

IGA Inc (Independent Grocers Alliance)  22.0

Target Corp  19.3

United States – Wal-Mart Stores Cash and Carry/Warehouse Club, Discount Department Store,

World's Largest Retailers by Country

Australia – Woolworths Ltd.Convenience/Forecourt Store, Discount Department Store, Electronics Specialty, Other Specialty, Supermarket

France - Carrefour

Cash and Carry/Warehouse Club, Discount Department Store, Hypermarket/Supercenter/Superstore, Supermarket, convenience/forecourt store

World's Largest Retailers by Country

Germany - Metro AG Apparel/Footwear Specialty, Cash & Carry/Warehouse Club, Department Store, Electronics, Specialty, Hypermarket/Supercenter/Superstore, Other Specialty, Supermarket

Russia – X5 Retail Group N.V.

Convenience/Forecourt Store, Discount Store, Hypermarket/Supercenter/Superstore, Supermarket

United Kingdom – TescoConvenience/Forecourt Store, Department Store, Discount Department Store, Hypermarket/Supercenter/Superstore, Supermarket

Which is the

Number One Destination

for World’s Top Retailers ????

London

60% of the world’s Top retailers

Ref : How Global is the Business of Retail ?2009 CB Richard Ellis

Paris 49% of retailers

New York47% of retailers

Top Most International Retail Cities

Ref : How Global is the Business of Retail ? 2009 CB Richard Ellis

Top Most International Retail Cities

Rank City% of retailers present in city

4 Dubai 45.68%

5 Madrid 44.03%

6 Moscow 42.39%

7 Berlin 40.33%

8 Munich 39.92%

9 Barcelona 39.09%

10 Tokyo 38.68%

11 Singapore 38.27%

12 Hamburg 38.27%

13 Hong Kong 37.86%

14 Milan 37.45%

15 Beijing 36.21%

Top 10 Online Retailers

ASIA – Most Attractive Developing Market

Indian Retail Scenario

• Year 2010 - To Touch Rs.18,10,000 Crores.

• 13% of it i.e. Rs.2,30,000 Crs. will be Organized Retail.

• Generate Employment for 15 million people in different activities.

• Retail Segment Dominated by Food and Grocery - 59.5 % valued at Rs.7,92,000 Crores. • Followed by Clothing & Accessories - 9.9 % share at Rs.1,31,300 Crores.

India Retail Report 2009

Indian Retail Scenario

India, like Britain - A nation of shopkeepers. With over 12 million retail outlets, India probably has the highest density of retail outlets in the world, with one for approximately every 90 persons.

Organised retail market in India (Rs crore)

Indian Retail Scenario

Indian Retail Scenario

Indian Retail Scenario

• Indian Retail Industry- Largest Industry in India, - Employment around 8% - Contributes to over 10% of India’s GDP. By 2016:- Modern Retail Industry in India - Worth US$ 175- 200 billion

• Formats in Indian Organized Retail Sector 1. Supermarkets 2. Hypermarkets 3. Department Stores 4. Modern Format Individual Retailers 5. Specialty Chains

Top Indian Retailers

1. Pantaloon Retail •1st Hypermarket - Big Bazaar / Home solutions (Hometown, furniture bazaar, collection-i), Consumer Electronics (e-zone), Shoes (shoe factory), Books: music & gifts (Depot), Health & Beauty Care Services (Star, Sitara and Health village in the pipeline), E-tailing (Futurbazaar.com), Entertainment (Bowling co.) •Recent Innovation - E-commerce’ hybrid format of ’small’ shops , 150 sq. ft.fitted with 40 digital screens &home delivery

2. K Raheja Group

•India’s 1st Departmental Store-Shoppers Stop & 1st Retailer from India being member of the Prestigious Intercontinental Group of Departmental Stores (IGDS) Stores for Books (Crossword) , Home Solutions (Homes stop), Mothercare - Concept Stocking Merchandise •1st HYPER CITY in MUMBAI •Future innovation - Airport Retailing

.

Top Indian Retailers

3. Tata Group :•Westside - Lifestyle Retail Chain •Star India Bazaar - Hypermarket•Landmark, India's largest book and music retailer•Infiniti retail consisting of Croma (Consumer Electronics Chain)•Also, owns Titan & Tanishq.

4. RPG Group1st Entrants into Organised Food & Grocery Retail with Food world stores in 1996. Launched Health & Glow (Pharmacy & Beauty Care) Outlets. Now the alliance has dissolved and RPG has Spencer’s Hyper, Super, Daily and Express formats and Music World stores across the country.

5. Landmark group 6. Piramal Group

7. Subhiksha 8. Bharti-Walmart

9. Reliance 10. AV Birla Group

Happy Retailing ….