Retail sales rise by 8% in July 2025: RAI survey

28 August 2025, Mumbai 

Marking the third consecutive month of steady growth, retail sales in India rose by 8 per cent in July 2025 compared to the same period last year, according to the latest survey from the Retailers Association of India (RAI). This indicates a positive shift in consumer spending as retailers prepare for the upcoming festive season.

The survey revealed a significant increase in discretionary spending across several categories. Quick Service RestMarking the third consecutive month of steady growth, retail sales in India rose by 8 per cent in July 2025 compared to the same period last year, according to the latest survey from the Retailers Association of India (RAI). This indicates a positive shift in consumer spending as retailers prepare for the upcoming festive season.

The survey revealed a significant increase in discretionary spending across several categories. Quick Service Restaurants (QSRs) led the way with double-digit growth, reflecting a growing preference for dining out. Meanwhile, the apparel, jewelry, sporting goods, and furniture sectors all grew by 9 per cent Y-o-Y, indicating robust consumer confidence. Other sectors saw more moderate growth with both footwear and beauty and wellness rising by 5 per cent, while Consumer Durables & IT saw a 6 per cent increase.

Kumar Rajagopalan, CEO, RAI, notes, consistent growth over the past three months suggests consumers are spending a little more on discretionary product. Retailers will be watching closely to see if this continues through the festive season, he adds.

While the outlook is cautiously optimistic, retailers are also considering global uncertainties and ongoing discussions around a new tax structure. The industry is balancing its positive momentum with a degree of caution, as these factors could influence future consumer behavior. As the unified voice of Indian retailers, RAI continues to work with stakeholders and government officials to support retail growth, promote investments, and strengthen the industry's competitiveness. aurants (QSRs) led the way with double-digit growth, reflecting a growing preference for dining out. Meanwhile, the apparel, jewelry, sporting goods, and furniture sectors all grew by 9 per cent Y-o-Y, indicating robust consumer confidence. Other sectors saw more moderate growth with both footwear and beauty and wellness rising by 5 per cent, while Consumer Durables & IT saw a 6 per cent increase.

Kumar Rajagopalan, CEO, RAI, notes, consistent growth over the past three months suggests consumers are spending a little more on discretionary product. Retailers will be watching closely to see if this continues through the festive season, he adds.

While the outlook is cautiously optimistic, retailers are also considering global uncertainties and ongoing discussions around a new tax structure. The industry is balancing its positive momentum with a degree of caution, as these factors could influence future consumer behavior. As the unified voice of Indian retailers, RAI continues to work with stakeholders and government officials to support retail growth, promote investments, and strengthen the industry's competitiveness.

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