03 May 2023, Mumbai 

The organised retail industry in India has witnessed a significant growth of 34% during 2022-23 compared to pre-pandemic levels in FY20, according to a report by the Retailers Association of India (RAI).

What all you need to know

The growth was primarily driven by quick-service restaurants, sporting goods, and electronics. The report also suggests that the growth in categories like athleisure, occasion wear, consumer durables, and IT products was especially good during 2022-23.

The survey conducted by RAI covered the top 100 retailers from modern retail across various segments, and the growth was primarily price-led. The demand for consumer goods across categories bounced back, and retailers are cautiously optimistic about sales growth in the coming months.

The RAI report also revealed that retail businesses across regions showed growth in sales, with East India reporting 42% growth followed by the West (36%), North (32%), and South (27%).

Categories like furniture reported a growth of 34%, while consumer durables and electronics grew by 37%, food, and grocery grew by 29%, and sports goods showed a growth of 41%.

However, they are also cautious due to the slowdown witnessed in recent months and the impact of higher inflation in advanced economies and tightening financial conditions in India on demand, particularly in Tier 2 and Tier 3 cities.

While retailers who catered to high-end customers saw healthy growth, those who sold low-price point items faced challenges in growing their sales.

Retailers like Phoenix Mills, with one of the largest portfolios of malls in the country, said that retail consumption in FY23 was 133% of FY20. For shopping malls, December 2022 was the best in a decade as the sales momentum from the festive season continued.

RAI is optimistic about the industry's potential for growth in 2023-24 but suggests that economically lower-income families must shop with optimism for the true potential to be realized.

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26 April 2023, Mumbai 

Rare Rabbit's expansion in India has been impressive, with the brand achieving a significant milestone by opening its 100th store in Bengaluru. The company's plans to open 30 more stores across the country show that it has a strong growth trajectory, and its popularity among consumers is on the rise.

The brand's foray into womenswear with Rareism has also been a strategic move, as it enables the company to cater to a wider audience and diversify its product offerings. Rare Rabbit has been able to successfully leverage its brand equity in menswear to make a mark in the women's fashion space, indicating its potential to be a versatile player in the fashion industry.

Rare Rabbit's presence in the online marketplace through its e-commerce website and partnerships with popular e-commerce platforms has also contributed to the brand's success. The ability to reach a wider audience and offer customers a seamless shopping experience online has been critical in the brand's expansion plans.

The House of Rare's ownership of Rare Rabbit is an indication of the company's commitment to the brand's growth and success. The House of Rare's experience in the fashion industry, combined with its resources and expertise, has enabled Rare Rabbit to expand its retail footprint and diversify its product offerings.

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18 April 2023, Mumbai 

Retail was the sector with the highest rate of consumer digital adoption, with online clothing purchases increasing by 40 percent and online grocery purchases by 100 percent, according to a McKinsey report.

What all you need to know

The COVID-19 pandemic has pushed the retail industry towards digital adoption. Even though customers wish to return to physical stores, they have grown accustomed to online shopping. As a result, more retailers are transforming their physical stores into a combination of fulfillment hubs for online orders and customer experience centers.

Going forward, eCommerce will continue to pave the way, although digital adoption has not entirely replaced the in-store experience. Retailers are redesigning omnichannel consumer journeys to create unique, memorable shopping experiences that combine digital and physical elements.

Brick-and-mortar stores are evolving into experience hubs with inventive ways to promote word-of-mouth marketing, from augmented reality (AR) to interactive kiosks, digital displays with touchscreens, and in-store apps.

Millennials and Gen Z account for an increasing proportion of consumer demand. These generations demand social responsibility and are more critical of businesses, pushing brands to act on issues such as climate change, racial equality, and accessible education. New technologies provide customers with more control over on-demand personalization, which is spreading to all retail areas.

Retailers who cannot achieve hyper-personalization should consider convenience, customization, efficiency, and experience when implementing customization into their retail approach.

Companies must rethink employee empowerment, combining boosting headcount with creating healthier, happier workplaces. This strategy requires organizations to deliberately use technology to simplify employees' jobs, meeting their and customers' demands.

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29 April 2023, Mumbai 

The latest survey by the Retail Association of India (RAI) revealed that retail sales in India witnessed a 6% rise in March 2023 compared to the same period last year. While the furniture and furnishing segment saw the highest growth at 13%, the apparel industry experienced less than a 5% growth rate, along with other categories such as jewellery, footwear, beauty, and wellness.

Despite the slower growth rate in the apparel industry, the survey revealed that there were still opportunities for retailers to capitalize on.

The Eastern region of India saw the highest sales growth at 8%, followed by Southern and Western India with a 7% and 5% increase, respectively. Meanwhile, Northern India recorded the lowest year-on-year growth at 4%.

The RAI survey results indicate positive momentum for the retail industry in India, with certain segments experiencing significant growth.

While the furniture and electronics industries continue to lead the way, retailers in the apparel industry can look to the survey's findings to identify potential opportunities for growth. Additionally, efforts to improve the ease of doing business in the country could further enhance the industry's growth prospects.

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 25 April 2023, Mumbai 

India's apparel market witnessed a 15% expansion during the 2022-23 period, but this growth was entirely driven by price hikes, as volumes of products sold fell by 3% but the demand recovery is expected only during Diwali this year, according to leading industry association CMAI.

While the sales growth has breached pre-COVID levels, smaller retailers and apparel makers in multi-brand outlets in smaller towns are feeling the pressure due to inflation. Most apparel makers and retailers hiked prices by 15-20% due to increase in raw material prices over the past two years, resulting in falling demand for unorganised players.

The shift towards branded apparel has also increased, accounting for 30% of the sector compared to 25% nearly five years ago. The organised sector has clocked higher growth of 18%, as incomes rose and consumers shifted steadily towards organised formats.

E-commerce's share in the apparel sector is one of the highest in India, but it still remains significantly below countries like China and the US.

However, companies in India have been investing behind omni-channel capabilities over the years to gain a foothold in this channel.

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13 April 2023, Mumbai 

Indian conglomerate Raymond plans to open 400 to 500 new retail stores as part of its expansion strategy, according to Chairman and Managing Director Gautam Hari Singhania.

The company expects its growth rate to be "at least double of inflation" this fiscal year, driven by its lifestyle and real estate businesses. While the real estate arm is set to provide a significant contribution to growth, Raymond's lifestyle business will be the driving force behind the expansion.

What all you need to know

Singhania is optimistic about the future, expecting growth in the mid to high teens over the next three to five years.

Raymond was founded in 1925, manufacturing a wide range of products, including fabrics, apparel, and accessories for men and women. Raymond has a strong retail presence in India, with over 1,000 retail stores and more than 20,000 multi-brand outlets.

The lifestyle business includes its clothing and accessory brands, such as Raymond, Park Avenue, ColorPlus, and Parx. The company has been investing heavily in marketing and brand building to increase brand awareness and drive sales.

The company has also expanded its presence globally and currently operates in over 50 countries.

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29 April 2023, Mumbai 

The Clothing Manufacturers Association of India (CMAI) will set up the apparel training center on an urgent basis, given the importance of the sector. This announcement was made at the ongoing CMAI’s FAB show.

The center's establishment would help rectify the situation and enable the sector to exploit the potential of the garment industry fully. Surat's significance as a textile hub means that almost all types of fabrics are made in the city.

However, the garment sector's growth has not been as desired due to the lack of skilled artisans. The Apparel Training Centre's establishment will address this and provide necessary training to individuals to acquire the necessary skills.

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11 April 2023, Mumbai 

Lacoste, the iconic French sports and casual wear brand, has opened an exclusive brand outlet in Chandigarh, located within the Nexus Elante Mall. The store boasts an open storefront, allowing customers to get a glimpse of its interior, decorated in the brand's signature green and white hues.

With its latest outlet, Lacoste continues to establish itself as a global fashion icon, bringing its unique blend of sport and luxury to customers in Chandigarh.

In addition to its classic logo polo shirts, the Lacoste store offers Summer Collection, a range of other styles, including denim, accessories, bags, and graphic t-shirts. The store also features a footwear wall showcasing the latest spring collection of brightly coloured sneakers and slip-ons. The interior design of the store has a streetwear-inspired feel, with a digital collage of logos and sporty prints on the floor.

The brand first entered the Indian market in 1993 and is licensed by Sports and Leisure Apparel Limited.

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19 April 2023, Mumbai  

Mithileshwar Thakur has joined the Apparel Export Promotion Council (AEPC), Ministry of Textiles as Secretary General. He is a member of the ’89 batch of Civil Service.

“My mantra for the exponential growth of Indian Textiles and Apparel sector is an investment, innovation and integration of value chain.”, says Thakur on his new role. “The focus should be on building scale, skill, and technology besides diversification of products basket and strengthening of Brand India,” he said.

The idea is to align the industry’s approach with the government’s vision to make India a favoured textiles destination, he added.

Earlier, he served as Additional Director General in the Ministry of Commerce and Industry and was extensively involved in the formulation and implementation of India’s Foreign Trade policy; administration of Trade Remedy Measures; amendment of Anti-dumping, Anti-subsidy, and Safeguard Rules and negotiation of Free Trade Agreements/ CECA/CEPA.

He had also headed the Trade Division in the Department of Commerce. Thakur has in-depth knowledge of Customs, Excise and GST laws and procedures.

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