RIL: India fastest growing retail market, crosses $1.4 trillion by 2027
Business: Reliance Industries’ (RIL) latest annual report said the Indian retail market is one of the world’s fastest-growing markets, expected to surpass $1.4 trillion by 2027. RIL operates the country’s leading retail firm Reliance Retail. The report said India is poised to become the third-largest retail market by 2030. It added that factors such as increasing urbanisation, rising income levels, expanding female workforce and an ambitious young population will drive growth. In addition, rising demand for premium and luxury products further fuels this growth trajectory, reflecting evolving preferences with rising disposable incomes. This growth spans across different urban segments, benefiting many local, regional and international brands and manufacturers. “They are connecting with consumers across different markets, allowing them to actively participate in India’s ongoing growth narrative,” Reliance said. Segments such as grocery, fashion and lifestyle and consumer electronics make up over 90 per cent of the fast-growing Indian retail market. “Focusing on range expansion in non-food categories remained a key priority.
The non-food category witnessed sustained growth in stores,
led by the General Merchandise and Home & Personal Care categories,” the report said. Reliance Retail Venture Ltd (RRVL), the retail arm of billionaire Mukesh Ambani-led RIL, which crossed the Rs 3 lakh crore revenue mark in FY24, has a “commitment” to the sector and has made “substantial investments” across the retail value chain over the years. The company saw a record 1.2 billion customer transactions in the fiscal year. However, it also noted challenges such as “supply of quality real estate due to limited availability of quality malls and high streets” and a shortage of trained manpower to support growth. Reliance Retail saw record footfalls of over 1 billion people across its 18,836 stores and its registered customer base grew to 300 million. It said, “Reliance is India’s largest retailer and the only Indian retailer to feature in the top 100 global retailers.
“Reliance Retail is expanding its reach through a multi-channel distribution model,
leveraging its network of stores as well as digital and new commerce platforms. It operates an integrated network of stores and digital commerce platforms, retailing across electronics, fashion, grocery and connectivity consumption baskets. Reliance Retail, which has ambitions to have a substantial FMCG business in the country, is also building its consumer brands business through swadeshi products that are accessible and affordable. It has forged several strategic partnerships and acquisitions, the report said. It said Reliance Retail’s acquired beverage brand Campa and owned brand Independence have received good support from trade channels and consumers. “The own brand business saw the introduction of new products across various categories and expanded distribution reach,” it said. Also, Reliance, the largest fashion and lifestyle retailer, is driving growth by expanding in the right catchment areas through new store openings and by diversifying assortments through targeted customer segments. In the fashion e-commerce space, its online platform AJIO strengthened its offering. It also launched the Swadesh’ store format and the youth-focused Yosta’.
