Latest news with #Retailers'AssociationofIndia
Time of India
17 hours ago
- Business
- Time of India
Retail sector bounces back, to see 9-10% growth soon
HighlightsThe Indian retail sector, currently valued at $900 billion, is expected to grow at a rate of 9 to 10% following a temporary slowdown to 5%. According to the Retailers' Association of India's 62nd Retail Business Survey, retail sales across India increased by 7% in May 2025 compared to the same month the previous year. Southern India led retail sales growth at 9%, while quick service restaurants showed the highest segment growth at 10%, indicating increased consumer willingness to spend. The Indian retail sector , currently valued at $900 billion, is showing signs of strong recovery and is expected to grow at a faster pace in the coming months, according to the Retailers' Association of India (RAI). The sector, which is currently growing at a rate of 5%, is likely to soon pick up speed and reach a growth rate of 9 to 10%. RAI's CEO Kumar Rajagopalan said that right after the pandemic, the retail sector had bounced back strongly with a 20% growth rate. 'However, in the last one year, the growth slowed down to around 5%. Now, with the markets stabilising, consumers spending more, and the right consumer base in place, the sector is once again showing signs of faster growth,' he added. Meanwhile, as per RAI's 62nd Retail Business Survey , retail sales across India grew by 7% in May 2025 compared to the same month the previous year. This marks a significant improvement after months of moderate growth ranging between 4 to 5%. Region-wise, southern India led the way with a 9% growth in retail sales in May. Western India followed with 7%, while northern and eastern regions recorded growth of 6% and 4%, respectively, as per the report. Among the different segments, quick service restaurants (QSR) showed the highest growth at 10%. Consumer durables and electronics, along with furniture, also performed well with an 8% rise each. Rajagopalan said this increase shows that people are now more willing to spend.
Hans India
2 days ago
- Business
- Hans India
Retail sector gaining momentum, growth expected to reach 9-10 pc soon: RAI
New Delhi: The Indian retail sector, currently valued at $900 billion, is showing signs of strong recovery and is expected to grow at a faster pace in the coming months, according to the Retailers' Association of India (RAI). The sector, which is currently growing at a rate of 5 per cent, is likely to soon pick up speed and reach a growth rate of 9 to 10 per cent. RAI's CEO Kumar Rajagopalan said that right after the pandemic, the retail sector had bounced back strongly with a 20 per cent growth rate. "However, in the last one year, the growth slowed down to around 5 per cent. Now, with the markets stabilising, consumers spending more, and the right consumer base in place, the sector is once again showing signs of faster growth," he added. Meanwhile, as per RAI's 62nd Retail Business Survey, retail sales across India grew by 7 per cent in May 2025 compared to the same month the previous year. This marks a significant improvement after months of moderate growth ranging between 4 to 5 per cent. Region-wise, southern India led the way with a 9 per cent growth in retail sales in May. Western India followed with 7 per cent, while northern and eastern regions recorded growth of 6 per cent and 4 per cent, respectively, as per the report. Among the different segments, quick service restaurants (QSR) showed the highest growth at 10 per cent. Consumer durables and electronics, along with furniture, also performed well with an 8 per cent rise each. Rajagopalan said this increase shows that people are now more willing to spend, especially on non-essential or discretionary items. Looking ahead, the RAI CEO expressed optimism about the upcoming festive season. He said that the improving consumer sentiment could further boost retail sales and bring the sector closer to double-digit growth in the near future.
The Hindu
3 days ago
- Business
- The Hindu
Retail sector may soon jump into a 9-10% growth mode: Retailers' Association of India
The Indian retail sector, pegged at $900 billion and growing at 5% currently, is expected to soon jump into a 9-10% growth pace, as markets seem quite ready with right consumer base and increasing spending power, according to the Retailers' Association of India (RAI), a trade body which represents chain store retailers, independent retailers, e-commerce players and retail service/technology providers across the country. 'Immediately after the pandemic, the retail sector got into a 20% growth, but in the last one year the growth has slowed to 5%, but we expect the growth to get into 9% to 10% range soon,' CEO Kumar Rajagopalan told The Hindu. He said the emerging industry trends indicated increased consumption backed by the right consumer base and growing disposable incomes. 'So, we are soon expecting a jump in the pace of growth from current levels to match the market demand. We've got the population to support.' According to him, India's growth towards becoming the third-largest economy is making a significant difference. ''So, everything is going towards better consumption, as per capita income increases, consumption increases. So I think there's a lot that's happening; however, the competitive framework of Indian retailing is also changing drastically,'' he added. He further said the country's retail industry was increasingly becoming organised. For instance, 10 years ago, only 4% to 5% of the industry was under the organised category, while today, 17% of the total industry is organised. 'This conversion, from unorganised to organised, is happening on many fronts. Many of the traditional businesses are turning to be organised as the new generation takes over the leadership. Also, e-commerce is pushing the growth of organised businesses. Plus, various measures of the government are also encouraging retailers to get organised with the introduction of GST, digital money etc., streamlining and making retailing easier,'' Mr. Rajagopalan observed. Commenting on the challenges faced by the industry, he said the industry knew the business was completely changing itself, with the omnichannel concept gaining wide acceptance. Customers were buying online as well as offline. He also said there was a huge amount of competition happening in the sector because the barriers to entry are completely shattered now. So the industry was trying to see how they could adapt themselves to the growing needs of fast-paced consumers of the modern day, Mr. Rajagopalan said. 'There's a fight for a share of customers' time. It's becoming difficult to get the attention of customers. guess this is true for all businesses as customers are totally distracted by too many things around. So retailers have the challenge to make their messaging quite engaging, clear, and rightly attractive to customers,' he opined. On the people front, he said, there were a lot of people available in the industry, but quality talent, retaining the existing talent and developing talent remained a big challenge. The retail industry employs over 40 million people, probably the second largest after agriculture and allied sectors.
