Malls as a buying destination in Delhi, NCR : An Exploratory Study

Abstract

The retailing sector in India has undergone significant transformation in the past 10 years. The organized retail industry in India is expected to grow 25-30 per cent annually and would triple in size from Rs. 35,000 crore in 2004-05 to Rs.109,000 crore ($24 billion) by 2010. Retailing is gradually inching its way towards becoming the next boom industry. India's overall retail sector I s expected to rise to US$ 833 billion by 2013 and to US$ 1.3 trillion by 2018, at a compound annual growth rate (CAGR) of 10 per cent. As a democratic country with high growth rates, consumer spending has risen sharply as the youth population (more than 33 percent of the country is below the age of 15) has seen a significant increase in its disposable income. Consumer spending rose an impressive 75 per cent in the past four years alone. Also, organised retail, which is pegged at around US$ 8.14 billion, is expected to grow at a CAGR of 40 per cent to touch US$ 107 billion by 2013. This research paper is an attempt to analyse the areas where retail sector is growing and will grow, and why consumers will prefer to shop from shopping malls and what will be the target strategies to best serve mall customer segments.