Technological Advancements – Reshaping the Future of the Retail Industry in India
The Retail industry is changing fast across the globe, but more so in India. Ways to reach the end consumer have become exciting and seamless with technology enhancement. As per a recent analysis by the Boston Consulting Group (BCG), the retail sector in India is expected to reach a whopping US$ 2 trillion in value by 2032. With India leading the world population chart and a wide segment of people with disposable income, the Indian market is sure a gaming ground for Retailers.
The Internet has been the real game-changer in reshaping the Retail industry in India. The Internet penetration across the country even to Tier II and Tier III cities along with a good 5G network is empowering the Indian consumer like never before. Today, everything is being bought online; from groceries, apparel, electronics, and furniture to even items of daily needs, everything is available at a click of a button and often within 15 minutes of placing the order. This has forced Retailers to adopt technology in their selling strategy.
Technology and e-commerce is the assured way to catch the consumer at the comfort of his house. No longer do Retailers have to wait for consumers to walk up to their physical outlets. And because every Retailer is trying to grab the attention of the consumer, the competition is also increasing. Staying a step ahead is the key and using technology to one’s benefit is the way to go.
Surprisingly but surely, Social Media has become much more than a platform for entertainment. This is where Retailers can find a captive consumer and with technology keeping a track of every search history, it has become very easy for Retailers to target the consumer. Direct selling has never been more smooth and result-oriented. Technology with its benefits of consumer analysis and data mining allows the Retailers to track the behaviour of the consumers and sell them whatever they want and when they want it.
Facebook groups have become powerful marketing tools, helping brands attract new customers and engage existing users with exclusive and meaningful content. Such is the power of Social Media that Influencer marketing has become a necessary marketing tool where brands are willing to put their money. An example to quote here is – Feastables the chocolate brand launched by world-renowned Youtuber Mr Beast. The chocolate brand got a huge market of over million followers the moment the Youtuber launched the brand. Feastables by Mr Beast also collaborated with British celebrity chef Gordon Ramsay which also had a huge reach. All Retailers today are focusing on reviews by influencers to reach to the end consumer, and with the huge followers base that these Influencers have – the collaborations mostly are able to garner good sales figures.
Technology is fast evolving and giving the Retail industry many innovations. There are many new players in the market like the most recent Open Network for Digital Commerce (ONDC). Consumers can place the food or product order directly on ONDC cutting away the middleman. ONDC enables Retailers and consumers to interact with each other without the need of a third-party application.
This will help in reducing the cost for the consumer. In the food sector, ONDC is reportedly delivering at a lesser cost than Zomato and Swiggy already. This is sure to make e-Commerce more inclusive and accessible for the Indian consumers. All this combined with the mega transformation in user experience that has been enabled by Metaverse will go a long way in reshaping the future of Retail in India. And as per industry leaders, this is just the beginning.
(The author is Mr Ayush Dugar- Marketing Head at Impact Mints, and the views expressed in this article are his own)
