This paper focuses briefly on the recent trends which are followed in Apparel retailing. Retail business in India has transformed from traditional mom and pop stores to big retail chains. We can witness the fact in this article what factors are going to bring about a change in the retail sector with special reference to Apparels. The paper below is volume I which gives a thought towards new trends followed in Apparel Retailing.

Introduction to organized retailing:

The Retail business in India is witnessing a transition towards organized retailing that means the business models are being affected by the way they do business. The retail sector in India is witnessing a huge revamping exercise as traditional markets make way for new formats like hypermarkets, supermarkets, Discount store formats and specialty stores. Western-style malls have begun appearing in metros and second-rung cities alike introducing the Indian consumer to a shopping experience like never before. By knowing the fact that changing business patterns in India let us understand what are the factors being introduced in the retail outlet which is making a change. Credible factor in the prospects of retail in India is the increase in the young working population. In India, hefty pay-packages, nuclear families in urban areas, working women population is driving the service sector which we call as Retail.

Apparel Retailing:

Apparel is the second largest category in the Indian Retail Business. It is predicted to grow by 12-15% every year. By the end of 2010, retail malls are expected to grow two-fold and by the end of 2015, major retail developments will be seen in all Tier-II and Tier-III cities in the country.

International retail giants are seeking entry into the country. Marks & Spencer is planning to set up around 30 more stores in the period of 5 years. Currently FDI is permitted only in single brand retail outlets. Mahindra Retail- a part of the Mahindra Group is planning to invest $19.8 million USD by 2010 in its specialty retail store Mom and Me.

India is now on the radar of global retailers. Accelerated development of the retail industry in the country and building brand value of domestic products is essential not only for marketing the consumer products more efficiently, but also for the development of the retail industry.

Understanding Apparel Retailing and factors required for transition into organized business:

The term Retailing means breaking bulk. This means assortment of goods and services delivered directly to the consumers.

Recent Trends followed in Retail Business:

  • Unorganized retailing is getting organized: To meet the challenges of organized retailing such as large multiplexes and malls, which are backed by the corporate houses the unorganized sector, is being organized. Bangalore Central-format, e-mart models, catalog models for electronic goods purchases formed which are aggregations of Kirana store format.

  • Visual Merchandising: Biggest challenge for organized retailing is to create a customer-pull environment that increases the amount of impulse shopping. The way in which you display the Apparel products like T-Shirt, Jeans or Trouser you are stimulating a consumer to buy it. By making use of right software, we can call it as Smart Visual Merchandising. Consumers have shopping experience with Interactive Displays.


  • Online Retailing: Companies can make use of Websites or web portal or tie-ups with horizontal players like Rediff.com, Indiatimes.com, and other Internet players to offer products to the consumers.

On January 02, 2007 Pantaloon Retail (India) Limited (PRIL), launched its online retail arm, futurebazaar.com. This marked the entry of India's leading retail chain into the online retail segment1

  • Emergence of discount stores: They are expected to spearhead the organized retailing revolution. Stores trying to emulate the model of Wal-Mart.

  • Mass Media: A supermarket has limited area of operation. It caters to customers of a city (and/or its suburbs), but a web site can be accessed from any part of the country or for that matter from any part of the world, thus increasing the potential customer base.

Certainly all the above factors will lead to organized way of doing business in retail. To add on to these points, there are few more factors which drives the business like Demographics, Growth in income and value-added goods.


Organized Retailing is the thing of near future .Organized retail business is already being followed in US, France, UK and other European countries. The time for next big changes here are yet to happen and I am sure that our lifestyles will soon be changed by the way we witnessed changes in other technological advancements hitting our way of life like mobile phones, Palm Tops and Airline Industry.


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About the Author

The author is Trainer and Consultant for Apparel Retail Management and IT.

1 Pantaloon launches e-retailing portal," www.business-standard.com, January 03, 2007