India – The Great Retail & Consumer Market



India is the world’s fifth-largest global destination in the retail space. India’s retail market is expected to increase by 60% to reach US$ 1.1 trillion by 2020 with total consumption expenditure expected to reach US$ 3,600 billion by 2020 from US$ 1,824 billion in 2017.

With a GDP growth rate of around 7%, India has an edge over developed markets of the US, Europe and Japan which are expected to grow at a rate of 2-3%.

Retail Surge



Apparel, which is the 2nd largest contributor in retail industry growing at 9.7%. Currently $85 billion, the domestic market for apparel and lifestyle products is expected to reach $160 billion by 2025 with ready-to-wear category having 84% market share at $56 billion and growing at 10-11%.

Athleisure is the fastest growing segment in fashion growing 20-25% y-o-y and Active wear is estimated at US$ 1.2 billion.

Lingerie is growing at 14% and expected to reach US$ 8.6 billion in 2026.

Fashion Labels & Brands



Apparel, which is the 2nd largest contributor in retail industry growing at 9.7%. Currently $85 billion, the domestic market for apparel and lifestyle products is expected to reach $160 billion by 2025 with ready-to-wear category having 84% market share at $56 billion and growing at 10-11%.

The policy to allow 51% FDI in multi-brand retail and 100% FDI in single-brand retail under the automatic route is what has attracted big and small companies into India.

Brands, whether local or international are also increasing their sourcing from within and from out of India. International retailers like H&M, Zara, Marks & Spencer, international brands and private labels like Gap & Puma, domestic retail giants like Future Group, Shoppers Stop etc. are sourcing in a big way from other South Asian and South East countries as well.

e-Commerce Phenomenon



The Indian e-commerce market is expected to grow to US$ 200 billion by 2026 from US$ 53 billion in 2018. This phenomenal growth will see two out of three apparel purchases and seven out of 10 fashion accessory purchases influenced by mobile by 2022. Apparel is the second largest contributor to online retail sales at 29%.