Organized Retail Market SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (undefined)

Organized Retail Market Analysis

The Organized Retail Market size is expected to reach US$ 37.82 Billion by 2030, from US$ 28.34 Billion in 2023, at a CAGR of 4.2% during the forecast period. Organized retail refers to trading activities undertaken by licensed retailers, that is, those who are registered for sales tax, income tax, etc.

Global Organized Retail Market Analysis

The Organized Retail Market is segmented by product type, ownership, price range, shopping experience, location and region. By product type, the market is segmented into food and grocery, health and beauty products, clothing and footwear, home furnishings and consumer electronics and others. The food and grocery segment accounted for the largest market share in 2022. The high growth of this segment is attributed to factors like growing preference for one-stop shopping experience and increasing demand for fresh & hygienic food products.

These include hypermarkets, supermarkets, department stores, convenience stores, and specialty stores located in malls, high streets or other such places. The organized retail sector provides a seamless shopping experience through clean, air-conditioned and orderly outlets. The market is driven by factors like rising disposable incomes, growing middle class, rapid urbanization and changing lifestyles.

• Increasing awareness about organized retail stores: Organized retail stores refer to a retail business that is run by a registered company and operates in a systematic and planned manner. These stores include supermarkets, hypermarkets, department stores, and specialty stores. They offer a wide range of products and services, and often provide a more comfortable and convenient shopping experience for consumers. According to the United Nations, 68% of the world population is projected to live in urban areas by 2050, up from 55% in 2018. This shift towards urban living is leading to a change in consumer lifestyle and shopping habits, with more people preferring to shop at organized retail stores. Consumers are becoming more aware of the benefits of shopping at organized retail stores, such as a wider product range, better quality control, and improved customer service. This growing awareness is driving more consumers towards organized retail stores. And the advent of technology in the retail sector is also driving the growth of organized retail stores.
• Government Support: Government policies and reforms are helping boost growth of organized retail in countries like India. 100% FDI is now permitted in B2B e-commerce and up to 51% in multi-brand retail. Industrial reforms make it easier for foreign retailers to invest and acquire local chains. Government initiatives like Make in India, Digital India, and Startup India are helping create infrastructure, improve broadband connectivity and digital payments ecosystem - supporting expansion of organized retail. Tax reforms like GST also promote organized trading by removing inter-state barriers