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

Organized Retail Market Trends

• Increasing use of technologies like AI, IoT, and Analytics: The use of advanced technologies like Artificial Intelligence (AI), Internet of Things (IoT), and Analytics is transforming the organized retail market. These technologies are helping retailers to improve their operations, provide personalized shopping experiences, and make data-driven decisions. According to a report by Capgemini, 28% of retailers are deploying AI today, up from 17% in 2017. For instance, Walmart uses AI to monitor its inventory and predict which products will be in demand. Amazon uses AI to provide personalized product recommendations to its customers. The integration of physical stores with online platforms, known as omnichannel retail, is another major trend in the organized retail market. According to a report by Harvard Business Review, customers who used multiple channels to shop spent an average of 4% more in-store and 10% more online than single-channel customers. The increasing use of technologies like AI, IoT, and Analytics is driving the growth of the organized retail market. These technologies are enabling retailers to enhance their customer experience, improve their operations, and stay competitive in the market.
• Growth of e-commerce: Brick & mortar retailers are incorporating engaging experiences via cafes, entertainment zones and activity areas to drive footfalls. Apps provide digital coupons, trail maps and prompts for in-store events like new product launches or festive activities. Augmented reality fitting rooms, smart mirrors, interactive displays enhance the shopping experience while collecting customer data. Experiential retail enables retailers to charge premium pricing and build distinctive brand identity. The growth of e-commerce is also driving the growth of mobile commerce or m-commerce. According to a report by Business Insider, mobile commerce is expected to account for 45% of the total U.S. e-commerce market by 2024.

Global Organized Retail Market Regional Insights

• North America is the largest organized retail market in the world, with a market share of over 30%. The region is home to some of the world's largest retailers, such as Walmart, Costco, and Target. The North American organized retail market is characterized by its high penetration of e-commerce, as well as its strong focus on customer experience.
• Europe is the second-largest organized retail market in the world, with a market share of over 25%. The region is home to a number of leading retailers, such as Carrefour, Tesco, and Metro. The European organized retail market is characterized by its diversity, with different countries having different retail formats and preferences.
• Asia Pacific is the fastest-growing organized retail market in the world, with a market share of over 40%. The region is home to some of the world's fastest-growing economies, such as China and India. The Asia Pacific organized retail market is characterized by its strong growth in e-commerce, as well as its increasing focus on modern retail formats.

Figure 1. Global Organized Retail Market Share (%), By Region, 2023