modern trade vision 2020 for india

Presented by:Rushali Nagvekar

Pratik MeshramAliasgar Mandsaurwala

MODERN TRADE

CHANNEL- VISION 2020

Question Modern Trade

Current Scenario

Future Trends

Challenges Enablers

Future Ready

Certainty of

GrowthConclusio

n

WILL MODERN TRADE BE ABLE TO BEAR THE HEAT OF

E-COMMERCE?

Current scenario

• 2015 - 70 USD Billion • 2010 - 20 USD Billion • 2005 - 10 USD Billion

Present Disruptors• The price war• Exclusivity in products• Greater convenience for shoppers• Mobile and related technologies• Evolving nature of the physical store

Future Trends

CHALLENGES TO MODERN TRADEEXTERNAL

• High real estate cost 

• High personnel cost 

• Lack of basic infrastructure

• Shrinkage

• Highly competitive retailers 

INTERNAL

• Frequent stock-outs

• Long check out lines

• Cumbersome returns

•  Footfalls but not commensurate revenue

ENABLERS

• Multi-channel Offering

• Digital Innovations

• Enhanced Customer Experience

• In-Store Personalization

• Creation of Private Labels

Future is Already Here

Digital Signage

Augmented Reality

Beacon Technology

In-Store Analytics

Socially Coordinated and Geo-localization Applications

Personalization

CERTAINTY OF GROWTH

• Rapid growth in Modern Trade driven by 4 factors: Income growth (3 times

increase) Urbanization Nuclearization Attitudinal shifts

• 3 key trends to drive this growth in Modern Trade: Rapid consumer evolution

o Greater brand recognitiono Trading up o Need for modern shopping environment

Supply side evolutiono New entrantso New formatso Differentiated strategies

Positive regulatory environmento Reduction of multiplicity of taxes (GST)o Promise of increasing ease of doing

business

Lifestyle changes

EXPERT OPINION

“HUL expects Modern Trade to grow faster than E-Commerce”- HUL Employee’s Perspective

THANK YOU