The Indian retail market would grow at a CAGR of around 10 percent during
2007-2012 and a fresh opportunity of approximately $1000 billion for organized
retail would be created by 2025, according to a study by management consulting
company Zinnov.
The study adds that three percent of the $330 billion Indian retail market is
organized and is expected to grow at CAGR of 37 percent to reach $23
billion by 2010.
The study examines the current scenario of the Indian retail industry and the
opportunity that exists for the card based payment solutions within the retail
point of sale (POS) solutions market.
The entry of international retailers, massive investment by traditional and
modern Indian retailing fraternity would help the growth of organized retail in
the country. The prime driver of growth, however, will be the rising consumer
expectation, says the report.
The report highlights that the booming retail industry in India would adopt
new age technological solutions for its payment related issues to cash on the
spurt in usage of plastic money.
The report adds that as in 2002, the card based POS terminal penetration
stood at 0.3 percent (which meant for every 311 retail shops there was one card
based POS terminal).
The penetration is expected to increase to about 4.6 percent according to the
study.