Fashion Retail is the largest segment in Indian retail - where is it going ?

1. Trends that will shape the 2020
fashion retail market in India
Gurpreet Wasi, Principal Consultant, IMRB Retail

2. Where are we now ?
Corporatised
Fashion worth
USD 40 billion,
That’s 19 % of
the total market.
Expected to be
25 % in the
next 5 years.
Top 24 Indian
cities contribute
USD 21 billion
(56% of total
corporatized
retail)
Source : Textile and apparel compendium (2012)-- Technopak

3. Where are we going ?

4. Where are we going ?
• Poised to be the world’s youngest emerging
economy by 2020, with 64% population in
the working age group ( 20-35 years)
• This young consuming class will be confident,
modern and ambitious…but also
heterogeneous
• Will demand personalisation even within the
same region, ethnic group, income level and
age range.

5. Where are we going ?
• New growth will be driven by penetration beyond
Metros and Tier 1 and development of alternative
retail models – Digital will be the new high-street
• Womens wear will see the fastest growth as more
Indian women adopt western wear while personalising
wardrobes with ethnic and fusion
• Will become even more competitive & fragmented
industry where significant competitive forces will result
in reduced sale, increased costs, and lower prices of
the products and/or decreased margins.

6. The 2020 fashion Consumers
Trends that will define new consumption !
1. Concept of the ‘Quantified Self’ : from just a
size on the rack, technology will leapfrog to
quantify every intimate details for
meaningful and useful insights. The new
customer will demand this intimacy and
personalisation

7. The 2020 fashion Consumers
Trends that will define new consumption !
2. Changing Life Stages : Age defined landmarks
will start blurring as life stages rather than
simple ages will become the segmentation
norm. Motherhood in the 40s, First beach
holiday in the 60s, silver haired entrepreneurs –
the shift will be too conspicuous to ignore

8. The 2020 fashion Consumers
Trends that will define new consumption !
3. Wearable Tech : Google glass, smart
wristbands to the iwatch, there is a healthy
interest already. But increased marketing energy
in the coming years is bound to make the
concept grow quickly

9. The 2020 fashion Consumers
Trends that will define new consumption!
4. Thrifty we will be : Modest economic growth,
static living standards, spoilt by deep
discounting and because of our deep rooted
cultural caution we will be price sensitive
discount hunters, relentless value maximisers
and savvy budgeters

10. The 2020 fashion Consumers
Trends that will define new consumption!
5. Culture of Immediacy : We are heading to be
a wired and super functional community where
everything can be and has to be now. In a new
world where tech is making it impossible to be
ignorant, the buzzwords of the future will be :
Informative, educative & personal. And NOW.

11. • Thank you