India 2020:- It's Retail Retail Everywhere

The first time, when the father if Indian Retail, Mr. Kishor Biyani comes with his idea of Indian retailing, it was a huge landmark in Indian market. Biyani's Big Bazaar becomes a brand name in small cities as well as metros. At very beginning, the people treated it for their entertainment purpose. sometimes a huge variety of peoples came for just time pass. But time per time, the prospect ratio increased and now it is a need for the people of all cities. If in any city, Big bazaar's store is available, then customers first choice will be that. the easy availability of all articles at a place, quality of products, lack of time with people, make them addicted to these stores.

Now a days, the people of rural areas are also looking for such kind of retail stores. There are also some companies which are focusing on rural areas and quite successful. Hariyali Kisaan Bazaar, Vishal Mega Mart are among those companies which are best sellers in rural areas. The attractive outlets, modern technology and cheeper prices of these stores attracts rural customers much more. This shows the future of retail in vast rural market of India where 70% of the population resides in rural areas.

The Indian Retail industry is not only depend on our domestic companies, but the MNCs are also entering or ready to enter in Indian market. In the year 2008, world's top company Walmart entered in Indian market with collaboration with Bharti. The biggest retail gaint of Europe, "Carrefour" also set up it's first outlet in India. Apart from these, there are also a plenty of companies are planning to entered in Indian market. This shows the future of Indian retail.

So, what will happen after 2020, Will retail retail everywhere. It will be quite good for customers but at the same time, it will directly hit wholesale market as well as major manufacturing giants. Because, day per day, the counter-fights between the branded products and the own products of these stores increasing.

The Overview of Indian Retail Market:-

Total Market size :- US$ 392.63 billion in 2011
Expected Size :- US$ 674.37 billion by 2014

Driven by the growth of organised retail coupled with changing consumer habits, food retail sector in India is set to be more than double to US$ 150 billion by 2025, according to a report by KPMG.

ndia has been ranked as the third most attractive nation for retail investment among 30 emerging markets by the US-based global management consulting firm, A T Kearney in its 9th annual Global Retail Development Index (GRDI) 2010.

Foreign direct investment (FDI) inflows between April 2000 and October 2010, in single-brand retail trading, stood at US$ 197.04 million, according to the Department of Industrial Policy and Promotion (DIPP).

Carrefour, the world’s second-largest retailer, has opened its first cash-and-carry store in India in New Delhi. Germany-based wholesale company Metro Cash & Carry (MCC) opened its second wholesale centre at Uppal in Hyderabad, taking to its number to six in the country.

Electronic retail chain major, Next Retail India, plans to open 400 showrooms across the country during January-March 2011 increasing the total number of retail stores to 1,000 by the end of the fiscal year 2010-11.

Jewellery retail store chain Tanishq plans to open 15 new retail stores in various parts of the country in the 2011-12 fiscal.

V Mart Retail Ltd, a medium-sized hypermarket format retail chain, is set to open 40 outlets over the next three years, starting with 13 stores in 2011, in Tier-II and Tier-III cities.

Reliance Retail, the wholly owned subsidiary of Mukesh Ambani's Reliance Industries, is set to open 150 stores by the end of March 2011 and double the number of stores across the country in all formats within five years.
Future Value Retail, a Future Group venture, will take its hypermarket chain Big Bazaar to smaller cities of Andhra Pradesh, with an investment of around US$ 1.54 million to US$ 4.41 million depending on the size and format.
RPG-owned Spencer's Retail plans to set up 15-20 new stores in the country in 2011-12.


Spar Hypermarkets, the global food retailing chain of the Dubai-based Landmark Group, expects to start funding its India expansion beyond 2013 out of its local cash flow in the country. So far, the Landmark Group has invested US$ 51.31 million in setting up five hypermarkets and plans to pump in another US$ 51.31 million into the next phase of expansion.

Leading watchmaker Titan Industries Limited plans to invest about US$ 21.83 million for opening 50 premium watch outlets Helios in next five years to attain a sales target of US$ 87.31 million.

British high street retailer, Marks and Spencer (M&S) plans to significantly increase its retail presence in India, targetting 50 stores in the next three years.
Spain's Inditex, Europe's largest clothing retailer opened the first store of its flagship Zara brand in India in June 2010. It further plans to open a total of five Zara outlets in India.

Bharti Retail, owner of Easy Day store—supermarkets and hypermarts—plans to invest about US$ 2.5 billion over the next five years to add about 10 million sq ft of retail space in the country by then.

So, Now we can say that "IT'S RETAIL RETAIL EVERYWHERE" in India till 2020.

A JOURNEY FROM "GERM FREE PEOPLE TO GERM FREE TOILET"

Well well well, I am not going to describe the work or contribution of a political leader or social service professional.Rather it is the different activities of HUL. I am drawing your attention about HUL's different social and wale fare activities.

Last year, HUL comes with a social induction program known as "Healthy India" under it's flagship brand Lifeboy soap. In that program, the company was committing to make a germ free India and healthy people by using it's soap.The program was not a landmark success, but it was a good promotion for it's brand.

Now days, The company comes with another wale fare program called, "awareness about toilet hygiene" through it's flagship brand, 'Domex'. Under this program the company Aims to clean 2000 toilets across India within two weeks. As part of this campaign Domexhas launched a new TVC. The TVC hasa toll-free number on which viewers can call to requestforcleaning of any dirty toilet in their vicinity - be it apublic toilet at apark, school, or any other public place. The Domex-Squad,ateam for implementing this hygiene drive, is then activated and takes the responsibility of cleaning the toilet. The Domex-Squad will take down all the requests till February 28 th and the cleaning process is scheduled from March 15th to 31st.


This is the story of social services performed by India's No.1 FMCG company HUL. But if we deeply think about it, we will find that Really these are social service or just a modern approach of sampling and brand promotion? only consumers can give the answer of the question. But one thing is clear the HUL takes dual profit from these activities. One side, they collects a lot of good wishes from all every person due to their social activities and on the other side, they easily promote their products.

On the behalf of "The World of FMCG", I Pravin Tripathi wishing HUL a very good luck and thanks for their social services.

Indian Railway :- It's Enough for IRCTC, it should be Changed.

Imagine, you are travelling in train and wants to have a tea or coffee, but finally you found the same testless tea/coffee of IRCTC. At the time, the whole enjoyment to take a taste of tea goes to vein, only frustration arises. It is not your own story, but it is the story of 15 million people who travels every day by different trains of Indian railway network.Everybody dissatisfy with the poor services of IRCTC. But nobody opposes because everybody ignores this due to only a mare journey. But is this a excuse? everytime we tolerate them due to journey. At the same time, we should think that it is not only our own matter but it is a matter of repudiation of out nation. Because, there are a lot of foreign tourists, travellers and other dignity prsons are also travells by these trains. So, why not our govt. looking upon this matter. If IRCTC is unable to provide best services, then there should be privatisation in catering division og railway. The catering authority should be given to private companies. As the result there will be dule benifit, One side, the passangers will get better services as well as the revenue of govt. also increases.

We are waiting to enjoy a taste of Costa Coffee or Georgia in trains replacing the tasteless tea of IRCTC. Because at the present time, passengers dont bother to carry a bag full with eateries and beverages, but they are expecting to a better service from railway pantry team. So, Railway should be meet ther commitments.

Instant Noodle Market :- A New Battle Field For Top FMCG Players

There was a time in the early 90s when noodle market enters in India. At the time, it was very new concept for Indian people. So, many big players like HUL, ITC etc. didn't enterd in it. But it was Nestle , "A Good Food Good Life" India's top company of baby foods taken the big risk to entering in instannt noodle market. At the begning, it was very steady market and it seems like a flop decision for the company. But as the time passed, the eating habbit of Indian people going to change time to time. At early days, noodles used as a tiffin for children for their school. But it's concept changes time per time. Now days, noodles are most prefential food for youth generation as well as working class persons in metros. Sometimes peoples uses it as their lunch or dinner due to it's quick process and easy avilability.

Now a days, the total value of instant noodle market in India is Rs.1300 crore. There are more competition in this market and it is increasing year per year. The Rs 1,300-crore instant noodles market in India is in a state of war, with three new players having thrown their hats in the ring over the last one year. Who will win the battle for the consumer’s heart?

The year 2010 marked the end of the instant noodle market as we know it. For two decades, consumers had a single brand of noodles to dig into — Maggi — giving Nestle over 85 per cent share of the market. Players such as Indo-Nissin’s Top Ramen, Capital Foods’ Ching’s Secret and Smith & Jones and CG Foods’ Wai-Wai tried to make a dent but failed to take up more than 10-15 per cent of the Rs 1,300-crore market.

Now food companies seem to have woken up to the potential of the category growing at a consistent 20 per cent for the last few years. Three new entrants have thrown their hats into the ring over the last one year: Hindustan Unilever (HUL), GlaxoSmithKline (GSK) and ITC with Knorr Soupy Noodles, Horlicks Foodles and Sunfeast Yippee! respectively.

So, the entry of to FMCG players in noodle market shows that in the comeing years, the monopoly of Nestle from Indian noodle market will be in trouble. But one thing is clear that consumers will definetly enjoy a diffrent quality of teastes in noodles.

A DIFFERENT TEA WAR:-

The days of cold drinks are now coming to an end. Now the era of cold tea is entering into Indian market. In metro cities, more than 60%peoples preferred cold tea in place of cold drinks. So, why our cold drink majors are keep quite? That’s why major rivalries are entering in this segment. You are right thinking, I am talking about Coke India and PepsiCo. The both companies are entering into iced tea segment in India. But this time they are not alone, these companies are entering with joint ventures with other companies.
The world’s largest food company, Nestle shakes hands with the world’s largest beverage company Coca Cola with the name of Beverage Partners Worldwide (BPW). They launched their first ready to drink beverage, Nestea , in India. PepsiCo is not very far, they made a 50:50 joint venture with Tata Global Beverage in the arena of non-carbonated ready to drink health beverages with a mandate to do business globally. Add to this another joint venture for Lipton Iced tea, where PepsiCo has an alliance with unilever.
The auction begins against a backdrop where the health and wellness beverages category, which these three ventures target, is predicted to grow at 22 percent per year and reach Rs. 17350 crore by 2015, according to consulting company Tata Strategic Management Group. As BPW launched Nestea beginning with Mumbai, a market that it claims is the country’s largest for iced tea.
At the present time, one out of 10 customers visiting coffee chains ask for iced tea, the market is still niche and moving at a painfully slow pace, say rivals. According to experts, it is very tough category in India, because the Indian peoples are still looking for hot tea. But if you considers what the TSMG report says, “Yoghurt drinks, fruit juice, energy and sports drinks are likely to be the fastest growing beverage categories’, reaching eight time their aggregated current size by financial year 2015.”
The future is unpredictable, but one thing is very clear the we peoples will enjoy the different tastes of iced teas. On the behalf of THE WORLD OF FMCG, I Pravin Tripathi wishing COKE and PEPSICO a great luck.

Namaste Europe

New Delhi, Nov 16, 2010: Dabur India Ltd today acquired 100% equity in Namasté Laboratories LLC and its three subsidiary companies -- Hair Rejuvenation & Revitalization Nigeria Limited, Healing Hair Laboratories International, LLC, and Urban Laboratories International, LLC along with its South African arm – for $100 million, in an all-cash deal. This marks Dabur’s entry into the fast-growing $1.5-billion ethnic hair care products market in U.S., Europe and Africa.

“This acquisition is in line with our strategy to build a global presence in the international FMCG market,” Dabur India Ltd. Chairman Dr. Anand Burman said. “The Namasté Group has a complementary product mix that can be easily integrated with Dabur and will also serve as a gateway to the US market for our portfolio of consumer products. This transaction will also enhance our profitability, increase stakeholder value and substantially add to Dabur’s already strong presence in Africa, serving as one of the key pillars in strengthening our competitive position in the African continent.”

The transaction is expected to be completed by the end of the 2010 calendar year, subject to regulatory approvals in the US. Mr. Gary Gardner, founder and CEO of Namasté, along with the well experienced management team will continue to run the business as a wholly-owned subsidiary of Dermoviva Skin Essentials Inc -- a subsidiary of Dabur India Ltd. Namasté’s North American sales team will also remain in place, and its existing relationships with retailers, wholesalers, distributors and suppliers will not change as a result of this transaction.

Founded in 1996 to fulfill the needs of the health-conscious consumers of African descent, Namasté Laboratories offers a range of products developed with natural ingredients. Namasté markets a portfolio of products under the Organic Root Stimulator® brand and is one of the leading marketers of hair and beauty products for women of colour. The company controls a 12% market share in the US and enjoys significant market positions in many countries in Africa, the Middle East, Europe and the Caribbean region of North America. It has a strong multi-channel distribution platform across the US in mass, retail, beauty stores and salons.

"We are very excited about this acquisition as it opens up new vistas for our burgeoning overseas business. This transaction will mark Dabur's entry into the hair care market in Africa and add to our already substantial and growing oral care and skin care business in the African continent,” Dabur India Ltd Group Director Mr. P. D. Narang said. “We expect this transaction to provide a tremendous platform for value creation in both the US and Africa. With this acquisition, nearly 25% of Dabur's consolidated revenue would be generated overseas.”

“Over the last few years, Dabur has been following a very disciplined and focused approach to identify acquisitions that represent a strong fit with our business,” Dabur India Ltd Chief Executive Officer Sunil Duggal said. “We have also developed strong processes to manage and integrate these acquisitions, as demonstrated in the successful integration of Balsara, Fem and Turkey's Hobi Kozmetik. We are confident that the opportunities for capitalizing on the strengths of Namasté’s business across our international operations are significant.”

"The entire Namasté management team is excited to be joining forces with Dabur," said Namasté founder and CEO Gary Gardner. "In Dabur, we have found a strategic partner who will help realize our vision of becoming the hair care brand of choice for people of colour worldwide. With their presence in Africa, and with our knowledge of the consumer of African descent, we look forward to building a global presence rooted firmly on the African continent. We believe this partnership will thrive because the two companies complement each other so well and because there is a mutual respect. We know our employees, customers, distributors and retailers will benefit from this great growth opportunity.”

Now Taste Dabur Chyawanprash In Orange & Mango Flavours

In the biggest-ever innovation in the Chyawanprash market, Dabur India Ltd – India’s largest Ayurvedic and natural healthcare company – today launched its flagship healthcare brand Dabur Chyawanprash in two new fruit-flavoured variants – Dabur Chyawanprash Orange and Dabur Chyawanprash Mango flavours.

Dabur India Ltd has also roped in popular Bhojpuri cine star Ravi Kishan for consumer-connect and brand building initiatives for Dabur Chyawanprash. Ravi Kishan has been roped in to lead Dabur Chyawanprash’s effort in spreading awareness about need for immunity through its various below-the-line mass activities, like consumer contact programs, dealer meets etc, in Bihar and Uttar Pradesh.

“This marks two new firsts for Dabur Chyawanprash and for the healthcare industry in India. Consumers have always sworn by the health benefits of Dabur Chyawanprash and we are now offering the same immunity and health benefits of Dabur Chyawanprash in a tastier form with the launch of Orange and Mango flavours. This launch would go a long way in expanding the consumer base for this age-old health tonic,” said Dabur India Ltd Category Head-health Supplements Mr. Praveen Jaipuriar.