In the last few years there has been tremendous growth in the retail sector and going by the current rate it is estimated that this business would have a value of $637 billion by the year 2015 from the current value of $300 billion. India has one retail outlet per 90 people, one of the highest in densities in the industry in the world. Most part of the sector is unorganized and only three percent falls into the organized sector. 

It is India’s largest industry right now and is contributing ten percent to the country’s GDP. India is the 9th largest retail market and food groceries and general merchandise, apparel, consumer durables, food services and home improvement are the top categories in the organized segment. Indian government realizes the potential of this sector and is giving it full support. Not many companies have been successful in this sector, investment in the sector is very heavy and only few players have excelled over the years. The organized retail growth is expected to grow stronger than GDP growth in the next five years driven by changing lifestyles, strong income growth and favorable demographic patterns says a KPMG report.