A Comprehensive Study on Organized Retailing with Reference to Customer Preferences and Customer Loyalty in Indian Context
The initiation of economic reforms made globalization an indispensible observable fact across all the countries irrespective of some protestations from a few parts of the globe. Globalization in quintessence means free trade of goods and services, capital, intellectual skill and knowledge among different countries. This in turn offers variety of products and services to the global market. Due to which the market has become highly heterogeneous and complex and also made the competition stiffer among the marketers. The needs, tastes and preferences of the customers are rapidly changing at a much faster rate. In order to sustain this highly ever changing customer’s needs, tastes, demands and preferences, the marketer need to be more organized to withstand and sustain the highly competitive market. Changing customer demand and lifestyle in turn has given rise to organized retailing in India. Retailing is one of the rapidly growing sectors in the service industry. It is one of the active and attractive sectors of the last decade and has become an intrinsic part of everyday lives. This emerging market is witnessing a significance change in its growth and investment plan. There is a stiff competition between the retail giants organized sector and unorganized kirana shops. The organized retail formats rapidly emerged in India because of the economic fundamentals, nuclear families, easy financing options, increase in the population of working women, rising disposable income, Dual Income No Kids. But its impact on unorganized sector is severe. It will take over the profitability and presence of unorganized sector in the years to come. Irrespective of that, organized retailers facing problems such as rigid tax structure, inadequate infrastructural facilities, high cost of real estate, stringent foreign direct investment FDI policies etc. Because of the support of government and the buying nature of the Indian consumer, unorganized retail sector is still predominating over organized sector in India, unorganized retail sector constituting 96 of total trade, while organized retailing accounts only for 4 . In the near days to come the entire gamut may get changed due to technological advancements and changing lifestyle of customers. Finally it develops a model for strategizing the marketing for retail industry.
Competitive Advantage, Consumer Perception, Loyalty, Organized retailing