More than 50 global retailers planning to enter Indian market, to open 3,000 stores
Brands such as Korres, Migato, Evisu, Wallstreet English, Pasta Mania, Lush Addiction, Melting Pot, Yogurt Lab and Monnalisa among others are planning to invest around USD 300-500 million in the next six months.
India may soon witness entry of more than 50 mid-level global retailers into its retail market. The retailers have tied up with Franchise India, a retail solutions provider, and will mostly be eyeing the smaller, untapped markets within the country, reports Economic Times.
Among others, brands such as Korres, Migato, Evisu, Wallstreet English, Pasta Mania, Lush Addiction, Melting Pot, Yogurt Lab and Monnalisa, some from US, Singapore are planning to invest around USD 300-500 million and will open about 3,000 stores.
The brands are looking to tap into the country’s expanding economy and booming consumption which are backed by a growing urban population and a middle class with rising standard of living.
According to a report published by AT Kearney earlier in the month, India has replaced China as the most promising retail market in the world.
Apart from a growing economy, these retailers find reforms such as permitting 100 percent ownership in business-to-business (B2B) e-commerce businesses, and Goods and Services Tax (GST) which will bring uniform tax system across the nation, as a big boost to invest in India.
The inability to find further growth in their home market is also one reason which drove these retailers to look offshore in booming countries like India.In 2016, the Indian retail market stood at a whopping USD 641 billion. With a compounded annual growth rate of 10 percent, an India Business of Fashion 2017 report estimate that by 2026 the retail market in India will be worth USD 1.6 trillion.