Indian Retail Mkt Pegged At Rs 190L Cr By 2034

New Delhi: The Indian retail market is expected to reach over Rs190 lakh crore by 2034 and retailers capable of embracing the country’s diverse demographics and contrasting consumer behaviours stand to gain the most, according to a report.

With distinct consumer groups, each with their own unique needs even within a city, retailers will need to recognise the different opportunities and pick sharply where they want to play to be successful in ‘Bharat’ and ‘India’, said the report prepared jointly by the Boston Consulting Group (BCG) and the Retailers Association of India (RAI).

The retail market in India reached a size of Rs82 lakh crore in 2024, up from Rs35 lakh crore in 2014, growing at over 8.9 per cent in the last decade, driven by the India’s economic growth and an increasingly discerning and diverse consumer base, said the report titled ‘Winning in Bharat & India: The Retail Kaleidoscope’.

India’s consumption growth trajectory has been secular, barring during the COVID-19 pandemic and it is set to witness the highest growth in consumption between 2024-2034, it noted. “The Indian retail market is large and growing, expected to reach over Rs190 trillion by 2034. This expansion has outpaced overall consumption, highlighting the sector’s resilience and strong momentum,” it said.

At the heart of this expansion lies an increasingly discerning and diverse consumer base.

More households are moving into affluence and at the same time, value-for-money remains key to decision-making, hence retailers must strike a careful balance between driving aspiration and maintaining affordability. While there are opportunities to tap, retailers will have to negotiate complexities in order to be successful, it noted.