The journey of the Indian retail sector has been a tale of remarkable resilience, after facing an 8.5 per cent decline during the pandemic, to reach USD 836 billion in FY 2022.
Several factors contributed to this resurgence, including the recovery from the pandemic, the rapid growth of digital commerce, the growing penetration of the internet across the country, and a rise in foreign investment.
The impressive growth and endless potential that lies within the dynamic world of retail media, along with the combination of advertising technology creates a plethora of opportunities, offering retailers novel ways to engage with their desired audience.
In the wake of this evolutionary surge, a multitude of new players have entered the retail media arena, injecting positive developments that fuel innovation and encourage healthy competition. However,
this influx also carries the potential to introduce complexity and confusion for retailers, brands, and consumers alike.
Amidst this transformation, the question emerges: how can this multifaceted landscape be brought together for the benefit of all stakeholders? Let us look at a few pivotal actionable strategies that can redefine the way businesses approach retail media.
Democratising Digital Commerce
A game-changing development that has reshaped the retail landscape is the introduction of the Open Network for Digital Commerce (ONDC). Recognising the pivotal role of digital commerce in India’s retail, it aims to democratize the e-commerce landscape fostering transparency, healthy competition, and inclusivity in the industry while empowering the consumer.
Acting as a gateway connecting buyers and sellers across networks, ONDC provides consumers with an expanded array of options to choose from. This neutral and regulated platform catalyzes innovation, cost efficiency, and consumer protection and inclusion, breaking down language and cultural barriers by offering regional languages to appeal to a diverse consumer base.
Omnichannel Experience
As more and more companies embrace an omnichannel strategy, the barrier between online and offline buying is quickly diminishing. This approach enables businesses to provide a consistent and seamless shopping experience across multiple touchpoints. Using advanced technology, the sector focuses on creating an immersive experience that combines the convenience of e-commerce with the sensory engagement of a physical store.
Emerging technologies, like 3D virtual stores, facial recognition systems, and remote product testing, have reduced the reliance on physical stores by emphasizing the importance of transitioning to an omnichannel model. Retailers aiming to thrive in this environment must integrate technology wisely, creating a seamless blend of digital and physical interactions.
Inclusivity as the Cornerstone
India’s retail market has over the years grown to encompass a wide range of buyers and vendors. The broad adoption of technology and the ONDC platform serve as a testament to this inclusion. As the retail industry expands, India’s upcoming ecommerce standards, which are in line with consumer protection regulations are expected to introduce a more customer-centric approach.
With so many opportunities for businesses to interact ethically, innovate together, and navigate strategically, the retail industry in India is an alluring proposition amidst this disruptive wave.
A joint report by Anarock and the Retailers Association of India (RAI) predicts the country’s retail market to reach USD 2 trillion by 2032, solidifying India as the fifth-largest global destination for retail investments and highlighting its robust market potential.
In the pursuit of a share in the booming retail media industry, many organizations tend to emphasize short-term capabilities.
However, the true path to success is rooted in strategic alignment and unlocking success via partnerships. Partners can provide access to new markets, resources, and expertise that can drive consistency, accelerate growth, and enhance results.
Successful partnerships can also enhance brand reputation and customer loyalty by offering a more comprehensive and seamless experience. To advance as a leader in the industry, play to your strengths, continuously refine your approach, and adapt to the changing market dynamics whilst maintaining a competitive edge.
By Ashish Sinha,
Managing Director- Epsilon APAC & MEA
