New Delhi: The average bill value for essentials has gone up 1.5 times after the lifting of lockdownؙ according to a report by ANAROCK & Retailers Association of India (RAI).
The category is expected to fuel Indian retail industry’s growth in the coming quarters as consumer expenditure continues to remain focused on essentials—particularly food and grocery.
The median basket value now stands at more than Rs 900 as against the Rs 650 in early March, the report said.
Essentials like food and grocery, apparel, electronics, furniture and quick service restaurants are expected to see V-shaped recovery within two to three quarters, it said. However, beauty, wellness and personal care and home essentials are likely to take up to four to six quarters to recover.
The report further said that omni-channel retail has taken the center stage and malls are doubling as urban warehouses to ensure fast delivery.
As hygiene and sanitation is of prime importance in malls, touchpoints automation and digitalisation are the new normal.
Anuj Kejriwal, MD and CEO, ANAROCK Retail said that Covid-19 will work as a catalyst for the growth of organised retail and e-commerce in India. “Online spending is on a marked rise with online shoppers projected to increase from 15% in 2019 to 50% of the total online population by 2026,” he added.
The report titled ‘Indian Retail – Certainty Despite Headwinds’ also added that digitally influenced spending is estimated to reach $550 billion (30-35% of all retail sales) by 2025 from $45-50 billion (8-10% of all retail sales) in 2016.