77% of retailers plan to expand their businesses by diversifying product offerings, entering new markets, and exploring new channels, while 87% are open to adopting new opportunities to enhance capacity and capabilities, reveals NeoGrowth’s NeoInsights Study, titled Unlocking Generational Preferences among Indian Retailers. According to the company, the report is a result of surveying nearly 3,000 MSMEs across over 25 cities in India to examine generational differences among retail business owners. Additionally, 96% of experienced, and 89% of young and middle-aged retail business owners prefer selling via physical stores, reflecting continued reliance on traditional retail methods.
“MSMEs are the biggest drivers of India’s economic growth. While Indian retailers are fast integrating digital tools seamlessly to transform shopping experience, majority of these retailers continue to prefer the convenience of a physical store in order to forge stronger bonds with their customers. At NeoGrowth, we recognize this dynamic approach as a harmonious blend of traditional values and digital advancements, perfectly aligned with contemporary consumer expectations,” Arun Nayyar, managing director and CEO, NeoGrowth, said.
Retailers cited profits and growth at 50% and prior industry experience at 25% as key motivators for starting businesses. 50% claim that fulfilling family aspirations, 48% voted for repeat or referral customers and 42% voted for employee growth as indicators of success. Furthermore, social media is a tool for 58% of young retail owners to generate business,
Three-fourths of respondents believe India provides a conducive environment for business, with optimism highest among experienced retailers at 86%. More than 50% of respondents are leveraging government initiatives like Make in India and Digital India to support growth through infrastructure and digital tools. Referrals were the primary customer acquisition strategy for 78% of experienced retailers, while 58% of middle-aged retailers prioritised improving their physical storefronts.