C&L October 2017_LR (5)

Cover Story
that is an area where retailers have to do more.
With the variety of technology, whether it is
through big data, artificial intelligence IoT, a lot
of this data that can be embedded into the physical
world.
Today, retailers are using predictive analytics
to data optimize customer experiences by identifying
the most valuable big data streams and
integrating cross-channel data requirements
for targeting customers, This data is also being
used for understanding retail, and staying ahead
of new trends, buying preferences and product
affinities, checking inventory status, and segmenting
and targeting customers accurately.
“The change has led through the tech side. Some
retail players have put in a lot of tech investment
especially in the online retail space,” added Shankar.
Essar Retail is a venture of USD 22 billion
Essar Group. It has over 300 telecom retail outlets
spread across 48 cities in India. Meheriar
Patel, who is the Chief Information Officer, AGC
Networks Ltd and Essar Retail, believe that a
convergence of technologies is happening in digital
technologies. While Robotics, AI, and big data
are already getting implemented, the relative
value in using these technologies and quantifying
it is becoming extremely important. Patel,
whose carrer in IT spans over three decades, has
worked with organizations like Sun Pharmaceuticals,
Globus Stores, Jet Air Pvt Ltd., and The
Mobile Store. He believes that offline retailers are
now looking at reinventing their offline strategies
to serve their existing and new customers.”They
are experimenting with ‘Buy Online and Pick from
Shop’, ‘Shop Offline and Get Delivery’, and ‘Order
Online and Pick’ customizations, and offering
competitive pricing and parity for both offline and
online. Most of the large and small retails have
their backend integrated with online and offline
interface. However, time has come when the retail
players re-align technology, value, and margins in
order to become profitable. It is the business model
that will shape their existence,” he added.
Today retailers’ brick and mortar strategies
Provide an always
on, 24/7 experience
INR billion
9,000
8,000
7, 000
6,000
5,000
4,000
3,000
2,000
1,000
0
MUMBAI METROPOLITAN REGION
1,415
2,243
TOTAL RETAIL MARKET SIZE
NATIONAL CAPITA L REGION
1,218
1,919
BENG ALUR U
741
1,155
also need to evolve.
To continue to draw customers into their stores,
and to compete with the online retailers opening
their own physical outlets, innovative marketing
strategies, as well as new technologies such as
smart shelves, robots, self-checkout, and interactive
and virtual reality, being deployed in-stores
as retailers strive to compete on all fronts.
According to Purushotaman, the real intel-
CHENNAI
384
615
HYDERABAD
444
692
TOTAL RETAIL MARKET SIZE IN 2016 (INR BN)
ESTIMATED TOTAL RETAIL MARKET SIZE IN 2019 (INR BN)
Source: Knight Frank Research
PUNE
337
545
TOP 6 URBAN CENTRES
4,539
7,168
16 CIO&LEADER | October 2017