by THO
Driven by rising disposable incomes and evolving consumer preferences, India’s organized retail sector is expanding rapidly and is expected to reach $230 billion by 2030, a joint report by Deloitte and the Retailers Association of India said.
The report, titled A Roadmap for Brands, stated that India’s organized retail sector is growing at a 10% compound annual growth rate (CAGR). “Consumers are increasingly drawn to experience-led retail spaces, omnichannel shopping (in-store and online shopping) and hyper-personalised services, pushing brands to rethink engagement strategies,” it said.
The report further stated that India’s private consumption has grown from $1 trillion in 2013 to $2.1 trillion in 2024 at a 7.2% CAGR, surpassing the growth rates of the US, China, and Germany.
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“By 2030, India’s GDP is projected to reach $7.3 trillion, with consumption contributing 60% to the economy, solidifying the country’s status as a global consumption powerhouse,” the report said.
Anand Ramanathan, Partner and Consumer Industry Leader, Deloitte India, said that India’s consumer landscape is undergoing a fundamental transformation. “The surge in discretionary spending, expanding digital commerce and increasing access to credit are redefining the rules of engagement for brands. By 2030, India’s per capita income is expected to exceed $4,000, unlocking new opportunities across sectors.”
Commenting on the report, Kumar Rajagopalan, CEO of the Retailers Association of India (RAI) pointed out that India’s discretionary spending is entering a new phase of growth, driven by rising incomes, digital adoption and evolving consumer preferences. “This joint report by RAI and Deloitte provides a roadmap for brands to navigate these shifts and create meaningful engagement with today’s aspirational consumers.”
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Gen Z and Millennials Leading the Shift in Consumer Spending Trends
The report highlighted that by 2030, the number of Indians earning over $10,000 annually will nearly triple, rising from 60 million in 2024 to 165 million. This surge highlights the rapid expansion of India’s middle class and a shift toward increased discretionary spending.
“With rising affluence, consumers prioritise quality, convenience and experiences over price. Gen Z and millennials, who account for 52% of the population, drive this shift, driving demand for premium brands, sustainable products, and personalised experiences,” the report said.
