India’s retail sector witnessing a surge after May 2021

NEW DELHI: The retail segment was witnessing a surge after May 2021, when second wave restrictions were eased; the festival season also acted as catalyst for the jump in sales and footfall at various malls.

As per CBRE’s ‘India Retail Reboot 2021’ report, the recovery gained momentum in early 2021, especially across southern and northern cities as Pan-India retail sales in February 2021 touched almost 93% of February 2020 (preCOVID) levels.

With the opening up of the economy post-lockdowns, the recovery has been strong. “Retail sentiments seem to be getting back on track in a strong fashion ahead of the festivities, riding on the back of strong pent up demands, managed and better COVID scenario & vaccinations being done at a rapid pace.

Consumers are poised to shop heavy this season, and we are already seeing positive indicators with our iPhone 13 launch across our Tresor Imagine Apple stores. Omnichannel and e-comm traffic is on ever highest peaks already,” said Kumar Nishant, COO & VP - Group Business Operations, Tresor Systems and Tresor Healthcare. After the second wave began in April 2021, the re-imposition of the lockdown restrictions affected consumer confidence and purchasing activity once more. However, unlike the 2020 national lockdown, the impact on retail was less severe because most limitations were regional or localised.

“Since early June, when limitations were gradually lifted, footfalls have been steadily increasing. We have seen a significantly greater rebound from the second wave, with largely recreation-driven footfalls improving in the mall. This recovery was seen from July 2021 onwards, and retail sales achieved more than 70% of July 2019 levels,” said Abhishek Bansal, Executive Director, Pacific Group.

The festival season also erased the negative impact of the March 2020 lockdown, which had a detrimental influence on the selling of products that fell under ‘nonessential category’.