At a time when the retail sector in India is facing perhaps its worst crisis, the book and stationery retailing industry are surprisingly still doing substantial business.
After witnessing a smooth sail for the past few years, most retail segments have seen a downward trend in the second half of 2008. This drop is largely due to lower consumer spending, funding constraints and intensifying economic conditions.
However, this does not hold true for book and stationery retailers who continued to deliver consistent performance inspite of the declining economic conditions.
While consumer durables and lifestyle brands suffered heavy losses due to the economic downturn, the demand and sale of books and stationery items have suffered only a marginal impact.
Sales and revenue growth of small and mid-sized book and stationery item retailers have fallen by a mere 15% to 20%, which is much lower in comparison to the sharp growth fall witnessed by other retail segments like apparel and footwear retail.
Furthermore, inspite of the tough economic scenario, the Indian book and stationery retailers are proceeding with their expansion plans. Companies in this segment are making increased investments to raise their production capacity and expand their network.
The book and stationery retailing industry is emerging as a recession-proof segment in India as growth continues to remain largely unaffected. Leading book retailers in the country like Landmark, Starmark, Crossword, Oxford Bookstore, RPG Retail’s Books & Beyond and Linc Pens and Plastics Limited as well as small stationery retailers are witnessing a rapid revival in offtake after a brief period of slump.
Having witnessed a steady demand, this segment is optimistic about its business prospects in the coming years.
However, to maintain their growth momentum and sustain healthy margins in the coming days, book and stationery retailing industry should focus on manufacturing more sophisticated, design-oriented and high-quality products.
Besides stepping up their export basket, stationery retailers should also focus on expanding in emerging markets of Brazil, Nigeria and South Africa among others.
For more detail on B2B [http://www.bizxchange.in] log on to [http://www.bizxchange.in]
After witnessing a smooth sail for the past few years, most retail segments have seen a downward trend in the second half of 2008. This drop is largely due to lower consumer spending, funding constraints and intensifying economic conditions.
However, this does not hold true for book and stationery retailers who continued to deliver consistent performance inspite of the declining economic conditions.
While consumer durables and lifestyle brands suffered heavy losses due to the economic downturn, the demand and sale of books and stationery items have suffered only a marginal impact.
Sales and revenue growth of small and mid-sized book and stationery item retailers have fallen by a mere 15% to 20%, which is much lower in comparison to the sharp growth fall witnessed by other retail segments like apparel and footwear retail.
Furthermore, inspite of the tough economic scenario, the Indian book and stationery retailers are proceeding with their expansion plans. Companies in this segment are making increased investments to raise their production capacity and expand their network.
The book and stationery retailing industry is emerging as a recession-proof segment in India as growth continues to remain largely unaffected. Leading book retailers in the country like Landmark, Starmark, Crossword, Oxford Bookstore, RPG Retail’s Books & Beyond and Linc Pens and Plastics Limited as well as small stationery retailers are witnessing a rapid revival in offtake after a brief period of slump.
Having witnessed a steady demand, this segment is optimistic about its business prospects in the coming years.
However, to maintain their growth momentum and sustain healthy margins in the coming days, book and stationery retailing industry should focus on manufacturing more sophisticated, design-oriented and high-quality products.
Besides stepping up their export basket, stationery retailers should also focus on expanding in emerging markets of Brazil, Nigeria and South Africa among others.
For more detail on B2B [http://www.bizxchange.in] log on to [http://www.bizxchange.in]
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