Careers in retail - an overview

‘Retail’, India’s largest industry, accounts for over 10 per cent of the country’s GDP and eight per cent of the employment. It has emerged as one of the most dynamic and fast paced industries with several players entering the market. The Indian retail market is expected to grow from around $ 300 billion to $ 400 billion at the rate of seven to eight per cent per year by 2010. Driven by changing lifestyles, strong income growth, western influence and favorable change in demographic patterns, Indian retail is expanding at a rapid pace. Organised retailing will significantly meet India’s struggle for providing jobs to its growing youth. Retail companies are on a hiring spree and there are multiple options for those who want to be employed in the retail sector. Rapid growth of organised retail in metros, smaller cities and towns has made the need for talented people increased in various areas such as merchandise planning, logistics, management of supply chain, information and stores. Retailing in the organised sector is likely to be the next biggest employment vehicle after BPO. Modern retail expects to create up to two million direct jobs in the next two years. Any development in retail leads to creating job opportunities.

Retail market essentially comprises:

• Shopping centres: There is an increase in the number of shopping centers both in tier-I and tier-II cities. The country can expect to have 600 new shopping malls by 2010.
• Food retail: Food forms a major chunk of the shopping basket of any Indian customer. Some of the major players in this segment are RPG Spencer’s Daily, Bangalore-based Nilgiris, Reliance Fresh, Tata Innovative Foods and Food Bazaar.
• Kids’ retail: Kids’ retail is growing and expanding. This segment encompasses apparels, toys, games, entertainment theme parks and many more. More and more international brands, especially in apparels, is investing in India.
• Books & Music retail: New outlets of companies like Crossword, Landmark, Odyssey and Oxford are springing up everywhere. Apparel chains are tying up with bookshops, music stores and cafeteria so as to attract the not-so-apparel shopping enthusiasts.
• Mobile market: The retail market for mobile phones - handset, accessories and airtime - is growing at the rate of 15-20 per cent. Companies like Spice, Essar and Airtel are employing innovative plans to attract customers.
• Luxury goods market: There is a rise in demand for products of brands like Versace, Dolce & Gabbana, Swarovski and Escada.
• Agriculture & Floriculture: Food retailers are tying up with thousands of farmers for their supply of fruits, vegetables and flowers.
• Electronics goods market – There is a huge increase in demand for electronic goods ranging from iPods, games, plasmas, palm tops, audio video products, home appliances and other electronic gadgets across all the sections of customers.

Common job profiles in retail market

1. Sales: Every retail unit depends on its sales force for its business. A job in sales is an entry point into retail for a fresher. Stamina, good communication skill, confidence and a positive attitude are extremely important qualities. Having good product knowledge and ability to convince and win customers are a must. Any individual with such skills would qualify.

2. Store Manager: With the number of new stores springing up, there is a rise in the demand for store managers.  A store manager supervises the day-to-day operations of a store, manages the staff and he or she is responsible for maximising sales and improving overall profits. Achieving performance objectives will require high competence in one of the main areas of retail activity: store operations, human resources, finance, buying, customer care, marketing, logistics, information technology, and administration. Graduates with three to four years’ experience in managing units fit in well.

3. Buyer: A buyer identifies and buys goods for the store, keeping in mind customers’ needs and profit of the business. A buyer should be able to anticipate correctly customers’ buying patterns and plan inventory accordingly. Good planning skills, an analytical mind and familiarity with the merchandise are required qualities.

4. Retail merchandiser: Merchandisers are responsible for ensuring that products appear in the right store at the right time, in the right quantities and within a specific budget set by the merchandiser himself. This involves working closely with the buying teams to accurately forecast trends, plan stock levels and monitor performance. Good analytical and number skills coupled with good inter-personal skills are important. A post-graduate with experience in retail makes a preferred qualification.

5. Visual merchandiser: A visual merchandiser creates window and interior displays in shops and department stores. Main objective of this role is to maximise sales in every season by creating the face of the store to attract maximum customers. A course in designing and a creative mind are the requisites for visual merchandising jobs.

6. Product development: Many retailers do require product developers who can create merchandise.  A product developer should be able to visualise and create merchandise, work closely with designers and develop an end product from a concept or a sketch. The role requires a creative mind, a knack for developing marketing plans, ability to plan assortments, an eye for quality and an understanding of the finances involved. Besides these, there are other attractive job options in areas like ware-house management, HR, finance, customer service, operations management, logistics and other support functions. Salaries for freshers could vary anywhere between Rs 7,000 to 20,000 per month. For candidates with the experience of one to four years, the salary range is between three to four lakh while for those with 10 - 15 years’ experience, the range could be Rs. 8-10 lakh per annum.

Retail vis-à-vis ICT and ITeS

• Both industries recruit graduates with good communication skills. However, requisite qualifications for a retail job may not be as high as for jobs in an ITeS industry.
• For a job in retail industry, ability to speak in an American or UK accent is not a necessary skill.
• There is no night shift though there may be shifts made to suit customer demands.
• One does not need to have technical qualifications or skills. However, a degree from a good B-school has its own advantages in retail.
• Direct contact there when servicing customers as opposed to telephonic or email contacts.
• However, there is a need for retail employees to be presentable and confident while facing customers.
• The stress levels could be equally high especially in festive or peak shopping seasons.
• Parents do understand retail job profiles better. Hence, hardly any family resistance is practiced towards youngsters taking up jobs in retail while it may not be so in the case of an ITeS company.

Challenges in retail industry

Finding qualified manpower is a challenge for many retail outfits. Also, there are very few ‘specialised courses’ in retail management and this has led to establishing more and more retail training institutes across several cities and towns of the country. These courses aim at grooming the candidates in the functional and soft skills that include basic aptitude, selling skills and customer orientation. These are mandatory skills for functional competence. Employers in this segment also look for communication and interpersonal skills while hiring a candidate. Companies are developing in-house curricula in retail training. Another challenge that companies are dealing with is attrition. With employees having various job offers at their disposition, retaining them is not an easy task. There is a rise in salary levels and the bests of the lot are being offered hefty hikes and growth potentials. Companies are revising their packages for employees – adding onto the frills and benefits and tying up with various insurance companies amongst many other improvements. Retail boom has set in and, in future, it will only increase its momentum. Like ICT industry, retail brings along the promise of lucrative careers, money and growth potential for the young and aspiring.