The number of outlets in the India gardening stores market increased by 1% in 2012. The growth was driven by the unorganised retailer outlets. These outlets are generally located in local marketing complexes and selling space is not very large. The outlets were designed according to purpose and requirement. These outlets are not very sophisticated and lack of companies entering this retail channel resulted in slow growth.
Retailers such Home Town by Pantaloon Retail India Ltd and Home Centre by Lifestyle had a portion of their sales coming from home improvement products however this was quite small. These retailers performed well in 2012 due to the increased footfall. However, growth was mainly driven by unorganised retailers.
Unorganised retailers maintained similar prices when located in close proximity in order to maintain competition. However, the quality, store design and customer service varied from retailer to retailer depending on their target customer and store location. Retailers located in high end consumer locations had larger selling space, and unit prices for tiles and other flooring were higher with better quality and design.
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