Market Trends of Hypermarket Industry
Consumer Choice Behavior Affecting Hypermarket Market
Since COVID-19, sales in e-commerce went up steadily, and this growth is what will drive the future market.Global e-commerce rose from 15% of total retail sales in 2019 to 21% in 2021 and is expected to reach a level of 27% by 2026. To not let its market share of customers be occupied by other markets. Hypermarkets need to develop online retail channels for growing and maintaining their sales volumes. With their low-cost features, hypermarkets provide users with a time-saving, all-under-one-roof, and convenient shopping experience. Hypermarkets are expected to observe growth as the economy recovers from COVID-19 and the rising pent-up demand.
Asia and North America are among the countries with the largest penetration of e-commerce. This is leading to the adoption of online retail in the North American region and for the Asia market to expand their market share by adopting e-commerce in their sales. Other than Africa, ASEAN and Latin American countries have a small share of e-commerce, making for lower market penetration for hypermarkets, which is expected to increase with the growing adoption of e-commerce businesses.
Operational Expansion Of Players In Hypermarket Business
A large number of operators are expanding their businesses globally in the hypermarket business. Walmart, with its operations in 24 countries and its 10,500 stores and e-commerce websites, has a large share of the market and continuously rising revenue, similar to other global chains like Kaufland. This is leading to the expansion of the business through more joint ventures and business mergers being established. In large and expanding markets in India, retailers are looking for space in cities to open more hypermarkets over the years. Reliance Retail is focused on the multiple expansions of its store footprints over the years through partnerships with MSMEs and local and international brand companies.
With the rise of digital marketing, small businesses are finding it easier to sell their products and grow their market share at the same time.
