Taking Stock of Department Stores in India

Department stores forever changed the Indian shopper and her shopping experience and expectations. Here we track the evolution of this expansive format that is the epitome of modern retail.

Globally, department stores became a popular shopping destination for middle- and upper-class consumers in the late 19th and early 20th centuries. Since then, the concept of exhibiting large scale retail stores selling a host of fashion and lifestyle brands under one roof and single control, picked up pace. The variety of goods, divided into different departments, each selling a particular merchandise, making shopping convenient for consumers, was one of the turning points in the evolution of organised retail.

Shoppers took to the format as they could find clothing, accessories, home goods, electronics, cosmetics, and more in a single location. This eliminated the need to visit multiple specialized stores, saving time and effort.

In comparison, modern-format department stores arrived late in India. The launch of Shoppers Stop in 1991 is widely believed to have started India's journey into organised retail, featuring department stores.

In 1997 Pantaloons was launched in Kolkata. In 1999, Dubai-based Landmark Group entered India with Lifestyle department stores that stocked goods made in the middle east, ushering in another crucial chapter in India's modern retail history. The entry of Indian business giants including Reliance and Tata into India's retail business further fueled the transformation of the Indian retail market and the category.

Tata entered the segment in 1998 after renaming a British retail chain Littlewoods that it had acquired and renaming it Westside. Reliance came with Trends in 2006 shortly after Future Group launched Central in 2004.

In 2012, Kishore Biyani sold Pantaloons to Aditya Birla and focused on expanding his Central.

Advantage Department Stores

With their modern ambience and design in an air-conditioned environment, department stores offered a differentiated experience, making them popular hangouts.

Here are the benefits they offered: