1. What do you see as your immediate business priorities in this current economic climate?
The current economic environment seems to indicate a slow growth in retail consumption, supported by increasing consumer confidence. Macro economic factors are on the upswing though it is still too early to conclude that India is on a sustainable rebound. In this context, carefully planned expansion based on a sound business model, rationalising overheads and optimising costs, focussing on existing customers while reaching out to new ones seem to be the most important priorities. Reduction of capital invested and maximising utilisation of assets are on-going priorities.

2. How do you view the prospects for 2010?
The year ahead seems to hold more promise than the current. Macro trends do indicate a return to previous consumption levels, albeit with a change. Considerable infrastructure investment and better Industrial performance would drive GDP growth to around 7%. Inflation should be under control and interest in investing in India would rise. All this spells a more prosperous India and greater confidence amongst its consumers.

3. In what way do you see consumers changing their shopper behaviour?
Consumers have been driven by value and retailers have accelerated that change. The slowdown in the last one year has forced a reality check on consumers. Some behavioural changes like seeking value seem more permanent. While basic categories like food and grocery have recovered better, luxury continues to lag. While impulse shopping is slowly recovering, shopping for lifestyle upgradation would soon resume.

4. How should retailers respond to those changes?
Progressive retailers should adapt quickly to the changing context. A close examination of their value proposition, adapting the business model to it, optimising investments and costs and communicating the big ideas are some of the strategies to adopt. This could include changes in store design and merchandise assortment, pricing and promotions. Private labels will allow for margin arbitrage. Cultivating customer loyalty and focussing on your loyal customers would help retention in a competitive market.

5. What will characterise a winning retailer in the future?
A winning retailer will be somebody who understands the changing needs of the consumer and adapts quickly to it. So whether it is a discount retailer reaching out to more affluent consumers or a value retailer upgrading their quality while retaining their price advantage; the winning retailer is one who will challenge old definitions and make game changing moves in an evolving market. In quicksand, the faster you move away from the vortex, the better the chances of survival.

6. Where will growth come from in the short to medium term?
In India, while the impact of the slowdown was felt by consumers in the metro and mini metro cities, the smaller town and rural consumers (who contribute to more than 60% of the retail market) remained relatively unaffected. Similarly, those who work in Government departments and companies were privileged to receive arrears and revisions in salary. There is potential waiting to be tapped while coping with the pressures of a thrifty metro consumer.

7. What is your favourite shop and why?
The Reliance TimeOut store in New Delhi is my favourite store. It has the widest range of books and music, displayed in an accessible manner and allows me to sit, read, sip a coffee and chill out; in an unhurried ambience supported by knowledgeable staff.

8. Which retailer – company or individual – do you admire the most and why?
I admire Apple the most. Outstanding stores which push the limits in design, innovative products artfully arranged, a brilliant browsing experience and such savvy staff. It makes me feel good just to step into one.

9. What are you looking forward to most at the World Retail Congress?
The World Retail Congress addresses the important and current issues which aid or ail retailers. The sessions compare and contrast developments across key markets, changes in consumer and shopper behaviour, multiple channels of retail and support disciplines. Three days there is an educative and energising break in the hectic lives we lead.

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