The Indian food and grocery retail sector is in the transformation mode for various reasons like strong macro-economic fundamentals and the changing socio-economic scene are driving what were once traditional and small scale retail outlets into organised retail formats aimed at catering to the evolving tastes and needs ofthe discerning consumers. But the very fast changing trends infood and eating habits ofconsumers have contributed immensely to the growth of 'Western' format typologies such as convenience stores, departmental stores, supermarkets, specialty stores and hypermarkets. This has happened for various conspicuous reasons namely demand and supply, socio-cultural, demographic, psychographic, economic and technology advancements like a large segment ofyoung population, a rapidly expanding middle class, rising income levels, growing literacy, increasing number ofworking women and nuclearfamily structures which in turn have created an enormous demand for consumer goods and paved way for modern retail formats. The ever changing consumer's psychographic variables like activities, interests, opinions, values and lifestyles have also completely changed the formats namely convenience stores, supermarkets and hypermarkets etc. are the crystal clear reflections of tectonic shifts in demographic and psychographic changes ofconsumers. However, little is known about its actual influence and contribution to the organised retailing infood and grocery sectorfrom an empirical analysis. Thus, understanding ofdemo-psychographic dynamics has become an imperative in designing modern food and grocery retail formats based on the purchase patterns. The study is purely based on primary data and necessary secondary data to reinforce the model. A total of200 retail customers in Hyderabad actively participated in the survey. Findings, various managerial and marketing implications are extensively discussed.
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