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Biggest online v/s offline battle is raging in small cities

Due to lack of physical outlets, e-commerce currently has a definite edge over physical retail in India’s tier II and tier III cities

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Due to lack of physical outlets, e-commerce currently has a definite edge over physical retail in India’s tier II and tier III cities, said an Anarock Retail report released at India Retail Forum

20-25% - Compounded annual growth rate for organised retail

91% - Retail sales driven by brick-and-mortar stores

Nearly 100 mn - Out of 300-400 mn-strong middle class currently live in tier-II and tier-III cities

10-15% - Rise likely in good quality mall stock

5-10% - Fall likely in mediocre-to-weak stock

Why non-metros are important

30-40% – Location charges are lower than in metros

30-50% – Operating costs are lower 

Investments during 2006-17

$1,300 mn - Received by tier-I cities 

Over $6,000 mn - In tier-II cities 

$500 mn - Tier-III cities

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