Reliance Retail Reports 42% Growth In Transactions, Crosses One Billion Mark In FY23

RIL credited the consumption growth in the country to factors like favourable demographics, increasing income levels, rise in urbanisation, better access to education, among others.

Mukesh Ambani’s Reliance Retail has crossed the benchmark of one billion transactions in the fiscal year 2023 (FY23), Reliance Industries (RIL) noted in its annual report released on Sunday. The business recorded a 42 per cent increase in the transactions and 50 per cent increase in footfalls, both on a year-on-year (YoY) basis. 

The parent company RIL credited the consumption growth in the country to factors like favourable demographics, increasing income levels, rise in urbanisation, and accessibility of better education coupled with an aspirational lifestyle. 

According to a report by PTI, Reliance Retail’s registered customer base reached 249 million in FY23. The digital commerce and new commerce businesses of the company contributed 18 per cent to the total revenue of Rs 2.6 lakh crore. The company increased it’s total store count to 18,040 stores with an addition of 3,300 stores, taking the total area to 65.6 million square feet in the reported year. 

Further, RIL also noted in the annual report that moving forward, the next step for the retail company is to expand it’s reach into Tier 2 and 3 markets through more stores. The company is also focusing on investing in backend warehousing and logistics assets of its business. “Investments in boosting supply chain infrastructure remained a priority to deepen warehousing and fulfilment capabilities with the addition of 12.6 million sq ft of warehouse space during the year”, the report added.

The company added to its FMCG and beauty business profile in the year and launched it’s own brand ‘Independence’ along with the digital commerce platform ‘Tira’ and relaunched the famous beverage brand ‘Campa’. Focus will be on expanding these businesses going ahead, RIL noted in the report. 

Other acquisitions and partnerships made by Reliance Retail in the year included Metro, Campa Cola, GAP, Lotus, Toffeeman, Maliban, among others. 

The report highlighted that the expansion in the merchant partner network has contributed to the strong growth of the new commerce business and credited it’s digital brands including Ajio and Netmeds for the rapid growth in the retail segment. “Currently, more than 3 million merchants have partnered with our new commerce platforms,” it said. 

RIL estimates the Indian retail sector will grow at a compound annual growth rate (CAGR) of 11 per cent and become a $2 trillion market by 2030. Currently, it is estimated to be valued at $800 billion. 

Reliance Retail is a subsidiary of Reliance Industries, one of India’ largest m-cap companies.