The report below gives a good overview of the Summer 2025 M&A activity in the Consumer Retail Industry Sector. The global consumer retail sector is moving rapidly with robust growth, projected to increase $35.2 trillion in 2025 with a CAGR of 7.7%. The e-commerce market alone accounts for almost 20% of all retail sales and online revenues, totalling $6.9 trillion market size. The growth is primarily driven by technological innovations, rising consumer spending power, particularly in the U.S., China, and India. The U.S. continues to be among the world's most significant retail markets, with yearly sales of $7.3 trillion and over 4.6 million retail outlets, with major players like Walmart and Amazon leading to expansion. Brick and mortar continue to lead with more than 80% of the global retail sales, but customer preferences are evolving drastically with omnichannel distribution and marketing strategies. Despite economic pressures, including softer retail sales growth in some markets and the impacts of tariffs, retailers are focusing on enhanced loyalty programs, omnichannel strategies, and investment in AI and automation, with around 87% of retailers deploying AI technologies to improve personalization and operational efficiency. According to the latest data, 75% of the U.S. consumers seamlessly shift between online and offline stores. Globally, the Asia-Pacific region remains the most rapidly growing market with increasing urbanization and mobile commerce. Inflation pressures are easing globally, such as India's retail inflation hitting a six-year low of 2.1%, supporting more stable consumer demand The sector is confronted with challenges of economic pressure, inflation, and changing consumer behavior, but strong consumer demand, strategic use of cutting-edge technology, and the expansion of discount and value-focused store formats are laying the groundwork for continued growth throughout 2025.
Posted by Joseph P. Sands.