This paper critically analyzes the evolving landscape of omnichannel retail in India, focusing on its adoption drivers, key trends, and inherent challenges. Moving beyond traditional multi-channel approaches, omnichannel strategies aim to provide a seamless, integrated, and customer-centric experience across all physical and digital touchpoints. The study identifies India's burgeoning internet and smartphone penetration, coupled with changing consumer preferences for "phygital" (physical-digital) shopping, as primary drivers for this paradigm shift. It examines prominent trends, including the widespread adoption of AI for hyper-personalization, the integration of in-store immersive technologies, the rise of social and conversational commerce, and advancements in supply chain optimization. Concurrently, the paper addresses significant hurdles such as data fragmentation, talent gaps, regulatory compliance (especially with the DPDP Act), and the complexities of integrating legacy systems. By highlighting successful Indian case studies, this research underscores the strategic imperative of omnichannel retail for businesses aiming to thrive in India's dynamic and competitive market.