BIG BAZAAR

Presented by :

Nikita Thakkar – PM1328Someshwar – PM 1330MMM-IV Sem

Man Behind Big Bazar Success

He was Born August 9, 1961 in a middle class

Family.

He started his career selling stonewash fabric to small shops in Mumbai.

Now He known as the Rajah of Retail in India.

About Big Bazaar Hyper mart Chain of development store in India

Out let 120 out letsLocated in India

Parent group Future group

Owner Kishore Biyani (CEO)

Founded 2001

Head quarter Jogeswari , Mumbai

Industry Retail

website www.bigbazar.com

Tag line Is se sasta aur achha kahin nahi.

Vision Everything ,Everywhere, Every time for every Indian consumer in the most profitable manner

STAKEHOLDERS & BIG BAZAAR

Main Market/ Non Market stakeholders

Market Stakeholders• The stockholders• The Big Bazaar Executive• The Employees• The Communities where Big Bazaars located• Consumers• Suppliers• Non profit Organization•Competitors

Non Market Stakeholders• The Labor Unions• The International Retail Stores • The Politicians

Big Bazaar

Contributions

Contributions

Inducements

Inducements

- SUPPLY CHAIN BIG BAZAAR

Supplier

Warehouse

Inspection

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Supplier

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Shelves

Quality Check

Inspection

Value System – BIG BAZAAR

IN HOUSE BRANDS @ BIG BAZAAR

DJ & C CLEAN MATE SENSEI

KORYO STAR SITARA CARE MATE

FRESH & PURE RENUKAMAJITHIA

SARAPOLO and 40 more brands

FEW BRANDS @ BIG BAZAAR

Porter’s five force model

Analysis 5 Forces Analysis Rivalry among the competitor •Reliance Retail, Aditya Birla Group , Vishal Retail’s,

Bharti and Walmart, etc

Threat of entrants •FDI policy not favorable for international players. • Economies of scale (minimum size requirements for profitable operations)•High initial investments and fixed costs•Cost advantages of existing players due to experience curve effects of operation with fully depreciated assets•Scarcity of important resources, e.g. qualified expert staff

Bargaining power of supplier •The bargaining power of suppliers varies depending upon the target segment.•The unorganised sector has a dominant position.• There are few players who have a slight edge over others on account of being established players and enjoying brand distinction.

Bargaining power of buyers • Consumers are price sensitive..•Availability of more choice.

Threat of substitutes •Unorganized retail

CORE COMPETENCY OF BIG

• A choice of more than 20000 products• Delivery across more than 1500 cities

covering around 16000 pin codes• A dedicated customer care helpline for any

queries• Fast delivery-tie up with world leader logistic

& transportation services• Talks of Quality and Cost• Special emphasis on apparels and life style products• Providing interesting discounts

Core-Competency of Big Bazaar

Strength- High Brand Equity- State-of-art infrastructure- EDLP- PoP promotions- Variety of stuff under single roof-MIS

Weakness- Unable to meet store opening targets- Falling revenue/sq. ft.- General perception

Opportunity• Organized retail (4.15%)• Evolving consumer preferences• In Store Experience Improvements• New formats and consumption space• Looking at expansion

Threat- Competitors - Government policies- Unorganized retail-Economic condition

Customer Segmentation

Big Bazaar targets higher and upper middle class customers.

The large and growing young working population is a preferred customer segment.

Big Bazaar specifically targets working women and home makers who are the primary decision makers.

MARKET

GROWTH

Market ShareHigh

LOW

HIGH

Low

Big Bazaar At BCG Matrix

MARKET

GROWTH

HIGH

LOW

MARKET

GROWTH

HIGH

Low

LOW

MARKET

GROWTH

HIGH

High Low

LOW

MARKET

GROWTH

HIGH

Market ShareHigh Low

LOW

MARKET

GROWTH

HIGH

HighMarket Share

High LowMarket Share

High

MARKET

GROWTH

LowMarket Share

High

LOW

MARKET

GROWTH

LowMarket Share

High

HIGH

LOW

MARKET

GROWTH

LowMarket Share

HighMarket Share

High LowMarket Share

High

MARKET

GROWTH

LowMarket Share

High

LOW

MARKET

GROWTH

LowHigh

HIGH

LOW

MARKET

GROWTH

LowHigh

HIGH

LOW

MARKET

GROWTH

LowHigh

Organization value and customer value

*High organization

value*Low

customer value

Big Bazaar*High

organization value*High

customer value

*Low organization

value*Low

customer value

*Low organization

value*Low

customer value

Strategy

Focus on Rural customer?• 73% of population live in 6,00000 villages out of Total

population 114 billion.• Minimum support price.• NREGS -100 days employment.• Income from farm products is Tax free. Customer oriented Employee oriented- high attrition rate

Competitors of Big Bazar

High service

low service

Low priceHigh price

Positioning-:

Products of Big Bazar

CHILD CARE & TOYS

APPARELS

CHILL STATIO

N

FARM PRODU

CT

FOODSProduct

HOME &

PERSONAL CARE

FASHION & JEWELLERY

ELECTRONIC

S BAZA

AR

FURNITURE BAZA

AR

Innovations of Big Bazar

Wednesday Bazaar

Sabse Sasta Din

Maha Bachat

The Great Exchange

Offer

Strategy-:

They divided Indian customers into 3 categories……..

1) India One.2) India Two.3) India Three.

The potential customers

of big bazaar are

India One & India Two.

India One-: Consuming class which includes upper middle and lower middle Class (14% of India's Population).

India Two-: Serving class which includes people like drivers, house-hold

helps , office peons, etc. (55% of India's population).

India Three-:

Struggling class, (remaining 31% of India's population).

Vision

MARKETING STRATEGY

Minimize Retailing Cost  Operating Fewer Staff on the floor one person for every 500sq ft. Furniture cost-Rs. 800 sq ft unlike the Rs. 1600 sqft.

( Life style, Shoppers stop) Giving discount offers, working women by monthly

saving bazaar and home makers by providing a wide range of food, non food, fruits and vegetable.

MARKET SEGMENTATION OF BIG BAZAAR

Target Market Segment: Price conscious It targets lower , middle and higher class customers. The youth and newly married growing population is preferred

customer segment Specially targets working women and home makers who are

primary decision takers

Handling current economic situation:- Whatever be the economic situation big bazaar know to sustain in the market with its every day low pricing strategy

Strategies to handle recession period: Sabse saste teen dinHafte ka Sabse sasta din The great exchange offer EDLP

CUSTOMER SERVICE Limited

Self Service

Customization

PRODUCT ASSORTMENTS Large number of categories Brand options Local brands Diverse merchandise customized

SERVICE MIX

Process Big Bazaar places a lot of importance on the process right from the purchase to the

delivery of goods. When customers enter the stores they can add the products they which to purchase in their trolley from the racks. There are multiple counters where bill can be generated for purchases made. Big Bazaar also provides delivery of products over purchases of Rs. 1000.

SERVICE MIXPhysical Evidence Products in Big Bazaar are properly stacked in appropriate racks. There are different

departments in the store which display similar kind of products. Throughout the store there are boards/written displays put up which help in identifying the location of a product. Moreover boards are put up above the products which give information about the products, its price and offers. Big Bazaar stores are normally ‘U shaped’ and well planned & designed

STORE ATMOSPHERE

Multiple clusters/mini bazars

Different sections selling different categories

U-Shaped

PROMOTION & INNOVATIVE IDEAS

“Saal ke Sabse Saste 3 din” Future Card (3% discount) Shakti Card Advertising (print ads, TV ads, Radio) Word of mouth POP Promotions Brand Endorsement by M.S. Dhoni and Asin Exchange Offer Weekend Discounts Point of purchase promotion ‘Junk’ Swap offer- “Exchange anything old for something new”

NEW TACTICS Guerilla marketing strategies – 3 cheeky ad campaigns which surely

catch one’s attention Taking on the biggies like Shoppers Stop, Lifestyle and TATA’s

Westside

“Keep West-aside. Make a smart choice!”

“Shoppers! Stop. Make a smart choice!”

“Change your Lifestyle. Make a smart choice!”

LOCATION Big Bazar initially identifies future growing areas.

Acquires such areas at an early stage before the real estate value booms.

Selects the low cost Locations

Big Bazar is located at high traffic area of Vashi Station, Which is the centre of Navi mumbai

Big Bazar (Vashi) has been designed in such a way that it should look crowded.

It is situated at one of the best locations of the city.

ANALYSIS Income wise distribution of customers coming to big

bazaar 

Higher Income Group 5%

Middle Income Group 50%

Lower Income Group 20%

No Income Group 25%

CUSTOMERS PREFERENCE TOWARDS KIRANA STORE Yes 85% No 15%

What we can get from this is that? kirana store is one of the competitor of big bazaar. It is a threat for

big bazaar as some of the attributes of a kirana store provides more satisfaction to customers. Big bazaar should try to improve on each of its attributes and out compete the kirana store so that it can convert the customers of kirana store to be the customers of big bazaar.

CONCLUSION

Big bazaar is a major shopping complex for today’s customers. It is a place where customers find variety of products at a reasonable price. Big bazaar has a good reputation of itself in the market. It has positioned itself in the market as a discounted store. The majority of customers belong to middle class family. The youth generation also likes shopping and moving around big bazaar.

The major drawback of big bazaar is that it lacks in providing branded products and in quality. The staff service also does not meet the expectations

REFERENCES

www.bigbazaar.com It Happened in India- Kishore Biyani www.ibef.org www.google.co.in www.economictimes.com futurebazaar.com

!!!!!......Thanking You……!!!!!