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INDUSTRIAL TRAINING PROJECT REPORT
UNDER TAKEN
@
ON
INDIAN ORGANIZED RETAIL INDUSTRY
(BIG BAZAR)
(Approved by AICTE, Govt. of India)
ACADEMIC SESSION
Under the guidance of: Submitted by:
Supervisor Name Your NameLecturer (college name) Roll: - XXXX
College Address
CollegeLogo
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DECLARATION
I Undersigned the student of MBA 3rdSEM by declare that the project report
is my own work and has carried out under the guidance and supervision of Prof.
name. Further I declare that it has not been submitted to any other university of
examination.
Date: Sign. Of Student
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PREFACE
In this age of neck to neck competition, there is much importance given to
practical knowledge. The theorical knowledge is not sufficient to understand the
boundless field of business management.
Today every person wants to be a master in the field they are in. The practical
training is a life of management student. In modern world the importance of
management is increasing day by day. Industrial training provide a student
sufficient knowledge to develop an education to connect theory and practical.
So to fulfill our purpose I have done training at Big Bazar
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ACKNOWLEDGEMENT
It is my great pleasure to present this report before you. I sincerely would like to
show my gratitude towards all those persons who have helped me throughout my
project work
I am heartily thankful to Manager name at Big Bazar for giving me his valuable
guidance for preparing this report. He has been an exceptional mentor during these
two months of training. It has been a great learning experience of being a traineeunder him.
I would like to express my special thanks to all the another official who has helped
me a lot during this SIP. Their critical advices helped me to make this report more
effective.
Moreover, I thanks to prof. Name who guided me before and after the industrial
training. He gave me great support to prepare this project, too. And all who
directly or indirectly helped me in preparing this report.
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Chapter-1
Introduction
Retailing is evolving into a global, high-tech business. Wal-Mart is now theworlds largest corporation and has become the largest food retailer in the UnitedStates. French based Carrefour is the worlds second largest retailer. Retailing indeveloped countries is big business and better organized. But the retail scenarioin India is different much of it is in unorganized sector. There are more than 12million retail outlets of various sizes and formats. And almost 90% of them are less
than 500 sq. ft. in size and the per capita retail space is only 2 sq. ft. while US has16 sq. ft.
India has the largest number of outlet in world i.e. 9 outlets for 1000 people.Most of them are independent and contribute to the retail sales. Because ofincreasing number of nuclear families, working women, greater work pressure andgreater commuting time, convenience has become a priority for Indian customers.They ever want things under one roof for easy access and multiplicity of choice.
The growth and development of organized retailing is driven by two main factors-prices and benefits the customer cant resist.
India is rapidly involving into a competitive market place with potentialtarget consumers in the niche middle class segments. The market trend indicatestremendous growth opportunities. The buying behavior and lifestyle in India tooare changing and the concept of value for money is fast catching on in Indianretailing. This is the evident from the expansion of the Pantaloons chain intothe large format, Big Bazaar. This growth in retail sector is making the retailers
powerful intermediates in the marketing channel, bridging the gap betweenmanufactures and consumers.
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Keeping in mind the rapid growth of Indian retail industry and its brightfuture, this has always been a thrust area for me. Big Bazaar is at the top positionin Indian retail industry. That is why it attracted me to have summer training (onthe job training) in Big Bazaar, Udaipur. Big Bazaar is the retail chain of FutureRetail (India) Ltd. And it provides a wide range of products availability for thecustomers.
As a matter of fact, retail is the buzz word of the Indian economy today.As retail industry is growing at a high pace I wanted to have an overview ofthe subject. I have chosen Big Bazaar retail chain for the summer training (onthe job training) because Big Bazaar retail is very upcoming retail companywhich is continuously changing its activities with the change of time. I wanted to
understand their marketing activities and liked to relate how similar or dissimilar itis from what I have studied in marketing management.
To execute the project, I underwent on the job training at Big Bazaar,Udaipur. The interaction with the Store Manager, Operational Manager and otherstaff personnel was fruitful to me as it cleared many core concepts when it came to
practical application.
The main objective of the project was to get practical training of what we havelearnt theoretical in the classroom. In other words, it was to get practical exposureof all the marketing skills and how to implement in the real situation.
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Chapter-2
Industry Profile
Retailing
The word retail is derived from the French word retailer, meaning to
cut a piece off or to break bulk. In simple terms, it implies a first-handtransaction with the customer.
Retailing involvers a direct interface with the customer and thecoordination of business activities right from the concept or design stage of a
product or offering to its delivery and post-delivery service to the customer.The industry has contributed to the economic growth of many countries and isundoubtedly one of the fastest changing and dynamic industries in the world today.
Indian retail industry
The Indian retail industry is the fifth largest in the world. Comprisingof organized and unorganized sectors, India retail industry is one of the fastestgrowing industries in India, especially over the last few years. Though initially,the retail industry in India was mostly unorganized, however with the change oftastes and preferences of the consumers, the industry is getting more popular these
days and getting organized as well. With growing market demand, the industryis expected to grow at a pace of 25-30% annually. The India retail industry isexpected to grow from Rs. 35,000 crore in 2004-05 to Rs. 109,000 crore by theyear 2010.
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The retail scenario in India is unique. Much of it is in the unorganized sector,with over 12 million retail outlets of various sizes and formats. Almost 96% ofthese retail outlets are less than 500 square feet in size, the per capital retail spaceIndia being 2 squre feet compared to the US figure of 16 square feet Indias percapital retailing space is thus the lowest in the world.
With more than 9 outlets per 1000 people, India has the largest number in theworld. Most of them are independent and contribute as much as 96% to total retailsales. Because of the increasing number of the nuclear families, working women,greater work pressure and increased commuting time, convenience has become a
priority for Indian consumers. They want everything under one roof for easy accessand multiplicity of choice. This offers an excellent opportunity for organizedretailers in the country which account for just 2% and modern stores 0.5% of theestimated US Dollar 180 billion worth of goods that are retailed in India every
chain, Wal-Mart.
Growth of Indian retail industry
According to the 8th Annual Global Retail Development Index (GRDI)of AT Kearney, India retail industry is the most promising emergingmarket for investment. In 2007, the retail trade in India had a share of 8-10% in theGDP (Gross Domestic Product) of the country. In 2009, it rose to 12%. It is alsoexpected to reach 22% by 2010.
According to a report by North bride Capita, the India retail industry isexpected to grow to US$ 700 billion by 2010. By the same time, the organizedsector will be 20% of the total market share. It can be mentioned here that,the share of organized sector in 2007 was 7.5% of the total retail market.
India is rapidly evolving into a competitive marketplace with potential targetconsumers in the niche and middle class segments. The market trends indicatetremendous growth opportunities. Global majors too are showing a keen interestin the Indian retail market. Over the years, international brands like marks and
spencer, Samsonite, Lacoste, McDonalds, Swarovski, Dominos among a host ofothers have come into India through the franchise route following the relexationof FDI (Foreign Direct Investment) restrictions. Large Indian companies- amongthem the Tata, Goenka and the Piramal groups are investing heavily in thisindustry.
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Major Retailers in India
Pantaloon:
Pantaloon is one of the biggest retailers in India with more than 450 storesacross the country. Headquartered in Mumbai, it has more than 5 million sq. ftretail space located across the country. It's growing at an enviable pace and isexpected to reach 30 million sq. ft by the year 2010. In 2001, Pantaloon launchedcountry's first hypermarket Big Bazaar. It has the following retail segments:
Food & Grocery: Big Bazaar, Food Bazaar
Home Solutions: Hometown, Furniture Bazaar, Collection-I
Consumer Electronics: e-zone
Shoes: Shoe Factory
Books, Music & Gifts: Depot
Health & Beauty Care: Star, Sitara
E-tailing: Futurebazaar.com
Entertainment: Bowling Co.
Tata Group
Tata group is another major player in Indian retail industry with its subsidiaryTrent, which operates Westside and Star India Bazaar. Established in 1998,it also acquired the largest book and music retailer in India Landmark in 2005.Trent owns over 4 lake sq. ft retail space across the country.
RPG Group
RPG Group is one of the earlier entrants in the Indian retail market, when itcame into food & grocery retailing in 1996 with its retail Food world stores. Laterit also opened the pharmacy and beauty care outlets Health & Glow.
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Reliance
Reliance is one of the biggest players in Indian retail industry. More than 300Reliance Fresh stores and Reliance Mart are quite popular in the Indian retailmarket. It's expecting its sales to reach Rs. 90,000 crores by 2010.
AV Birla Group
AV Birla Group has a strong presence in Indian apparel retailing. Thebrands like Louis Philippe, Allen Solly, Van Heusen, Peter England are quitepopular. It's also investing in other segments of retail. It will invest Rs. 8000-9000crores by 2010.
Another big player in the segment will be the Bharti group. Overhauling this
part of the supply chain will be the key to the success of any retail venture in foodand groceries segment.
Wal-Mart, the worlds largest retailer, and Bharti Enterprises have signed aMemorandum of Understanding (MoU) to explore business opportunities in theIndian retail industry. This joint venture will mark the entry of Wal-Mart into theIndian retailing industry a retail chain like Future Groups Big Bazaar may beclocking heady sales (growing at 100% year- on- year), but the dozen odd shops
operating in its proximity wear a deserted look, giving a somewhat hollow ringto the much- talked- about retail boom in the country. The key players currentlyoperating in the Indian retail industry includes Future Group, Trent Ltd, RPGEnterprise, Vishal Retail Ltd, Shoppers Stop Ltd, Bata India Ltd, Provogue IndiaLtd, Vdeocon Appliances Ltd, ITC Ltd, Godrej Agrovert Ltd, and DCM-HariyahKissan Bazaar.
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Retailers ranging from Pantaloon to RPG to Piramals or the Tatas areworking towards exploiting this model, perceived by consumers as more valueenhancing. But in the long run, what is most likely to succeed is a more balancedmulti-format strategy. Finally, while in the first flush of the retail boom, theelimination of traditional intermediaries may bring windfall gains (as well as bring
welcome and much-needed relief to the producers), this source will increasinglydry out as competition intencifies and margins come under pressure a few yearsdown the line. What would set the survivors apart from those who are forced tosell out or go belly-up will be differentiators like location, value-added services(convenience), private labels and customer loyalty programs other than price.The last, a result of retailer-manufacturer tie-ups, state-of-the-art supply chaininfrastructure, global sourcing and scale will be a key factor. And, if experience inother markets is anything to go by, an uncanny ability to read shifting trends.
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Retail formats in India
Hyper marts /supermarkets: large self-servicing outlets offering products from avariety of categories.
Mom-and-pop stores: they are family owned business catering to small
sections; they are individually handled retail outlets and have a personaltouch.
Departmental stores: are general retail merchandisers offering qualityproducts and services.
Convenience stores: are located in residential areas with slightly higherprices goods due to the convenience offered.
Shopping malls: the biggest form of retail in India, malls offers customers amix of all types of products and services including entertainment and foodunder a single roof.
E-trailers: are retailers providing online buying and selling of products andservices.
Discount stores: these are factory outlets that give discount on the MRP.
Vending: it is a relatively new entry, in the retail sector. Here beverages,snacks and other small items can be bought via vending machine.
Category killers: small specialty stores that offer a variety of categories.They are known as category killers as they focus on specific categories, suchas electronics and sporting goods. This is also known as Multi Brand Outletsor MBO's.
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Specialty stores: are retail chains dealing in specific categories and providedeep assortment. Mumbai's Crossword Book Store and RPG's Music Worldis a couple of examples.
Challenges facing Indian retail industry
The tax structure in India favors small business
Lack of adequate infrastructure facilities
High cost of real estate
Dissimilarity in consumer groups
Restrictions in Foreign Direct Investment
Shortage of retail study options
Shortage of trained manpower
Low retail management skill
The retail industry in India is currently growing at a great pace and isexpected to go up to US$ 833 billion by the year 2013. It is further expected to
reach US$ 1.3 trillion by the year 2018 at a CAGR of 10%. As the country has gota high growth rates, the consumer spending has also gone up and is also expectedto go up further in the future. In the last four year, the consumer spending in Indiaclimbed up to 75%. As a result, the India retail industry is expected to grow furtherin the future days. By the year 2013, the organized sector is also expected to growat a CAGR of 40%.
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Categories of Indian Retailers :-
Corporate Houses
Tatas: Tata TrentRPG group: Food World, Health and Glow etc.ITC: Wills Life StyleRaheja group: (Shoppers Stop), DLF (DT cinemas).
Nike, Rbk. ZodiacMulti-brand outlets
Vijay Sales, Viveks etc.Manufacturers/ ExportersPantaloons, Bata, Weekender
Classifying Indian Retailers:
1. Modern Format Retailers
Supermarkets (food World)Hypermarkets (Big Bazaar)Department Stores (shoppers Stop)Specialty Chains (Ikea)Company Owned Company Operated
2. Traditional Format Retailers
Kiranas: traditional Mom and Pop StoresKiosksStreet MarketExclusive /Multiple Brand Outlets
3. Hypermarket
Big BazaarGiantsShopriteStar
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4. DepartmentLifestylePantaloonsPyramidsShoppers StopTrent
5. EntertainmentFame Ad labsFun RepublicInoxPVR
Chapter-3
Company Profile
Future Group, led by its founder and Group CEO, Mr. Kishore Biyani, is oneof Indias leading business houses with multiple businesses spanning across theconsumption space. While retail forms the core business activity of Future Group,group subsidiaries are present in consumer finance, capital, insurance, leisure andentertainment, brand development, retail real estate development, retail media andlogistics.
Led by its flagship enterprise, Pantaloon Retail, the group operates over 16million square feet of retail space in 73 cities and towns and 65 rural locationsacross India. Headquartered in Mumbai (Bombay), Pantaloon Retail employsaround 30,000 people and is listed on the Indian stock exchanges. The companyfollows a multi-format retail strategy that captures almost the entire consumption
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basket of Indian customers. In the lifestyle segment, the group operates Pantaloons,a fashion retail chain and Central, a chain of seamless malls. In the value segment,its marquee brand, Big Bazaar is a hypermarket format that combines the look,touch and feel of Indian bazaars with the choice and convenience of modern retail.
In 2008, Big Bazaar opened its 100th store, marking the fastest ever organicexpansion of a hypermarket. The first set of Big Bazaar stores opened in 2001 inKolkata, Hyderabad and Bangalore.
The groups speciality retail formats include supermarket chain Food Bazaar,sportswear retailer - Planet Sports, electronics retailer - eZone, home improvementchain - Home Town and rural retail chain, Aadhaar, among others.
Future Capital Holdings, the groups financial arm provides investment
advisory to assets worth over $1 Billion that are being invested in consumer brandsand companies, real estate, hotels and logistics. It also operates a consumer financearm with branches in 150 locations.
Other group companies include, Future Generali, the groups insuranceventure in partnership with Italys Generali Group, Future Brands, a branddevelopment and IPR company, Future Logistics, providing logistics anddistribution solutions to group companies and business partners and Future Media,a retail media initiative.
The groups presence in Leisure & Entertainment segment is led through,Mumbai-based listed company Galaxy Entertainment Limited. Galaxy leadingleisure chains, Sports Bar and Bowling Co. and family entertainment centres,F123. Through its partner company, Blue Foods the group operates around100 restaurants and food courts through brands like Bombay Blues, SpaghettiKitchen, Noodle Bar, The Spoon, Copper Chimney and Gelato.
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Future Groups joint venture partners include, US-based stationeryproducts retailer, Staples and Middle East-based Axiom Communications.
Future Group believes in developing strong insights on Indian consumersand building businesses based on Indian ideas, as espoused in the groups corevalue of Indianness. The groups corporate credo is, Rewrite rules, Retainvalues.
Future Retail
Retail forms the core business activity at Future Group and most of its
businesses in the consumption space are built around retail. Future Groups retailnetwork touches the lives of more than 200 million Indians in 73 cities and 65
rural locations across the country. The group currently operates around 1,000storesspread over 16 million square feetof retail space. Present in the value andlifestyle segments, the groups retail formats cater to almost the entire consumptionexpenditure of a wide cross-section of Indian consumers.
Led by Pantaloon Retail, the groups flagship company, the group managessome of Indias most popular retail chains like Pantaloons - a chain of fashiondestinations, Big Bazaar - a uniquely Indian hypermarket chain, Food Bazaar -a supermarket chain that blends the look, touch and feel of Indian bazaarswith
aspects of modern retail like choice, convenience and quality and Central- a chainof seamless destination malls. Some of its other formats include Ethnicity- India'sfirst concept store, which recreates the experience of a traditional ethnic marketin a modern retail format,Brand Factory, Planet Sports, aLL, Top 10 and Starand Sitar.
Retailing of products and services related to home building and home
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improvement is led through the groups formats, Home Town, a large-formathome solutions store, along with specialized formats for home furniture and homefurnishing through, Collection iand Furniture Bazaarand consumer electronicsthrough eZoneand Electronics Bazaar.
The group also operates Indias leading rural retailing chain, Aadhaarthat ispresent in over 65 locations in rural India. Aadhaar, an agri-service cum rural retailinitiative, provides a complete solution provider for the Indian farmer.
In 2007, Pantaloon Retail was awarded the International Retailer of the Yearby the US-based National Retail Federation (NRF) and the Emerging MarketRetailer of the Year at the World Retail Congress held in Barcelona.
Corporate Statements:-
Future Group manifesto
Future- the word which signifies optimism, growth, achievement, strength,beauty, rewards and perfection. Future encourages us to explore areas yetunexplored, write rules yet unwritten, create new opportunities and new successes.To strive for a glorious future, it brings to us our strength, our ability to learn,unlearn and re-learn our ability to evolve.
We, in Future Group, will not wait for the future to unfold itself but create futurescenarios in the consumer in the consumer space and facilitate consumption
because consumption is development. Thereby, we will effect socio-economic
development for our customers, employees, shareholders, associates and partners.Our customers will not just get what they need, but also get them where, how andwhen they need.
We will not just post satisfactory results, we will create success stories.
We will not just operate efficiently in the Indian economy, we will evolve it.
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We will not just spot trends, we will set trends by marrying our understanding ofthe Indian consumer to their needs of tomorrow.
It is this understanding that has helped us succeed. And it is this that will help ussucceed in the future. We shall keep relearning.
And in this process, do just one thing.
Rewrite Rules, retain Values
Vision
Future Group shall deliver Everything, Everywhere, Every time for Every Indianconsumer in the most profitable manner.
Mission
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1. We share the vision and belief that our customers and stakeholders shall beserved only by creating and executing future scenarios in the consumptionspace leading to economic development.
2. We will be the trendsetters in evolving delivery formats, creating retailrealty, making consumption affordable for all customer segment- for classesand for masses.
3. We shall infuse Indian brand with confidence and renewed ambition.
4. We shall be efficient, cost- conscious and committed to quality in whateverwe do.
5. We shall ensure that our positive attitude, sincerity, humility and united
determination shall be the driving force to make us successful.
Core Values
Indianness: confidence in ourselves.Leadership: to be a leader, both in thought and business.Respect & Humility: to respect every individual and be humble in ourconduct.Introspection: Leading to purposeful thinking.Openness: to be open and respective to new ideas, knowledge andinformation.Valuing and nurturing relationship: to build long term relationships.Simplicity & positivity: Simplicity and positivity in our thought, businessand action.Adaptability: to be Flexible and adaptable, to meet challenges.
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Board of Directors
Mr. Kishore Biyani, Managing Director
Kishore Biyani is the Managing Director of Pantaloon Retail (India) Limited andthe Group Chief Executive Officer of Future Group.
Mr. Gopikishan Biyani, Wholetime Director
Gopikishan Biyani, is a commerce graduate and has more than twenty years ofexperience in the textile business.
Mr. Rakesh Biyani, Wholetime Director
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Rakesh Biyani, is a commerce graduate and has been actively involved incategory management; retail stores operations, IT and exports. He has beeninstrumental in the implementation of the various new retail formats.
Mr. Vijay Biyani, Wholetime Director
Vijay Biyani has more than twenty years of experience in manufacturing,textiles and retail industry and has been actively involved in the financial,audit and corporate governance related issues within the company.
Mr. Vijay Kumar Chopra, Independent Director
V.K.Chopra is a fellow member of The Institute of Chartered Accountants ofIndia (ICAI) by profession and is a Certified Associate of Indian Institute ofBankers (CAIIB). His banking career spans over 31 years and he has served
senior management positions in Central Bank of India, Oriental Bank ofCommerce, SIDBI, Corporation Bank and SEBI.
Mr. Shailesh Haribhakti, Independent Director
Shri Shailesh Haribhakti, is a Chartered Accountant, Cost Accountant, and aCertified Internal Auditor. He is the Deputy Managing Partner of Haribhakti &Co., Chartered Accountants and past president of Indian merchant Chambers.
He is on the Board of several Public Limited Companies, including IndianPetrochemicals Corporation Ltd., Ambuja Cement Eastern Ltd. etc. He is on theBoard of Company since June 1, 1999.
Mr. S Doreswamy, Independent Director
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Mr. Anil Harish, Independent Director
Anil Harish, is the partner of DM Harish & Co. Associates & Solicitors and an LLM from University of Miami. He also serves on the board of Mahindra Gesco, Unitech, IndusInd Bank and
Hinduja TMT, among others.
Company Timeline:-
Major Milestones
1987 Company incorporated as Manz Wear Private Limited.Launch of Pantaloons trouser, Indias first formal trouser
brand.
1991 Launch of BARE, the Indian jeans brand.
1992 Initial public offer (IPO) was made in the month of May.
1994 The Pantaloon Shoppe exclusive menswear store infranchisee format launched across the nation. The companystarts the distribution of branded garments through multi-
brand retail outlets across the nation.
1995 John Miller Formal shirt brand launched.
1997 Company enters modern retail with the launch of the first8000 square feet store, Pantaloons in Kolkata.
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York and Emerging Retailer of the Year award at the WorldRetail Congress held in Barcelona.
Futurebazaar.com becomes Indias most popular shopping
portal.
2008 Future Capital Holdings becomes the second groupcompany to make a successful Initial Public Offering in theIndian capital markets.
Big Bazaar crosses the 100-store mark, marking one of thefastest ever expansion of a hypermarket format anywherein the world.
Total operational retail space crosses 10 million square feetmark.
Future Group acquires rural retail chain, Aadhar present in65 rural locations.
Awards and recognigation
2009
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CNBC Awaaz Consumer Awards 2009
Most Preferred Multi Product Chain - Big Bazaar
Most Preferred Multi Brand Food & Beverage Chain - Big Bazaar
Images Fashion Forum 2009
Most Admired Fashion Group Of The Year - Future Group
Most Admired Private Label - Pantaloons, the lifestyle format
Critics Choice For Pioneering Effort In Retail ConceptCreation - Central
Coca-Cola Golden Spoon Awards 2009
Most Admired Food & Grocery Retailer Of The Year
Most Admired Food Court
Most Admired Food Professional
2008
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Indian Retail Forum Awards 2008
Most Admired Retail Company of the year - Future Group
Retail Face of the Year - Kishore Biyani
Best Retailer Of The Year ( Hypermarket) - Big Bazaar
Future Group was awarded the Most Admired Retail Company of the year by theIndian Retail Forum at a glittering ceremony organised in Mumbai. Mr KishoreBiyani also won Retail Face of the Year.
India Retail Forum (IRF) is a platform for intellectual insights and information
exchange for the retail business in the Indian subcontinent. The forum presentsthe business of retail in the region to a global audience, with the express aimof facilitating understanding about and encouraging investment in this massivemarketplace.
Big Bazaar, the value format of Future Group bagged the Best Retailer Of TheYear ( Hypermarket).
The INDIASTAR Award 2008
Food Bazaar: Best Packaging Innovation
Food Bazaar bagged the INDIASTAR Award for Best Packaging Innovation inIndia, for its private label brand Fresh And Pure Chakki Atta.
INDIASTAR Award is a biennial event which aims to promote and encourageexcellence in packaging design, innovation and technology. The contest wasestablished in 1972 and is considered as the most popular and premier event for
Indias packaging fraternity. This year there were around 357 entries and theparticipants had to submit a sample of their designs for selection.
With this award, Pantaloon Retail (India) Limited becomes the first IndianRetailer to win the prestigious INDIASTAR Award.
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Retail Asia Pacific 500 Top Awards 2008
Gold Winner - Top Retailer 2008 Asia Pacific
Retail Asia Publishing Pte, the institutor of these awards, aims to set a platform
that appraise, raises and recognizes the development and growth of retailingthroughout the Asia Pacific region.
Coca-Cola Golden Spoon Awards 2008
Most Admired Food & Grocery Retail Visionary of the Year: Kishore Biyani
Most Admired Food & Grocery Retailer of the Year Supermarkets: FoodBazaar
Most Admired Food & Grocery Retailer of the Year - Hypermarkets: BigBazaar
Most Admired Retailer of the Year - Dynamic Growth in Network Expansion
across Food, Beverages & Grocery: Future Group
Most Admired Food & Grocery Retailer of the Year - Consumer's Choice:Big Bazaar
The Coca-Cola Golden Spoon Awards 2008, were given away for the first time asa culmination of the Food Forum India 2008 a two day convention, which sawthe participation of leading brands, retailers & retail support organizations fromacross the globe. The awards were presented to honour enterprise, innovation andachievement in the food retailing business as a benchmark of excellence.
The Reid & Taylor Awards For Retail Excellence 2008
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Retail Leadership Award: Kishore Biyani
Retail Best Employer of the Year: Future Group
Retailer of The Year: Home Products and Office Improvements: HomeTown
The Reid & Taylor Awards for Retail Excellenceare an important feature of theAsia Retail Congress, Asias single most important global platform to promoteworld-class retail practices. These awards are aimed at honouring the best, in theAsian Retail scenario. India played host to Asia Retail Congress 2008.
2007
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Leading human resources consultancy, Hewitt Associates conducts an annualsurvey of the best employers in India, as part of its global initiative. It is
based on CEO interview, People Practices Inventory and Employee OpinionSurveys. Pantaloon Retail became the only retailer to feature among the
twenty-five best employers in India.PC World Indian Website Awards
Best Indian Website In The Shopping Category - Futurebazaar.com
PC World, a leading consumer technology magazine selected the best Indianwebsites in various categories based on use of technology for deliveringsolutions, information being presented in an intuitive and concise manner andoverall experience aided by design.
Readers Digest Trusted Brands Platinum Awards
Trusted Brands Platinum Award (Supermarket Category) Big Bazaar
The Readers Digest awards are based on surveys done among consumersby independent research agency, Nielsen Media Research. This is the secondconsecutive time Big Bazaar has won this award.
2006
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Retail Asia Pacific Top 500 Awards
Asia Pacific Best of the Best Retailers Pantaloon Retail (India) Ltd Best Retailer in India Pantaloon Retail (India) Ltd
The Retail Asia publication in association with EuroMonitor and KPMG
honours the best retailers in 14 countries across the Asia Pacific region. Theawards were presented in Singapore in October, 2006.
Asiamoney Awards
Best Managed Company in India (Mid-cap) Pantaloon retail (India) Ltd.
The Asiamoney publication conducts a poll among fund manages andinvestors and does a quantitative analysis of financial performance to select
best managed companies in Asian countries.
Ernst & Young Entrepreneur of the Year Award
Ernst & Young Entrepreneur of the Year (Services) Kishore Biyani
Considered to be one of the most prestigious business awards in India, a jurycomprising leading names in Indian business selected the winners based oncourage, creativity, passion, endurance and vision.
CNBC Indian Business Leaders Awards
The First Generation Entrepreneur of the Year Kishore Biyani
Organized by CNBC-TV18, the twelve awardees in various categories aredecided by a high profile jury, along with research partners - The Universityof Chicago Graduate School of Business, Development Dimensions
International (DDI) and AC Neilson ORG MARG.
Lakshmipat Singhania IIM Lucknow National Leadership Awards
Young Business Leader Kishore Biyani
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The award recognizes and honors individuals who have contributedconsistently to the betterment of our country through their pursuit of excellence.The awards were presented in New Delhi by the Prime Minister Dr. ManmohanSingh in December, 2006.
Images Retail Awards
Best Value Retail Store Big Bazaar Best Retail Destination Big Bazaar
Best Food & Grocery Store Food BazaarRetail Face of the Year Kishore Biyani
The Images Retail Awards are decided through a nationwide consumer &industry poll and nominations followed by performance assessment by teamof analysts and jury.
Readers Digest Awards
Platinum Trusted Brand Award - Big Bazaar
The Readers Digest awards are based on surveys done among consumers byindependent research agency, Nielsen Media Research.
CNBC Awaaz Consumer Awards
Most Preferred Large Food & Grocery Supermarket Big Bazaar
Conducted in association with AC Nielsen-ORG Marg across 21 major cities,nearly 10,000 consumers were asked to choose their most preferred brands.
Reid & Taylor Awards for Retail Excellence
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Retail Entrepreneur of the Year Kishore Biyani
2005
Images Retail Awards 2005
PRIL- Most Admired Retailer of the Year
Food Bazaar- Retailer of the Year(Food and Grocery)
Big Bazaar-Retailer of the Year(Value Retailing)
Central-Retail Launch of the Year
Voted by Business Today magazine as one of the
Top 20 Companies in India to watch in 2005
Indias most investor-friendly companies in the top 75
Indias Biggest wealth creators in the top 100
DAKS London
PRIL- Brand Builder of the Year
2004
Images Retail Awards 2004
PRIL- Most Admired Retailer of the Year
Food Bazaar- Retailer of the Year(Food and Grocery)
Big Bazaar-Retailer of the Year(Value Retailing)
Central-Retail Launch of the Year
Reid & Taylor and DLF Awards
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PRIL - Retailer of the year
2003
Indian Express Award PRIL Marketing Excellence and Excellence in Brand Building
Indusland Bank (India Brand Summit)
PRIL - Excellence in Brand Building
Companies of future group
Future Retail (India) Limited
Home Solutions Retail India Limited
Future Brands Limited
Future Media (India) Limited
Future Supply Chain Solutions Limited
Convergem Communication (India) Limited
Pantaloon Food Product (India) Limited
Future Knowledge Services Limited
Future Capital Holdings Limited
Future Generali India Insurance Company Limited
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Future Generali India Life Insurance Company Limited
Future bazaar India Limited
Winner Sports Private Limited
Staples Future Office Products Private Limited
Talwalkars Pantaloon Fitness Private Limited
ConvergeM
Indus League Clothing
Galaxy Entertainment Corporation Ltd
Future Consumer Products Limited
Future Ventures India Limited
Foot Mart Retail .
Future Brands
The Future Group has built a strong portfolio of some of the fastest growingconsumer brands in India. This activity is led through Future Brands IndiaLimited, a specialized subsidiary company that was set up to create and build
powerful brands that address the aspirations of the new Indian consumer.
Some of the key brands in this portfolio include, John Miller, Lombard, Bare,DJ&C, Buffalo and RIG in the fashion and apparel space. Dreamline, presentin the home segment, offers a wide range of products in kitchenware, bed & bath
linen, and Home Dcor categories.
In the food and home care segment brands include Tasty Treat, PremiumHarvest, Fresh & Pure, Care Mateand Clean Mate.
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In consumer durables and electronics space, the groups brands include KoryoandSensei.
Line of Business
The company is present across several lines of business which have various
formats (stores) lywood, The Doller store(JV).
Fashion Pantaloons, Central, All, Brand Factory, Blue Sky, Top 10,Fashion Station, Big Bazaar, Lee Cooper (JV).
General Merchandise Big Bazaar, Shoe Factory, Navras, ElectronicsBazaar, Furniture Bazaar, KBs Fair Price.
Electronics- e-Zone, Staples (JV).
Home improvement- Home Town
Furniture Collection I, Furniture Bazaar, Home Bazaar.
E-tailling (Online Shopping).
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Books & Entertainment Bowling Co., F123.
Wellness Star & Sitara, Tulsi.
Telecom & IT Gen M, M-bazaar, M-Port, Converge M.
Consumer Durables Koryo, Sensei.
Service E-Care.
Malls TGIP, Central Gurgaon.
Big Bazaar Indias Real Retail Story
Big Bazaar, the flagship retail chain of the Future Group, is on the verge ofachieving a unique milestone in the History of World retail- by being the firsthypermarket format in the globe to rollout fastest 101 stores in a short span ofseven years.
Big bazaars journey began in October 2001, when the young first generationentrepreneur Kishore Biyani opened The countrys first hypermarket retail outlet
in kolkatta [Then Calcutta] .In the same month, Two more stores were added oneeach in Hyderabad and Mumbai, thus starting on a successful sojourn which beganthe chapter of organized retailing in India.
Speaking on this momentous occasion and remembering the days ofconceptualizing the hypermarket idea Mr. Kishore Biyani said, We initially
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decided to name the format as Bazaar because we had designed the storekeeping the Indian mandi style in mind . since the size of the hypermarket was bigthan an average mandi, the thought came to name it as Big Bazaar . howeverwe had freezed on the punch line Is Se Sasta Aur Accha kahin Nahi muchbefore we met the creative agency to design the final logo of Big Bazaar.
Though, Big Bazaar was started purely as a fashion format including apparelcosmetics, accessory and merchandise, the First food bazaar format was addedas shop-In shop within Big bazaar in the year 2002. today, Big Bazaar, with itswide range of products and service offering, reflects the aspirations of millions ofIndians.
The journey of Big Bazaar can be divided into two phases one pre and the
other post January 26th, 2005 when the company rewrote the retail chapter inIndia, with the introduction of a never before sales campaign Sasbe Sasta DinIn just one day , almost the whole of India descended at various Big Bazaar storesIn the country to shop at their favorite shopping destination.
Further, what followed was the time and again rewriting of the IndianRetail experience wherein understanding of the Indian consumers reflected in the
products and services offered, creating innovative deals, expanding in the tier IIand tier III towns, tying up with branded merchandise to offer exclusive productsand services to its customers.
Big Bazaar is present today in 59 cities and occupying over 5 million sq.ft. retail space and driving over 110 million footfalls into its stores. The formatis expecting the number of footfall in the stores to increase by over 140 million
by this financial year . Over the years , Mr. Biyani for his vision and leadership,and Big Bazaar for its unique proposition to its customers, have received every
prestigious consumer awards both nationally and internationally.
Says Rajan Malhotra, President, Strategy & Convergence, Big Bazaar, what isimportant in our journey is not the number of stores, but the customers faith in us.Its the India and the Indians, which have helped us, reach this feat in such a shorttime span and today our country is creating a history in the word organized retail.
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Rajan Malhotra, who is also the first employee of Big Bazaar, joining theorganization in early 2001 adds, Since beginning, we have kept Big Bazaar as asoft brand, which reflects the India and the Indianness. We believed in growingwith the society, participating and celebrating all regional and local communityfestivals, giving customers preferences above everything else.
Every Big Bazaar is a small family by its own and the head of the family Karta- is the store manager. Kishore Biyani, the CEO of the Future Group, has avast understanding of the consumers insight, has inculcated the habit of observing,understanding customers, in every employee of the group.
Future Group is confident of the Indian Retail Story. The group has not sloweddown its expansion plans depite the fiscal woes in the economy present today.Future Group plans to have 300 stores and is expecting revenues of Rs 13,000crore by year 2011.
About Big Bazaar
Type : Hypermarket type
Founded : 2001Industry : Retail
Product : Department store
MD & CEO: Mr. Kishore Biyani
Parent : Future Group
Website : www.bigbazaar.com
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Big Bazaar is a chain of hypermarkets in India, with more than 100 stores inoperations. It is a subsidiary of Pantaloon Retail India Ltd, Future Group, offersa wide range of products including clothing, footwear, electronic appliances,groceries and kitchen utensils. You can also buy branded stuff from Reebok, Nikeand Puma here. It caters to every need of your family. Where Big Bazaar scoresover other stores is its value for money proposition for the Indian customers.
The word hypermarket is derived from the French word hypermarche, which is acombination of a supermarket and department store.
The stores occupy an area which ranges from anywhere between 80000 to 220000sq. ft. and offer a variety of food products like clothes, jewellery, hardware, sportsequipment, books, CDs, DVDs, TVs, electrical equipment and computers etc.
Hypermarkets are today synonymous with one stop shopping. The cheapestprices will normally be found in these stores. Across thre world, hypermarkets areusually part of a retail park, along with other shops, cafeterias and restaurants. Akey element of differentiation between the hypermarket and the other retail formatsis that they typically have destination locations. The hypermarkets are designed to
attract customers from a significantly large area with their low price offers, uniquerange and offers. It is the largest form of organized retailing today. It is an idealshopping experience with an amalgamation of product, service and entertainmentall under of a common roof.
The company has been able to leverage on its multi-formats-multi-brand stores,secure prime locations at the best possible prices and command a strong bargaining
power with suppliers, which provide it an edge over its competitors.
Customers come in Big Bazaar for purchasing, entertainment and pacing here and
there.
It gives many facility to the customers like; Helpline, Baggage Counter, Parking,Exchange etc. big Bazaar trying to provide customer with 3Vs
Value
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Variety
Volume
Big Bazaar has different categories; such as
Food Bazaar
Apparels
General Merchandise:- At Big Bazaar, you will definitely get the bestproducts at the best prices- thats what it guarantees. With the everincreasing array of private labels, it has opened the doors into the worldof fashion and general merchandise including home gurnishings, utensils,crockery, cutlery, sports goods and much more at prices that surprise us.Here we talk about the department stores, because Big Bazaar based on thedepartments.
Department Stores:-
Carry broad variety and deep assortment organized into separate deparment for
displaying merchandise,
Major departments includes:-
Utensils
Plastics
Home dcor
Luggage
Toys
Footwear etc.
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Chains are very diverse and appeal to different markets. They are unique interms of the shopping experience they offer, the services they provide and theatmosphere of the store. They are promotion- oriented. They increase competitionwith discount and specialty stores creating problems.
Store Organization:-
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Chapter -4
Fashion Department at Big Bazaar
StoreManager
AssistantStore Manager
OperationalManager
DepartmentManager
AdditionalDepartment Manager
Team Leader
Team Member
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Marketing Strategies of Big Bazaar:
At the time of the launch of Big Bazaar in Udaipur last year, there was no realprecedent in the Indian Market. A western model had to be adapted to suits theneeds of the Indian environment. Various local markets were studied to understandthe product mix and the prices offered.
Savings is to the key to the Indian middle class consumers. The store thatwould be launched had to offer value to the consumers. Keeping this in mind the
concept of Big Bazaar was created.
In India, when a customer needs something for home, a typical thought isto seek it from bazaar where a complete range of products is available to theconsumers. As the store offers a large mix of products at a discounted price, thename Big Bazaar was finalized. The idea was to re-create a complete bazaar, with alarge product offering and to offer a good depth and width in terms of range.
Price was the basic value proposition at Big Bazaar. The Big Bazaar outletssold a variety of products at prices which were 5 to 60% lower than the market
price. The line Is Se Sasta Aur Accha Kahin Nahi emphasized this. The keyquestion faced by the management was whether the low margins on the productswould allow the company to sustain growth. With the aim of answer in order toallow the company decides on the right locations.
The key learning which came out of this exercise was that for a large store likeBig Bazaar, a large catchments area was needed. The management decided to stickto the existing market places within the city as the western model of hypermarkets,
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where the store was located in large area on the mid of the city would also reallywork in India. The cost of time spent on travels and the cost of petrol in Indiawould really become a plus point for the customers. Some of the key marketingstrategies and promotional activities that are successfully employed by Big Bazaarare:-
Discount Selling
Big Bazaar sells all its products at a much cheaper price as compared to the localmarkets. The range of discounts ranges from 5 to 60%. Although the store sellsthe products at a cheaper rates it does not compromises with the qualities of the
products.
Huge No. of BrandsBig Bazaar maintains a huge number of brands under its dispose which give thecustomers the liberty of buying the product of their favorite brand. This helps thecustomers as they dont go looking out for a product of a particular brand.
Large Product Line
Big Bazaar also stocks a large product line of a single brand or multiple brandswhich give the customers the choice to select the most appropriate product out ofmany available at the most economical prices.
Frequent Promotional Activities
Frequent promotional programs like Wednesday- Haftey Ka Sabse Sasta Din,Fashion Shows, Monthly Bachat, Price Challenge, etc. were conducted instore in which the customers were provided special discounts, offers in addition
to the normal discounts and offers of the store. The main purpose of this sort ofactivities is to generate in the dull days of the week or of the month.
Learning Process for Summer Training at Big Bazaar
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The following learning process for summer training at Big Bazaar of Udaipurcity was given to me. According to this learning process, I had to undertake mysummer training in Big Bazaar. The learning process is given below in brief:-
MerchandisingThis includes
Inward,Display,Replenishing (FIFO),Offer Updating,Top Selling SKUs,Bottom Line SKUs,Liquidation Process,Defective Goods Handling (DAD- Damage & Defective),Margins,Buying,Outward,Stocktake.
Customer Service
It hasCSD (Customer Service Desk) Operations,Customer Movement,Customer Touch Point,After Sale Services,Home Delivery,Alteration and Customer Grievance Handling.
Visual MerchandisingIt has Signages,
Details of Materials,
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VM Frames,Shelf Talkers,Focal Piont/ Hot Spots,Execution of Promotions,Communication of Offers,Directional Signages in the Store,Window Display.
Cash DepartmentIt works on Cash Till Operations,Billing Process,Handling Cash,Tallying Cash,Allocation of Till wise Cashiers,
Depositing of Cash in Bank,Shortage/ Excess Cash Treatment,All Modes of Payments,Checking of Currency Note,Foreign Exchange,Cash Float of Cashier,Grab Process,Currency Handling & System.
Information TechnologyREM Knowledge,SAP Knowledge,System Generated Report,Stock Adjustment,Scheme Updation,Hardware Knowledge,Day Closing Activity.
Human ResourcesPERK,Sanjeevani,Fun Jone,
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Atithee,Employee of the Month,HR Policies,Prerna,Staff In / Out Management,Sturday Meeting,Payroll Process,Skip Meeting.
OperationsEntire SOP,Opening of Stores,H. K. Activities throughout the Day,Security Activities,
H. K. positioning,Security Positioning,Discipline & Attire Check of Security & H. K.,Parking Management,Trolley management,Scrap Disposal process,Waste Management,Daily Check Points,Fixed Asset Knowledge,
AMCs Checklist of Fire Safety Equipments,A/Cs, Electricals, Lifts, Invertors, Chakkis,DGs, LPC Process & Team Management.
Analysis StudyStock Cover,DSR Study, Age Analysis,Stock Turns, Sales Mix, Sales Trend,Margin Analysis, Per Sq. Ft. Return Analysis,Ticket Size, Conversion,
Return on Capital Employed/ Working Capital Analysis.
FASHION DEPARTMENT @ BIG BAZAAR, UDAIPUR
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Introduction
Fashion department is a Line of Business (LOB) at Big Bazaar, Udaipur.Location of Fashion department is situated on 3 floor of the store. Fashiondepartment has large range of Product mix. It has collection of huge brands.Fashion department plays an important role in Big Bazaar, Udaipur as it attractsthe customers to visit the store. Everyday, it also contributes almost 25% sale ofthe entire store.
FASHION AT BIG BAZAAR
Fashion
Fashion is trend to change that whatever happen in some periodIt come In all three month with the new product and with the modification ofold product. It change simultaneously with the season.
Fashion @ bazaar
At Big Bazaar fashion include all apparels Fashion is a very important LOB for big bazaar Big Bazaar get highest margin by fashion department The average contribution of fashion in Udaipur Big Bazaar is 23% The target contribution of fashion sub department in fashion are Mens wear- 50%, Ladies wear-30% Kids wear-20%
We PROMISE-that from today we will start selling FASHION
& not just apparel & take BIG BAZAAR to the next level by sellingmore & more fashion.Kar ke dikhana hai
Process of FashionWarehouse (Receiving)
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Sub department
Tagging
On floor
Staking (MPM)
Sub department of Fashion
Mens wear
Ladies wear
Kids wear
Home Linen
Mens Wear
Section of mens wear
Men's Casual
Men's Fabric
Men's Formal
Men's Occasion Wear
Suit & Blazer
Men's Accessories
Mens night wear
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Mens wear
Brands of productsAFL
Knighthood
John Miller
DJ&C
Famous Basics
Signature
Shatranj
VIP
Ladies Wear Section of ladies wear
Ladies EthanicLadies WesternSaree & Dress MaterialLadies AccessoriesLadies night wear
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Brands of MerchandisesSharistyDJ&C
SHAYLA
Kids Wear Section in kids wear
Children WearKids Accessories
Brands of MerchandisesPINK & BluePower Ranger
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ABP V/S Achievement Week 1 To 5
Sub Dept ABP Achievement Ach%
Men's Casual 11.45 9.03 79%
Men's Fabric 0.12 0.06 50%
Men's Formal 2.66 4.10 154%
Men's Occasion Wear 0.6 0.82 137%
Suit & Blazer0.14 0.10 71%
Men's Accessories 2.11 2.12 100%
Ladies Ethanic 4.09 3.11 76%
Ladies Western 5.41 4.94 91%
Saree & Dress Material 2.24 1.47 66%
Ladies Accessories 0.51 0.49 96%
Children Wear 9.23 6.83 74%
Kids Accessories 0.51 0.53 104%
BB-Fashion 39.07 33.60 86%
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Tagging pattern
There is three type of tags
Soft Tag
Hard Tag
String Tag
Types of Tag
String Tags
These tags are the hard plastic tags or could be paper sandwich
tags with a non-deactivable soft tag placed inside.
These tags are reusable like the hard tags
Use only the non-deactivating soft tags
Used on all items below Rs.400 in value and have been
developed as an alternative to hard tags.
The tags are attached to the item using a hard nylon fastener.
To check if the tags are working, simply place them on
the deactivating pad. If the tag does not beep stop use of the tag.
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Hard Tags
Has got two specific parts- The pin and the tag.
Used for apparels above Rs.400 and in certain categories on all the
items.
Tags will ring only if the pin is inserted properly Never use bent,
damaged or rusty pins while tagging.
The pins can be removed only using a detacher, thus care should
be
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Soft Tags
Soft tags are the flat paper tags.
Must always be used on flat clean surfaces.
A tag must be bent, do not bend any of the pink area of the circuit. bend 1
cm on one side only & no more than 90 degrees.
They should not be used on garments, as they will leave a stain.
These tags should not be put on metal or foil products unless there is at least
1 cm space between the security tag and the product, or else they wont work.
These tags get deactivated on the deactivation pad.
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Importance of mpm In fashion
MPM (merchandise presentation manual) mpm is related to the visual merchandise.
What is visual merchandising ? merchandise is briefly defied as presentation of a store asmerchandise in the way that will attract the attention of potential to thecustomer and motivate them to make purchase.
Advantage of mpm
Arranged merchandise properly
Easy to find
Easy to pick
Easy to buy
to put best forward the merchandise highlight I terms of
colour ,quality
Who can we make effective mpm Product should be tagged from
manufacturing house.
Focus light should be o the flor.
Availability of Proper mannequins For all the product.
Hygienic product should be packed.
Stock should be properly displayed.
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Birthday Celebrations at Big Bazaar
16th-25thJuly
Big Bazaar Store located in the heart of Udaipur city had completed its thirdyear since opening in the city in the month of July 2010. Keeping in mind its thirdanniversary, the store was celebrating it with the customers in the form of BirthdayCelebrations. The store celebrated it for ten days from 16thJuly to 25thJuly 2010.The slogan for the birthday celebrations was Khushiyon Ke Din Khushiyon Ke
Upahaar.
Big Bazaar was celebrating its 3th Birthday from 16thto 25thJuly. The themefor this celebration was come celebrate with us, get fabulous gifts, bumper prizes,and enjoy loads of exciting activities in store.
Continuing its efforts to provide the best shopping deals and savings toIndian consumer, Big Bazaar was all set to celebrate this Birthday Anniversarywith its Customers. It was truly memorable eith rock bottom prices, best possiblediscounts, mega offers and lucky draw also. Apart from the flagship Big Bazaar
and its Food Bazaar, other departments like FurnitureBazaar, Electronic Bazaar,Depot, General Merchandise, and Fashion Department were also the part of thiscelebration.
From daily household needs of food and grocery to apparels, footwear,toys, luggage, kitchenware, home decor, furniture and electronics; BirthdayCelebrations had an exciting array of attractive offers, deals and discounts,ensuring something for everyone in the family, to shop for, and a maximum valuefor money for all customers. With this new shopping concept, Big Bazaar touches
the heart of its customers and also maintains the company-customer relationship.
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During the Birthday Celebrations, the following were the main offers in the FoodBazaar:
Space Mix and Space Management
Space Mix
For the retailer space is money. The store has to be planned in such a waythat it optimizes the selling area and minimizes the non-selling parts. The sellingarea is used to present the merchandise and the non-selling part is accounted for bycirculation space, staircases, lifts, facilities, the back area, etc. The area mix in atypical department store is: selling area about 60%, circulation area 15%and back
area 25%.
Area Mix
2
Circulation 15%Back Area 25%Selling 60%
60% 15%
25%
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Space Management
The placement of merchandise within the store in the most profitable manneris called space management .it is one of the most important activities, because thelocation of merchandise at different location have different values. Some partsof store are more valuable because customers visit those more frequently, whichresults in higher sales. It is easier to make sales along.
Space closest to the entrances and exits is the most is the valuable, and valuesdecrease further into the store.
Retail Marketing Mix
The basic function of retail is to provide the right goods to the consumer, at theright place and time. Through the retail marketing mix we can compete withour competitors and achieve the sales target. The marketing tools that a retailorganization uses to pursue its marketing objectives are termed as the retailmarketing mix.
The most channels are:
Product
Price
Place
Promotion
Presentation
Customer Service
People
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The channels are illustrated in figure given below:
Channels of Retail Marketing
Retail
Marketing
Mix
PeopleProduct
PlacePresentation
Promotion
CustomerService
Price
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Product
One of the main elements of the retail marketing mix is the products and /orservices that store offers to the customer.
Products are also termed as merchandise. The different products that the storeoffers are together termed as the merchandise mix.
For example, if we consider the Fashion at department store, the merchandise linecomprises:
Mans wear
Mans accessory
Party wear
Ladies wear
Kids wear
Home fashion
Price
Pricing is an integral part of the retail marketing mix. The price policy that theorganization decides to follow depends on the customer profile of the targetaudience for its range of products.
Big Bazaar gives the good price to the customer .price makes the good relationshipto the customers.
Big Bazaar has a punch line Isse Sasta Aur Accha Kahin Nahi
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It gives the high discount on the price like; foods products (20%, 25%, 35%), non
food products (10%, 20%, 35%), buy one get one free Top Price, buy 3 get one
free Park Avenue soap, etc.
Big Bazaar gives many offers to the customer like; the great Indian festival Big
Days, Sabse Saste 3 Din, etc. In these types of days it gives the huge discount on
the products.
Place
The location of the retail store was considered to be the most important element of
the retail marketing mix.
Big Bazaar is situated at premier location in Udaipur, where Levis, E-Zone, Cafe
Coffee Day, and Reebok like stores are situated. It is the best place for Big Bazaar.
Promotion
The advertising budget, sales promotion, publicity and the public relations play
a very important role in the competitive world of retailing .these help the store
to achieve the short term goals. Promotion may be price led or occasional led, in
which case special merchandise offered by the stores only for the occasion. Most
retail organization run promotions during festival seasons.
Big Bazaar also provides the promotional offers on festival like Diwali, New Year,
ID, Valentine day, etc. Discounts depend on the products.
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Presentation
The manner in which the merchandise is presented at the store level is very
important. This aspect not only deals with the store layout and the ambience
created, but also with visual merchandising.
Visual merchandising is the orderly, systematic way of putting stock on display in
the retail store.
Big Bazaar presents the store as per the season and occasions like; on Diwali
store is decorated with candles and flowers, on Christmas store is decorated with
stars, ribbons, balloons, Christmas tree and on Independence Day and Republic
Day store is decorated with green, orange, and white balloons, etc. that attract the
customers.
Customer Service
The support services that a retailer offers have become very important today.The credit policies and the product returns policies need to be clear marketing,
buzzwords in the industry today and all these are aimed at enhancing customer
service.
In the Big Bazaar, the product range is good and availability of the products is very
easy. Bag Bazaar provides the low price comparison to the other retailers.
Big Bazaar provides the good services to their customer like; baggage counter,
parking, product, help line, etc.
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People
Retailers operate in a unique environment. The retail industry is characterized by
a large number of inexperienced workers, who need to put in long hours of work.
Most of the time, these employees are in direct contact with the customer and may
face irate or unreasonable customer.
The people who work at the front-end of a retail organization are very important,
as they are the manners and products knowledge plays a very important role in
building long term relations with the customer.
Retail Communication Mix
Communication is an integral part of the retailers marketing strategy. Primarily,
communication is used to inform the customers about the retailer, the merchandise
and the services. It also serves as a tool for the building the store image.
The retailer can used various platform / channel for communication. The mosttools are:
Advertising
Sales Promotion
Public Relation
Personal Selling
Point of Purchase (POP) Displays
The tools are illustrated in figure given below:
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Advertising
RetailCommunicatio
n Mix
PublicRelation
s
Point ofPurchase
(POP)Displays
SalesPromotio
n
PersonalSelling
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Advertising
Advertising can be defined as any paid form of non- personal presention and
communication through mass media. It is popularly believed that one of the main
aims of the advertising is to sell to wide mix of consumers and also to induce
repeat purchase.
However, a retailer may use advertising to achieve any of the following objectives:
Creating awareness about a product or store
Communication information in order to create a specific image in the customers
mind in terms of the store merchandise, price, quality, benefits, etc.
Create a desire to want a product.
To communicate the stores policy on various issues.
Advertising can also help identify a store carrying nationally advertised brands.
It can also help in repositioning the store in the mind of the customer.
To increase sale of specific categories or to generate short term cash flows by way
of sale, bargain days, midnight madness, etc.
Advertising can also help reinforce the retailers corporate identity.
For advertising, the retailer may use one or a combination of the following
mediums:
Press advertisements
Posters and leaflets, brochures, booklets
Point of purchase displays
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Advertising can also be done through mediums like radio, television, outdoor
hoardings and the internet.
Sales Promotion
Sales promotion helps a retailer by way of attracting customer traffic and enables
quick result to be achieved. Depending on the type of promotion carried out, it can
help increase impulse buying, generate excitement and can motivate other channel
members.
Common retail promotions are illustrated:
Coupon:
A coupon allows the buyer a reduction in price on specific merchandise or
products, when the coupon is redeemed .coupons may be delivered through
newspaper, magazines, post or in products.
Contests:
A contest needs consumers to compete and the prizes are based on skill. In
the case of sweepstakes, the customer only needs to enter in his name and
the winner is determined by chance. Many retailers allow customers to enter
into competitions on the basis of the amount of purchases they have made.
Demonstrations:
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Demonstrations are used to show the customer, the performance capabilities
of the products. Videos may also be used to aid the demonstration and show
the use of the products.
Product /Brand Promotions and Schemes:
This is a straightforward scheme in which the consumer either gets a
monetary discount on the purchase of a particular product/s or gets two
products of the same type for the price of one the by one get one free
scheme is example of same.
Big Bazaar also does this type of sales promotion like; in plastics department
important container buy one get one free.
Samples:
Sampling provides the consumers with an opportunity to use the product at
no cost. Various techniques may be adopted for sampling and this may take
the form of in-store sampling-where the in-store staff hands out the samples.
Shopping Card:
Many retailers make the own shopping card. It is very easy to promote the
sales.
Future group introduces the new future prepaid card .it is easily used in all
future groups retail outlets.
Public Relations and Publicity
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Public relations (PR) are a marketing communication function, which
aims at fostering goodwill. An important component of public relations
is publicity. By way of public relations, the retail organization strives to
create and sustain a favorable image with consumer, shareholders, suppliers
and the public at large. The job of public relation is usually handled by an
outside Public Relations firm and it may be under taken to promote goodwill
for the organization, to promote a particular product or to counteract
negative publicity.
Publicity is a non paid form of media coverage. In todays world, it is rarely
free and a fair amount of skill has to be exercised by the organization to
ensure that right media coverage is achieved.
Examples of events in retail which merit publicity are:
Store openings
Store renovations
Celebrity visits and affiliations
Designer associations
New product ranges and launches
Awards received by the retailer
Fashion shows and sponsored events
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Personal Selling
Personal selling is a paid form of personal advertising where salespeople
assist customer in satisfying their needs though a person-to-person exchange
of information .it is a process of learning the needs and the wants of the buys
and striving to satisfy them with the required product or service. Personal
selling may occur within the environs of the retail store-where personal
selling requires the sales person to satisfy the needs of the consumer. It may
also occur outside the retail store, where orders taken form customer by
way of the telephone, internet or mail and them serviced. Personal selling is
precise. It is aimed at a specific individual/s. Developing a strong sales force
is hence an expensive proposition, as the sales person has to be trained on
various aspects of communication, like understanding the body language of
the customer, etc. He also needs to be knowledgeable about the features of
products and services being offered by the retailer.
Point of Purchase (POP) DisplaysThe dictionary of retailing defines Point of Purchase communication as
the promotional signs and interior displays, often located at the point of
sale or alongside displays merchandise. Point of Purchase (POP) Displays
have become integral to retail today. They help reinforce in-store product
branding, enhance retail sales floor communication and provide information
to the customer. The basic function of pop in a retail store, include posters,
danglers, flyers glow signs, translites, banners, etc.
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The role of POP changes significantly with the type of product being sold
and the customers involvement in the purchase. Different types of POP
material would relevant in different types of stores and environment.
In the case of a supermarket, POP may be used to indicate prices, the
location of products and any special or bargain offer in the store. POP in
a store selling consumer durables and electronics may lay stress on the
features of the product, the warranties and guarantees and the after sales
services provided by the outlet.
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Chapter-5
Conclusion & Suggestions
As a matter of fact, this on the job training was fruitful for me as I learnt manymanagement skills practically during training period at Big Bazaar. Right fromthe beginning of my training I observed so many things which are the part of dailyroutine of Big Bazaar, Udaipur. The store works smoothly as it is the chain of awell- known reputed organization. The retail staff personnel are of helping nature
as they supported and co-operated me during training period and tried their levelbest to give me proper training of the retail store.
I also learnt how to apply all the management skills in the real situation in anyorganization. During my on the job training, however, I observed the followingthings at Big Bazaar, Udaipur:-
Everyday many people came only for visit at Big Bazaar.
The foot- falls of customers are good at Big Bazaar, Udaipur.
Mostly middle class family prefers Big Bazaar.
Customers come at Big Bazaar because it gives the huge discounts andoffers.
During big days (5 Days Mahabachat), it has huge crowd of customers andthe sale is very high.
The offers/discounts changed any time if there is technical problem orshortage of stock.
Team members sometimes do not pay proper attention to the customers onthe floor.
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Sinages were not maintained on the floor by team members.
There were more than 10 cash counters at the store but they didnt openevery day. All cash counters are open only on festival season or on the megaoffers of Big Bazaar.
The order processing take huge time and sometimes gets delayed due to lackof stock at the vendor side.
The collection of vegetables and fruits are done from local markets and localfarmers.
There was at least one meeting of Store Manager with employees in a week.
Communication between the employer and employee is good.
Employees have the good knowledge about the products in their ownsections.
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Conclusion
From all the available results this can be concluded that people have hugeexpectations from the company. They not only want all the things they are getting
from other companies but in addition they also want some other benefits which inturn can give them security of being a part of Big Bazaar as a customer in long run.
Big Bazaar has many brands in Food Bazaar such as Nestle, HUL, Cadbury,Amul, Tata, Parle, Bikaji, Marico, Adanis Suffola, etc. but after that they donot have the large product range of these brands that is why they are losing theircustomers. Since many customers have different brand preferences.
In Food Bazaar they have big brands as mentioned above but many times they
do not achieve the target due to the arrangements of merchandise is not good andemployees interaction with customers are very less.
However, Food Bazaar contributes almost 50% of daily sale of the store. Butsometimes in normal days, Food Bazaar does not achieve the target. In fact, duringfestival offers and Big Days, Food Bazaar has the major contribution in attractingcustomers and increasing the store sale.
So we can say that customers want huge offers and discounts. If Big Bazaargives huge discount and offers, it will definitely increase its sales.
All the customers know about the Big Bazaar that is:
Isse Sasta Aur Achha Kahin Nahi!
Although Big Bazaar provides many services yet there are many areas wherecustomers demand for more than what they should get and which is beyondcompany policy like, free servicing, additional free gifts and extra term benefits.
Company also facing some problems from its previous customers side that hadsome bad experience about the company product and service. It is due to theless attention of team members to the customers and not giving them completeinformation about the products. Big Bazaar also needs good service at CSDfor their customers. In brief, the organization is working on all these aspectscontinuously by filling feedback forms from customers and conducting marketresearch on products range and customers preferences.
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Suggestions
The following suggestions could be made for the better performance of BigBazaar, Udaipur:-
Review of everyday discounts/offers at signage whether they are updatedproperly or not.
Signages should be displayed properly on the floor and near the entrancegate.
More security gadgets and checks should be there to control thefts andemployees working.
Availability of products in each size should be at the floor.
At least 6 to 8 cash counter should remain open everyday to avoid crowd atcash counter.
Increase the number of supporting staff (team members) on the floor of Food
Bazaar to pay proper attention to the customers.
Increase the brand and products range in the Food Bazaar to increase thesale.
Interaction should be there between employees and customers.
Sitting arrangement and drinking water facilities on the floor for customersshould be maintained regularly.
The arrangement of merchandise should be proper on the floor.
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Bibliography
Pride, William M., and Ferrell O. C. Marketing: Concepts and Strategies.12thed. Houghton Mifflin Co., USA, 2005
Ramaswamy, V. S., and Namakumari S. Marketing Management: Planning,implementation and Control. 3rded. Macmillan India Ltd., 2002
Kotler, Philip, and Keller Kevin Lane. Marketing Management. PearsonEducation, Inc., 2006
Kotler, Philip, and Armstrong Gary. Principles of Marketing. 11th ed.Pearson Prentice Hall, 2006
Pradhan, Swapna. Retailing Management. Tata McGraw Hill, 2004
Web Sites:
www.pantaloon.com
www.wikimedia.com
www.retailindia.com
www.google.co.in
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Annexure
The Daily Log Report
Daily Log 21 June 2010
Description of Activities
This was my first day of summer internship at BigBazaar, Udaipur. First of all, I met Mr. DharmendraSir (HR Manager) to get acquainted with the storeorganization. Then, he told me about the storeorganization and other rules and regulations of theorganization that I had to follow during my on the jobtraining in Big Bazaar. Then, with him, I visited thewhole store and learnt about the systems and proceduresfollowed in the Big Bazaar, Udaipur.
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh(Assistant Store Manager)
Date 26 June 2010
Remarks (for Comments byCompany Supervisor)
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Daily Log 22 June 2010
Description of Activities
Today I met HR Manager in the morning and he tookmeeting with all the Management Trainees doinginternship in Big Bazaar, Udaipur. He told about theinterns procedures that were planned for us. He gaveme the learning process of the summer training. He
briefed about the learning process and told us to visitthe store and to see the working procedure of Big
Bazaar, Udaipur.
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh
(Assistant Store Manager)
Date 30 June 2010
Remarks (for Comments byCompany Supervisor)
Daily Log 23 June to 5 July 2010
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Description of Activities
From 23 June to 05 July, I passed through the learningprocess in detail. In this, I learnt about the organizationand various departments (Line of Business). Alldepartment managers told about the processes followed
in each line of business. The following learning plansfor operations was told me:- 1 Merchandising
2 Customer Service
3 Visual Merchandising
4 Cash Department
5 Information Technology
6 Human resources
7 Operations
8 Analysis Study
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh(Assistant Store Manager)
Date 9 July 2010
Remarks (for Comments byCompany Supervisor)
Daily Log 06 July to 15 July 2010
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Description of Activities
From 06 July, I was asked to have on the job trainingin the Fashion (Department) which is a kind ofline of business of Big Bazaar. I underwent my
training in Fashion department till 15 July and learntmerchandising used in Fashion department.
The learning experience was wonderful and excellentas it was real on the job training in Fashion department.I worked there as a team member and learnt all coreconcepts from Department Manager of Fashiondepartment. I learnt how to do facing and how todisplay products properly on the floor. I also learntabout the offers that are used in Fashion department . In
brief, I went through all the activities done in Fashiondepartment of Big Bazaar.
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh(Assistant Store Manager)
Date 20 July 2010
Remarks (for Comments byCompany Supervisor)
Daily Log 16 July to 25 July 2010
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Description of Activities
From 16 to 25 July, I worked on Birthday Celebrationsof Big Bazaar, Udaipur. It was important occasion asthis was the first birthday celebration of Big Bazaar,
Udaipur. I learnt many activities done during thebirthday celebration.
There was more learning for a marketing student. Iwas assigned the work of visual merchandising as wellas customer service. Both the tasks were challenging
but the final result was fruitful for me. I was alsoasked to focus on sales of Fashion department during
birthday celebration. I also helped in charity activitydone by the Big Bazaar.
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh(Assistant Store Manager)
Date 29 July 2010
Remarks (for Comments byCompany Supervisor)
Daily Log 27 July 2010
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Description of Activities
On 27 July I learnt about stock take of the whole store.The whole day there was training about the store stocktake that is done quarterly in Big Bazaar.
In this, we were told that every product should bekept in proper arrangement as same product of sameweight or same bar code should be scanned at a time.If It is not so then there would be mistake in stocktake. For that, I helped in applying correct bar code onthe product as well locating there place to avoid errorin stock. I also helped in sticking stickers on everyself to write the stock code on that. It was wonderful
experience as I learnt about the inventory management.
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh(Assistant Store Manager)
Date 29 July 2010
Remarks (for Comments byCompany Supervisor)
Daily Log 28 July to 30 July 2010
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Description of Activities
After training of stock take, I was assigned to workon stock take of whole store from 28 July to 30 July.I helped the organization in stock take of Fashiondepartment. The whole day I helped in setting uplocation and sticking bar code.
Signature of Supervisor
Name of SupervisorMr. Sanjeev Singh(Assistant Store Manager)
Date 01 August 2010
Remarks (for Comments byCompany Supervisor)
Daily Log 31 July to 03 August 2010
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Description of Activities
From 31 July to 03 August, I had learnt about variousproducts of Fashion department. I also learnt howto make purchase order for the products in Fashiondepartment . Without purchase order (P. O.), no
product is ordered or dispatched from the vendor. Iwas told about the off