India Bazaar Retail Ltd.

Ramesh, Vice President (Marketing) of Samagri was visibly pleased with the swanky look of the newly opened Samagri store at Ameerpet in Hyderabad. It was the first store of India Bazaar Retail Ltd. to be opened in Hyderabad. India Bazaar Retail Ltd. was the retail arm of India Group, a USD 10 billion corporation. The company ventured into food and grocery retail sector in 2010 with the acquisition of a supermarket chain. Subsequently, India Bazaar Retail Ltd. expanded its presence across the country under the brand name Samagri. It was a one stop shopping destination for the entire family. Ramesh joined as VP of Marketing four months back and was involved with the in-store branding, marketing and promotion of the chain. The media advertisements of the chain were focused on everyday low price (Har din sasta samagri). In addition to low price the marketing effort was focused on private labels where the margin of the store was substantially higher. Private labels were also priced 30% - 40% cheaper compared to national labels. In this context Ramesh wanted to examine its customer base and understand which of its products tend to be purchased together. Using the dataset given (Refer to Exhibit 1) perform an analysis and comment on the result. How this analysis will help Ramesh make an informed decision about any promotional campaigns that are likely to be launched in the near future. Each row of the dataset contains a customer product combination.
Copyright 2011 by Dr. Surajit Ghosh Dastidar, IBS Hyderabad. No part of this publication may be copied, stored, transmitted or distributed in any form or medium whatsoever without the permission of the copyright owner.