DISSERTATION PROJECT REPORT

ON
“A STUDY ON STRATEGY FOR PROMOTING
RETAILS BRANDS ’’

Submitted in partial fulfillment of the requirement for award of the

degree of

MASTER OF BUSINESS ADMINSTRATION

2017-2019

SUBMITTED TO:
M.B.A. (MARKETING)
DEPARTMENTOF BUSINESS ADMINISTRATION

SUBMITTED BY:
SHAHIDA
M.B.A. (MARKETING) 4TH SEM
ROLL NO: 9409010635

MAHATMA JYOTIBA PHULE ROHILKHAND

UNIVERSITY, BAREILLY

1
 ACKNOWLEDGEMENT

We wish to acknowledgment the help of all those who have provided me information,
guidance and other help during our training period. Without their help it would have been
difficult for us to have reached this state of completion of our project report.

We are very thankful to MRS. HEMALI BROKER for giving me their valuable advice

and guidance towards fulfillment of the project. In writing this project report, we have drawn

on thoughts from a variety of discipline that has bearing on the different facts of the topics.

We own a profound intellectual debt to KSV University to contribute our thinking on this

subject.

We would like to give heartily thanks to LDRP ITR. Who have given us an opportunity to
learn something practical apart from books by including the in-plant training in our MBA
PROGRAM?

We are also thankful to all our family members and our friends who are help to make this
project successfully.

SHAHIDA
MBA 4TH SEM (MARKETING)
ROLL NO. 9409010635

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CHAPTER- 1
INTRODUCTION

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RETAIL INDUSTRY IN INDIA:
India has one of the largest numbers of retail outlets in the world. Of the 12 million
retail outlets present in the country, nearly 5 million sell food and related products.
Thought the market has been dominated by unorganized players, the entry of
domestic and international organized players is set to change the scenario.
Organized retail segment has been growing at a blistering pace, exceeding all
previous estimates. According to a study by Deloitte Haskins and Sells, organized
retail has increased its share from 5 % of total retail sales in 2006 to 8 % in 2007. The
fastest growing segments have been the wholesale cash and carry stores (150%)
followed by supermarkets (100%) and hypermarkets (75-80%). Further, it estimates
the organized segment to account for 25 per cent ofthe total sales by 2011. India
retail industry is the largest industry in India, with an employment of around 8% and
contributing to over 10% of the country’s GDP. Retail industry in India is expected to
rise 25% yearly being driven by strong income growth, changing life styles, and
favorable demographic patterns. It is expected that by 2016 modern retail industry in
India will be worth US$ 175 -200 billion. India retail industry is one of the fastest
growing industries with revenue expected in 2007 to amount US$320 billion and is
increasing at a rate of 5% yearly. A further increase of 7-8% is expected in the
industry of retail in India by growth in consumerism in urban areas, rising incomes,
and a steep rise in rural consumption. It has further been predicted that the retailing
industry in India will amount to US$21.5 billion by 2010 from the current size of US$
7.5 billion. Shopping in India has witnessed a revolution with the change in the
consumer buying behavior and the whole format of shopping also altering. Industry
of retail in India which has become modern can be seen from the fact that there are
multi- stored malls, huge shopping centers, and sprawling complexes which offer
food, shopping, and entertainment all under the same roof.

India retail industry is progressingwell and for this to continue retailers as well as the
Indian government will have to make a combined effort.

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INTRODUCTION BIG BAZAAR STORE

Pantaloon Retail (India) Limited, is India's leading retail company with presence across
multiple lines of businesses. The company owns and manages multiple retail formats that
cater to a wide cross-section of the Indian society and is able to capture almost the entire
consumption basket of the Indian consumer. Headquartered in Mumbai (Bombay), the
company operates through 5 million square feet of retail space, has over 331 stores across 40
cities in India and employs over 17,000 people. The company registered a turnover of Rest
2,019 corer for FY 2010-11. It owns and operates multiple retail formats including
Pantaloons, Big Bazaar, Food Bazaar, Central, E- Zone, Fashion Station, Depot and many
others.

Pantaloon Retail forayed into modern retail in 1997 with the launching of fashion retail chain,
Pantaloons in Kolkata. In 2001, it launched Big Bazaar, a hypermarket chain that combines
the look and feel of Indian bazaars, with aspects of modern retail, like choice, convenience
and hygiene. Food Bazaar, food and grocery chain and launch Central, a first of its kind
seamless mall located in the heart of major Indian cities, followed this. Some of its other
formats include, Collection I (home improvement products), E-Zone (consumer electronics),
Depot (books, music, gifts and stationary), All (fashion apparel for plus-size individuals),
Shoe Factory (footwear) and Blue Sky (fashion accessories). It has recently launched its
retailing venture, futurebazaar.com.

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The group's subsidiary companies include, Home Solutions Retail India Ltd, Pantaloon
Industries Ltd, Galaxy Entertainment and Indus League Clothing. The group also has joint
venture companies with a number of partners including French retailer Etam group, Lee
Cooper, Manipal Healthcare, Jaywalker’s, Gini & Jony and Liberty Shoes. Planet Retail, a
group company owns the franchisee of international brands like Marks & Spencer,
Debenhams, Next and Guess in India.

Pantaloon Retail is listed on BSE and NSE with a turnover of Rs 2,018 crores for financial
year ended 2008-09. Pantaloon Retail was selected as the Best of Best Retailers in Asia by
Retail Asia-Pacific Top 500 magazine in 2006.

Future Group

Pantaloon Retail is the flagship enterprise of the Future Group, which is positioned to
cater to the entire Indian consumption space. The Future Group operates through six
verticals: Future Retail (encompassing all retail businesses), Future Capital (financial
products and services), and Future Brands (management of all brands owned or managed by
group companies), Future Space (management of retail real estate), Future Logistics
(management of supply chain and distribution) and Future Media (development and
management of retail media).

Future Capital Holdings, the group's financial arm, focuses on asset management and
consumer finance. It manages two real estate investment funds (Horizon and Kshitij) and
consumer-related private equity fund, Indecision. It also plans to get into insurance, consumer
credit and other consumer-related financial products and services in the near future.

Future Group's vision is to, "Deliver Everything, Everywhere, Every time to Every Indian
Consumer in the most profitable manner." One of the core values at Future Group is,
'Indian’s' and its corporate credo is - Rewrite rules, Retain values.

Future Group Manifesto

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 “Future” – the word which signifies optimism, growth, achievement, strength, beauty,
rewards and perfection. Future encourages us to explore areas yet unexplored, write rules yet
unwritten; create new opportunities and new successes. To strive for a glorious future 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 future scenarios
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 and when
they need.
We will not just post satisfactory results, we will write success stories. We will not just
operate efficiently in the Indian economy, we will evolve it.
We will not just spot trends; we will set trends by marrying our understanding of the
Indian consumer to their needs of tomorrow.
It is this understanding that has helped us succeed. And it is this that will help us
succeed in the Future. We shall keep relearning. And in this process, do just one thing.
Big Bazaar is a chain of shopping malls in India currently with 29 outlets, owned by the
Pantaloon Group. It works on same the economy model as Wal-Mart and has had
considerable success in many Indian cities and small towns. The idea was pioneered by
entrepreneur Kishore Biyani, the head of Pantaloon Retail India Ltd. Big Bazaar stores in
Metros have a gaming area and kids play area for entertainment.
Cities where stores are located are, Agra, Ahmadabad, Allahabad, Ambala, Asansol,
Bangalore, Bhubaneswar, Chennai, Coimbatore, Palakkad, Kolkata, Delhi, Durgapur,
Ghaziabad, Gurgaon, Hyderabad, Indore, Lucknow, Kanpur, Mangalore, Mumbai,
Nagpur, Nasik, Panipat, Pune, Rajkot, Surat, Thane, Thiruvananthapuram,
Vishakhapatnam.
Big Bazaar is not just another hypermarket. It caters to every need of customer’s family.
Where Big Bazaar scores over other stores is its value for money proposition for the Indian
customers. At Big Bazaar, customer will definitely get the best products at the best prices --
that’s what Big Bazaar guarantee. With the ever increasing array of private labels, it has
opened the doors into the world of fashion and general merchandise including home
furnishings, utensils, crockery, cutlery, sports goods and much more at prices that will

7
surprise customer. And this is just the beginning. Big Bazaar plans to add much more to
complete customers shopping experience.

Departments with their Products

1) Men’s Department
Formals (Shirts & Pants)
Jeans T-Shirts
Major brands in this department
Pantaloon

2) Furniture Department
Dining Table
Bedroom Accessories
Hall accessories (Sofa sets, Chairs, Computer table etc)
Mattresses

3) Home Decor
Flower vase
Artificial Flowers

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 Religious gifts
Candle stand
Umbrellas
Photo Frames
Assorted color Stones
Frame Paintings
Water falls (artificial)
Birthday items

Chronology
2001

 Three Big Bazaar stores launched within a span of 22 days in Kolkata, Bangalore
and Hyderabad

2002

 Big Bazaar - ICICI Bank Card is launched.

 Food Bazaar becomes part of Big Bazaar with the launch of the first store in
Mumbai at High Street Phoenix

2005

 Launches a unique shopping program: the Big Bazaar Exchange Offer, inviting
customers to exchange household junk at Big Bazaar

2007

 The 50th Big Bazaar store is launched in Kanpur

 Big Bazaar partners with Futurebazaar.com to launch India's most popular
shopping portal

2008

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  Big Bazaar becomes the fastest growing hypermarket format in the world with the
launch of its 101st store within 7 years of launch
 Big Bazaar joins the league of India’s Business Super brands. It is voted among
the top ten service brands in the country in the latest Pitch-IMRB international
survey

2010

 Big Bazaar wins CNBC Awaaz Consumer Awards for the third consecutive year.
Adjudged the most preferred Most Preferred Multi Brand Food & Beverage
Chain, Most Preferred Multi Brand Retail Outlet and Most Preferred Multi Brand
One Stop Shop
 Big Bazaar connects over 30,000 small and medium Indian manufacturers and
entrepreneurs with around 200 million customers visiting its stores.

2011

 200th store opened in India

 Big Bazaar has come up a new logo with a new tag line: ‘Naye India
Ka Bazaar’
 For the convenience of the online customers, Big Bazaar has started
free shipping on all orders above Rs. 1000

2012

 Partnered with Disney to launch "Kidz Cookies", exclusively for kids

across India
 Big Bazaar is planning to add further value to its retail services by
offering Value added services like grinding, de-seeding, vegetables
cutting at free of cost

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4P’S OF MARKETING:
“Marketing” is the promotion of products, especially advertising & branding.
Marketing practice tends to be seen as a creative industry, which includes
advertising, distribution and selling.

Marketing mix is a deciding factor in formulating marketing techniques for the

success of a particular brand, commodity or company. The components of marketing
mix are:

PRODUCT:

Big Bazaar offers the maximum variety for every category of product. The
product is the same in every store in the city but the brand options are more in Big
Bazaar and the quantity for each product is not limited to large packs only. The
commodities sold by the retail chain includes its “own products” which get a ready
distribution network. The own products of Big Bazaar include My World fashion
magazine which is not available anywhere else. So costs are very low for such
products.

PRICE:
Price is the critical point in a competitive industry. Big Bazaar works on a low cost
model. It considers its discounted price as its USP. There is an average discount of 6-
8% on all items in respect to their MRP. Prices of products are low because it is able
to secure stock directly from the manufacturer. There are huge synergies in terms of
bulk purchasing, transportation and central warehousing. These all factors are very
helpful for the retailers to keep low prices.

PLACE:
Place means the location of the business. Big Bazaar has always worked on cheap
locations. It targets semi-urban population with its placement. Its strategy is to find a
low-cost location and it never goes for hot spots in the city. It relied on promotional
activities to make up for unattractive locations. Another strategy used by Big Bazaar
to overcome location disadvantage is use of internet. It has launched a merchandise
retailing website www.futurebazaar.com which targets high-end customers ready to

11
use credit cards. The promotion of this website is done through advertisement on
Google. The website is put as sponsored link.

PROMOTION:
Big Bazaar has huge promotion budgets. The biggest idea behind all advertisements is to
make people do bulk shopping. There are 2 types of promotional strategies of big bazaar.
One is the advertisement which promotes the brand and creates awareness towards
people. It is not targeted at promoting each store but only creates an image of Big Bazaar as
low-cost shopping option. The store has advertised through TV, road shows and also started
reality show-typed promotional campaign “The Big Bazaar Challenge.” Promotions like
“Sabse Sasta Din”(Cheapest Day) are a very successful strategy to get good results. In this
products across categories such as furniture, electronics, utensils, apparels and food
products at the lowest possible prices, coupled with attractive promotional schemes. Some
of the most attractive offers being a 20-litre branded microwave oven with grill for Rs 2,399,
jeans and trousers for Rs 199 and HCL laptops for Rs 22,800.

Promotional Strategies of Big Bazar

Big Bazar uses various promotional strategies like the prices on Wednesdays are very low
compared to other retailers, this helps is bringing in a huge number of customers they even
have a concept of “BIG DAY’’ which means they give huge discounts to their customers on
the 26th of Jan and 15th August. On such days they come up with promotional offers like
bring old items from your house and take huge discounts and freebies.

They come up with offers like

School Jao Khushi Khushi:

 Discounts on all school requirements like school bags, water bottles & lunchboxes
 Win a pencil case with every purchase worth Rs. 500 & above
 Send us your experience of the “Best day that you had in school”-the most hamorous
one will get a free shopping trip worth Rs 1,000/-
 Lucky draw- shop for Rs 1,000& above, drop in your kids name into our drop box- 10
lucky kids will get 30% off on an NIIT course
 Shop for Rs 500 & above, drop in your kids painting the best painting will get
sponsored for an art course.
Khushi ki barsaat:

 “Discount ki barish’’- various discounts across the board

 Special discount on raincoats & umbrellas

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  Lucky Draw – on purchase worth Rs . 1000 & above –drop in your name into our drop box &
you could be one of the 3 families to enjoy the rains in Goa.
 Purchase goods worth Rs 500 –complete the slogan- I love rains in Mumbai because ...& win
you own customized umbrella- get your friends & family photograph screen printed on it.

Steal a deal:

Each object will have their individual price-tags. The consumer bargains on the MRP with the
counter sales girl. The counter Sles girl will be given a “ lowest bargain’’ slip for each price of
merchandise. The consumer who is able to match the best “lowest bargain’’ walks away with
her goodies.

RETENTION STRATEGY:
Big Bazaar strive to foster a feeling of well-being in their employees through care
and respect, Big Bazaar have several structured processes including employee
mentoring and grievance management programmers which are intended to facilitate
a friendly and cohesive organization culture. Off -site activities are encouraged to
improve interpersonal relationship. Big Bazaar also acknowledge the efforts exerted
by their employees by organization an annual celebration called ‘Pantaloon Day’
where Big Bazaar recognize employees who have shown exceptional talent, sincerity
and dedication. Big Bazaar have implemented an employee suggestion programme
called ‘Prerna’ wherein the employee can give their suggestions. Every quarter the
best suggestion received per zone per format is awarded prize called ‘Golden Cap’.

BIG BAZAAR’S NEW MARKETING STRATEGY:

Big Bazaar has launched new marketing strategy which is based on Guerrilla
Marketing. Guerrilla marketing warfare strategies are a type of marketing warfare
strategy designed to wear-down the enemy by a long series of minor attacks, using
principles of surprise and hit-and-run tactics. Attack, retreat, hide, then do it again
and again, until the competitor moves on to other markets. Guerrilla force is divided
into small groups that selectively attack the target at its weak points. In the world of
cut throat competition, corporate use extension of the same strategy in marketing.
Corporate like Pepsi, Coke etc have been using the same for quite some time now
and the latest entrant is our very own ‘Future Group’- Big Bazaar, Future Bazaar,
Pantaloons, e Zone are all part of this group and they are taking on the biggies like
Shoppers Stop, Lifestyle, and Tata’s Westside. In order to do the same, Future Group
have come up with 3 catchy and cheeky ad campaigns which surely do catch our
eyes and surely one can’t resist appreciating the same.

ADVERTISING: THE ESSENTIAL OF BRAND

BUILDING PROCESS-
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Advertising is an essential component of brand building. The advertisement and
brand building

is done through various ways, the techniques used are:

Tag-line:Big Bazaar tag-lines are the key components of advertising. These tag-lines
are modified according to demographic profile of customers. These catch-phrases
appeared on

hoardings and newspapers in every city where Big Bazaar was launched.

Print Ads:Big Bazaar newspaper advertisements are present just before launch of any
new

scheme.

TV Ads:Kishore Biyani spends a lot of money in brand building exercise. Big Bazaar
commercials are shown on various channels in India. Presently, Fashion at Big Bazaar
commercial is aired.

Road-side Advertisements:Big Bazaar bill-boards are displayed on prime locations in

various

cities as a brand building exercise. They display the catch-phrases now-a-days.

Radio Ads:This technique is used in cities like Sangli (Tier 1 / Tier 2 cities).Now-a-
days, it is replaced by advertisements on FM channels. This informs customers about
all new happenings at

Big Bazaar.

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SWOT ANALYSIS:
Strengths:
Maximum number of varieties: People prefer those places where they can get the
maximum products they need and Big Bazaar provides vast range of products under
one roof helping in attracting customer and their family to shop together and enjoy
the experience.

High brand equity: Big Bazaar has created high brand equity through its promotions
and marketing it has created a different image for its products as the cheap and best.

Largest chain of retail marketing in India: Big Bazaar is the first retail chain to be
started in India and is the largest and successful until now.

High capacity investment: Big Bazaar offers 1,70,000 products and owns more than
100 retail stores all over India and has the strong financial background as being the
subsidiary of future groups which owns the pantaloons which is one of the biggest
the industries in men’s wear in India and have its work is spread all over India. Future
group is one of the leading groups in India.

Everyday new promotions and schemes of low prices and discounts: Big Bazaar
always offers new schemes of low prices and gives discounts in products like Big
Bazaar offers the sabse saste 3 din ( the cheapest 3 days) in which it offers the lowest
of prices than other days.

Facilities like online booking and delivery of goods: It is not just a chain of retail
shopping but also provides online shopping facility to the consumers.

Weaknesses:
Overcrowded: During offers, promotions and even on weekends the place is
overcrowded with people and sometime even there is the situation of closing the
store due to it.

Checkout can be extremely slow: There can be seen a long queue on the billing
counters making the consumer wait for hours due to the slow service and the crowd.

Perception of low price=low quality: Generally people think that if any product has
low price then the quality of the product will be low as they think quality comes with
price.

Targets at the middle class and upper middle class only: It targets at the middle and
upper middle class due to which it ignores the upper and elite class people as they

15
are the cream of the society who are ready to pay any price for the quality and
product they need.

Opportunities:
Big Bazaar can enter into production of various products due to its in depth
understanding of customers’ tastes andpreferences.

Nowadays people prefer going to one big store and buy everything instead of
visiting different places for different items and waste time. So Big Bazaar can expand
the business in smaller cities as there is a lot of opportunity.

Lot of potential inthe rural market.

Threats:
High business risk involved: Big Bazaar investment is very large so it is obvious that
there is high business risk involved.

Lot of competitors: There are a lot of countries which are planning to enter the Indian
market like Wal-Mart, Carrefour and Tesco which is a big threat to Big Bazaar.

Less Parking Space: Customers are not satisfied with the parking space availability
provided by Big Bazaar. Hence it’s a threat of Big Bazaar as it may loose its customers
because of less parking space availability. In holidays it will be very difficult for
customers to park their vehicle in Big Bazaar.

Unorganized retailing: Unorganized retail stores are a threat to the business of big
bazaar as now also people prefer to go to the local stores which are convenient
enough for them.

1.2 INTRODUCTION OF VISHAL MEGHA-

MART STORE:

16
Vishal Retail Ltd, a leading player in the Indian retail industry, is a pioneer in discount
retailing and is focused on tier 2 and 3 cities in the country. It has a strong presence in
manufacturing and retailing of readymade garments (apparels); retailing of non-apparels and
a large variety of FMCG products. The company has pan-India presence with 108 mid-size
hypermarket format stores as on April 28, 2008 covering about 2.3mn sq ft retail space area.
Vishal is supported by strong manufacturing set-up in Gurgaon, Dehradun and Manesar with
a capacity of 5,000 garment pieces per day in each unit. It also has 29 warehouses located in
8 key cities in India covering over 1.1 mn sq ft area.

Vishal started as a humble one store enterprise in 1986 in Kolkata (erstwhile, Calcutta) is
today a conglomerate encompassing 117 showrooms in 75 cities / 20 states. Indian consumer
by Vishal. Situated in the national capital Delhi this store boasts of the single largest
collection of goods and commodities sold under one roof in India

The group had a turnover of Rs. 1463.12 million for fiscal 2005, under the dynamic
leadership of Mr. Ram Chandra Agarwal. The group had of turnover Rs 2884.43 million for
fiscal 2006 and Rs. 6026.53 million for fiscal 2007.

The group’s prime focus is on retailing. The Vishal store offer affordable family fashion At
prices to suit every pocket.

The group’s philosophy is integration and towards this end has initiated backward integration
in the field of high fashion by setting up a state of the art manufacturing facility to support its
retail endeavors.

17
 Company Background:

Vishal Retail was incorporated on july 23, 2001 as Vishal Retail Private Limited as a retailer
of ready-made apparels in Kolkata in 2001. The company has acquired the business of ‘M/s
The Vishal Garments’ and ‘M/s Vishal Garments’ in 2001. In 2003, the company has acquired
the manufacturing facilities from Vishal Fashions Private Limited and M/s Vishal Apparels.

Vishal is one of fastest growing retailing groups in India. Its outlets cater to almost all price
ranges. The showrooms have over 70,000 products range which fulfills all your household
needs, and can be catered to under one roof. It is covering about 2059292 lac sq. ft. in 18
states across India. Each store gives you international quality goods and prices hard to match.
The cost benefits that are derived from the large central purchase of goods and services are
passed on to the consumer.

The Founders

Mr. Ramchandra Agarwal Mrs. Uma Agarwal Mr. Surendra Agarwal

Investment Rational:
18
Vishal Retail sells ready-made apparels (including its own brands) and wide range of
household merchandise and other consumer goods such as footwear, toys, watches, toiletries,
grocery items, sports items, crockery, gift and novelties.
Vishal is value Retail Company catering to middle and lower middle income groups.
As Apparel segment contributes 63 percent; it has plans to focus more on FMCG.
To reduce cost, Vishal does in-house production of apparels, Procurement of goods directly
procurement of goods from the small and medium size vendors and manufacturers.
Efficient Logistics and distribution system along with customized product mix at stores
depending on the regional customer behavior and preferences.
Plans of penetrating deeper into Tier 1 and Tier 2 and cities to bank upon early mover
advantages, where organized retail is yet to make a significant mark, which will help
establish and build customer loyalty prior to other players.
Higher margins of around 5-6 percent in private labels which account for 10 percent of sales
in FY07.

Future Prospective:

Vishal Retail Ltd has declared that the company has opened four new Showrooms at
different localities.
The company has opened a store at Shree Ram Palace, Main Delhi Road, Meerut. This is the
company’s second store in Meerut spreading across an area of 3,600 Sq.ft. ( Approx ).
The company opened a store at Nauchandi Garh Road, Meerut commonly called Dreemz,
Opp. Samrat Heavens, Meerut. This is the company’s third store in Meerut covering up an
area of 12,000Sq.ft.
The company has opened a showroom at Enclave, Near BSNL Office, Ranipur More,
Haridwar. This is the company’s first store in Haridwar spreading across an area of 9,545 Sq.
ft. ( Approx ).
The company opened its is store at Arcade, Plot No.56-58, Dumas Road, Piplad, Surat
spreading across an area of 38,000 sq. Ft ( Approx ).

19
Vishal Retail Limited is an India- based retail company. It was established in 1986. It was
formerly called Vishal Retail Private Limited and changed its name to Vishal Retail Limited
IN 2006. The company is based in New Delhi, Inida.
As of August 8, 2007, the company operated 53 retail stores, including two stores that are
operated by its franchies. It sells readymade clothes , and a variety of household merchandise
and other consumer goods, including toys, footwear, toileties, sports items, watches, grocery
items, crockery, novelties and gifts.
Today, the stock is hovering around Rs 724 on the Bombay Stock Exchange. Vishal Retail
has seen a 52-week high of 812 ad low of Rs 423.

Promotional Strategies of Vishal mega mart

It intends to purchase the following strategies in order to consolidate their position as an

operator in the ‘ value Retail’ segment in India. Their growth strategy is based on:

Increasing their penetration in the country by leveraging their supply

chain, distribution and logistics network

It intends to increase thier penetration in the country by setting up new stores in cities
where it already have presence, as also entering into new area in the country. In particular,
it intends to focus expansion in Tier 11 and Tier 111 cities. It believe that thier existing
infrastracture have been designed for a higher scale of operations than thier current size,
and can help us grow without the need to significantly increase costs. Moreover, thier
continuousneffort to improve systems and processes leads us to believe that it can deal
with higher scale of operations without any hidrance. Higher business volumes will also
improve thier negotiating pouters and help us get further economies of scale in thier
buying.

20
Emphasis on backward integration

It believes that through backward intregration It will continue to substantially control the
cost of production, resulting in such cost benifits being passed on to thier customers. It
intends to increase the in-house manufacturare, design and development of thier products
and relizes economies of scale. It intends to manufactuure at least 25 % of thier requrement
for apparels and may require expansion of thier existing manufacturing facilities. This will
also enable us to reduce thier reliance on external agencies for supply of thier products and
will result in loiter turn- around time.
In addition, thier focus would be to undertake in –house such functions of the
manufacturing processess, which, in thier view, would add maximum value and would
enable us to reduce thier procurement costs.

21
CHAPTER -2
Research Methodology

22
2.1 Research Methodology:
Since the study is on retail sector first the detail study of the store is been conducted about
its Management team its structure the number of departments which all brands does the store
has, who are its suppliers about its warehouses.

Based on the topic objectives were set and to arrive at the opinion on objectives a set of 100
questionnaires were designed of 18 questions and response is collected from the customers
who are visiting the store. For data collection Random Convenient sampling method was
adopted. For this project the area of research is Bareilly.

2.2 RESEARCH OBJECTIVE

 To scan customer buying behavior.
 To know the promotional strategy of Big Bazar Vishal Mega Mart.
 To know the relation between promotional strategy and buying decision.
 To comprehend the determinants of customer satisfaction.
 To know about the growth prospective with respect to demand analysis.
 To analyse product mix.
 How Big Bazaar and Vishal Mega Mart Establish and maintain the in retailing through
promotion

 2.3 Data Collections Methods:

 Market research requires two types of data i.e. secondary data and primary data.
Primary data has been used abundantly for the study. Well-structured questionnaires
were prepared & the survey was undertaken. Feedback for the display has been taken
by asking questions & observation has also done to gather primary information.
 There is also a use of secondary data, collected from the various journals, books, and
websites & from Store managers.
 Primary data - Field Survey

 Secondary data - Big Bazaar records, D-Mart records,Book ,Company Websites

 Area of research: - Ahmedabad, himalya mall ,Sabarmati area

 Research approach: - Survey method

23
22.3 Data Collections Methods:
Market research requires two types of data i.e. secondary data and primary data.
Primary data has been used abundantly for the study. Well-structured questionnaires were
prepared & the survey was undertaken. Feedback for the display has been taken by asking
questions & observation has also done to gather primary information.

There is also a use of secondary data, collected from the various journals, books, and
websites & from Store managers.
Primary data - Field Survey

Secondary data - Big Bazaar records, D-Mart

records,Book ,Company Websites

Area of research: - Ahmedabad, himalya mall

,Sabarmati area
Research approach: - Survey method

2.4 Sampling Method

Since the study is restricted to Retail sector, all the functional Departments of Big Bazaar
& D-Mart and the respondents are found at the store only so according to the convenience
randomly they are being picked so sampling method is used in this study is Random
Convenient Sampling.

Sampling

Sampling Method : Random Convenience sampling

Sample Unit : Customer of Big bazaar & D-Mart

Measuring Tools : Questionnaire

24
 DADA ANALYSIS AND INTERPRETATION

Purchasing a product in Store

0%

25%
43%
Big Bazaar
Vishal Mega Mart
Both
32% None

ANALYSIS:
From the survey, from 100 respondents, gave response Big-Bazaar is 43% & D-mart is
32% & both is 25% and none 0%.

INTERPRETATION:

Majority of the customers are given response to Big-Bazaar, We can also interpret from
this that big bazaar has located itself in a good place from where it is able to attract
customers. As a hypermarket which is to be located far off the city, big bazaar has located
itself in a good place from where it is convenient for people to visit big bazaar.

25
  Offer consumer like the most

50

45

40

35

30 Buy -1 get -1 free

25 Gift voucher
Future card
20
Other
15

10

0
Category 1

ANALYSIS:
As per responses about 31 respondents preferred buy-1 get-1, 44 preferred gift voucher, 15
preferred future cards, & 10 preferred other to offer like the most by store.

INTERPRETATION:
Majority of the customers are give first rank gift voucher to Big-Bazaar & D-mart. We
can also interpret that Big Bazaar & Vishal mega-Mart is the destination where you get
products available at prices lower than the MRP, setting a new level of standard in price,
convenience and quality, making Big Bazaar & Vishal mega-Mart, India’s favorite shopping
destination. Big Bazaar & Vishal mega-Mart Gift Vouchers are available in convenient
denominations of Rs. 50, 100, 250, 500 & 1000. They are redeemable at all Big Bazaar &
Vishal mega-Mart stores across India, after gift voucher some consumer preferred buy -1
get-1 offer Some people are don’t like service of future card.

26
  Factor attract most while purchasing.

40

35

30

25 Service
Offer
20
Availability of product

15 Quality
Quantity
10

0
Category 1

ANALYSIS:
From the survey, from 100 respondents, gave response 12% of service, 37% of offer, 25%
availability of product, 18% of quality, & 8% of quantity for choose factor for most while
purchasing.

INTERPRETATION:
Majority of the customers are like offer & availability of product to Big bazaar & Vishal
mega mart. We can also interpret that some people are like Wednesday Discount Offers on
Food, Fashion, household Items at Big Bazaar & festivals, summer & winter offers on
fashion & household items at Vishal mega mart.

27
  Reason for coming to store

40

35

30
Value for money
25
Discounts

20 Wide product range available

Saving of time
15
Brand consciousness
10 Other

0
Category 1

INTERPRETATION:
Majority of the customers are gave response for saving to the time is the most reason for
coming to the store. We can also interpret that availability of product save the time of
customer. Customer get all the product like food, cloths, stationary are available in store. So
whatever they want to purchase they get in store and not going to different shop which are
located in different places.
Big Bazaar wins its first award and national recognition. Big Bazaar and Food Bazaar
awarded the country’s most admired retailer award in value retailing and food retailing
segment at the India Retail Forum

28
  Advertisement effects in shopping behavior.

28%

Yes
No

72%

ANALYSIS:
From the survey, from 100 respondents, gave response for advertise effect your
shopping behavior to Yes is 72% & No is 28%.

INTERPRETATION:
Majority of the customers are give response for advertisement effect in shopping
behavior to People mostly come to store as they get various kinds of products under
one roof. Store should try and produce more qualitative products so that customers
can get more satisfaction and would never think of not doing shopping in store.

29
 Unexpected offers

41%

59% Yes
No

ANALYSIS:
From the survey, from 100 respondents, gave response for like to make your
purchase under unexpected offers to Yes is 59%, & No is 41%.

INTERPRETATION:

Majority of the customers are give response for interested to buy under unexpected offers
only.

30
Distance of store

12%
32%
14%
00-05 km
05-10 km
10-15 km
More than 15 km
42%

ANALYSIS:
From the survey, from 100 respondents, gave response for How much distance to the store to
32% of them 0-5 km, & 42% of them 5-10 km, & 14% of them 10-15 km, & 12% of them
More than 15 km.

INTERPRETATION:
Majority of the customers are give response for 0-5 km distance to the store.

31
  Source about outlet

50

45

40

35 Magazine
T.V.
30
Local Newspaper
25
Radio
20 Relatives/Freinds

15 Visual
Others
10

0
Category 1

ANALYSIS:
From the survey, from 100 respondents, gave preference to 0% of them T.V., 3% of them
Magazine, 47% of them Local Newspaper, 14% of them radio, 23% of them Relative/Friends
13% of them Visuals and 0% 0f them others.

INTERPRETATION:
Majority of the customers are gave response for Newspaper is the most influencing factor
which is responsible for awareness of Big Bazaar & Vishal mega-Mart. We can also interpret
that some people are visited a store through seen to advertisement in newspaper. The various
promotion schemes used at Big Bazaar include.

32
  Tagline of big bazaar ‘Isse Sasta Aur Acha Kahin Nahin’?

No. %

Yes 66 66%

No 34 34%

Total 100 100

34%

Yes
66%
No

ANALYSIS:
From the survey, from 120 respondents, gave response for agree with the tagline of
big bazaar ‘Isse Sasta Aur Acha Kahin Nahin’ to Yes is 79% & No is 41%.

INTERPRETATION:
Majority of the customers are give response for satisfied with the tagline of big bazaar
‘Isse Sasta Aur Acha Kahin Nahin’ we can also interpret from this that tagline of big bazaar
is an even it provides more wide range of product.

33
Tagline of Vishal mega mart ‘Surprising fashion, Friendly price’?

No. %

Yes 54 54%

No 46 46%

Total 100 100

6%

Yes
No

94%

34
  Promotional activities conducted by store

47%
53%
Yes
No

ANLAYSIS:
From the survey, from 100 respondents, gave response for aware of promotional
activities conducted by store to Yes is 53%, & No is 47%

INTERPRETATION:
Majority of the customers are give response for aware of promotional activities conducted
by store. We are also interpreting that product categories like grocery and clothes, big bazaar
has many local branded products. Customers purchase a lot of these as its cheap in price even
though its quality is not so good. As most of the customers belong to lower class and middle
class people, they purchase those local branded products as it gives them value for money.
Different products of the same category have different prices. Some customers also pre
decides the brand on the local manufactured grocery and food products of the store. Store
should include more of the branded products in its each category so that customers have more
options to choose among the brands. This will bring in more number of people to store which
will definitely increase the sales.

35
 Purchase pattern changes at the promotions.

32%

Yes
No

68%

ANALYSIS:
From the survey, from 100 respondents, gave response for purchase pattern changes,
looking at the promotions to Yes is 68%, No is 32%.

INTERPRETATION:

Majority of the customers are give response to don’t believe that promotions is
responsible for their purchase decision.

36
  Service provided by store

38%

Yes
No

62%

ANALYSIS:
From the survey, from 100 respondents, gave response for satisfied with service
provided by store to Yes is 62%, & No is 38%.

INTERPRETATION:
We interpret that majority of the customers are satisfied with service provided by store. It is a
threat for big-bazaar & Vishal mega mart as some of the attributes of other organized stores
facility provides more satisfaction to customers. People mostly come to big bazaar & Vishal
mega mart as they get various kinds of products under one roof, It is also clearly known that
big bazaar & Vishal mega mart provided to good quality of the product.

37
Store’s advertisement

Big Bazaar
Vishal mega mart

ANALYSIS:
From the survey, from 120 respondents, gave response for more powerful advertise to Big-
Bazaar is 61.67% & D-Mart is 38.33%.

INTRPRETATION:
Majority of the customers are give response for most powerful advertisement is Big-Bazaar.
We can also interpret that the big-bazaar comparison is more powerful people attract with
advertisement like T.V., Hoarding, newspaper, is most of the part of purchasing by
advertisement.

38
 Visit a store.

3%
13%

Daily
Weekly
44%
Monthly
Yearly
40%

ANALYSIS:
From the survey, from 100 respondents, gave response Daily is 13% & Weekly is 40% &
Monthly is 44% and Yearly 3%.

INTRPRETATION:
Majority of the customers are give preference to store visited monthly. We can also interpret
that some of the customer visited weekly and monthly basis for purchase their requirements.

39
Section of the store like the most.

40

35

30

25
Food

20 Houshold
Kids
15
Jewel mart
10

0
Category 1

ANALYSIS:
From the survey, from 100 respondents, gave response for which section like of
the store to 34% of them Food, & 24% of them House Hold, & 28% of them kids, &
14% of them Jewel mart.

INTERPRETATION:
Majority of the customers are give response for food items section of the store like
the most. We are also interpret that some of the products brand are pre decided in
advance and for some of the products customers don’t at all pre decide any brand. As
per food items are concerned customers pre decide the brand as many branded
products are available in the store. And some people are don’t like purchase jewel
mart from the store.

40
Sort of service like the most for the betterment of store

41
42
 Choose the product from the store.

40

35

30
Advertisment
25
Reference

20 Experience
Quality
15
Quantity
10 Service

0
Category 1

ANALYSIS:
From the survey, from 100 respondents, gave response for choose the product from the store
to 8% of them advertisement, 15% of them reference, 10% of them experience, 35% of them
quality, 5% of them quantity, & 27% of them service.

INTREPRETATION:
Majority of the customers are gave response for quantity is the most choose the product
from the store. We can also interpret that Big Bazaar is designed as an agglomeration of
bazaars or Indian markets with clusters offering a wide range of merchandise including
fashion and apparels, food products, general merchandise, furniture, electronics, books, fast
food and leisure and entertainment sections are also of this product are available in bulk at
big bazaar.

INTERPRETATION:
Majority of the customers are gave response for quality choose the product from the store.
We can also interpret that D-mart are provided to customers good quality of products. And
many people are satisfied to service & quality.

43
44
45
46
47
48
49
 FINDINGS

 Most of the customers buy their requirement in Big Bazaar & Vishal mega mart on the
basis of Weekly and monthly basis. Customers realized that Big Bazaar & Vishal mega
mart stores provide qualitative products/service with reasonable price.
 At present time Big Bazaar & Vishal mega mart provide different types of product
assortments to the customers.
 Big bazaar & Vishal mega mart is a hypermarket as it provides various kinds of goods
like apparels, grocery, stationary, food items, electronic items, leather items, watches,
jewelry, crockery, decorative items, sport items, chocolates and many more. It competes
with all the specialty stores of different products which provide goods at a discounted rate
all through the year.
 Big Bazaar and Vishal mega mart mainly deal with middle income group people who
want qualitative product with reasonable cost.
 There are more than 50 big bazaars in different cities of India, it seems that there is a vast
growth of big bazaar lying as customers demand is increasing for big bazaars.
 the customers are give response for most powerful advertisement is Big-Bazaar. We can
also interpret that the big-bazaar comparison is more powerful people attract with
advertisement like T.V., Hoarding, news paper, is most of the part of purchasing by
advertisement.

50
 SUGGESTIONS

 Big bazaar and Vishal mega mart should provide large

parking space for its customers so that they can easily park
their vehicles.
 The infrastructure is needed to be changed a bit during
weekends as heavy crowd comes in to big bazaar and Vishal
mega mart during those days.
 Big bazaar and Vishal mega mart should include more of
branded products its product category so as to attract the
brand choosy people to come in to big bazaar.
 Big bazaar should keep offers in regular intervals so that
there should not be a long term gap, because offer is the
most influencing factor which is responsible for customer
purchase decision
 they also concentrate on TV advertisement they should
show ads and promotional offers in a regular interval in
languages like Hindi English.
 Hoarding should be placed uncovered area.

51
 LIMITATIONS

 This research is conducted on a sample size, so it might be possible that the

information given by such respondents may not match with the replay of total
customer available in the store that time.

 The study was restricted to only the customers of BIG BAZAAR & D-Mart.

 The time constrain was a limiting factor, as more time was required to carry out
study on other aspects of the topic.

 The result and analysis based on the customer survey method and small sample size
has taken only 120.

 Findings are related to particular areas

 It might be possible that the answers given by the respondents are of biasness

52
 CONCLUSION

Big Bazaar & Vishal Mega Mart are a major shopping complex for today’s customers. It is a
place where customers find variety of products at a reasonable price. Big Bazaar & Vishal
Mega Mart has a good reputation of itself in the market. It has positioned itself in the market
as a discounted store. It holds a huge customer base. The majority of customers belong to
middle class family. The youth generation also likes shopping and moving around Big Bazaar
& Vishal Mega Mart. Volume sales always take place in Big Bazaar & Vishal Mega Mart.
Impulse buying behavior of customers comes in to play most of the times in Big Bazaar &
Vishal Mega Mart.

Big Bazaar & Vishal Mega Mart is a hypermarket as it provides various kinds of goods like
apparels, grocery, stationary, food items, electronic items, leather items, watches, jeweler,
crockery, decorative items, sport items, chocolates and many more. It competes with all the
specialty stores of different products which provide goods at a discounted rate all through out
the year. It holds a large customer base and it seemed from the study that the customers are
quite satisfied with Big Bazaar & Vishal Mega Mart. As of now there are 34 Big Bazaar &
Vishal Mega Marts in different cities of India, it seems that there is a vast growth of Big
Bazaar & Vishal Mega Mart lying as customers demand; increasing for Big Bazaar & Vishal
Mega Marts. It has emerged as a hub of shopping specially for middle class people.

Different types of products starting from a baby food to pizzas wide range is available
under one roof. In Delhi it is the middle class people who mostly do marketing from Big
Bazaar & Vishal Mega Mart. Even most of the people do their monthly shopping from Big
Bazaar & Vishal Mega Mart. People not only visit Big Bazaar & Vishal Mega Mart to do
shopping but also visit for outing purpose as it provides a very nice ambience to its
customers. As people go to malls they just tend to move around Big Bazaar & Vishal Mega
Mart whether it is for shopping purpose or for outing purpose. Grocery, apparels and food
items are the products which are demanded most by the customers of Bareilly in Big Bazaar
& Vishal Mega Mart. The major drawback of Big Bazaar & Vishal Mega Mart is that it lacks
in providing enough parking space for their customers. This may discourage the customers to
come to Big Bazaar & Vishal Mega Mart and shop as they face difficulty in parking their
vehicles. Even though some customers say that they don’t feel problem in parking their

53
vehicle, it is because of the parking space available to them by the mall. As it is surveyed it
seems that the biggest competitors of Big Bazaar & Vishal Mega Mart are the kirana stores,
discounted specialty stores like D-Mart, The Tata Groups (Croma), Reliance Retail, & Sabka
Bazaar etc.

54
 BIBLIOGRAPHY

Reference Books
Books name Author/publication
Kotler, Phillip. Armstrong, PHI pub.
:Delhi, ed. 9th.(pp.218 -224,335-353,411-
MARKETING MANAGEMENT AND
413,559-561,)
BUSINESS BUYER BEHAVIOR.

Websites

 http://www.bigbazaar.co.in
 http://www.pantaloonretail.in/businesses/big-bazaar.html
 http://www.scribd.com/doc/41556853/Bigbazaar-4p-Mix
 http://en.wikipedia.org/wiki/Marketing_management
 http://www.pantaloonretail.in
 http;//www.vishalmegamart.net

55
 This research is conducted on a sample size, so it might
be possible that the information given by such
respondents may not match with the replay of total
customer available in the store that time.

56