“The study of various functions

in different retail formats”

Parinita Jain
Manu Goyal
Ajeet Singh
 The Indian retail Story..
1. Indian retailing is expanding and is expected to reach at
US$637 billions by 2015.
2. Increased incomes, the demographic variability and vibrant
democracy.
3. With emergence of new stores format, is recording
phenomenal growth and will completely revolutionize
retailing over next five years.
4. Retail sector is contributing 10-14% to GDP employing
over 7-8% of total work force.
5. India is fifth preferred destination globally, estimating retail
market from US$350b(approx.) in 2008 to
US$430b(approx.) by 2010.
 Advantage Modern Retailing

1) Employment Generation
2) Increasing efficiency in Agriculture 
3) Enhance shopping experience for consumers
4) Creating a positive social Change 
5) Economies of Scale
Challenges to Organized Retailing
Challenges Implication
Fragmented Supply Chain High wastage and high product cost
Multiple Legislative Laws Hinder fast expansion and increase overall
cost.
Cumbersome Labour Laws Limits organized retail business of 24*7
Escalating real estate prices Higher operational costs
Complexity in tax structure Rate,classification and procedure is different
across the country
Shortage of Manpower Beginning of specialized training centre and
specialized course on retail
Cultural Disparity Understanding customer choice and
preferences is different
Industry status Far away from benefits of Industry status
 Key drivers to growth
Economic Growth
Urbanization
Consumerism
Brand profusion
Availability of real estate
Changing consumer needs and preferences
FDI
Increased investment in retail
A large unorganized sector
Organized
Retail
 STAR BAZAAR

Format: Hypermarket
Launch: Bangalore
Selling proposition: Value for money
Store size: 75,000 square feet
Key categories: Food, grocery, general,
merchandising.
Plans: 50 stores in the next five years
 Advantages
1. One of the largest live bakeries in the city offering
delicious cakes, pastries cookies, breads
2. Multiple check out counters to make your
shopping easier and faster
3. High quality products made available at extremely
low prices in the city
4. A wide range of private labeled apparels offering
the best value to customers
5. Unparalleled and irresistible offers and discounts
 Merchandise assortment

1. Exhaustive choice of products including

staple foods, beverages, personal care
products, fresh dairy products & durables,
fresh vegetables and fruits, and household
items
2. Large range of trendy and fashionable in-
house garments for men, women and
children
3. Stocks non-vegetarian food items and cold
cuts.
 Customer service
1. Star Bazaar presents its exclusive loyalty
program 'Star Power Rewards Program'.
2. Customers who shop for Rs. 500 or more can
avail free membership to the program.
3. Members can enjoy various benefits including
power points on all shopping, exclusive offers
on every day purchases and advance
intimation of promotions at the hypermarket.
 Store design and layout

1. The ground floor of the hypermarket houses

products across various categories ranging from
fast moving consumer goods, food products, a non-
vegetarian section to a live bakery
2. The first floor comprises of an apparel and
consumer durables section. A personal attire
section includes garments for men, women and
children.
3. The store has an entire section devoted to kitchen
and home ware such as steel utensils, crockery and
other appliances.
 PRICING

This wide repertoire of products is

made available to consumers at the
lowest prices and savings due to the
great discounts
 FUTURE
1. Star Bazaar is now looking at further
expansion in India.
2. 2008-09 has been a successful year for Star
Bazaar, which has concentrated on improving
its business and making individual stores
profitable.
3. The plan is to open five stores this year and
another ten in the next year, with the long-
term goal being to grow to 50 stores within
five years.
UNORGANIZED
RETAIL
 Kirana stores

1. Kirana stores are owned and operated on a small scale,

usually in a space of 500sq.ft. or less. These places are
easily available within residential localities..
2. Supermarkets have the benefit of economies of scale over
kirana stores.
3. Kirana stores are operated by the owners themselves and
thus provide the benefit of low operational costs.
4. Supermarkets are capable of eliminating the wholesalers
from the chain and can provide benefits of saved margins.
5. Kirana stores target a much smaller market than
supermarkets and thus, can be more responsive in terms
of their exclusive demands.
 Cont…

6. Supermarkets often offer more variety to customers.

Moreover, it is likely to receive the newly launched products
earlier than kirana stores.
7. Kirana stores are likely to be in the immediate locality and
thus have a better understanding of customer preferences.
8. Supermarkets often offer the best bargains, and experts
from the company explain the usage and care of a particular
product to its potential buyers.
9. Kirana stores are more likely to provide services like free
home delivery
 GANAPATHI
GENERAL STORES
 Location
1. The store location is very good as it is
located at the kengeri satellite town main
road, the locality around the store has
residential complexes and housing
societies were thousands of people live.
2. This store is at walk able distance for the
residents of these complexes and society
making it highly accessible.
 Merchandise
1. It is a general store and stocks all kinds
of items like shampoos, soaps,chips,oil
etc but the bulk of its merchandise is
food related items and they form large
part of the goods sold.
2. The store has a small store room at the
backside of the store where it stores its
merchandise it purchases in bulk from
dealers according to the demand
 Store design &display
1. The proprietor does not pay a lot of attention to
store ambience, the store has few huge stands
with racks the merchandise are arranged
according to their utility like soaps one side
creams, oil one side, food grains one side.
2. The racks are also arranged in such a way so
that the person can easily locate the item.
There are no extra fixtures or fittings two rods
are placed above main desk were satches are
hanged. The lighting is adequate.
 PRICE

The prices offered for various goods are

reasonable for most goods however on
some perishable items like milk and curd
they take few rupees extra. The food items
like grains, pulses are reasonably priced
but the prices are still higher than the
supermarkets.
 Promotion
1. It does not any kind of promotion for its store.
2. But the store does promotion for the products
that is if the company gives them some
displays it places them in the store.
3. It also runs various schemes given by the
companies. It also pushes certain products
were it is given greater margins.
 Organized
small format
 More…
Format: Supermarket
Selling Preposition: Offering value, convenience and trust to
the customers
Store Size: 2500 Sq Feet
Key categories: Fresh fruits & vegetables, groceries, personal
care, home care, general merchandise & a basic
range of apparels
Presence: 640 stores
Plans: 1000 stores in 3 years
 INTRODUCTION

1. The More. for you promises a world class shopping

experience, with a modern store layout, easy to
shop with friendly staff at hand to provide
assistance, electronic billing facilities and a colorful
ambience.
2. More. for you offers branded food and grocery
products sourced from the leading brands from all
over India, along with private label brands from
their own portfolio - available in a broad selection
the best possible value for your money.
 Merchandise Assortment

1. It offers a wide range of assortment of over 4000

products, ranging from fresh food to beverages,
grocery to household care products.
2. Their range covers everything, from day-to-day
essentials to traditional favorites, from delicious
treats, to healthy alternatives.
 A list of product categories
available are

• Beverages
• Basic Apparels
• Cutlery & Cookware
• Fruits & Vegetables
• Frozen & Dairy Products
• FMCG Products
• Grocery
• General Merchandise
• Home Care Products
• Staples
• Small White Appliances
• Personal Care & Cosmetics
• Ready to Cook/Prepared Food… etc
 Customer Service

• The value proposition for its supermarket is giving its

customers “Hamesha Extra” which has resonated
with the consumer.
• “Hamesha Extra” is the core essence of More. It
means customers will always feel that they have got
something extra while shopping at More.
• More. has more than 1.6 million members as part of
its loyalty programme by the name Clubmore.
 Store Design and Display

1. 60 stores in Bangalore, eight stores in Mysore and

10 stores in Mangalore
2. The more. chain of supermarkets is spread over
convenient locations and with layouts that allow
ease of navigation
3. The project display is well-orgranised and facilitates
ease of choice
4. The stores have been designed by Fitch, the leading
international retail design firm.
 Pricing

1. more. promises best in market pricing

2. Linking up directly with farmers to source
fresh fruits, vegetables and staples ensure
great quality as well as great price
3. the membership program Clubmore., which
provides convenience, customised shopping
solutions and savings, and the more. value
promise becomes all the more evident.
Four Delivery cornerstones at More

1. more. quality

2. more. variety

3. more. convenience

4. more. value
 Promotions

1. Customers can expect to be pleasantly surprised at

every visit to more store with attractive promotions
such as " Buy and Get Free ", discounts and special
offers
2. they also run festival promotions to help shop
customers for special and festive occasions.
3. wide range of products on promotion which it offers
to enable them to make the most of their shopping