Retailing is a distribution channel function where one organization buys products from supplying firms or manufactures the product

themselves, and then sells these directly to consumers. A retailer is a reseller (i.e., obtains product from one party in order to sell to another) from which a consumer purchases products.

Retail comes from the Old French word retailer (compare modern French retailler), which means "to cut off, clip, pare, divide" in terms of tailoring. It was first recorded as a noun with the meaning of a "sale in small quantities" in 1433 (from the Middle French retail, "piece cut off, shred, scrap, paring"). Like the French, the word retail in both Dutch and German (detailhandel and Einzelhandel, respectively) also refers to the sale of small quantities of items.

Customer satisfaction Ability to acquire right products Product presentation Traffic building Layout Location Keeping pace with technology

Unorganized Retail sector Organized Retail sector

Food Products Hard Goods (hardline retailers) appliances, electronics, furniture, sporting goods etc.. Soft Goods clothing, apparel and other fabrics

Counter service Delivery

Mail order Order by phone

Door to door

Departmental stores Mom-and-Pop stores Category killers Malls Discount stores Supermarkets Street vendors Hypermarkets Kiosks

Cost-plus pricing Suggested retail pricing

Future Groups-Formats: Big Bazaar, Food Bazaar, Pantaloons, Central, Fashion Station, Brand Factory, Depot, aLL, E-Zone etc. RPG Retail-Formats: Music World, Books & Beyond, Spencers Hyper, Spencers Super, Daily & Fresh.
The Tata Group-Formats: Westside, Star India Bazaar, Steeljunction, Landmark, Titan Industries with World of Titans showrooms, Tanishq outlets, Croma Reliance Retail-Formats: Reliance MART, Reliance SUPER, Reliance FRESH, Reliance Footprint, Reliance Living, Reliance Digital, Reliance Jewellery, Reliance Trends, Reliance Autozone, iStore Subhiksha-Formats: Subhiksha supermarket pharmacy and telecom discount chain. Vishal Retail Group-Formats: Vishal Mega Mart Marks & Spencer: Clothing, lifestyle products, etc. Aditya Birla Group - "More" Outlets

Global economic slowdown Competition from the unorganized sector Retail sector has no recognition as Industry High real-estate costs Lack of basic infrastructure Supply-chain inefficiencies Challenges with respect to human resources Shrinkage

 Introduction
About Big Bazaar Hyper mart Chain of development store in India More than 100 outlets Located in India

Out let

Parent group
Owner Founded Head quarter Industry website Tag line

Future group
Kishore Biyani (CEO) 2001 Jogeswari , Mumbai Retail www.bigbazar.com Is se sasta aur achha kahin nahi.

 Mission And Vision

VISION

Future Group shall deliver Everything, Everywhere, Every time for Every Indian Consumer in the most profitable manner. MISSION We share the vision and belief that our customers and stakeholders shall be served only by creating and executing future scenarios in the consumption space leading to economic development.

 Positioning And
Customers

Establishment

Segmentation

Big Bazaar targets higher and upper middle class customers.

The large and growing young working population is a preferred customer segment. Big Bazaar specifically targets working women and home makers who are the primary decision makers.

 Marketing Mix

Process Physical Evidence

Product

7 P
People Price

Place

Promotion

Strengths:

High brand equity enjoyed by Big Bazaar State of the art infrastructure A vast variety of stuff available under one roof Everyday low prices, which attract customers Maximum percent of footfalls converted in sales Huge investment capacity Biggest value retail chain in India It offers a family shopping experience, where entire family can visit together. Available facilities such as online booking and delivery of goods

Weakness:

Unable to meet store opening targets on time Falling revenue per sq ft General perception: Low price = Low quality Overcrowded during offers Long lines at billing counters which are time consuming Limited only to value offering low price products. A no of branded products are still missing from Big Bazaars line of products. E.g. Jockey, Van heusen,

Opportunity:
A lot of scope in Indian organized retail as it stands at approximately 4%. Increasing mall culture in India. More people these days prefer to visit big stores where they can find large variety under one roof

Threats:
Competition from other value retail chains such as Shoprite, Reliance (Fresh and trends), Hypercity and D mart. Unorganized retail also appears to be a threat to Big Bazaars business. A large population still prefers to visit local convenient stores for daily purchases Changing Government policies International players looking to foray India

 Consumer Insights And Perceptions

Big bazaar is based on 3-C theory of Kishore Biyani. The 3-C determines change, confidence and consumption, and according to this theory, change and confidence is leading to rise in consumption,
They divided Indian customers into 3 categories: India one: Consuming class, constitutes only 14% of Indian population. Upper middle class and most of the customers have substantial disposable income. Initial focus of big bazaar

 India two: Serving class which includes people like drivers, house-hold helps, office peons, etc.

For every India One there are at least India Two and have 55% of Indian population. India three: Struggling class, remaining population of India. Cannot afford to inspire for better living. Need cannot be addressed by current business model.
The potential customers of big bazaar are India One and India Two.

 The customer insights were developed by close observation of

the target set. The insights that came out were: The clean and shiny environment of modern retail stores creates the perception that such store are too expensive and exclusive, and are not meant for India Two.
India two finds moves and find a lot of comfort in crowds, they are not individualistic. They prefer to be in queues. Indian-ness is not about being swadeshi, its about believing in Indian ways of doing things. Advertisements about schemes and offers through local news paper, radio in local language inspires more customers more than the traditional ways. Hypermarkets in India should be situated in the city unlike western countries where they are situated away from city.

 Strategic Decision Taken To Build Big Bazaar Brand Real-estate game: According to Kishore Biyani, real estate cost should be lesser than 5% of total sales of store in order to provide maximum benefits to customer. The strategic decisions to secure spaces before other retailers join in have resulted in cost saving. Nurturing relationship: Kishore Biyani follows the strategy to develop trust and nurture relationship with suppliers. Whoever works with Future Group, either leaves in initial deals or continues forever.

 Use of technology, scenario-planning & story telling: scenario planning and story telling techniques used for store design layout and store-location selection. Design management Design-led thinking helped Big Bazaar to achieve customer-first objective and ultimately led to financial performance. Back-end operations, supply chain: India may not have a modern supply chain but it definitely has a cost-effective one i.e. Pantaloon's supply chain.

Today, retailing is about so much more than mere merchandising. Its about casting customers in a story, reflecting their desires and aspirations, and forging long-lasting relationships. Retail today has changed from selling a product or a service to selling a hope, hope an aspiration and above all an experience that a customer would like to repeat. For manufacturers and service providers the emerging opportunities in urban markets seem to lie in capturing and delivering better value to the customers through retail. Challenges to the manufacturers and service providers would abound when market power shifts to organized retail.