copy of final report(2)

8/14/2019 Copy of Final Report(2)

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ACKNOWLEDGEMENT

We express our sincere gratitude to our project guide Mr. Kamal K. Guptafor givingus the opportunity to work on this project.

We are thankful to Mr. Kamal K. Gupta, Asst. Professor, Ajay Kumar Garg

Institute of Management, our Project Guide for their guidance and encouragement without

which the satisfactory completion of our project would not have been possible. They have

been a constant source of inspiration to us, showing all the patience and abundant

encouragement throughout the project duration.

Also, We are thankful to the librarians and staff of our institute, for their continued

support and invaluable encouragement.

Above all, we are thankful to the Almighty and to our parents for their blessings,

humble support and showing their belief in us.

Vaibhav Aggarwal

Harsh Tyagi

Mayank K. RuhelaNiharika JaiswalMohammad Zaki

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CONTENT

1. Acknowledgement 3

2. Preface 4

3. Introduction 5

4. Objective of Research 6

5. Research Methodology 6

6. Analysis 7

7. Conclusion 23

8. Appendix 24

9. Bibliography 23

PREFACE

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Retailing in India Retailing in India. The Indian retail industry accounts The Indian retail

industry accounts for 10% of GDP and 8% of for 10% of GDP and 8% of employment. India

is being touted as the next big India is being touted as the next big retail destination with an

average retail destination with an average three year compounded annual three year

compounded annual growth rate of 46.64%. The Indian economy is poised to take The

Indian economy is poised to take the third position in the world in the third position in the

world in terms of Purchasing Power Parity by terms of Purchasing Power Parity by the year

2010. The Indian Retail Market is a The Indian Retail Market is a

Rs.1, 200,000 million market as per the Images India Retail Report 2008. Organized Retail market is zooming Organized Retail market is zooming ahead with an

annual growth rate of ahead with an annual growth rate of 30%

The country will have over 300 malls translating to over 100 million sq.ft. in available mall

space by the end of in available mall space by the end of 2008.

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OBJECTIVE

It is said that a well defined objective is half achieved. So make sure that our concerns are

being solutionised define the objectives of this project.

The objectives are:

To determine the market position of Big bazaar and vishal megamart.

To determine the perception of consumer towards big bazar and vishal megamart.

To know the market share of vishal megamart and big bazaar .

To determine the competitor of vishal megamart and big bazar .

To analyze the market expansion in future.

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INTRODUCTION

About big bazaar

Introduction to Big Bazaar

A chain of shopping malls in India currently with 31 outlet owned by Kishore Biyanis

Pantaloon Group. Pantaloon Group.

Big bazaar is not just another hypermarket. Provides the best products at the best price.

Reflect the look and feel of Indian bazaars at their modern outlets. All over India, Big

Bazaar attracts a few thousand customers on any regular day.

Target Audience

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.

It is part of Big Bazaars (owned by Biyanis Future Group) new Guerrilla Marketing

Strategy. Guerrilla force is divided into small groups that selectively attack the target at its

weak points. Wah lah, enter the future and in the world of cut throat competition, corporate

use extension of the same strategy in marketinghmmmm never imagined this while we

were in our shorts!! Corporate like coke, pepsi, etc have been using the same for quite some

time now and the latest entrant is our very own Future Group- Big Bazaar, Pantaloons,

Future Bazaar, eZone are all part of this group and they are taking on the biggies like

Shoppers Stop, Lifestyle, and Tatas Westside. With retail market in India especially in

metros where standard of living and disposable income is at an all time high, competitors will

vie for the market share and can stoop to any levels while marketing their products. Guerilla

marketing is just one of the strategies and surely one can learn a lot from the ongoing battle,

especially people interested in marketing/marketing techniques.

Different elements of retail mix

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Merchandise assortment Merchandise assortment

Location

Price

Visual merchandising Visual merchandising

Retail-mix contd.

Store atmosphere Store atmosphere

Customer service Customer service

Advertising

Promotion

Personal selling Personal selling

Introduction to Vishal Mega Mart

What started as a humble one store enterprise in 1986 in Kolkata (erstwhile, Calcutta) is

today a conglomerate encompassing 180 showrooms in 100 cities / 24 states. Indias first

hyper-market has also been opened for the Indian consumer by Vishal. Situated in the

national capital Delhi this store boasts of the singe largest collection of goods and

commodities sold under one roof in India.

Internal Attributes

Envelope lope

Internal layout

Methods of display Methods of display

Visual merchandising

Distribution

Distribution is one of the 4 aspects of marketing.marketing.

Traditionally, distribution has been seen as dealing with how to get the product or service to

the customer. the customer

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Distribution is done by distributor who is is the middleman between the manufacturer and

retailer the manufacturer and retailer

Logistics

Logistics is the art and science of managing and controlling the flow of goods , energy,

information and other resources like products, services and people from the source of

production to the marketplace. marketplace.

Its Important to have professional logistical support logistical

The operating responsibility of logistics is the geographical repositioning of raw materials,

work in process and finished inventories where required at the lowest cost possible.possible.

Supply Chain

Supply chain, is a coordinated system of organizations, people, activities, information and

resources involved in moving a product or service in physical or virtual manner from supplier

to customer.

Supply chain activities transform raw materials and components into a finished product that

is delivered to the end customer.

Supply chain management

Promotion

Promotion can be loosely classified as "above the line" and "below the line" promotion. The

promotional activities carried out through mass media like television, radio, newspaper etc. is

above the line promotion.

The terms 'below-the-line' promotion or communications, refers to forms of non-media

communication, even non-media advertising. Below-the-line promotions are becoming

increasingly important within the communications mix of many companies, not only those

involved in fmcg products, but also for industrial goods.

Some of the ways by which companies do BTL (below the line) promotions are by

exhibitions, sponsorship activities, public relations and sales promotions like giving freebies

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with goods, trade discounts given to dealers and customers, reduced price offers on products,

giving coupons which can be redeemed later etc.

BELOW THE LINE SALES PROMOTION

Below the line sales promotions are short-term incentives, largely aimed at consumers. With

the increasing pressure on the marketing team to achieve communication objectives more

efficiently in a limited budget, there has been a need to find out more effective and cost

efficient ways to communicate with the target markets. This has led to a shift from the regular

media based advertising.

A definition of below-the-line sales promotion given by Hugh Davidson:

'An immediate or delayed incentive to purchase, expressed in cash or in kind, and having

only a short term or temporary duration'.

Methods of below the line sales promotion

1. Price promotions

Price promotions are also commonly known as" price discounting". These can be done in two

ways:

(1) A discount to the normal selling price of a product, or

(2) More of the product at the normal price.

Price promotions however can also have a negative effect by spoiling the brand reputation or

just a temporary sales boost (during the discounts) followed by a lull when the discount

would be called off.

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2. Coupons

Coupons are another, very versatile, way of offering a discount. Consider the following

examples of the use of coupons:

- On a pack to encourage repeat purchase

- In coupon books sent out in newspapers allowing customers to redeem the coupon at a

retailer

- A cut-out coupon as part of an advert

- On the back of till receipts

The key objective with a coupon promotion is to maximize the redemption rate this is the

proportion of customers actually using the coupon.

It must be ensured when a company uses coupons that the retailers must hold sufficient stock

to avoid customer disappointment.

Use of coupon promotions is often best for new products or perhaps to encourage sales of

existing products that are slowing down.

3. Gift with purchase

The "gift with purchase" is a very common promotional technique. In this scheme, the

customer gets something extra along with the normal good purchased. It works best for

- Subscription-based products (e.g. magazines)

- Consumer luxuries (e.g. perfumes)

4. Competitions and prizes

This is an important tool to increase brand awareness amongst the target consumer. It can be

used to boost up sales for temporary period and ensure usage amongst first time users.

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5. Money refunds

Here, a customer receives a money refund after submitting a proof of purchase to the

manufacturer.Customers often view these schemes with some suspicion particularly if the method of

obtaining a refund looks unusual or onerous.

6. Frequent user / loyalty incentives

Repeat purchases may be stimulated by frequent user incentives. Perhaps the best examples

of this are the many frequent flyer or user schemes used by airlines, train companies, car hirecompanies etc.

7. Point-of-sale displays

Shopping habits are changing for the people living in metropolitan cities. People prefer big

retail outlets like Big Bazaar to local kirana stores. Most of the decisions of buying are taken

by the virtue of point-of-sale displays in these retail outlets.

all big companies nowadays considering their effectiveness because of the "individual

customer promotion" at a price, which is much lesser than the normal media promotions.

Low prices on Wednesday Low prices on Wednesday

Concept of Big Day Concept of Big Day

Promotional offers

School JaoKhushi Khushi

Khushi Ki Barsaat

Happy Fathers Day

E.g.

Big Bazaar's `junk' swap offer

Big Bazaar is launching a promotional offer from Saturday, with the slogan, "Bring anything

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old and take something new".

A press release issued by the company says the customer can bring anything old, such as

newspaper, and get coupons issued in exchange of the junk. The customer can redeem the

coupons before the due date on the condition that he/she shops four times the value of the

coupon.

The prices fixed by Big Bazaar are: clothes (Rs 200 per kg), newspaper (Rs 25 per kg),

plastics/utensils/leather goods (Rs. 75 per kg), footwear/luggage (Rs. 100 per kg), Pet/beer

bottles (Rs 15 per kg), tyres (Rs 50 per kg), furniture (Rs 75 per kg) and others (Rs 20 per

kg).

"This offer will help the housewife clean out the junk while getting a good value for it," says

Mr Sanjeev Agarwal, President (Marketing), Pantaloon Retail (India) Ltd.

News related big bazaar

Future Group to hive off Big Bazaar

Kishore Biyani-led Future Group is considering hiving-off its hypermarket format Big Bazaar

into a separate company. Managing a $1 billion business already is a challenge, Biyani said

speaking to the reporters on Friday, referring to the big Bazaar format, which is expected to

generate revenue of $1 billion in the fiscal 2007-08. Big Bazaar is a hypermarket format of

the Pantaloon Retail (India) Ltd.

The Group expects to increase its revenues to $7-8 billion by 2011, of which Big Bazaar is

expected to contribute a large chunk of around $4 billion. It has emerged as the largest retail

format of Future Group's retail division. Biyani said that the proposal is at a very initial stage

and has to be taken to the board. Currently we have more than 80 Big Bazaars and we are

planning to scale it up to 160 by the year end, he said. Highlighting that the company was

going to go very aggressive in rolling out the Big Bazaar format, he said that the total floor

area by 2011 would scale up to 30 million square feet from the present figure of 10 million

square feet. Speaking on the other formats, Biyani said that the group was expecting a

revenue of Rs 1,300 crore from the Home Town stores which the company launched last

year.

The consumer electronics segment is doing extremely well, he said, elaborating that the

group was expecting the segment to generate revenue of Rs 2,000 crore by next year

Big Bazar to add more stores

After opening its fourth store in Ahmedabad, Big Bazar, the value retailing concept of

Pantaloon Retail (India) Ltd, part of the Kishore Biyani-promoted Future Group, on Friday

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announced its plans to open 75 to 80 new stores across India by June next.

Mr Rajan Malhotra, Head of Big Bazar India's Concept Division, told reporters here that the

retail chain is going to double the number of stores in Gujarat next year with two more stores

planned in Ahmedabad, the 39th store opening in Surat on November 24 with three more in

the pipeline and similar stores to be set up in major towns and cities of the State. The 37th

store is being opened at Allahabad tomorrow and the 38th at Coimbatore next week, he

added.

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ANALYSIS

In the analysis, right side is for Big Bazaar and Left side is for Vishal Mega

Mart.

Personal information

BIGBAZAAR VISHAL MEGA MART

l

In case of Big Bazaar, out of the sample of 75, 39 % i.e. 29 persons were males and the rest61 % i.e. 46 were females.

In case of Vishal Mega mart, out of the sample of 75, 64 % i.e. 248 persons were males andthe rest 36 % i.e. 27 were females.

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Big Bazaar and Vishal Mega mart both have maximum numbers of customers falling in 16-24 age group i.e. Youth

Most of the persons going in these stores are from graduation level.

BigBazaar Vishal Mega Mart

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In case of big bazaar 50 % people are retired and in case of Vishal 33% are students.

Shopping Experience

In case of Big Bazaar 61 % people are satisfied with promotional offers and it is less thanVishal Mega Mart.

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In case of Big Bazaar and Vishal Mega Mart,the satisfied persons with Safety measures are71 % and 70 %.

In Case of Big Bazaar, 81 % customers are satisfied with cleanliness but in case of VishalMega Mart the percentage is quite less than Big Bazaar.

Equal Percentage of customers have responded the same in case of parking area provided.

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Same percentage of customers are satisfied with shopping experience.

The service quality is more in case of Vishal MegaMart than that of Big Bazaar.

SHEET 2BIG BAZAAR VISHAL MEGA MART

BIG BAZAAR- most persons are falling in +3

area.VISHAL MEGA MART- most persons are falling in +2 area.

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BIG BAZAAR VISHAL MEGA MART

BIG BAZAAR- most persons are falling in +2 area.VISHAL MEGA MART- most persons are falling in +2 area.

BIGBAZAAR VISHAL MEGA MART

BIG BAZAAR- most persons are falling in +3 area.

VISHAL MEGA MART- most persons are falling in +3 area.

BIG BAZAAR VISHAL MEGA MART

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BIG BAZAAR- most persons are falling in +3 area.VISHAL MEGA MART- most persons are falling in +3 area.

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APPENDIX

SURVEY

I am a PGDM student at AKGIM, Ghaziabad, conducting a survey on Vishal Mega

Mart in Ghaziabad city for the purpose of classroom discussion. Please fill this

questionnaire based on your Shopping experience in Vishal Mega Mart so far. Data

provided by you will be kept confidential and solely be used for academic purpose only.

Personal information:

Gender: Male ......... Female ........

Age Group (in years): 16-24 [ ] 25-40 [ ] 41-60 [ ]

60+ [ ]

Education: Below SSC [ ] SSC [ ] Graduate [ ] Post

Graduate [ ]

Any other (pl. specify)_____________

Occupation: Service [ ] Business [ ] Student [ ]

House wife [ ]

Retired [ ] Any other (pl. specify) _____________

Based on your shopping experience at Vishal Mega Mart please put a tick mark in the

appropriate box:

+3 +2 +1 0 -1 -2 -3

Excellent Ambience Poor Ambience

Excellent MerchandiseDisplay

Poor Merchandise Display

Excellent Staff Support Poor Staff Support

Quick Billing Delay in Billing

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Ques: Are you satisfied with promotional offers?

Ans:-----------------------------------------------------------------------------------------------------------------

---------------------

Ques:- Are you satisfied with security system ?

Ans:-

----------------------------------------------------------------------------------------------------------------

---------------------

Ques:- Are you satisfied with cleanliness ?

Ans:-----------------------------------------------------------------------------------------------------------------

---------------------

Ques:- Any problem do you face with parking space ?

Ans:-

----------------------------------------------------------------------------------------------------------------

-----------------------

Ques:-Are you happy with over all service quality?

Ans:----------------------------------------------------------------------------------------------------------

------------------------------

Ques:-Are you happy with your shopping experience ?

Ans:----------------------------------------------------------------------------------------------------------

--------------------------------

(C) Suggestion(s) for improvement (if any):

________________________________________________________________________________________________________________________________________________________________________________________________________________________

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CONCLUSION

1. Big bazaar should concentrate on male customers.

2. Vishal should concentrate on female customers

3. Both should target on offers which could cater to youth generation.

4. In vishal mega mart the promotional schemes should be redesigned to ensure

maximum footfall.

5. In comparision to big bazaar the vishal should take care of store sanitation.

6. The area in which big bazaar is lagging is service quality thus big bazaar should

provide high quality service.

7. The persons are more satisfied with the ambience of big bazaar.

8. Display satisfaction is at equal level.

BIBLOGRAPHY

The readings which rendered all possible help and guidance in finalizing the marketing are:-

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Marketing Concept : Philip Kottler

Data From : Internet & floro & faunahousing and land Dev. (P) ltd.

News Papers : The Economic Times & Times of India

Magazine : Business Week

Research Methodology : C.R. Kothari

Marketing Research : G.C. Beri

Research Sides : Google. wikipedia, soople etc.

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