the retail evolution

8/13/2019 The Retail Evolution

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Retail Industry : Overview

RetailingWorlds largest private industry

US$ 6.6 trillion sales annually

Indian retailingLargest employer after agriculture - 8% ofpopulationHighest outlet density in world

Around 12 mn outletsStill evolving as an industry

Long way to go


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Weekly MarketsVillage FairsMelas

Convenience StoresMom andPop/Kiranas

PDS OutletsKhadi StoresCooperatives

Exclusive BrandOutletsHyper/Super MarketsDepartment StoresShopping Malls

Traditional/Pervasive Reach

GovernmentSupported

Historic/RuralReach

Modern Formats/International

Evolution of Indian retail

Source ofEntertainment

NeighborhoodStores/Convenience

Availability/ LowCosts /

Distribution

ShoppingExperience/Efficiency


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Informal retailing SectorTypically small retailers.Evasion of taxes

Difficulty in enforcing tax collection mechanismsNo monitoring of labor laws

Formal Retailing SectorTypically large retailers

Greater enforcement of taxation mechanismsHigh level of labor usage monitoring

Evolution of Indian retail


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Corporate Houses Tatas: Tata Trent RPG group: Food World, Health and Glow, etc ITC: Wills Life Style

Rahejas(ShoppersStop), Hiranandani(Haiko), DLF(DTcinemas) etc.Dedicated brand outlets

Nike, Reebok, Zodiac etcMulti-brand outlets

Vijay Sales, Viveks etcManufacturers/ Exporters Pantaloons, Bata, Weekender

Categories of Indian retail


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HypermarketBig BazaarVishal Mega MartGiantsShopriteStar

Department storeLifestylePantaloonsPiramydsShoppers StopTrent

EntertainmentFame AdlabsFun RepublicInoxPVR

Large Indian retailers


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A successful retail store is nothing morethan a series of well connected andthought out plans, ideas and processes.

The retail marketplace has fast becomethe domain of those who know how to usecore strengths to dominate. Successfulretail strategies are based on four primaryareas:

- Product Selection- Convenience- Shopping Experience- Price

The Retail Store


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Retailing Strategy

In setting goals for your retail business, youshould consider the following:

- The Owner's Personal Quality of Life- Sales- Profits- Customer Satisfaction

- Suppliers- Employees- Image and Positioning


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Keeping Check on the Trends

Watch for key trends that involve thefollowing groups or topics:

ConsumersCompetitionEconomyGovernment PolicyTechnologyIndustry


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Marketing Facets

From the list of objectives below, identify thosethat are applicable to your store:

Build short-term sales.Develop or reinforce your image and store concept.Provide information about your services or products.Increase customer traffic.

Create interest and demand for unique/private labelbrands.


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Visual MerchandisingVisual Merchandising is first and foremost a strategicactivity that requires planning and analysis.Put your best-selling merchandise in your best-sellingspace.

If you only do one thing with your store, make itprofessional.Your storefront, including your windows, must tell theright story about who you are as a retailer.Invest in proper signage to take your store to the nextlevel.


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Customer SatisfactionBe confident that placing the customer ahead ofprofits will result in greater profitability.Customer service starts at the top of everyorganization with management's commitment to

providing total customer satisfaction.The right staff, with the right skills and the rightsupport, are needed to provide excellent front lineservice.Learn to listen to your customers to understandwhat they want, don't want and, most importantly,what they think of your store.Continually measure your service results.


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Consumer Perspective

Survey done of 300 people.The data gathered through primaryQuestionnaire survey.Responses were surprising.Lets see what people say


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Frequency to Visit the Super

Marketsf ortnightonce a month

rarelyweekly

t ime

32.14%

46.43%

3.57%17.86%


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Superiority of Giants

agreedisagreeneither agree nordisagree

strongly agreestrongly disagree

superior

32.14%

14.29%25.00%

21.43%

7.14%


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Sales Promotions

discount off ersdraw sy stemf ree gif ts

f ree home deliv eryothersprice packs

sp

35.71%

7.14%

28.57%

10.71%

3.57%14.29%


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Media Influence

circularshoardingslocal TV

newspapersothers

word of mouth

med ia

25.00%

14.29%

7.14%

10.71%

7.14%

35.71%


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Shocking But TrueDo you END UP BUYING WHAT YOU EXACTLY INTEND TO?

noy es

intend

57.14%

42.86%


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Refreshments After Shopping?

noy es

refresh

28.57%

71.43%


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Gender Influence

f emalemale

gender

57.14%

42.86%


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What works the most?

0%20%40%60%80%

100%

U

n i m p o r t a n t

N e u t r a l

M o s t

I m p o r t a n t

Layout

Ease of FindingitemsSpaciousShopping

UnlimitedSelectionGood Display


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Recommendations

By providing a logical layout.Ensuring point of purchase.Providing good customer service.Ensuring good stock availability.Location (Primarily)


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Thank You

the retail evolution

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