CUSTOMER SATISFACTION IN RETAIL SECTOR WITH REFERENCE TO EASYDAY & BIG BAZAAR IN AGRA

PROJECT REPORTSUBMITTED FOR THE FULFILMENT OF THE BACHELORS DEGREE IN

COMMERCE(HON.)

UNDER THE SUPERVISION OF: SUBMITTED BY:MR. TEJ SINGH KARAN VERMA 10A006 DAYALBAGH EDUCATIONAL INSTITUTE DEEMED UNIVERSITY DISTANCE EDUCATION PROGRAM DAYALBAGH, ADANBAGH , AGRA

THE INDIAN RETAIL SCENE

With a three year compounded annual growth rate of 46.6%,Retail sector is the fastest growing sector in the Indian economy.

Traditional markets are transforming themselves in new formats such as departmental stores,hypermarket,supermarket & speciality stores.

By 2014,Organised retailing in India will cross US$37.5 billion mark from the current size of US$21 billion

COUNTDOWN TO INDIA’S RETAIL REVOLUTION

The retail industry in India represents 22% of the GDP of India and makes a contribution of 8% of the overall number of jobs created in the country.

The unorganized retail sector has 94% presence whereas the organized accounts for merely 6%.

Industry has already predicted a trillion dollar market in organised retail sector in India by 2014.

India is undergoing a major shake-up as the country is witnessing a retail revolution.

The old traditional formats are slowly changing into more complex and bigger formats

EVOLUTION AND TRENDS IN ORGANIZED RETAILING FORMATS AND RETAIL OUTLETS

Hypermarket Supermarket Department store Convenience store Discount store Specialty store Mbo’s Malls Kirana store

Big Bazaar is a hypermarket is a chain of development store in India.

Founded by Kishore Biyani in 2001 Part of future group of companies. Initially three Big Bazaar stores wew

launched in Kolkata, Banglore & Hydrabad.

Currently 148 Big Bazaar stores in 70 cities.

Key categories retailed food, groceries, apparels, furnishing & consumer durables

The current retail formats of the Future Group include Big Bazaar, Food Bazaar, Electronic Bazaar and Furniture Bazaar.

3-C Theory

According to Kishore Biyani’s 3-C theory, Change and Confidence among the entire population is leading to rise in Consumption, through better employment and income which in turn is creating value to the agricultural products across the country. Big Bazaar has divided India into three segments:

India one: Consuming class which includes upper middle and lower middle class (14% of India's population).

India two: Serving class which includes people like drivers, household helps, office peons, liftmen, washermen, etc. (55% of India's population) and

India three: Struggling class (remaining 31% of India's population).

While Big Bazaar is targeted at the population across India one and India two segments, Aadhaar Wholesale is aimed at reaching the population in India three segment

With this, Future Group emerged as a retail destination for consumers across all classes in the Indian society.

SCHEMES AND INNOVATIONS

Wednesday Bazaar Sabse Sasta Din Maha Bachat The Great Exchange Offer

BUSINESS OF THE ABOVE STORE Fashion - pantaloons, Central, Brand Factory, Blue Sky,

Top 10, Fashion Station, Big Bazaar, Lee Cooper(JV) General Merchandise - Big Bazaar, Shoe Factory, Navras,

Electronics Bazaar, Furniture Bazaar, KB'SFAIR PRICE Electronics – E-zone, Electronic Bazaar, STAPLES (JV) Home Improvement - Home Town Furniture - Collection i, Furniture Bazaar, HomeBazaar E-tailing (Online Shopping) -www.futurebazaar.com Books & Music - Depot Leisure & Entertainment - Bowling Company Telecom & IT - Gen M, M Bazaar, M-Port, Converge M,

Future Axiom Consumer Durables - Koryo, Sensei, IPAQ Service - E Care, H Care , Design & Service

Easyday is an Indian retail brand that runs chains of consumer retail department stores

The brand is wholly owned by Bharti Enterprises Limited

Operated by its subsidiary, Bharti Retail Limited, which is headquartered in New Delhi.

The technical and management support for the brand is provided by Arkansas, United States based Wal-Mart Stores, Inc, which is the largest retailer in the world

First store was opened in Punjab,in April 2008. The number of stores functional is 220 in 110

towns &13 states across three different formats catering to about 76,000 people everyday.

LINES OF BUSINESS OF THE ABOVE

STORE

Great Value: Everyday-use products like flour, staples, cereals, spices, tea, cold beverages, sodas, jams, ketchups, dry fruits, corn flakes, Indian snacks, dish-wash bars, detergents etc.

Mainstays: basic home essentials, catering to kitchen & bathroom accessories, bed linen, cushion covers, towels, plastics, lighting solutions, and stationary.

Equate: personal care products, including cosmetics, deodorants, bar & liquid soaps, oral & dental care range, nail-cutters, and baby care products

George: Western apparel brand Astiva: Ethnic Indian wear, such as such as kurtas, kurtis,

salwar kameez, and ready to stitch fabric. Simply Basic: It is a brand designed to cater to everyday wear

and clothing needs. Faded Glory: This brand provides footwear.

NEED OF THE STUDY

To know about the future market trends in the organized retail sector  in Agra.

To know the system of working of the retail sector.

To know about the consumer buying behavior  pattern and their loyalty towards Big Bazaar and Easyday.

OBJECTIVES OF THE STUDY   

To study about the product and services available of the selected organizations (Big Bazaar and Easyday) in Agra.

To study consumer’s preferences with reference to Big Bazaar and Easyday.

To study about consumer’s satisfaction with reference to their product and services.

SCOPE OF THE STUDY

It will extend to the actual field study of these outlets in Agra.

It will give information to prospective customers.

Help us gain independent knowledge about the consumer perception of the outlets identified.

The study can help the companies get additional research information.

It facilitates evaluation of brand name and customer satisfaction.

RESEARCH AND METHODOLOGY

DATA COLLECTION Primary Data – Self structured Questionnaire was used for collecting primary data. Secondary Data – Secondary Data was used by different concerned websites, Journal,

Magazines, newspapers and other published materials. Sample Area This study was conducted in Agra. Sampling Technique Convenient sampling was done. Sample Size 50 respondents including both Big Bazaar and Easyday. Statistical Tools The statistical tools were used like percentage and weighted average

method to make the study more reliable. Presentation Tools The data is presented through different charts, diagrams and tables

like pie charts, bar diagrams etc.

DATA ANALYSIS AND INTERPRETATION

Preferred place to shop

No. of customers

%

Big Bazaar

23 46

Easyday

11 22

Kiarana Store

12 24

Others 4 8

Total 50

Customer Preference

05

1015

2025

3035

4045

50

Big Bazaar Easyday Kirana Store Other

Customer Preference

Reasons for Customer’s Preferences

Number of customer

%

Low Price

16 32

Quality 18 36

Range 10 2

Nearby 4 8

Other 2 4

Reasons for Customer Preference

0

5

10

15

20

25

30

35

40

Low price Quality Range Nearby Other

Reasons for Customer Preference

Spending on Different Items Items Number of

Customers%

Grocery 10 20

Home Appliances

9 18

Furniture 8 16

Apparel 17 34

Others 6 12

Grocery

Home Appliance

Furniture

Apparel

Other

Promotional schemes of Big Bazaar &

Easyday Easyday %

Big Bazaar

%

Cash discount

15 30 35 70

Lucky draw scheme

10 20 40 80

Free gift scheme

11 22 39 78

Financing facilities

28 56 22 44

Guarantee/ Warranty

19 38 31 62

0

10

20

30

40

50

60

70

80

90

Warranty

Cash Discount Lucky DrawScheme

Free GiftScheme

FinancingFacility

Guarantee/Waraante

Easyday

Big Bazaar

Utility of Big Bazaar & Easyday

Utility Aspects

Agree

Neutral

Disagree

Rank

A place to shop

70 20 10 I

A place to socialise

2 22 76 IV

A place to enjoy

38 32 30 II

A place to experience

16 54 30 III 0

10

20

30

40

50

60

70

80

A place to shop A place tosocialize

A place to enjoy A place toexperience

Agree

Neutral

Disagree

Level of Customer Satisfaction

Factors Highly satisfied

Satisfied Neutral Dissatisfied

Highly dissatisfied

Rank

Pricing policy 20 24 32 16 8 IProduct quality

28 18 16 18 20 VII

Service quality 36 40 24 0 0 IIStaff knowledge

16 30 28 18 8 VI

Ambience 30 32 16 14 8 VEase of shopping

44 26 10 0 20 III

Overall shopping

26 30 24 20 8 IV

CONT.

0 20 40 60 80 100 120

Pricing Policy

Product Quality

Service Quality

Staff Knowledge

Ambience

Ease of Shopping

Overall Shopping

Highly Satisfied

Satisfied

Neutral

Dissatisfied

Highly Dissatisfied

FINDINGS

60% customers prefer to purchase from organized retail outlets as compare to unorganized retail outlets.

During the study it comes to know that customers spend 40% - 50% of their monthly budget at organized retail outlets.

Organized retail outlets provide better quality, product range as compare to unorganized retail outlets.

Future the market share of unorganized retail will reduce 60% - 80%, because Customers shifting from unorganized retail outlets because Customers shifting from unorganized retail outlets to organized retail outlets.

During study it is observed that these organized retail outlets attracting the middle & upper class customers, the lower class person still prefer to purchase from the local Kirana Stores.

The findings of the study conclude that 80% of the customers are youngsters aged between 16-25 and among them more males from the urban sector Easyday &Big Bazaar.

SUGGESTIONS

The organized retail outlets should improve the quality of Vegetables & fruits they provide to customers.

The organized retail outlets should provide the free home delivery facility.

The organized retail outlets should increase the no. of billing counters in their outlets.

In order to attract the rural sector customers, Easyday & Big Bazaar may extend their advertisements offering special sale promotion schemes to the rural areas.

The customers are dissatisfied with the Pricing policies at the Easyday Therefore, they should concentrate on developing these aspects properly, besides extending more cash discount and free gifts schemes to attract the customers at a higher level should also provide the credit facility to the lower class customers so that they can increase their market share.

Big Bazaar should focus on quality, discount and attractive display of products, as these are very important factors considered by the customers while making purchase decisions.

LIMITATIONS

Due to the constraints of time, the study was confined to two stores in Agra city.

The sample was taken on the basis of convenience; therefore the shortcomings of the convenience sampling may also be present in this study.

The sample size chosen for the purpose was only indicative and not exhaustive owing to time constraints

People were hesitant to disclose the true facts. The chance of biased response can’t be

eliminated though all necessary steps were taken to avoid the same.

THANK YOU