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Transcript of Pantaloons Final
UNIVERSITY OF MUMBAIMAHATMA EDUCATION SOCIETY’S
PILLAIS COLLEGE OF ARTS,
COMMERCE & SCIENCE
NEW PANVEL
ACADEMIC YEAR 2011-2012
PROJECT: PANTALOONS MARKETING
SUBMITTED BY: CLASS T.Y.B.COM (A)
NAME: ANKIT SHARMA
ROLLNO: 3839
DATE OF SUBMISSION: 25/7/2011
SUBMITTED BY: SUBMITTED TO:
ANKIT SHARMA SEEMA SOMANI
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Declaration:-
I Mr. Ankit Sharma Student Of T.Y.BCOM Pillai’s
college of Arts, Commerce & Science New Panvel, Navi
Mumbai Here By Declare That:
I HAVE COMPLETED THE PRESENT ON MY OWN
INFORMATION PROVIDED.
THE REGARDING PROJECT IS TRUE & ORIGINAL.
Sign:
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ACKNOWLEDGEMENT:
THE COMPLETION OF PROJECT INVOLVES CONTRIBUTION OF TIME & EFFORTS OF MANY PEOPLE. I WOULD LIKE TO ACKNOWLEDGE THEIR HELP INDIVIDUALLY BY EXPRESSING OUR HEART GRATITUDE TO ALL OF THEM.
I WOULD LIKE TO THANKS MRS. SEEMA SOMANI FOR GIVING HER VALUABLE GUIDANCE, TIPS & HELPING US THROUGHOUT THE PROJECTS. I THANK TO ALL THOSE PERSONS WHO HELPED US DIRECTLY OR INDIRECTLY FOR THE SUCCESSFUL COMPLETION OF PROJECT.
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Sr.No. Name of Contents Page No.
1 Introduction 5
2 History of Pantaloons 7
3 Objectives 8
4 Major Milestones 10
5 Brands Available 11
6 Marketing Mix 12
7 Advertising & Marketing 13
8 SWOT Analysis 14
9 Product Mix Offered 18
10 Table of Product Category/format/ offerings
20
11 Pantaloons Business Strategy
24
12 ANALYSIS AND INTERPRETATION
25
13 Suggestion 28
29
14 Conclusion 29
INTRODUCTION
Fashion is all about the now. Why, then should people not see a fresh look
every time they walk into a Pantaloons store? That is the thought behind 'Fresh
Fashion'. An idea that has captured the imagination of young India. With a focus
on the youth of today, Pantaloons offers trendy and hip fashion that defines the
hopes and aspirations of this demography. Pantaloons Fresh Fashion stands out as
a fashion trendsetter, on the lines of how fashion is followed internationally.
All Pantaloons stores reflect the new ideology -- Fresh Feeling, Fresh
Attitude, Fresh Fashion. The stores offer fresh collections and are visually
stimulating thanks to appealing interiors and attractive product display.
The First Pantaloons started in the year 2000 in Kolkata. In India, the
company has over 1000 stores across 71 cities and it employs more than 30000
people in their stores. It is the country largest listed retailer by market
capitalization and revenue.
It focused on meeting customer requirements for Fashion, Food, General
merchandise and home in both value & life style segment. Range of Branded &
Private label apparel, Footwear, Perfumes, Cosmetics, Jewellery, Leather Product
etc. Business model- “Family Focus” rather that “Individual Focus”. Aim was to
provide customers a unique shopping experience, comprising a vast range of
lifestyle & value retail product, mix of retailing formats coupled with facility of
entertainment & leisure.
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Pantaloons visual merchandising is creative, innovative and outstanding
which can be seen from its own in house private brands such as John Miller. All
the merchandise is placed at both 360 degree and 180 degrees. The new launched
products are showed by prominent colour back ground. Window display is highly
interactive for impulsive buyer. Price range is average.
Pantaloons follows a theme based interior, like a corner is assigned to every
brand and that brand put up its product as per its liking. Also the posters and ads
for discounts and offers for them are put up there only Exteriors of pantaloons
stores are very attractive & eye catchy. They put up fresh fashion collections on the
dummies on the entrance. The exterior appearance of a store silently announces
what customers can expect inside. Good exterior visual merchandising attracts
attention, creates interest and invites the customer into the business.
Pantaloons stores have very attractive display areas, in which they put the
dummies, accessories & all. They have a broad walkway & doorways. Also there
are small screens put up at various corners which are most visible, and which they
show case ads of their own as well as other brands available there. Here each rack
are placed in such a way so that consumers can easily take their wanted products.
Pantaloons have their own in house brands in Apparel as well as different sections.
Pantaloons visual merchandising is creative, innovative and outstanding which can
be seen from its own in house private brands such as John Miller. All the
merchandise is placed at both 360 degree and 180 degrees. The new launched
products are showed by prominent colour back ground. Window display is highly
interactive for impulsive buyer.
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History of Pantaloons:-
Our Company was incorporated on October 12, 1987 as Manz Wear Private
Limited. The Company was converted into a public limited company on September
20, 1991 and on September 25, 1992 the name was changed to Pantaloon Fashions
(India) Limited and in the same year the Company made an initial public offering.
We later changed our name to Pantaloon Retail (India) Limited on July 7 1999.
The Registered Office of the Company was shifted from Venkatesh
Bhavan ,4th Floor 86 Mirza Street, Mumbai 400003 to Pantaloon House, G 11,
M.I.D.C. Cross Road A, Andheri East, Mumbai 400 093 and subsequently shifted
to its current registered office at Pantaloon Knowledge House, Shyam Nagar, Off.
Jogeshwari Vikhroli Road, Jogeshwari (East), Mumbai 400 060.
The Equity Shares of our Company were first listed on BSE, DSE and ASE,
on July 30, 1992. Thereafter, the Equity Shares were listed on the NSE on
February 20, 2001
We started our operations by selling branded garments under Pantaloon,
Bare and John Miller brands. We set up our first menswear Pantaloon Shoppe
Outlet in 1993. Our business has grown from one store in Kolkata in 1997
occupying an area of 8,000 Sq ft to 72 stores, apart from our 22 factory outlets
located in the multiple cities occupying an aggregate area of 21,07,608 Sq. ft. We
focus on the Lifestyle segment through 14 Pantaloon stores, 3 Central Malls, 2
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aLL, 2 Fashion Station and 1 MeLa store. In the Value offering, we cater to the
mass through our 21 Big Bazaar and 30 Food Bazaar outlets. .
Objectives:-
Objects as contained in Memorandum of Association include:
1. To carry on the business of manufacturing, buying, selling, exchanging, altering,
importing, exporting, distributing or otherwise dealing in ready made garments an
hosiery made of cotton, silk, rayon, wool, nylon, man-made fabrics, polyester,
canvas, jute, leather, any other fabric coated with any chemical or not, or other
preparation and other fabric.
2. To carry on the business of manufacturing, processing, dyeing, bleaching,
buying, selling, exchanging, importing, exporting or otherwise dealing in yarns and
textiles made of cotton, silk, rayon, wool, nylon, man-made fibres, polyester,
canvas or any other substances.
3. To carry on trade or retail business in India through retail formats and including
but not limited to hyper markets, super markets, mega stores/discount stores, cash
& carry, departmental stores, shoppers plaza, direct to home, phone order and mail
order, catalogue, through internet and other forms and multi level channels for all
products and services, dealing in all kinds of goods, materials and items including
but not limited to food & provisions, household goods, consumer durables,
jewellery, home improvement products, footwear’s, luggage’s, books & stationery,
health care and beauty products, toys and music, computers & accessories, telecom
products, agri input products, furniture & furnishings, Automobile & accessories,
and acquiring and running food, service and entertainment centres including but
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not limited to multiplexes, cinemas, gaming centres, amusement parks, restaurants
and food courts and acquiring of land or building on lease or freehold or any
commercial or industrial or residential building for running and management of
retail business and to acquire flats, offices and retail spaces for carrying on retail
business and to sell them, lease or sublet them and to undertake and execute civil,
mechanical, electrical and structural works contracts and sub contracts in all their
respective branches to carry on retailing business.
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Major Milestones:-
1987: Company incorporated as Men’s Wear Private Limited. Launch of
Pantaloons trouser, India’s first formal trouser brand.
1991: Launch of BARE, the Indian jeans brand.
1992: Initial public offer (IPO) was made in the month of May.
1994: The Pantaloon Shoppe – exclusive menswear store in franchisee format
launched across the nation. The company starts the distribution of branded
garments through multi-brand retail outlets across the nation.
1995: John Miller – Formal shirt brand launched.
1997: Pantaloons – India’s family store launched in Kolkata.
2001: Big Bazaar, ‘Is se sasta aur accha kahi nahin’ - India’s first hypermarket
chain launched.
2002: Food Bazaar, the supermarket chain is launched.
2004: Central – ‘Shop, Eat, Celebrate in the Heart of Our City’ - India’s first
seamless mall is launched in Bangalore.
2005: Fashion Station - the popular fashion chain is launched
ALL – ‘a little larger’ - exclusive stores for plus-size individuals is launched
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2006: Future Capital Holdings, the company’s financial arm launches real estate
funds Kshitij and Horizon and
private equity fund In division.
Plans forays into insurance and
consumer credit.
These are the few famous brands which are available at Pantaloons:
Sr.No PRIVATE LABEL & BRANDS AT STORE.
1 ADIDAS2 AKKRITI3 BARE4 BIBA5 BLACK PANTHER6 CONVERSE7 Dio Rucci8 GANUCHI9 GINI N JONY10 GIOVANI11 HONEY12 INDIAN TERRAIN13 INDIGO NATION14 JEALOUS15 JM SPORT16 JOCKEY17 JOHN MILLER18 LEE19 LEE COOPER20 LEONE21 LILLIPUT22 LOMBARD23 MIX N MATCH24 MONTE CARLO25 URBAN YOGA26 TRISHAA27 AGILE28 REMANIKA29 SHRISHTI30 SCOTSVILLE
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MARKETING MIX:-
Marketers use numerous tools to elicit desired responses from their
target markets. These tools constitute a marketing mix .Marketing mix i s
the se t or market ing tools tha t f i rm uses to pursue its marketing
objectives in the target market.
McCar thy c lass i f ied these tools in to four broad groups that
he called the four Ps of marketing: product, price, place, and promotion.
Product:- The store preparing an offering mix of products, services and
prices, and utilizing a promotion mix of sales promotion, advertising, sales
force, public relations, direct mail, telemarketing, and internet to reach the
trade channels and the target customers.
Price: - A store can change their price according to their
expenditure on advertising and sales promotion.
Place: - A place is matters for profit margin. A store must be open at
crowded & populated.
Promotion: - A product may be promoted by advertising & by using sales
techniques.
These are the four P’s which are followed by these stores. These P’s help
them in increasing their sales margin as well as profit margin. It takes place after
proper determination of market. These P’s are adopted by the Kishore Biyani in
pantaloons and for this he is awarded by many awards.
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These four P’s boost their market & also increase their share value in the
share market and it is one of the most success full departmental stores of India.
ADVERTISING & MARKETING
Advertising is omnipresent. It is everywhere. Advertising is a powerful
tool of business and marketing. But some others say
that advertising manipulates our needs and makes us buy things, which we
do not want. Advertising is considered so powerful that doing business today
without advertising is like looking at a girl in a dark room.
Counter ing c la ims about the powerful persuas ive na ture of adver t i
s ing i s one of the most notor ious sayings in wor ld of advertising;
“I know half the money I spent on advertising in wasted; but I can never find
which half. It always gets return in form of improvement of sale.
Advertising through mass media: - Advertising through television is most effective
advertisement. It attracts consumer attention at a very high speed.
Advertisement through radio: - Advertising through radio is known as oral
advertising. It gives information if new scheme and discount has been allowed in
their stores. Now-a-days it reduces but it also attracts consumer attention.
Advertisement by other different ways: - Advertising also made through internet,
SMS services, and it also sells their product directly through internet and now-a-
days it is one of the most fast selling processes. People buy their product by sitting
at one place. This also increases the pantaloons profit margin.
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SWOT Analysis:-
(Internal Environment Analysis (strengths/weaknesses Analysis)
This is one thing to decide attractive opportunities and another to have the
competencies to succeed in these opportunities. Each business needs to evaluate its
internal strengths and weaknesses periodically. It can do so by using a form like
the one shown in the marketing Memo “Checklist for Performing
Strength/Weaknesses Analysis”. Management—or an outside consultant—reviews
marketing, financial, manufacturing and organizational competencies and rates
each factor as a major strength, minor strength, neutral factor, minor weakness, or
major weakness.
Clearly, the business does not have to correct all its weakness, nor should it
gloat about all its strengths. The big question is whether the business should limit
itself to those opportunities where it might have to acquire or develop certain
strengths.
Sometimes a business does poorly not because its departments lack the
required strengths but because they do not work together as a team. In one major
electronics company, the engineers look down on the salespeople as “engineers
who couldn’t make it”, and the salespeople look down on the service people as
“salespeople who couldn’t make it”. It is therefore critically important to assess
interdepartmental working relationships as part of the internal environmental audit.
This analysis helps in reducing the market risk and increases the sales
margin as well as their profit margin.
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Some of the SWOT Factor of the pantaloons explains below:
Strength: - Brand equity and early mover advantage; Entrepreneur led,
professionally managed by an experienced team; Project execution and operations
capabilities; Vast range of lifestyle and value retail products and services; Strong
distribution and logistics network and supply chain; strong distribution and
logistics network, with our 21 distribution centres covering; and Large base of
customers and Strong focus on systems and processes; Retailing is a "technology-
intensive" industry.
A pantaloon is an excellent branding and high quality image. People buy
product because it possesses branded product and quality product. Teenagers and
young generation are crazy about these branded products.
Weakness:- It face a lot of competition from other different malls, departmental
stores. Some places it has not been able to compete due to its high prices. High
prices limited range their range of customers and it is affordable only by the
middle class and upper class of the society.
Opportunity:-The fickle and design. This is because of the conscious nature of the
target market of young teenagers and adults who like to buy the latest fashions. It
brings out new technology and new product or any new fashion which attracts the
customers. Moving towards the young and adult customers.
Threat: - More number of outlets of competitors available in the surrounding. If the
unorganized retailers are put together, they are parallel to a large supermarket with
no or little overheads, high degree of flexibility in merchandise, display, prices and
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turnover. Shopping Culture: Shopping culture has not developed in India as yet.
Even now malls are just a place to hang around with family and friends and largely
confined to window-shopping.
Financial slow down, consumer choice differs, price wars & more window
shopping.
Marquees
A special type of sign is used to display the name of the store. It is used to
announce a change in season, sale, a special event or a promotion.
Promotion Strategy
Promotion includes all the activities the company undertakes to
communicate and promote its products to the target market. Atlas has to hire, train,
and motivate salespeople. It has to set up communication and promotion programs
consisting of advertising, sales promotion, public relations, and direct and on-line
marketing.
Hoardings:
Pantaloon puts its hoarding at prime locations, featuring the upcoming Fashion
events or its brand ambassadors who are generally eminent celebrity. Category
manager plans promotions / brand or product building schemes. The category
manager identifies slow movers and also disposal plan for the same.
Labour :
The manpower information is useful in knowing the employee capacity, which is
proportional to the production capacity.
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Financial Information:
The financial status of the vendor is useful in knowing the capability of the vendor
to deliver the order, in adverse situations.
Names and Addresses of all Units used for Production
Carrying expenses for the company will decrease, which depends on the vendor
unit location. The criterion of selecting a vendor by the company is equipped with
the information needed for the proper delivering and distribution of the order by
the company.
IT System
IT system at Pantaloon stores is fully centralized; the report of daily sales is being
reported to head office in Germany.
Bar Coding and Scanners:
Point of sale systems use scanners and bar coding to identify an item, use pre-
stored data to calculate the cost and generate the total bill for a client.
Payment:
Payment through credit cards has become quite widespread and this enables a fast
and easy payment process
CRM Systems:
Data warehousing & mining technologies offer consumer data and apply it to
business.
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Product Mix Offered:-
The kind of product mix to be offered by the retailer is another important
consideration. As mentioned earlier the main product line of Pantaloons is men’s
and women’s clothing and other accessories comprising a vigilant mix of private as
well as other labels... Since Pantaloons provides products to a potentially large
number of customers at affordable prices, it falls in the High Turnover - Low
Margin Category
PRODUCT
Spring (designer wear for men
and women)
Men’s occasion wear
Ladies formal Men’s Formal
Ladies ethnic and casuals Men’s Ethnic
Nightwear Denim wear
Infant necessities Active wear, sports
wear
Indo-Western Teen Boys Wear
Kids wear Men’s casuals
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Table:-
Product Category Concepts Status Format/Offerings
Food Brew Bar Operational Beers, snacks and set
meals
Café
Bollywood
Planned Eateries
Chomosa Operational Snack counter in high
traffic area
Food Bazaar Operational Supermarket
Rain Operational Food and beverages
Sport Bar Operational Focused on sports
lovers
Fashion aLL Operational Fashion apparel for
plus-size individual
Big Bazaar Operational Hypermarket
Blue Sky Operational Fashion accessories
Central Operational Seamless malls
Fashion Station Operational Popular fashion
Gini & Jony Operational Kids’ fashion
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Pantaloons Operational Department store
Home &
Electronics
Collection i Operational Home furnishings
Electronics
Bazaar
Operational Present within Big
Bazaar
e-zone Operational Consumer Electronics
Furniture
Bazaar
Operational Home furniture
Got it Planned One stop shop for home
maintenance
Home Town Planned One stop Destination
Telecom & IT Gen M Planned Hi-tech products
M Bazaar Planned Solutions for
knowledge,
entertainment and
communication
M Port Planned Standalone stores/Shop-
in-shop
General
Merchandise
Big Bazaar Operational Hypermarket
Blue Sky Operational Fashion Accessories
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Central Operational Seamless malls
Footwear
Bazaar
Planned Footwear and
accessories
Navarasa Planned N.A.
Pantaloons Operational Department store
Shoe Factory Operational Footwear and
accessories
Leisure &
Entertainment
Bowling Co. Operational Premium family
entertainment center
F 123 Operational For leisure and
entertainment
Wellness &
Beauty
Health Village Planned N.A.
Star Sitara Operational Beauty salon for men
and women
Tulsi Operational Pharmacy
Turmeric Planned ‘Cut-in’ format at Food
Bazaar
Books & Music Depot Operational Books and music
e-tailing Online retailing Operational Futurebazaar.com
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IT System
IT system at Pantaloon stores is fully centralized; the report of daily sales is
being reported to head office in Germany. Pantaloon Retail selected the entire suite
of Connected Retailer solutions to take them into the future of retailing. They
purchased Connected Retailer Store, Merchandising, Planning, Sales Analytics,
and CRM. At the core of their systems is the Connected Retailer Merchandising
Solution, which streamlines operations, unifies asset management, and helps
retailers learn the truth about their business. This powerful retail enterprise solution
features an open-architecture design that provides unprecedented flexibility,
scalability, power, and control merchandising’s centralized transactional database
and support tools enable retailers to make and execute better decisions based on
accurate, current, and shared information. Buying consistent data to guide all
processes, the solution automatically synchronizes and integrates all key functions,
including planning, ordering, pricing, flow, sales, margins, and inventory
management Connected Retailer. Bar Coding and Scanners: Point of sale systems
use scanners and bar coding to identify an item, use pre-stored data to calculate the
cost and generate the total bill for a client.
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Pantaloons Business Strategy
1 Emphasis on backward integration.
2 Expansion of FMCG.
3 Increasing customer satisfaction and Pantaloon base of loyal customers.
4 Continue to upgrade information technology systems and processes.
5 Continue to train employees and seek entrepreneurship from employees.
6 Providing discount to attract the customer attention.
7 It is expanding his business at densely populated area.
8 To understand the concept of lifestyle retailing by the company.
9 Mix-Marketing Strategy adopted.
10 Providing gifts on different type of goods.
11 It adopted FOUR P’s for increasing their sales and profit margin.
12 It should be operated by experienced management team.
13 Increasing sales by providing attractive rate of discount to their customers.
14 There have been weekly offers to customers at a cheaper rate.
15 Recently, pantaloons providing upto 50% of discount on any of their
product.
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16 Future Group shall deliver Everything, Everywhere, Every time for Every
Indian Consumer in the most profitable manner.
ANALYSIS AND INTERPRETATION:
Q1. In a month how many times you visit Pantaloons?
a) Once 7
b) Twice 21
c) Thrice 8
d) More than thrice 25
e) As per requirement 37
INTERPRETATION:
Out of 100 respondent, 37% people visit the store when they have
some requirement and 25% are visited more than thrice, 23% visited two
times in month and 7% & 8% people visited one and three times in a
month respectively. Most of them regularly visit Pantaloons.
Q2. Your shopping experience in Pantaloons is always!
a) Outstanding 11
b) Excellent 19
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c) Good 26
d) Average 42
e) Bad 2
INTERPRETATION:
Out of 100 respondent, 26% people has good shopping experience in
Pantaloons,42% has average and 19% people has excellent. But 11% has
outstanding shopping experience and 2% has bad shopping experience.
Q3. Discounts and offers served in Pantaloons is !
a) Outstanding 7
b) Excellent 32
c) Good 36
d) Average 23
e) Bad 2
INTERPRETATION:
Out of 100 respondents, Discounts and offers served in big bazaar is
good said by 36% customers, 32% feel it is excellent and only 7% feel
outstanding. But 25% customers are not satisfied by Discounts and offers
served in the Pantaloons. Maximum Customers are satisfied by
Discounts and offers served in the Pantaloons.
Q4. How do you feel about sales persons and promoters?
a) Outstanding 4
b) Excellent 21
c) Good 49
d) Average 23
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e) Bad 3
INTERPRETATION:
74% of the respondents are satisfied by the sales persons and
promoters in the store rest 26% respondents are not satisfied by the sales
persons and promoters in the store. Sales persons and promoters behave
well with customer.
Q5. Are you satisfied with the billing facility at the store?
a) YES 85
b) NO 15
INTERPRETATION:
85% of the respondents are satisfied by the billing facility in the store,
rest 15 % are not satisfied. Some customer is not satisfied by billing
facility.
FINDING AND SUGGESTIONS:
1. Generally youth and women are the main customers at Pantaloons.
2. Electronic media has a great impact on customers. Electronic media
help in making people aware about new products and offers
3. The availability of all products under one roof of GM and nearby
their house helps customer to shop weekly and shop fresh every time.
4. Mega events like great Indian shopping festival has great impact in
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attracting customer to purchase more and more.
5. Customer are more attracted toward discount and offer including
gift.
6. Signage and display helps in attracting customer to purchase more
and more.
7. Offers and promotional scheme helps in add on sales.
SUGGESTION
1. General merchandise constitute number of departments so cash
counter should be added up in the section to reduce problem of billing.
2. Queue process management should be made good.
3. During weekend customer often feel problem of trolley’s so trolley
should be properly managed to get rid of trolley problem.
4. Damaged product should be replaced because it gives bad impact to
other product kept on the shelf.
5. Pantaloons should include more of branded products in its product
Category so as to attract the brand choosy people to come in to
Pantaloons.
6. Employee should be given training time to time. The service of the
Sales person is needed to be improved. Personal care should be taken
by the sales person for the customers so that the customers feel good.
7. It was observed most of the customers were not aware about the
offer and scheme going in the store .so proper communication should
be made to make customer aware about the offer and discount.
8. Customer often face problem of unavailability of product like shoes,
folder, different size of pressure cooker etc. so product should be made
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available in stock so that customer should not face problem of stock
out.
Conclusion:-
A pantaloon is the best bet in retail. The store has been well maintained in
accordance with the latest demands of the customers. The organization must strive
for the development of new formats to facilitate a better shopping environment for
its customers. It can be undoubtedly stated the company has well planned retail
strategies currently but these must be updated with the continuously changing
environment so that it can sustain the competitive advantage.
The underlying principle of market segmentation is that the product and
Services needs of individual customers differ. Market segmentation involves the
grouping of customers together with the aim of better satisfying their needs whilst
maintaining economies of scale. It consists of three stages and if properly executed
should deliver more satisfy Customers, few direct confrontations with competitors,
and better Designed marketing programmes. It holds a large customer base and it
seemed from the study that the customers are quite satisfied with Pantaloons.
Brands like ADIDAS, JOHN MILLER, and LILIPUT are offered at discount and
reasonable price.
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The majority of customers belong to middle class family. The youth
generation also likes shopping and moving around Pantaloons. Volume sales
always take place in Pantaloons. Impulse buying behaviour of customers comes in
to play most of the times in Pantaloons.
Discount and scheme decision are taken by the headquarters and new
product is added time to time by the direction of category management. They
manage their merchandise in such a way that must be accepted by customer.