Project on Summer Trng.(Aijaz Ah Dar)

8/8/2019 Project on Summer Trng.(Aijaz Ah Dar)

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Report on summer training

Catchment area analysis and

Customer profiling

Submitted byAijaz Ahmad DarReg.No:10905331

Submitted In partial fulfilment of the requirements ofLovely Professional University for the award of the degree of

Master of Business Administration

Academic year 2009-2011
http://en.wikipedia.org/wiki/File:BigBazaarLogo.PNG


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PREFACE

Every study needs a research to analyze the problem, and thus working on its improvement is

needed. The research provides an opportunity to a student to demonstrate application of his/her

knowledge ,skills and competence required during the technical session.

My topic for research is Catchment area analysis and customer

profiling

The research helps me to devote my skills to analyze the problem and to work upon it and look

to suggest the alternative solutions. Further on evaluating it using theoretical and analytical

approach , it helps me to prepare feasible recommendations on the provided data .

I tried my level best to prepare this report error free and without any contamination. Every effort

has been made to offer the accuracy .


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DECLARATION

This is to certify that I , Aijaz Ahmad Dar ,have personally worked on this project

Regarding catchment area analysis and customer profiling The data mentioned in this report

was obtained during the work done by me under the stewardship and supervision of my training

guide /trainer Mr. Hanish Batra Marketing Manager Big Bazaar Jalandhar..

In preparing this project we had taken assistance of various books, magazines and websites on

the subject which are enumerated at the lowest ebb of this project.

Aijaz Ahmad/


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ACKNOWLEDGEMENT

With immense regard and respect in the honour of the Big Bazaar, I am very grateful to

this organization for providing me an opportunity to perform my summer training project .

Today Big Bazaar stands for its brand name in the hearts of the people of Jalandhar

(Punjab) and I was fortunate to be the part of the organization for at least six weeks.

I am highly grateful to Mr. Hanish Batra, Marketing Manager, for the trust he has shown in me

by allowing me to join his team.

Further I would like to express my gratitude and indebtness towards Mr.Sanjay Choudhary, The

store manager for his suggestions and advices in dealing with the customers.

My heartful thanks to Mr Atul Sharma The Assistant store manager, Mr.Avinash Soni (D.M)

Miss. Shewta Sharma (HR Manager) Mr.Sandeep (D.M) Mr. Kaniya (V.M) and many other

executives in the organization who directly or indirectly helped me a lot.

Cordial environment in the organization lead to boost my morale which proved to be my driving

force for not only working efficiently for my organization but also for the completion of my

project.


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Table of contents:

Sr.No Title Page No

1 INTRODUCTION TO RETAIL INDUSTRY 6

2 EVALUATION OF ORGANISED RETAILING 7

3 FACTORS AFFECTING RETAILING IN INDIA 9

4 COMPANY PROFILE OF BIG BAZAAR 11

5 MISSION AND VISION OF BIG BAZAAR 14

6 SWOT ANALYSIS 15

7 LITERATRE REVIEW 16

7 RESEARCH METHODLOGY 16

8 DETAILS OF RESEARCH 17

9 ANALYSIS AND INTERPRETATION 18

10 RECOMMENDATIONS AND LIMITATIONS 36-37

11 PROJECT PART II COMPARISON BETWEEN BIG BAZAAR AND

VISHAL MEGA MART

38

12 RESEARCH METHODLOGY 39

13 ANALYSIS AND INTERPRETATION 40

14 COMPARISON BETWEEN EASYDAY AND BIG BAZAAR 50

15 DATA ANALYSIS 52

16 COMPARISON BETWEEN EASYDAY CONVIENENCE STORES AND

BIG BAZAAR

60

17 DETAILS OF RESEARCH 61


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18 DATA ANALYSIS 62

19 ANNEXURE-I 72

20 ANNEXRE-II 74

21 ANNEXURE-III 76

22 SNAPSHOTS 78

23 ABBRIVATIONS 80

24 BIBLIOGRAPHY AND REFRENCES 82

INTRODUCTION TO RETAIL INDUSTRY

Retail is Indias largest industry, accounting for over 10 per cent of the countrys GDP and

around eight per cent of the employment. Retail industry in India is at the crossroads. It hasemerged as one of the most dynamic and fast paced industries with several players entering the

market. But because of the heavy initial investments required, break even is difficult to achieve

and many of these players have not tasted success so far. However, the future is promising; the

market is growing, government policies are becoming more favourable and emerging

technologies are facilitating operations. Retailing in India is gradually inching its way toward

becoming the next boom industry. The whole concept of shopping has altered in terms of format

and consumer buying behaviour, ushering in a revolution in shopping in India. Modern retail has

entered India as seen in

Sprawling shopping centres, multi-storied malls and huge complexes offer shopping,entertainment and food all under one roof. The Indian retailing sector is at an inflexion point

where the growth of organized retailing and growth in the consumption by the Indian population

is going to take a higher growth trajectory.


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The Indian population is witnessing a significant change in its demographics. A large young

working population with median age of 24 years, nuclear families in urban areas, along with

increasing working-women population and emerging opportunities in the services sector are

going to be the key growth drivers of the organized retail sector in India.

Retailing is the final step in the distribution of merchandise - the last link in the Supply Chain -

connecting the bulk producers of commodities to the final consumers. Retailing covers diverse

products such as foot apparels, consumer goods, financial services and leisure.

A retailer, typically, is someone who does not effect any significant change in the product execs

breaking the bulk. He/ She are also the final stock point who makes products or services

available to the consumer whenever require. Hence, the value proposition a retailer offers to a

consumer is easy availabilities of the desired product in the desired sizes at the desired times.

In the developed countries, the retail industry has developed into a full-fledged industry wheremore than three-fourths of the total retail trade is done by the organized sector. Huge retail

chains like Wal-Mart, Carr four Group, Sears, K-Mart, McDonalds, etc. have now replaced the

individual small stores. Large retail formats, with high quality ambiance and courteous.

Retailing is the interface between the producer and the individual consumer buying for personal

consumption. This excludes direct interface between the manufacturer and institutional buyers

such as the government and other bulk customers. A retailer is one who stocks the producers

goods and is involved in the act of selling it to the individual consumer, at a margin of profit. As

Such, retailing is the last link that connects the individual consumer with the manufacturing and

distribution chain.

Retailing is more than selling goods:

Retailing consists of the sale of goods or merchandise, from a fixed location such as a

department store or kiosk, in small or individual lots for direct consumption by the purchaser.

Retailing is a well recognized business function which compromises making available desired

product in the desired quantity at the desired time. This creates a time, place and form utility for

the consumer. The success of retailing is highly dependent on an efficient supply chain

management. A well-developed supply chain reduces wastages and transaction cost thereby

reducing the cost of inventories to be maintained by the producers and the traders. A reduction in

the cost of inventory management leads to a reduction in the final price to the consumer.


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Retailing has been identified as a thrust area for promotion of textiles, processed foods,

agricultural and horticultural produce. Retail Sector can be divided into organized and

unorganized sectors.

Evaluation of Organized Retailing:

American mass retailing began in the late 1800s with Montgomery Ward marketing its products

through general merchandise mail order catalogs, which was very effective at that time for

reaching a largely rural society.

In the 1940s, the population began its movement to the suburbs as the economy shifted from an

agricultural base to an industrialized nation. The first shopping center was opened, which would

eventually be a significant factor in the decline of downtown Retailing in the 1960s and 70s. JC

Penney and Sears began their national mass retailing expansion, and the use of credit cards as

Major retail chains began.

The 1950s witnessed the reaffirmation of the traditional family. The first planned mall and

franchised food restaurant opened. As people continued to flock to the suburbs, the downtown

areas began to decline. Larger suburban malls were created and anchored by traditional

downtown department store merchants. Freeways were expanded and the sales of private

automobiles grew, giving the consumer a wider accessible area in which to shop. Discounters

were born, Korvetta being one of the firsts.

The 1960s witnessed the growth of enclosed shopping centres, with department stores anchors

and specialty retail chains. The baby boomers were teenagers at this point, leading to the growth

of juniors-oriented stores and vendors. Women became targets not just as mothers or wives as

they entered the workforce and consumers became more demanding in their expectation of

quality and service.

In the 1970s, promotional pricing started to pick up the department stores as off-price retailer

emerged. The growth of retail space slowed, as sales increase came at the expense of

competition, not of market growth. This competitive market led to the underperformance of

several retailers as gross margins experienced downtown pressure from increased competition.


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Retailers in large upscale markets recognized the time shortage created by dual-career families

and began to offer more services to assist in saving time.

The 1980s witnessed the growth of off price retailing as a distinct, enduring retail format.

Retailers began to drop low profit lines. Acquisitions and mergers were actively utilized asgrowth strategies, private brands were redeveloped to enhance uniqueness and margins and

offshore sourcing was developed to compensate for margins

Broadly the organized retail sector can be divided into two segments, In-Store Retailers, who

operate fixed point-of-sale locations, located and designed to attract a high volume of walk-in

customers, and the non-store retailers, who reach out to the customers at their homes or offices.

It was only in the year 2000 that the economists put a figure to it: Rs.400, 000crore (1crore = 10

million) which is expected to develop to around Rs.800, 000crore by the year 2005 an annual

increase of 20 per cent. Retailing in India is unorganized with poor supply chain management

perspective. According to a recent survey by some of the retail consulting bodies, an

overwhelming proportion of the Rs.400, 000crore retail markets are UNORGANISED. In fact,

only a Rs. 20,000crore segment of the market is organized. As much as 96 per cent of the 5

million-plus outlets are smaller than 500 square feet area. This means that India per capita

retailing space is about 2 square feet (compared to 16 square feet in the United States). India's

per capita retailing space is thus the lowest in the world (source: KSA Technopak (I) Pvt Ltd, the

India operation of the US-based Kurt Salmon Associates).

Currently the retail landscape is filled with Supermarket chains with over 9000 outlets all over

the country to increase to around 15000 by the 2015. The success of a couple of hyper marts

indicating the evolution of hypermarkets in the country prominent among them is Giant, Metro,

Big Bazaar models. While the average bill value at a supermarket is in the range of Rs.300 per

bill, the average bill amount at a Hypermarket is in the range of Rs.750-1000, indicating that the

model is in tune with the global models where the average spend is increasing with the shopping

experience.

Factors Affecting Retailing in India:


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Company profile of Big Bazaar:

"We have a store opening virtually every fortnight; I have lost

count now of how many I have opened.

(Kishore Biyani)

Big Bazaar is both big and a bazaar. It is unlike, say, a Wal-Mart or even a Food world. Big

Bazaar is almost an air-conditioned version of any Indian bazaar. It is a slightly orderly and

organized version of, say Chick pet for Bangalore guys or Dadar for Mumbaiites. There is a hugecrowd which can move in almost any direction. You can buy anything (pretty much everything is

available at Big Bazaar). It is not a place where you can browse through at leisure and pick up a

few things here and there. This is a place if you are serious about your shopping. And the worst


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part is at the checkout counter, where the line can stretch as much as a line for a famous Ganpati

Pandal or a cricket match. Parking is a pain too.

But, the place ticks. In Hyderabad, Bangalore, NCR regions etc the outlets dont have a place for

customers to stand esp. on weekends. Customers wait outside it some before it opens in themorning. Bombay is slightly better. Big Bazaar offers good prices-Really good prices. Prices that

tempt. Apart from simple price chopping, there are deals (2 for the price of 1 or prices reduced

on a combination etc). The perception of Big Bazaar is that it facilitates some serious savings on

grocery shopping. And it works. And make no mistake; it attracts the well heeled as much as it

attracts Raju from across the street. That has worked for Big Bazaar is that it has been able to

connect with the customers in the right manner. They had filled a need gap which was there in

the market. Apart from that, their competence in providing products at lowest prices and great

quality in an ambience much better than what the customers were used to, has also contributed to

their success.

The focus is on continuing to provide very high value for money to customers by providing

exciting offers throughout the year. It will be facilitated by constantly working on its buying and

supply chain efficiencies. Having already achieved economies of scale and size, they intend to

better their gains by opening new stores regularly.

One of the key philosophies of Mr Kishore Biyani that is highly followed is Rewrite rules,

retain values. In essence, it means they dont take anything as fixed. They are constantly on the

lookout for finding new ways and means to improve the current state of affairs. Thus, innovation

is a very important aspect of their working strategy. The other very important philosophy is that

of Indianness. All their concepts and formats as well as the way they go about things are very

Indian. The way Big Bazaar is designed and the way the whole concept has developed reflects a

sense of Indianness.

This is a well articulated print advertisement campaign for Big Bazaar to highlight their unique

marketing strength, extreme low price. However, even before this idea has been exercised to

highlight a product by placing it in a stark different environment. Nevertheless, this


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advertisement campaign is very well crafted out. Further, the ad is not at all confusing and it

straight way conveys the message without losing focus.

Pantaloon Retail (India) Limited, is India's leading retail company with presence across multiple

lines of businesses. The company owns and manages multiple retail formats that cater to a wide

cross-section of the Indian society and is able to capture almost the entire consumption basket of

the Indian consumer. Headquartered in Mumbai (Bombay), the company operates through 4

million square feet of retail space, has over 140 stores across 32 cities in India and employs over

14,000 people. The company registered a turnover of Rs 2019 crore for FY 2005-06.

Pantaloon Retail forayed into modern retail in 1997 with the launching of fashion retail chain,

Pantaloons in Kolkata. In 2001, it launched Big Bazaar, a hypermarket chain that combines the

look and feel of Indian bazaars, with aspects of modern retail, like choice, convenience andhygiene. This was followed by Food Bazaar, food and grocery chain and launch Central, a first

of its kind seamless mall located in the heart of major Indian cities. Some of its other formats

include, Collection i (home improvement products), E-Zone (consumer electronics), Depot

(books, music, gifts and stationary), all (fashion apparel for plus-size individuals), Shoe Factory

(footwear) and Blue Sky (fashion accessories). It has recently launched its e retailing venture,

The group's subsidiary companies include, Home Solutions Retail India Ltd, Pantaloon

Industries Ltd, Galaxy Entertainment and Indus League Clothing. The group also has jointventure companies with a number of partners including French retailer Etam group, Lee Cooper,

Manipal Healthcare, Talwalkar's, Gini & Jony and Liberty Shoes. Planet Retail, a group

company owns the franchisee of international brands like Marks & Spencer, Debenhams, Next

and Guess in India.

The group's subsidiary companies include, Home Solutions Retail India Ltd, Pantaloon

Industries Ltd, Galaxy Entertainment and Indus League Clothing. The group also has joint

venture companies with a number of partners including French retailer Etam group, Lee Cooper,

Manipal Healthcare, Talwalkar's, Gini & Jony and Liberty Shoes. Planet Retail, a group

company owns the franchisee of international brands like Marks & Spencer, Debenhams, Next

and Guess in India.


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Big Bazaar is not just another hypermarket. It caters to every need of your family. Where Big

Bazaar scores over other stores is its value for money proposition for the Indian customers. At

Big Bazaar, you will definitely get the best products at the best prices -- thats what we

guarantee. With the ever increasing array of private labels, it has opened the doors into the world

of fashion and general merchandise including home furnishings, utensils, crockery, cutlery,

sports goods and much more at prices that will surprise you. And this is just the beginning. Big

Bazaar plans to add much more to complete your shopping experience.

Mission & Vision of the Organization

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.

We will be the trendsetters in evolving delivery formats, creating retail realty, making

consumption affordable for all customer segments for classes and for masses.

We shall infuse Indian brands with confidence and renewed ambition.

We shall be efficient, cost- conscious and committed to quality in whatever we did.

We shall ensure that our positive attitude, sincerity, humility and united determination shall be

the driving force to make us successful.


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CORE VALUES

Indianess: confidence in ourselves.

Leadership: to be a leader, both in thought and business.

Respect & Humility: to respect every individual and be humble in our conduct.

Introspection: leading to purposeful thinking.

Openness: to be open and receptive to new ideas, knowledge and information.

Valuing and Nurturing Relationships: to build long term relationships.

Simplicity & Positivity: Simplicity and positivity in our thought, business and action.

Adaptability: to be flexible and adaptable, to meet challenges.

Flow: to respect and understand the universal laws of nature

SWOT Analysis:

Strengths:

1. In Big Bazaar we can get a large variety of goods under one roof.

2. Here good quality goods are available at reasonable prices.

3. A large percentage of customers come from the growing Indian middle class.

4. It has a good security system.

5. Good brand image.

Weakness:

1.Specific items are not consistently available

2. Low incentives are provided to the sales executives.


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3. Big Bazaar is not an MNC.

Opportunities:

1 .There remains a large future scope for the retail industry in India, as incomes rise and

consumption increases

2.The opportunity for widening the business all over India because Big Bazaar opens new stores

in untapped markets, such as smaller or second tier cities such as Ludhiana, Belgaum and

Jalandhar.

3.To gain maximum market share, so that competitors can be confronted.

Threats

1. Competition from current Indian retail companies like Shoppers Stop, Trent, Lifestyle, Easy

day and Vishal retail ltd

2. Possible future competition from international retail companies like Wal-Mart, Carrefour,

target etc.

3 .High taxes in India suppress consumption, smaller specialty shops and informal shops are

sometimes able to avoid taxes, offering lower total prices to customers. Even because they are

not earning that much of profits compare to these big companies and they are not paying the

taxes.

Literature review: (Sales review)

Big Bazaar review in india

There was a time not so long ago that large department stores were a completely foreign concept

in India -- but not anymore. The Big Bazaar is one such department store to have set up shop


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across the country. Since its first outlet opened in Kolkata in late 2001, the Big Bazaar has

spread to towns and cities at an alarming rate.

These multi-level shopping Meccas stock everything from food to fridges, and cookware to

clothes. However, the Big Bazaar isn't your ordinary department store. It's been especially

designed to appeal to the Indian consumer. You may be thinking, what does that mean? In short,

organized chaos.

With a slogan of"Is se sasta aur accha kahin nahi!" ("Nowhere cheaper or better than this!"),

the Big Bazaar targets itself directly at the average Indian's love of following the crowd and

scrambling for a good discount.

You won't find neatly ordered aisles at the Big Bazaar. Instead, stores are laid out to replicate a

market environment, with items all thrown in together. Promotions such as "Sabse Saste Teen

Din" (Cheapest Three Days) and "Purana Do, Naya Lo" (Give Old, Take New) result in

shoppers flooding the stores, to the point that some stores have become so overcrowded they've

had to close.

If you visit the Big Bazaar in the daytime during the week, it is possible to have a deceptively

pleasant and hassle free shopping experience.

However, don't make the mistake of going there during a sale, on holidays, evenings, or on

Sunday. When I did this, I had to wait for almost an hour just to be served at the checkout.

Forget about getting the all items I wanted, I was happy to get out of there in one piece!

I've also found that the full price is all too often charged on sale items, so do check your receipt

to make sure that discounts have been properly recorded.

Big Bazaar expects 20% surge in I-Day sale

Big Bazaar's five-day Independence Day sale has done quite well' across all its formats,

according to sources in the company.

Overall we have done well, contrary to the fear of impact of inflation and consumers not

spending. For instance, on the last day (August 15), these two formats (Big Bazaar and Food

Bazaar) recorded sales of over Rs 100 crore,


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Big Bazaar expected a 20 per cent hike in Mahabachat sales over the same period last year

and closed with sales of Rs 300-400 crore.

This is the fifth edition of Mahabachat', a five-day annual shopping event across 210 stores of

Big Bazaar and Food Bazaar.

Big bazaar maha bacchat 2010

Big Bazaar has come up with the greatest savings of this year. Starting from 11th August, the

fight against price rise led by Big Bazaar will continue up to 15th August, 2010. All the Big

Bazaar stores across India seem to be glorifying in this Maha Bachat season.

You can also avail the Maha Bachat Sale online at www.bigbazaar.com. Even shopping

through SMS can be done. Send BB MB to 53636 or Call at 1800-209-2255 to avail theiroffers.

Some exclusive offers include 81 cm LCD TV at Rs. 19,990 and 20% off on Mobile Phones.

You can also get huge benefits at Food Bazaar.

Laptops are available from Rs. 14,990 compared to the normal Rs. 17,990 Market Price.

Whether it be Electronics goods, Food Stuffs, Fashion, Mobiles, Home Needs or Furniture, Big

Bazaar does not leave any section out of this Maha Bachat Sale.

So, get ready for those 5 Days. You would never like to miss those goodies, at such cheap prices.

And for me, I would never like to miss 2 Cold Drinks for the Price of one.

(Source:Tarangnabusines.com)

Research Methodology:

Objective of the research:

To analyse the catchment area of Big Bazaar.

Secondary objectives:


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1. To find out the retail scenario in Jalandhar by analysing the family income, family size,

profession, monthly shopping amount of customers.

2. To analyse the competitors of Big Bazaar i.e Vishal mega mart and Easyday in Jalandhar.

3. To analyse the customer who is coming to Big Bazaar.

Research Design

DESCRIPTIVE RESEARCH:- Descriptive research includes surveys and facts findings

enquiries of different kinds. The major purpose of Descriptive research is the description of the

state of affairs, as it exists at present. It provides the data about the population or universe being

studied. Descriptive research is used when the objective is to provide a systematic description

that is as factual as accurate possible. In this project we have analysed the catchment area of big

Bazaar and comparison of Big Bazaar with its competitors. Therefore my research is descriptive.

Details of research:

Method Used: Survey method

Type Of survey: Interview

Instrument used: Questionnaire


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Sample size: 521(In store) and 475 (out of the store)

Data used: Both Primary & Secondary

SAMPLE AREA:- Since the research is on Retail Industry so the sample area thatis covered is as follows-

AREA: In store customers.

SAMPLE DESIGN:- Simple random method

SOURCES OF DATA COLLECTION:- Data collected in this project is

collected from primary source which is as follows-

PRIMARY DATA: - Interview, Questionnaire

SECONDARY DATA: - Internet, Magazines, Books, News Paper etc

Analysis and interpretation


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Data analysis is the most indispensible and critical part of research. Data analyses were done by

the help of statistical tools so that discrepancies could be eliminated. The data was condensed

into manageable groups and tables for further analysis. The in store data interpretation of

catchment area analysis and customer profiling reveals the following results:-

1. Customers coming to Big Bazaar where from:-

Finding: - 58% customers are coming from Jalandhar as compared to the 13% from Phagwara

which is just 8kms away from the store.

14% customers coming to the store are from the rest of Punjab. These customers include the

roadway crowd presenting the feasibility of our location as our store is situated on the mainnational highway no 1, also known as Grand trunk road.

13% from Phagwara is concern for us, for this purpose we need to enhance our promotional

activity in Phagwara, so that we can receive maximum percentage from this area.

2. Age group of people coming to Big Bazaar:-


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2 6 t o 32 3 %

3 1 t o 3

1 6 %

3 6 t o 4

1 1 %

4 1 t o 5

6 %

> 5 0

4 %

1 8 t o 2

3 9 %

N /

1 %

1 8 t o 2

2 6 t o 3 03 1 t o 3

3 6 t o 4 0

4 1 t o 5 0

> 5 0 y r s

N / A

Interpretation:-

39% people coming to Big Bazaar are falling in 18 to 25 year age group. This is because of

Indias largest university (LPU) which is just 3-4 kms away from store.

70% customers coming to the store are falling in 18 to 35 year age group.

3 . Family size of customers.


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F a m i l y

3 t o

3 9 %

5 t o

4 4 %

83 %

n a

3 %< 2

3 %

> 8

3 %

7

5 %< 2

3 t o

5 t o

7

8

> 8

n a

Interpretation:-

Average family size of customers who were part of our survey comes out to be 4 to 5 memebers.

Only 3% customers were having 8 members in their family.


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4. Profession of respondents:-

P r o f e s s i

B u s i n e

3 5 %

P r i v a t e

2 2 %

S t u d e

2 1 %

G o v t J

1 2 %

H o u s e W

5 %

F a r m

1 %

D e f e n

2 %

T e a c h

1 %

N / A

1 %

B u s i n e s

P r i v a t e

S t u d e n t

G o v t J o

H o u s e

F a r m e r

D e f e n s

T e a c h e

N / A

Interpretation:-

35% respondents are doing business, and only 12% are doing Govt.job but 21% are students

which are not our permanent customers so maintaining this part of pie is foreboding for us.


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5. Four wheeler ownership status of customers:-

4 W h e e l e r s O w n e r s h

D o n o t

a c a r

1 8 %

m o r e t h

c a r s

6 %

1 c a

6 2 %

2 c a

9 %

n a

5 %

m o r e t h a n

2 c a r s

1 c a r

D o n o t o w

n a

Interpretation:-

Only 18% customers do not own a four wheeler, while as 75% customers own four wheeler. We

need to lower our parking fee and also we should keep our prices changing so that we can attract

these 75% customers and we can make them as our permanent customers.


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7. Two wheeler ownership status:-

2 W h e e l e r s O w

1

4 6 %

D o n o t o w n

2 w h e e l e r

2 4 %

n a

1 1 %

m o r e t h a n

4 % 2

1 5 %

m o r e t h a n 2

2

1

D o n o t o w n a 2 w h

n a

Interpretation:-

24% customers do not own a two wheeler. While as 65% had.


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8.House either own or rented:-

H o u s e T

O w

R e n t

9 %

N /

1 %

O w n

R e n t e

N / A

Interpretation:-

91% customers are the owners of their house. And only 9% coming to the store were living here

on rent basis.


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9. Qualification of respondents:-

Q u a l i f i c a t

1 2 t

2 9 %

G r a

3 7 %

E r6 %

M B

8 %

M B B

2 %

P G

1 3

N /

2 %

1 2 t h

G r a d

E r .

M B A

M B B

P G

N A

Interpretation:-

We should use print media for our sales promotion as 95% customers are literate.


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10. Family income of customers:-

F a m i l y I n c

< 1 0

5 %

1 0 k t o

2 4 %

3 0 k t o

1 5 %

4 0 k t o

6 %

> 5 0

5 %

N / A

1 9 %

2 0 k t o

2 6 %

< 1 0 k

1 0 k t o 2

2 0 k t o 3

3 0 k t o 4

4 0 k t o 5

> 5 0 k

N / A

Interpretation:-

Average family income of customers is 20K to 30K.


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12. Mode of conveyance used to reach the store:-

M o d e O f C o n v e y a n c e u s e d t o r

T w o

w h e e l e

2 0 %

4 W h e e l

6 9 %

P u b l i c

T r a n s p

1 0 %

N / A

1 %

T w o w h e e

4 W h e e l e r

P u b l i c T r a

N / A

Interpretation:-

10% customers are coming here by public transport.

69% are coming here by 4 wheelers i.e by their own vehicles. This gives us profile of the

customer who is coming to our store.


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This figure also indicates that our main customers are middle upper class people.

13. Customer visited the store with:-

G r o u p T y

F a m i

6 3 %

F r i e n d

3 3 %

N / A

0 %

A l o n

4 %

F a m i l

F r i e n

A l o n e

N / A

Interpretation:-


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63 % customers are coming here with their family.

Only 4% customers are coming here alone.

Therefore we should increase the variety of home ware which includes kitchen ware, so that we

can make them as our permanent customers and also we should provide them offers on these

products timely.

13. No of members in a group who visit the store:


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G r o u p S

< 2

4 0 %

3 - -

3 9 %

> 59 %

N / A

1 2 %

< 2

3 - -

> 5

N /

Interpretation:-

Average group size of customers is 3 to 4 .

14. Frequency of visit or how many times you visited Big Bazaar Jalandhar

before:-


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F r e q u e n c y o

F i r s t V i

5 4 %

R e p e

V i s i t

4 4 %

N / A

2 %

F i r s t V

R e p e a

V i s i t

N / A

Interpretation:-

44% responded that we are again either second time or third time to Big Bazaar; it indicates the

trust shown by the customers on the image of store. that is because of the brand image of big

bazaar and punch line iss se sasta aur achha kahin nahi which is building customer loyalty.

14. You shop your monthly grocery at:-


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M o n t h l y S h o

E a s y d2 7 %

K i r a n

4 0 %

R e l i a n

f r e s h

4 %

V i s h a l M

M a r t

1 8 %

M o r

2 %

N / A

8 %

C S D

C a n t e

1 %

C S D C a n t e e

E a s y d a y

K i r a n a

R e l i a n c e f r e

V i s h a l M e g a

M o r e

N / A

Interpretation:-

Still kirana is the main shopping place for Indian customers, as 40% customers shop at kirana

stores. This is because of the unorganised which is highly organised in the minds of customers

because of its proximity, credit facilities etc customers are going towards these stores.

27% customers shop monthly grocery at easy day, the chief competitor of our store.

Only 18% customers are going towards the first entrant in Jalandhar the vishal mega mart dying

for its survival.


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16. Have you been to easy day (Vasal tower) Jalandhar?

H a v e y o u b e e n t o E a s y D a

n o

4 3 %

y e s

5 4 %

n a3 %

n o

y e s

n a

Interpretation:-

54% customers had been to easy day.

Easy day is our chief competitor; we need to keep watch on the activities and strategies used by

easy day for sales promotion.

18. Comparison between Big Bazaar and easy day:

Easy day is better Big Bazaar is better Both are same Not answered

Attributes

Prices 35% 24% 34% 7%

Product quality 11% 38% 44% 7%

Service quality 8% 56% 32% 4%

Staff behaviour 7% 57% 29% 7%


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Staff knowledge 8% 49% 32% 4%

Store ambience 6% 63% 24% 7%

Ease of shopping 7% 64% 19% 10%Overall shopping

experiences

5% 74% 11% 9%

Interpretation:-

35% customers are saying that Easy day is better in terms of price as compared to 24% in Big

Bazaar.

In all other attributes like product quality, service quality, staff behaviour, staff knowledge, store

ambience, ease of shopping, overall shopping experience Big Bazaar leads the table.

We should maintain this and also we should keep our prices equivalent to easy day.


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Recommendations and limitations

1. Increase the variety of apparels.

2. Introduce some branded apparels as 70% people coming to our store are in 18 to 35 year

age group.

3. Increase the variety of products in every section excluding food bazaar of big bazaar,

4. Attract low level customers by providing them certain benefits like by keeping products

of lower price not lower quality,

5. Keep employees motivated, so that they can put their 100% .

6. Install magazine stall inside the store, near exit.

7. We should keep books like novels, stories, rhymes etc in our store.

8. We should keep laptops and desktops in our store.

10. Maintain proper display to create impulse. (It is assumed that near about 70% sales comes

from impulse marketing and if proper display is not maintained impulse cannot be created).

11. Some English training for the sales executives would help them to deliver services to

English speaking customers, like NRIs

12. Promote your private labels.

13. Keep your own coffee shop in store.

14. Trim down the parking fee, as our store is located outside of city so customers coming to

store are spending near about 100 Rupees on petrol and diesel ,and he has to pay extra money in

terms of parking fee. Second case is that our competitor Easy day being in the heart of city is

charging just 5 Rs, therefore we need to do the same.


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Limitations of research:

Time was the major constraint, which prevented me to put in more effort.

Some of the respondents were not ready to fill the questionnaire.

Not all the respondents were cooperative thus it was difficult to convince them for filling up

the questionnaire.

Some of the respondents might have got biased while filling up the questionnaire.

The respondents are free from all barriers so he/she can give his/her opinion

which may not be true in many occasions. We made our best efforts in conducting the

research but might have lacked somewhere because of lack of expertise in conducting such

survey based researches.


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Project Part ii

(Retail Scenario in Jalandhar)

Comparison between

Big Bazaar and Vishal Mega Mart

(Jalandhar)


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Research Methodology:-

Data collection:

The method of data collection is same as above, but here in Vishal the Data was

collec ted outs ide the s tore , customers who were coming out a ft er purchase

where asked to provide feedback.

Details of research

Sample size: 118




Survey area: Vishal mega mart (BMC Chowk) & Vishal mega

mart (Model house) Jalandhar


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Analysis and interpretation

Same numerical tools where used for data compiling and execution. The results

found where as follows:

Q.No:1:-Age group of customer:

Interpretation:

Same results were found also in Vishal as 75% customers are fal l ing in 18 to 35

year age group, providing us the percentage of young generation attracted by the

organised retai l ing, therefore we need to provide them every type of benef i t

which is soothing there day to day l ife in terms of products and services as theyare our future customers.

1. Address of customer (c ity): -


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Interpretation:

91% customers are residing in Jalandhar city

Only 4% customers coming to Vishal mega mart a re coming f rom Outs ide

Jalandhar i.e from Hosharpur, Nawashera, kuparthal etc.

Only 1% customers are coming from Phagwara which is just 16 km away from

Vishal mega mart Jalandhar.

2. Family size of customers :

Interpretation:

Average family size of customers is 4-5 members.

3. Profession Of customers:

Interpretation:


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Only 14% students are coming to Vishal mega mart as compared to 21% in Big

Bazaar.

11% government service people are coming to vishal , and 31% customers are

doing private jobs.

4. Qualification of customers:

Interpretation:

Nearly 95% customers are literate. The percentage is same with the Big Bazaar.

6. Generally, how much amount do you spend on grocery every

month?

Interpretation:-

58% customers spend 2000 -5000 rupees on grocery per month.

14% customers spend below 2000 rupees per month on grocery.

19% customers could not answer this question because they were not sure about

the exact amount.


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6. Where do you buy your monthly grocery from:

Interpretation:

Only 12% customers purchase grocery from Vishal mega mart.

2% customers spoke about Big Bazaar and Kirana.

The maximum percentage i s 49% i .e Easy day and Vishal .49% customers

purchase groc ery from Vishal and Easy d ay.

7. Are you aware that Big Bazaar has opened in Jalandhar?

Interpretation:

78% respondents read that we know Big Bazaar has opened in Jalandhar.


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22% customers said No, we dont know.

We should increase our advert ising campaign so that i t can reach out to masses

and classes. So that these 22% customers get awareness of our Big bazaar.

9. Have you been to Big Bazaar?

Interpretation:

67 % responded that we have not been to Big Bazaar.

37% responded that we have been to Big Bazaar.


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10. If Yes, Rate Big Bazaar on a scale:

Interpretation:

Among respondents only 2% repor ted that Big Bazaar i s very good, and 28%

responded that Big Bazaar is good.

70% could not rate because they had not been to Big Bazaar.

11. Which store do you think is better in following attributes?

(Comparison between Big Bazaar and Vishal mega mart)


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Interpretation:

In al l other at tr ibutes only price is the one in which Vishal ahead of us, as 24%

respondents responded that prices are cheap in visual mega mart as compared to

Big Bazaar. In case product qual ity, service qual ity, s ta ff behaviour, s ta f f

knowledge, s tore ambience, ease of shopping etc i t was found that Big Bazaar is

better than Visha l mega mart.

Comparison between

Vishal mega mart is

better

Big Bazaar is better Both are same Not answered

Attributes

Prices 24% 2% 1% 72%






Ease of shopping 2% 11% 16% 72%

Overall shoppingexperiences

1% 12% 14% 73%


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Big Bazaar and Easyday

Easy Day (vassal mall)

and

Easy Day convenience Stores

1.Mithapur

2. Urban estate phase-1

3. GTB Nagar Jalandhar

Research Methodology:-

The methodology used in performing and analysing this part of survey is same

as above. Here also the ques t ionnaires were f i l led outs ide the s tore and f rom

those cus tomers who were coming out f rom s tore only , in order to avoid any

contamination of valuable data.

Details of research


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Sample size: 187




Survey area: Easy Day (vassal tower) Jalandhar


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Data Analysis

The results of this part of research are as follows:

Q.No:1:- Age group of respondent:

Interpretation:

Same result was found in Easy day as major portions i.e. 71% of pie were in 18-35 year age

group.

Only 14% customers coming to the store are in 36-40 year age group.

The data provided us that the young people are more eager to go for shopping, because of

standardised and systematic appeal of organised retailing. This also shows us that the

opportunities and expectations of organised retailers will keep growing in Jalandhar as it was

found in the survey that maximum percentage of both the masses and classes are interested in

purchasing goods from organised retailers.

2: Address of the respondent:

Interpretation:

The store being in the heart of city, it attracts maximum percentage i.e. 88% of customers from

Jalandhar.


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2% from out of Punjab i.e includes the people who are doing job in Jalandhar.

6% customers from Rest of Punjab.i.e from Nawasher, Gurdaspur, Hosharpur, etc

3: Family size of customer.

Average family size of customers is 4-5.

4: Profession of customer:


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Interpretation:

7% customers are doing govt.jobs, it indicates that customers who are doing govt job are not

coming organised retailers, as it was also found in case of Big Bazaar and Vishal that only 7-9%

customers coming to these organised retailers are doing govt job. The fact behind this may bethat govt employees get salary after completion of month, till that they are purchasing goods

from kirana stores on credit. Second point may be the salary that govt employees are getting

lesser amount in terms of salary as compared to pvt.and business persons. Third point is that the

organised sector is just 6-7 % in India , hence the people are less aware about this industry.

In order to attract this part of market organised retailers need to enhance their image, loyalty by

promotional campaigns and also some strategies should be used at the end of month so that the

share of this part may increase.

43 % are doing private jobs.

5: Qualification of respondent/customer:

Interpretation:

97% customers were literate.

6: Are you aware that Big bazaar has opened in Jalandhar?

Interpretation:

Only 24% customers do not know Big Bazaar has opened in Jalandhar.


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We should increase our promotional activities so that at least whole Jalandhar city can speak

about Big Bazaar or the percentage can increase to 90%.

7: Have you been to Big Bazaar?

Interpretation:

61% customers responded that we had not been to Big Bazaar.

While as 38% responded that we had been to Big Bazaar.

Customers were enquired about this why you are not going to Big Bazaar, maximum times the

answer was that it is far away from the city.

7: If yes, than how would you rate it on a scale of 5:

Interpretation:

31% respondents reported that it is good.

2% provided that it is very good.

8: Which store do you think is better in following attributes?


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Interpretation:-

23% customers responded Easy day is better in prices, as compared to meagre 1% of Big Bazaar.

Service quality, staff behaviour and also somewhat in case of overall shopping experience the

response given was same with Easy day. But about product quality and ease of shopping

customers exercised their vote towards easyday.

In case of staff knowledge, store ambience and overall shopping experience Big Bazaar leads

the table. Therefore in order to get the leading edge we need to move ahead from easy day in

prices, quality, services, staff behaviour etc so that we can gain maximum market share.


Attributes

Prices 23% 1% 13% 63%







Overall shopping

experiences6% 7% 23% 63%


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Easy Day convenience stores

Comparison between Big Bazaar and

Easyday Convenience stores.

Easyday convenience store

Mithapur

Easyday convenience store

urban-estate-1


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Easyday convenience store GTB

Nagar

Details of research:

Sample size: 172




Survey area: Easyday (Mithapur) Easyday(urban

estate) Easyday(GTB Nagar)Jalandhar.


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Data analysis

1. Age group of customers:-

Interpretation:

31% people are in 18-25 year age group.

Only 6% are in 41-50 year age group.

The case here is same as above, as the maximum percentage of chart is occupied by

people who are in age group 18-35.Therefore it again clarifies that mostly young people

are going for shopping to these retail stores.


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2: Address of Respondent:

Interpretation:-

As we are talking of convenience stores, so they are receiving the 98% of customers from

Jalandhar.

1% each from rest of Punjab and out of Punjab these include the labourers, rented people

which are doing job in these localities.

3: Family size of respondents:

Interpretation:

Average family size of respondents is 4-5 members.

Only 14% customers have 6 members in their families.

Therefore keeping in view the average family size, organised retailers can provide offers

etc and can also keep inventory keeping in view the average size of the family.

4: Profession of customers:


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Interpretation:

18% of pie consists of students.

35%business people,

Here again the percentage of Govt.Job doing people is just 9%, same like in Big Bazaar,

Vishal, and Easyday. As i have already mentioned that this part of the market is concern

for us, efforts should be made to increase this percentage up to 30%.

5: Qualification of respondents:-

Interpretation:

Here again 95% people are literate.


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6: How much amount do you spend on grocery per month?

Interpretation:

Average monthly spending is 3500 rupees.

70% customer reported that they spend 2000 to 5000 rupees on grocery per month.

Only 2% spend 8000 to 12000 on grocery per month.

8% spend below 2000 on grocery per month, this includes customers which are 1 to 3 members

in their family as above it is mentioned that 14% customers have 3 members in their families.

This indicates the level of customer, that average family spends 3000 rupees on grocery per

month.

7: From where do you purchase monthly grocery?


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Interpretation:

Near about 85% customers purchase monthly grocery from easy day convenience stores.

Only 6% purchase monthly grocery from Easy day and Big Bazaar.

8:Are you aware that Big Bazaar has opened in Jalandhar?

Interpretation:

86 % responded that we know Big Bazaar has opened in Jalandhar, and only 13% did not.

This indicates that our promotional activities are reaching to masses and classes. We need to

keep it increasing so that 90 -95 % will get to know that Big Bazaaar has opened in Jalandhar.


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9: Have you been to Big Bazaar?

Interpretation:

48% customers responded that we had not been to Big Bazaar. To attract this portion of map we

need hectic efforts, so that we can decrease this portion to lesser degree.

10: If yes, than how would you rate it on a scale of 5?

Interpretation:

5% respondents reported that Big Bazaar is just Ok.

While as 42% responded that it is good, and 3% mentioned that it is very good.


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50% could not answer because they had not been to Big Bazaar.



Attributes

Prices 24% 5% 14% 57%







Overall shopping

experiences

12% 5% 26% 57%


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Interpretation:

The results found here were same to earlier results, which we analysed in Vishal and easy day

market.

In this table we can see except Store ambience and service quality (which is not better

than easy day but is same) in all other major attributes of the table easy day is ahead of us. This

table is eye opener for us. We need to analyse the whole scenario and steps should be taken so

that we can overcome these precincts.

Conclusion:-

From this whole project we can get following result:

While comparing Big Bazaar with Vishal Mega Mart, it was divulged that Vishal Mega

Mart is better in prices, as compared to Big Bazaar. But in other attributes like product

quality, service quality, staff behaviour, staff knowledge, store ambience, ease of

shopping, overall shopping attributes Big Bazaar is better than Vishal Mega Mart.

When Big Bazaar was compared with Easy day market, the results where altogether

different ,here the results also reveal that Big Bazaar is pricey than easy day, but in other

attributes like service quality, staff behaviour, staff knowledge, ease of shopping utmost

respondents replied similarity between Big Bazaar and Easy day.

So for as profile of customer is concerned following result was revealed ;

95% customers were literate.


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Average monthly spending amount on grocery is 2000 to 5000.

Average family size of customer is 3 to 5 members.

62% customers have one car in their home.

Average family income of customer coming to Big Bazaar is 10000 to 30000.

Only 10% customers use public transport to reach Big Bazaar.

63%customers visit Big Bazaar with their family.

Annexure-1

Questionnaire: (in store Big Bazaar Jalandhar)

Name:_______________________________

Gender: ______________________________

Age Group:

18-25 26-30 31-35 36-40 41-50 >50

Address: city __________________ locality :__________________________

Phone No:_____________________


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No of family members :_________________________

Profession :

Govt. Pvt. Defence Business Student Teacher Housewife

Vehicles owned :

No of cars:__________ model __________ No of two wheelers ____________ model______

Qualification:

12th Grad. PG MBA MBBS Er. CA B. Ed

Family Income p/month:

50k

How did you came to the store?

Car ______________ 2 wheeler ______________ Public transport___________

Your visit to our store today was :

Planned Casual

Today you came to our store (note the No of customers if not came alone)

Alone with family__________ with friends____________

Is this your first visit to big bazaar, Jalandhar?

Yes No

If No, how many times you visited Big Bazaar Jalandhar before?

___________________________________________________________________

you shop your monthly grocery at and why?


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___________________________________________________________________

Have you been to Easyday market in Jalandhar ( bada easyday at vassal mall near bus stand)?

Yes No

If yes ,then please tick mark the preferred options for:

Price Big Bazaar Easy day

Product quality Big Bazaar Easy day

Service quality Big Bazaar Easy day

Staff behaviour Big Bazaar Easy day

Staff knowledge Big Bazaar Easy day

Store ambience Big bazaar Easy day

Ease of shopping Big bazaar Easy day

Overall shopping experience Big Bazaar Easy day

Was there any product which you wanted but was not available? If Yes please specify:

________________________________________________________________________

Any feedback that you would like to give us that will help us serve you better:

Thanks!!! Dated

Annexure:ii

Questionnaire:

(Out of store) Vishal mega mart Jalandhar)


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Comparative study Retail scenario in Jalandhar

Name:_______________________________

Age Group:

18-25 26-30 31-35 36-40 41-50 >50

Address: city __________________ locality :__________________________

Phone No:_____________________

No of family members :_________________________

Profession:


Qualification:


1.For how much amount did you shop today?

________________________________________

2. Generally how much do you spend on grocery every month?

12000

3.Where do you buy your monthly grocery from:

Kirana stores easy day Vishal others(plz specify)__________

4.Are you aware that Big Bazaar has opened in Jalandhar?


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Yes No.

5.Are you aware where is it located?

Yes No if yes, where_______________________

6. Have you been there?

Yes No

7.if yes, Than how would you rate it on a scale of 5.

1.Very bad 2.Bad 3.Just OK 4.Good 5.Very Good.

Your reasons for the rating_________________________________________________


Price Big Bazaar Vishal mega mart

Product quality Big Bazaar Vishal mega mart

Service quality Big Bazaar Vishal mega mart

Staff behaviour Big Bazaar Vishal mega mart

Staff knowledge Big Bazaar Vishal mega mart

Store ambience Big bazaar Vishal mega mart

Ease of shopping Big bazaar Vishal mega mart

Overall shopping experience Big Bazaar Vishal mega mart

Surveyor Name: Date: Time:

Annexure: iii


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Questionnaire:

(Out of store) Easy day Market and its convenience stores Jalandhar)

Comparative study Retail scenario in Jalandhar

Name:_______________________________

Age Group:

18-25 26-30 31-35 36-40 41-50 >50

Address: city __________________ Locality: __________________________

Phone No:_____________________

No of family members: _________________________

Profession:


Qualification:


1.For how much amount did you shop today?

________________________________________

2. Generally how much do you spend on grocery every month?

12000

3. Where do you buy your monthly grocery from:

Kirana stores easyday Vishal others (plz specify)__________

4.Are you aware that Big Bazaar has opened in Jalandhar?


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Yes No.

5. Are you aware where is it located?

Yes No if yes, where_______________________

6. Have you been there?

Yes No

7. If yes, Than how would you rate it on a scale of 5.

1. Very bad 2.Bad 3.Just OK 4.Good 5.Very Good.

Your reasons for the rating_________________________________________________


Price Big Bazaar easy day

Product quality Big Bazaar easy day

Service quality Big Bazaar easy day

Staff behaviour Big Bazaar easy day

Staff knowledge Big Bazaar easy day

Store ambience Big bazaar easy day

Ease of shopping Big bazaar easy day

Overall shopping experience Big Bazaar easy day

Surveyor Name: Date: Time:


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Snap shots :- ( Photographs of customer connect activities in

Big Bazaar)


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Abbreviations

B business

BB Big Bazaar

D defence

E Easy day

EDLP Every day low prices

G Govt.

HW House wife

H Hosharpur

J Jalandhar

K kupurthala/Kirana

M more

NW Nawasher

OOP out of Punjab

P Phagwara

ROP rest of Punjab

RF reliance fresh

S Student

VM Vishal mega mart/Visual merchandising


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Bibliography:-

www.bigbazaar.com

www.retailindustry.about.com

www.indianmba.com

www.proquest.com

www.articlebase.com

http://blog.taragana.com/business/2010/08/11/big-bazaar-maha-bachat-sale-2010-90856/

Books referred:-

Kotler Philip, Marketing management Eleventh Edition, Pearson Education.

Beri G.C.,Marketing Research Third Edition, Tata Mcgraw Hill.

Kotler Philip, marketing insights 80 john wiley and sons.

Magazines and newspapers:

Business today

4Ps

Business India

Businessline Aug 2010

Economic times
http://www.bigbazaar.com/http://www.retailindustry.about.com/http://www.indianmba.com/http://www.proquest.com/http://www.articlebase.com/http://blog.taragana.com/business/2010/08/11/big-bazaar-maha-bachat-sale-2010-90856/http://www.retailindustry.about.com/http://www.indianmba.com/http://www.proquest.com/http://www.articlebase.com/http://blog.taragana.com/business/2010/08/11/big-bazaar-maha-bachat-sale-2010-90856/http://www.bigbazaar.com/


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Project on Summer Trng.(Aijaz Ah Dar)

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Transcript of Project on Summer Trng.(Aijaz Ah Dar)