Retail Strategy and Retail Branding

Ninad Sankhe

Akshay Kuvar

Alok Kumar

Harshvardhan Singh

Flow of Presentation

• Store Introduction and

Location

• Store Design

• Product Strategy

• Merchandising

• Visual Merchandising

• Pricing strategy

• Branding: Retail

Branding for Private

Label vis-a-vis Brands

• Promotion Strategy

Store

• Store Name: Big Bazaar

• Location: Maxus mall, Bhayander West, Thane

• Parent company: Future group

• Industry: Retailing (Hypermarket)

Segmentation, Target & Positioning

• Price sensitive groups, Young working

Population, Working women and Home makers.Segmentation

• Upper middle class and lower middle class

Target

• Big Bazaar is every family's favorite retail store

Positioning

Store Specification, Design and Layout• Area – 100000 sq. ft.

• Floors - 2

• No of employees - 110

• Average Salary – Rs. 10k-15K

• Appraisal – Rs. 1000 –2000 Yearly.(Performance)

• Rent/Lease – Rs. 5 lacs per month, 5 years (Renewed)

• Electricity Bill – Rs. 3.5 lacs (Monthly)

Store Specification, Design and Layout

• Layout and Design: Planogram Store Design (Space and Display convenience)

• Fixtures: Horizontal Racks, Four way fixtures, Gondolas and Wall Fixtures

Product Mix

Produc

t Mix

Apparel

s

Electronic

s

Fashion

and

jeweller

y

Chill

stationsFood

Furnitur

e

Home

and

personal

care

Merchandising

• Based on the segmentation and target market.

• The SKU’s are determined on the sale of the maximum selling unit

• Selling space is compared with the space occupied by merchandise.

Visual MerchandisingIdea Oriented Presentation:

• Different section of apparels having all types of apparels for men, women, kids etc.

• Different section for electronic goods, toiletries products, etc.

Colour Presentation:

• Warm colors like red and yellow to produce vibrant, emotional and hot active response.

• Cool colors white and blue to have a peaceful, gentle and calm effect.

Visual MerchandisingMusic:

• Control the pace of store traffic, create an image and attract or direct consumer attention.

Lightning

• Highlight merchandise and structure space in efficient way. It captures a light mood of customers.

Fixtures

• Straight rack to hold lots of apparels

• Gondolas are good for food and grocery

Pricing Strategy

Value Pricing

• Promotional Pricing

• Low Interest Financing

Differentiated pricing

• Time Pricing

Bundling

Value Pricing

Promotional Pricing:

Big bazaar promises its consumers the lowest available price without coupon clipping, waiting for discount promotions or comparison shopping.

• Low Interest Pricing

Differentiated Pricing

Time Pricing

Time-based pricing is a special case of price discrimination in which producers charge different rates for a given good or service depending on the time, day, month, and so on.

E.g.

• Wednesday Bazaar

• Festive Season Pricing

• Special Offer Period pricing

• Sabse Sasta Din

Private Labels at Big bazaar

Product Brand Name

Sugar Renuka

Ghee Fresh and Pure

Detergent Clean Mate

Electronics Koryo

Apparel John Miller, DJ&C

Brands at Big bazaar

Product Brand Name

Sugar Madhur, Blue Bird

Ghee Gowardhan, Britania

Detergent Nirma, Wheel, Ariel,

Ghadi

Electronics LG, Whirlpool

Apparel Lee Cooper, Levis

Ratio in terms of SKU’s for Private labels vis-à-vis Brands

Product Type Private Labels (%) Brands(%)

Apparels 80↑ 20

Electronics 50 50

Food 25 75↑

Jewelleries 90↑ 10

Personal care 25 70↑

Branding (PRIVATE LABELS)

• From previous slide it was observed at store

Promotion of offers and sale through announcements, Wall hangings and Sales people in private labels were more in Apparels, jewelleries and electronics.