INDUST INDUSTRIA RIAL L TRAIN TRAINING ING PROJE PROJECT CT REPORT REPORT UNDER TAKEN @
ON
INDIAN ORGANIZED RETAIL INDUSTRY (BIG BAZAR )
College Logo (Approved by AICTE, Govt. of India) ACADEMIC SESSION
Under the guidance of:
Submitted by:
Supervisor Name Lecturer (college name)
Your Name Roll: - XXXX College Address
DECLARATION
I Undersigned the student of MBA – 3 rd SEM by declare that the project report is my own work and has carried out under the guidance and supervision of Prof. name. Further I declare that it has not been submitted to any other university of examination.
Date:
Sign. Of Student
PREFACE
In this age of neck to neck competition, there is much importance given to practical knowledge. The theorical knowledge is not sufficient to understand the boundless field of business management. management. Today every person wants to be a master in the field they are in. The practical training is a life of management student. In modern world the importance of management is increasing day by day. Industrial training provide a student sufficient knowledge to develop an education to connect theory and practical.
So to fulfill our purpose I have done training at “ Big Bazar”
ACKNOWLEDGEMENT
It is my great pleasure to present this report before you. I sincerely would like to show my gratitude towards all those persons who have helped me throughout my project work I am heartily thankful to Manager name at Big Bazar for giving me his valuable guidance for preparing this report. He has been an exceptional mentor during these two months of training. It has been a great learning experience of being a trainee under him. I would like to express my special thanks to all the another official who has helped me a lot during this SIP. Their critical advices helped me to make this report more effective. Moreover, I thanks to prof. Name who guided me before and after the industrial training. He gave me great support to prepare this project, too. And all who directly or indirectly helped me in preparing this report.
Chapter-1
Introduction
Retailing is evolving into a global, high-tech business. Wal-Mart is now the world’s largest corporation and has become the largest food retailer in the United States. French based Carrefour is the world’s second largest retailer. Retailing in developed countries is big business and better organized. But the retail scenario in India is different much of it is in unorganized sector. There are more than 12 million retail outlets of various sizes and formats. And almost 90% of them are less than 500 sq. ft. in size and the per capita retail space is only 2 sq. ft. while US has 16 sq. ft.
India has the largest number of outlet in world i.e. 9 outlets for 1000 people. Most of them are independent and contribute to the retail sales. Because of increasing number of nuclear families, working women, greater work pressure and greater commuting time, convenience has become a priority for Indian customers. They ever want things under one roof for easy access and multiplicity of choice. The growth and development of organized retailing is driven by two main factors prices and benefits the customer can’t resist.
India is rapidly involving into a competitive market place with potential target consumers in the niche middle class segments. The market trend indicates tremendous growth opportunities. The buying behavior and lifestyle in India too are changing and the concept of “value for money” is fast catching on in Indian retailing. This is the evident from the expansion of the Pantaloons chain into the large format, Big Bazaar. This growth in retail sector is making the retailers powerful intermediates in the marketing channel, bridging the gap between manufactures and consumers.
Keeping in mind the rapid growth of Indian retail industry and its bright future, this has always been a thrust area for me. Big Bazaar is at the top position in Indian retail industry. That is why it attracted me to have summer training (on the job training) in Big Bazaar, Udaipur. Big Bazaar is the retail chain of Future Retail (India) Ltd. And it provides a wide range of products availability for the customers.
As a matter of fact, retail is the buzz word of the Indian economy today. As retail industry is growing at a high pace I wanted to have an overview of the subject. I have chosen Big Bazaar retail chain for the summer training (on the job training) because Big Bazaar retail is very upcoming retail company which is continuously changing its activities with the change of time. I wanted to understand their marketing activities and liked to relate how similar or dissimilar it is from what I have studied in marketing management.
To execute the project, I underwent on the job training at Big Bazaar, Udaipur. The interaction with the Store Manager, Operational Manager and other staff personnel was fruitful to me as it cleared many core concepts when it came to practical application.
The main objective of the project was to get practical training of what we have learnt theoretical in the classroom. In other words, it was to get practical exposure of all the marketing skills and how to implement in the real situation.
The other objectives of the project were the following:
To look at the current trends in the Indian organized retail industry. To understand the Big Bazaar organization as how systematically it is run by the management personnel. To know about the marketing activities of the Big Bazaar done round the year. To know the customer queries, comments and suggestions about the store and its products. To know about the promotional activities done at Big Bazaar to increase the sales. To get acquainted with the major issues in the Indian organized retail industry.
In fact, the training was for the practical aspects of the management skills and it was fruitful as the main objective of the project was fulfilled satisfactorily. During the training period, I learnt about the store organization and different activities performed by staff personnel. Big Bazaar brings various schemes for the festival season and offers wide product choice to the customers.
Chapter-2 Industry Profile Retailing The word ‘retail’ is derived from the French word ‘retailer’, meaning ‘to cut a piece off’ or ‘to break bulk’. In simple terms, it implies a first-hand transaction with the customer. Retailing involvers a direct interface with the customer and the coordination of business activities right from the concept or design stage of a product or offering to its delivery and post-delivery service to the customer. The industry has contributed to the economic growth of many countries and is undoubtedly one of the fastest changing and dynamic industries in the world today.
Indian retail industry The Indian retail industry is the fifth largest in the world. Comprising of organized and unorganized sectors, India retail industry is one of the fastest growing industries in India, especially over the last few years. Though initially, the retail industry in India was mostly unorganized, however with the change of tastes and preferences of the consumers, the industry is getting more popular these days and getting organized as well. With growing market demand, the industry is expected to grow at a pace of 25-30% annually. The India retail industry is expected to grow from Rs. 35,000 crore in 2004-05 to Rs. 109,000 crore by the year 2010.
The retail scenario in India is unique. Much of it is in the unorganized sector, with over 12 million retail outlets of various sizes and formats. Almost 96% of these retail outlets are less than 500 square feet in size, the per capital retail space India being 2 squre feet compared to the US figure of 16 square feet India’s per capital retailing space is thus the lowest in the world. With more than 9 outlets per 1000 people, India has the largest number in the world. Most of them are independent and contribute as much as 96% to total retail sales. Because of the increasing number of the nuclear families, working women, greater work pressure and increased commuting time, convenience has become a priority for Indian consumers. They want everything under one roof for easy access and multiplicity of choice. This offers an excellent opportunity for organized retailers in the country which account for just 2% and modern stores 0.5% of the estimated US Dollar 180 billion worth of goods that are retailed in India every chain, Wal-Mart.
Growth of Indian retail industry According to the 8th Annual Global Retail Development Index (GRDI) of AT Kearney, India retail industry is the most promising emerging market for investment. In 2007, the retail trade in India had a share of 8-10% in the GDP (Gross Domestic Product) of the country. In 2009, it rose to 12%. It is also expected to reach 22% by 2010. According to a report by North bride Capita, the India retail industry is expected to grow to US$ 700 billion by 2010. By the same time, the organized sector will be 20% of the total market share. It can be mentioned here that, the share of organized sector in 2007 was 7.5% of the total retail market. India is rapidly evolving into a competitive marketplace with potential target consumers in the niche and middle class segments. The market trends indicate tremendous growth opportunities. Global majors too are showing a keen interest in the Indian retail market. Over the years, international brands like marks and spencer, Samsonite, Lacoste, McDonald’s, Swarovski, Domino’s among a host of others have come into India through the franchise route following the relexation of FDI (Foreign Direct Investment) restrictions. Large Indian companies- among them the Tata, Goenka and the Piramal groups are investing heavily in this industry.
Major Retailers in India Pantaloon: Pantaloon is one of the biggest retailers in India with more than 450 stores across the country. Headquartered in Mumbai, it has more than 5 million sq. ft retail space located across the country. It's growing at an enviable pace and is expected to reach 30 million sq. ft by the year 2010. In 2001, Pantaloon launched country's first hypermarket ‘Big Bazaar’. It has the following retail segments: •
Food & Grocery: Big Bazaar, Food Bazaar
•
Home Solutions: Hometown, Furniture Bazaar, Collection-I
•
Consumer Electronics: e-zone
•
Shoes: Shoe Factory
•
Books, Music & Gifts: Depot
•
Health & Beauty Care: Star, Sitara
•
E-tailing: Futurebazaar.com
•
Entertainment: Bowling Co.
Tata Group Tata group is another major player in Indian retail industry with its subsidiary Trent, which operates Westside and Star India Bazaar. Established in 1998, it also acquired the largest book and music retailer in India ‘Landmark’ in 2005. Trent owns over 4 lake sq. ft retail space across the country.
RPG Group RPG Group is one of the earlier entrants in the Indian retail market, when it came into food & grocery retailing in 1996 with its retail Food world stores. Later it also opened the pharmacy and beauty care outlets ‘Health & Glow’.
Reliance Reliance is one of the biggest players in Indian retail industry. More than 300 Reliance Fresh stores and Reliance Mart are quite popular in the Indian retail market. It's expecting its sales to reach Rs. 90,000 crores by 2010.
AV Birla Group AV Birla Group has a strong presence in Indian apparel retailing. The brands like Louis Philippe, Allen Solly, Van Heusen, Peter England are quite popular. It's also investing in other segments of retail. It will invest Rs. 8000-9000 crores by 2010.
Another big player in the segment will be the Bharti group. Overhauling this part of the supply chain will be the key to the success of any retail venture in food and groceries segment.
Wal-Mart, the world’s largest retailer, and Bharti Enterprises have signed a Memorandum of Understanding (MoU) to explore business opportunities in the Indian retail industry. This joint venture will mark the entry of Wal-Mart into the Indian retailing industry a retail chain like Future Group’s Big Bazaar may be clocking heady sales (growing at 100% year- on- year), but the dozen odd shops operating in its proximity wear a deserted look, giving a somewhat hollow ring to the much- talked- about retail boom in the country. The key players currently operating in the Indian retail industry includes Future Group, Trent Ltd, RPG Enterprise, Vishal Retail Ltd, Shoppers Stop Ltd, Bata India Ltd, Provogue India Ltd, Vdeocon Appliances Ltd, ITC Ltd, Godrej Agrovert Ltd, and DCM-Hariyah Kissan Bazaar.
Retailers ranging from Pantaloon to RPG to Piramal’s or the Tata’s are working towards exploiting this model, perceived by consumers as more value enhancing. But in the long run, what is most likely to succeed is a more balanced multi-format strategy. Finally, while in the first flush of the retail boom, the elimination of traditional intermediaries may bring windfall gains (as well as bring welcome and much-needed relief to the producers), this source will increasingly dry out as competition intencifies and margins come under pressure a few years down the line. What would set the survivors apart from those who are forced to sell out or go belly-up will be differentiators like location, value-added services (convenience), private labels and customer loyalty programs other than price. The last, a result of retailer-manufacturer tie-ups, state-of-the-art supply chain infrastructure, global sourcing and scale will be a key factor. And, if experience in other markets is anything to go by, an uncanny ability to read shifting trends.
Retail formats in India Hyper marts /supermarkets: large self-servicing outlets offering products from a variety of categories. •
•
•
Mom-and-pop stores: they are family owned business catering to small sections; they are individually handled retail outlets and have a personal touch. Departmental stores: are general retail merchandisers offering quality products and services. Convenience stores: are located in residential areas with slightly higher prices goods due to the convenience offered.
•
Shopping malls: the biggest form of retail in India, malls offers customers a mix of all types of products and services including entertainment and food under a single roof.
•
E-trailers: are retailers providing online buying and selling of products and services.
•
Discount stores: these are factory outlets that give discount on the MRP.
•
Vending: it is a relatively new entry, in the retail sector. Here beverages, snacks and other small items can be bought via vending machine.
•
Category killers: small specialty stores that offer a variety of categories. They are known as category killers as they focus on specific categories, such as electronics and sporting goods. This is also known as Multi Brand Outlets or MBO's.
•
Specialty stores: are retail chains dealing in specific categories and provide deep assortment. Mumbai's Crossword Book Store and RPG's Music World is a couple of examples.
Challenges facing Indian retail industry •
The tax structure in India favors small business
•
Lack of adequate infrastructure facilities
•
High cost of real estate
•
Dissimilarity in consumer groups
•
Restrictions in Foreign Direct Investment
•
Shortage of retail study options
•
Shortage of trained manpower
•
Low retail management skill
The retail industry in India is currently growing at a great pace and is expected to go up to US$ 833 billion by the year 2013. It is further expected to reach US$ 1.3 trillion by the year 2018 at a CAGR of 10%. As the country has got a high growth rates, the consumer spending has also gone up and is also expected to go up further in the future. In the last four year, the consumer spending in India climbed up to 75%. As a result, the India retail industry is expected to grow further in the future days. By the year 2013, the organized sector is also expected to grow at a CAGR of 40%.
Categories of Indian Retailers :Corporate Houses
Tata’s: Tata Trent RPG group: Food World, Health and Glow etc. ITC: Wills Life Style Raheja group: (Shoppers’ Stop), DLF (DT cinemas). Nike, Rbk. Zodiac Multi-brand outlets Vijay Sales, Viveks etc. Manufacturers/ Exporters Pantaloons, Bata, Weekender
Classifying Indian Retailers: 1. Modern Format Retailers Supermarkets (food World) Hypermarkets (Big Bazaar) Department Stores (shopper’s Stop) Specialty Chains (Ikea) Company Owned Company Operated 2. Traditional Format Retailers Kiranas: traditional Mom and Pop Stores Kiosks Street Market Exclusive /Multiple Brand Outlets 3. Hypermarket Big Bazaar Giants Shoprite Star
4. Department Lifestyle Pantaloons Pyramids Shoppers Stop Trent 5. Entertainment Fame Ad labs Fun Republic Inox PVR
Chapter-3 Company Profile Future Group, led by its founder and Group CEO, Mr. Kishore Biyani, is one of India’s leading business houses with multiple businesses spanning across the consumption space. While retail forms the core business activity of Future Group, group subsidiaries are present in consumer finance, capital, insurance, leisure and entertainment, brand development, retail real estate development, retail media and logistics.
Led by its flagship enterprise, Pantaloon Retail, the group operates over 16 million square feet of retail space in 73 cities and towns and 65 rural locations across India. Headquartered in Mumbai (Bombay), Pantaloon Retail employs around 30,000 people and is listed on the Indian stock exchanges. The company follows a multi-format retail strategy that captures almost the entire consumption
basket of Indian customers. In the lifestyle segment, the group operates Pantaloons, a fashion retail chain and Central, a chain of seamless malls. In the value segment, its marquee brand, Big Bazaar is a hypermarket format that combines the look, touch and feel of Indian bazaars with the choice and convenience of modern retail.
In 2008, Big Bazaar opened its 100th store, marking the fastest ever organic expansion of a hypermarket. The first set of Big Bazaar stores opened in 2001 in Kolkata, Hyderabad and Bangalore.
The group’s speciality retail formats include supermarket chain – Food Bazaar, sportswear retailer - Planet Sports, electronics retailer - eZone, home improvement chain - Home Town and rural retail chain, Aadhaar, among others. Future Capital Holdings, the group’s financial arm provides investment advisory to assets worth over $1 Billion that are being invested in consumer brands and companies, real estate, hotels and logistics. It also operates a consumer finance arm with branches in 150 locations. Other group companies include, Future Generali, the group’s insurance venture in partnership with Italy’s Generali Group, Future Brands, a brand development and IPR company, Future Logistics, providing logistics and distribution solutions to group companies and business partners and Future Media, a retail media initiative. The group’s presence in Leisure & Entertainment segment is led through, Mumbai-based listed company Galaxy Entertainment Limited. Galaxy leading leisure chains, Sports Bar and Bowling Co. and family entertainment centres, F123. Through its partner company, Blue Foods the group operates around 100 restaurants and food courts through brands like Bombay Blues, Spaghetti Kitchen, Noodle Bar, The Spoon, Copper Chimney and Gelato.
Future Group’s joint venture partners include, US-based stationery products retailer, Staples and Middle East-based Axiom Communications. Future Group believes in developing strong insights on Indian consumers and building businesses based on Indian ideas, as espoused in the group’s core value of ‘Indianness.’ The group’s corporate credo is, ‘Rewrite rules, Retain values.’
Future Retail Retail forms the core business activity at Future Group and most of its businesses in the consumption space are built around retail. Future Group’s retail network touches the lives of more than 200 million Indians in 73 cities and 65 rural locations across the country. The group currently operates around 1,000 stores spread over 16 million square feet of retail space. Present in the value and lifestyle segments, the group’s retail formats cater to almost the entire consumption expenditure of a wide cross-section of Indian consumers. Led by Pantaloon Retail, the group’s flagship company, the group manages some of India’s most popular retail chains like Pantaloons - a chain of fashion destinations, Big Bazaar - a uniquely Indian hypermarket chain, Food Bazaar a supermarket chain that blends the look, touch and feel of Indian bazaars with aspects of modern retail like choice, convenience and quality and Central - a chain of seamless destination malls. Some of its other formats include Ethnicity - India's first concept store, which recreates the experience of a traditional ethnic market in a modern retail format, Brand Factory, Planet Sports, aLL, Top 10 and Star and Sitar. Retailing of products and services related to home building and home
improvement is led through the group’s formats, Home Town, a large-format home solutions store, along with specialized formats for home furniture and home furnishing through, Collection i and Furniture Bazaar and consumer electronics through eZone and Electronics Bazaar.
The group also operates India’s leading rural retailing chain, Aadhaar that is present in over 65 locations in rural India. Aadhaar, an agri-service cum rural retail initiative, provides a complete solution provider for the Indian farmer.
In 2007, Pantaloon Retail was awarded the International Retailer of the Year by the US-based National Retail Federation (NRF) and the Emerging Market Retailer of the Year at the World Retail Congress held in Barcelona.
Corporate Statements:Future Group manifesto
‘Future’- the word which signifies optimism, growth, achievement, strength, beauty, rewards and perfection. Future encourages us to explore areas yet unexplored, write rules yet unwritten, create new opportunities and new successes. To strive for a glorious future, it brings to us our strength, our ability to learn, unlearn and re-learn our ability to evolve. We, in Future Group, will not wait for the future to unfold itself but create future scenarios in the consumer in the consumer space and facilitate consumption because consumption is development. Thereby, we will effect socio-economic development for our customers, employees, shareholders, associates and partners. Our customers will not just get what they need, but also get them where, how and when they need. We will not just post satisfactory results, we will create success stories. We will not just operate efficiently in the Indian economy, we will evolve it.
We will not just spot trends, we will set trends by marrying our understanding of the Indian consumer to their needs of tomorrow.
It is this understanding that has helped us succeed. And it is this that will help us succeed in the future. We shall keep relearning. And in this process, do just one thing.
Rewrite Rules, retain Values
Vision “Future Group shall deliver Everything, Everywhere, Every time for Every Indian consumer in the most profitable manner.”
Mission
1. 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. 2. We will be the trendsetters in evolving delivery formats, creating retail realty, making consumption affordable for all customer segment- for classes and for masses. 3. We shall infuse Indian brand with confidence and renewed ambition. 4. We shall be efficient, cost- conscious and committed to quality in whatever we do. 5. We shall ensure that our positive attitude, sincerity, humility and united determination shall be the driving force to make us successful.
Core Values Indianness: 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 respective to new ideas, knowledge and information. Valuing and nurturing relationship: 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.
Board of Directors
Mr. Kishore Biyani, Managing Director
Kishore Biyani is the Managing Director of Pantaloon Retail (India) Limited and the Group Chief Executive Officer of Future Group.
Mr. Gopikishan Biyani, Wholetime Director
Gopikishan Biyani, is a commerce graduate and has more than twenty years of experience in the textile business.
Mr. Rakesh Biyani, Wholetime Director
Rakesh Biyani, is a commerce graduate and has been actively involved in category management; retail stores operations, IT and exports. He has been instrumental in the implementation of the various new retail formats.
Mr. Vijay Biyani, Wholetime Director
Vijay Biyani has more than twenty years of experience in manufacturing, textiles and retail industry and has been actively involved in the financial, audit and corporate governance related issues within the company.
Mr. Vijay Kumar Chopra, Independent Director
V.K.Chopra is a fellow member of The Institute of Chartered Accountants of India (ICAI) by profession and is a Certified Associate of Indian Institute of Bankers (CAIIB). His banking career spans over 31 years and he has served senior management positions in Central Bank of India, Oriental Bank of Commerce, SIDBI, Corporation Bank and SEBI.
Mr. Shailesh Haribhakti, Independent Director
Shri Shailesh Haribhakti, is a Chartered Accountant, Cost Accountant, and a Certified Internal Auditor. He is the Deputy Managing Partner of Haribhakti & Co., Chartered Accountants and past president of Indian merchant Chambers. He is on the Board of several Public Limited Companies, including Indian Petrochemicals Corporation Ltd., Ambuja Cement Eastern Ltd. etc. He is on the Board of Company since June 1, 1999.
Mr. S Doreswamy, Independent Director
S. Doreswamy, is a former Chairman and Managing Director of Central Bank of India and serves on the board of DSP Merrill Lynch Trustee Co and Ceat Limited among others.
Dr. D O Koshy, Independent Director
Dr. Darlie Koshy, a PhD from IIT Delhi and rank holder in MBA headed NID (Ministry of Commerce, GOI) as Director for 2 terms of office prior to which he was the founding Chairperson of Fashion Management at the National Institute of Fashion Technology (Ministry of Textiles, GOI). He is currently the Director General & CEO of ATDC Network of 58 Institutes / Centres and two premier campuses of Institute of Apparel Management under the aegis of AEPC (Sponsored by Ministry of Textiles, GOI). Dr. Koshy received the Delhi IIT Alumni Award for contribution of National Development in 2008. Dr. Darlie Koshy was also conferred with the “Star of Italian Solidarity” one of the highest civilian awards of the Government of Italy. Dr. Koshy is the author of three pioneering books including the much acclaimed “Indian Design Edge”.
Ms. Bala Deshpande, Independent Director
Bala Deshpande, is Independent Director, Pantaloon Retail (India) Ltd. and also serves on the boards of Deccan Aviation, Nagarjuna Construction, Welspun India and Indus League Clothing Ltd, among others.
Mr. Anil Harish, Independent Director
Anil Harish, is the partner of DM Harish & Co. Associates & Solicitors and an LLM from University of Miami. He also serves on the board of Mahindra Gesco, Unitech, IndusInd Bank and Hinduja TMT, among others.
Company Timeline:-
Major Milestones 1987
Company incorporated as Manz 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
Company enters modern retail with the launch of the first 8000 square feet store, Pantaloons in Kolkata.
2001
Three Big Bazaar stores launched within a span of 22 days in Kolkata, Bangalore and Hyderabad.
2002
Food Bazaar, the supermarket chain is launched.
2004
Central - India’s first seamless mall is launched in Bangalore.
2005
Group moves beyond retail, acquires stakes in Galaxy Entertainment, Indus League Clothing and Planet Retail. Sets up India’s first real estate investment fund Kshitij to build a chain of shopping malls.
2006
Future Capital Holdings, the company’s financial is formed to manage over $1.5 billion in real estate, private equity and retail infrastructure funds. Plans forays into retailing of consumer finance products. Home Town, a home building and improvement products retail chain is launched along with consumer durables format, Ezone and furniture chain, Furniture Bazaar. Future Group enters into joint venture agreements to launch insurance products with Italian insurance major, Generali. Forms joint ventures with US office stationery retailer, Staples.
2007
Future Group crosses $1 billion turnover mark. Specialised companies in retail media, logistics, IPR and brand development and retail-led technology services become operational. Pantaloon Retail wins the International Retailer of the Year at US-based National Retail Federation convention in New
York and Emerging Retailer of the Year award at the World Retail Congress held in Barcelona. Futurebazaar.com becomes India’s most popular shopping portal. 2008
Future Capital Holdings becomes the second group company to make a successful Initial Public Offering in the Indian capital markets. Big Bazaar crosses the 100-store mark, marking one of the fastest ever expansion of a hypermarket format anywhere in the world. Total operational retail space crosses 10 million square feet mark. Future Group acquires rural retail chain, Aadhar present in 65 rural locations.
Awards and recognigation 2009
CNBC Awaaz Consumer Awards 2009 •
Most Preferred Multi Product Chain - Big Bazaar
•
Most Preferred Multi Brand Food & Beverage Chain - Big Bazaar
Images Fashion Forum 2009 •
Most Admired Fashion Group Of The Year - Future Group
•
Most Admired Private Label - Pantaloons, the lifestyle format
•
Critics Choice For Pioneering Effort In Retail Concept Creation - Central
Coca-Cola Golden Spoon Awards 2009 •
Most Admired Food & Grocery Retailer Of The Year
•
Most Admired Food Court
•
Most Admired Food Professional
2008
Indian Retail Forum Awards 2008 •
Most Admired Retail Company of the year - Future Group
•
Retail Face of the Year - Kishore Biyani
•
Best Retailer Of The Year ( Hypermarket) - Big Bazaar
Future Group was awarded the Most Admired Retail Company of the year by the Indian Retail Forum at a glittering ceremony organised in Mumbai. Mr Kishore Biyani also won Retail Face of the Year.
India Retail Forum (IRF) is a platform for intellectual insights and information exchange for the retail business in the Indian subcontinent. The forum presents the business of retail in the region to a global audience, with the express aim of facilitating understanding about and encouraging investment in this massive marketplace. Big Bazaar, the value format of Future Group bagged the Best Retailer Of The Year ( Hypermarket).
The INDIASTAR Award 2008 •
Food Bazaar: Best Packaging Innovation
Food Bazaar bagged the INDIASTAR Award for Best Packaging Innovation in India, for its private label brand Fresh And Pure Chakki Atta. INDIASTAR Award is a biennial event which aims to promote and encourage excellence in packaging design, innovation and technology. The contest was established in 1972 and is considered as the most popular and premier event for India’s packaging fraternity. This year there were around 357 entries and the participants had to submit a sample of their designs for selection. With this award, Pantaloon Retail (India) Limited becomes the first Indian Retailer to win the prestigious INDIASTAR Award.
Retail Asia Pacific 500 Top Awards 2008 •
Gold Winner - Top Retailer 2008 Asia Pacific
Retail Asia Publishing Pte, the institutor of these awards, aims to set a platform that appraise, raises and recognizes the development and growth of retailing throughout the Asia Pacific region.
Coca-Cola Golden Spoon Awards 2008 •
Most Admired Food & Grocery Retail Visionary of the Year: Kishore Biyani
•
Most Admired Food & Grocery Retailer of the Year – Supermarkets: Food Bazaar
•
Most Admired Food & Grocery Retailer of the Year - Hypermarkets: Big Bazaar
•
Most Admired Retailer of the Year - Dynamic Growth in Network Expansion across Food, Beverages & Grocery: Future Group
•
Most Admired Food & Grocery Retailer of the Year - Consumer's Choice: Big Bazaar
The Coca-Cola Golden Spoon Awards 2008, were given away for the first time as a culmination of the ‘Food Forum India 2008’ – a two day convention, which saw the participation of leading brands, retailers & retail support organizations from across the globe. The awards were presented to honour enterprise, innovation and achievement in the food retailing business as a benchmark of excellence.
The Reid & Taylor Awards For Retail Excellence 2008
•
Retail Leadership Award: Kishore Biyani
•
Retail Best Employer of the Year: Future Group
•
Retailer of The Year: Home Products and Office Improvements: HomeTown
The Reid & Taylor Awards for Retail Excellence are an important feature of the Asia Retail Congress, Asia’s single most important global platform to promote world-class retail practices. These awards are aimed at honouring the best, in the Asian Retail scenario. India played host to Asia Retail Congress 2008.
2007
Images Retail Awards
Most Admired Retail Face of the Year: Kishore Biyani Most admired retailer of the year: Large format, multi product store: Big Bazaar Most admired retailer of the year: Food and Grocery: Food Bazaar Most admired retailer of the year: Home & office improvement: HomeTown Most admired Retail Company of the year: Pantaloon Retail (India) Ltd. •
Images Retail Forum followed strict international benchmarks in deciding the top honours for Images Retail Awards ’07, with IRIS as knowledge partner and global consulting firm AT Kearney as the Process Approver.
National Retail Federation Awards International Retailer for the Year 2007 – Pantaloon Retail (India) Ltd •
The National Retail Federation is the world’s largest retail trade association with over 1.4 million members in the US and across the world. Some of the past winners of the award include Metro AG (Germany), Carrefour (France), Zara (Spain), Boticario (Brazil) and Ito Yokado (Japan). The award was presented at the Retail’s Big Show held in January 2007 in New York.
World Retail Congress Awards Emerging Market Retailer of the Year 2007 – Pantaloon Retail (India) Ltd •
The inaugural World Retail Congress held in Barcelona, Spain in March 2007 attracted over one thousand retail professionals from over sixty countries. The awards were decided by a multinational Grand Jury. Winners in other categories included Inditex, Mall of Emirates, Marks & Spencer and IKEA.
Hewitt Best Employers 2007 Best Employers in India (Rank 14th) – Pantaloon Retail (India) Ltd
•
Leading human resources consultancy, Hewitt Associates conducts an annual survey of the best employers in India, as part of its global initiative. It is based on CEO interview, People Practices Inventory and Employee Opinion Surveys. Pantaloon Retail became the only retailer to feature among the twenty-five best employers in India.
PC World Indian Website Awards Best Indian Website In The Shopping Category - Futurebazaar.com •
PC World, a leading consumer technology magazine selected the best Indian websites in various categories based on use of technology for delivering solutions, information being presented in an intuitive and concise manner and overall experience aided by design.
Reader’s Digest Trusted Brands Platinum Awards Trusted Brands Platinum Award (Supermarket Category) – Big Bazaar •
The Reader’s Digest awards are based on surveys done among consumers by independent research agency, Nielsen Media Research. This is the second consecutive time Big Bazaar has won this award. 2006
Retail Asia Pacific Top 500 Awards Asia Pacific Best of the Best Retailers – Pantaloon Retail (India) Ltd Best Retailer in India – Pantaloon Retail (India) Ltd •
The Retail Asia publication in association with EuroMonitor and KPMG honours the best retailers in 14 countries across the Asia Pacific region. The awards were presented in Singapore in October, 2006.
Asiamoney Awards Best Managed Company in India (Mid-cap) – Pantaloon retail (India) Ltd. •
The Asiamoney publication conducts a poll among fund manages and investors and does a quantitative analysis of financial performance to select best managed companies in Asian countries.
Ernst & Young Entrepreneur of the Year Award Ernst & Young Entrepreneur of the Year (Services) – Kishore Biyani •
Considered to be one of the most prestigious business awards in India, a jury comprising leading names in Indian business selected the winners based on courage, creativity, passion, endurance and vision.
CNBC Indian Business Leaders Awards The First Generation Entrepreneur of the Year – Kishore Biyani •
Organized by CNBC-TV18, the twelve awardees in various categories are decided by a high profile jury, along with research partners - The University of Chicago Graduate School of Business, Development Dimensions International (DDI) and AC Neilson ORG MARG.
Lakshmipat Singhania – IIM Lucknow National Leadership Awards •
Young Business Leader – Kishore Biyani
The award recognizes and honors individuals who have contributed consistently to the betterment of our country through their pursuit of excellence. The awards were presented in New Delhi by the Prime Minister Dr. Manmohan Singh in December, 2006.
Images Retail Awards Best Value Retail Store – Big Bazaar Best Retail Destination – Big Bazaar Best Food & Grocery Store – Food Bazaar Retail Face of the Year – Kishore Biyani •
The Images Retail Awards are decided through a nationwide consumer & industry poll and nominations followed by performance assessment by team of analysts and jury.
Readers’ Digest Awards Platinum Trusted Brand Award - Big Bazaar •
The Reader’s Digest awards are based on surveys done among consumers by independent research agency, Nielsen Media Research.
CNBC Awaaz Consumer Awards Most Preferred Large Food & Grocery Supermarket – Big Bazaar •
Conducted in association with AC Nielsen-ORG Marg across 21 major cities, nearly 10,000 consumers were asked to choose their most preferred brands.
Reid & Taylor Awards for Retail Excellence
Retail Entrepreneur of the Year – Kishore Biyani 2005 Images Retail Awards 2005 •
PRIL- Most Admired Retailer of the Year
•
Food Bazaar- Retailer of the Year(Food and Grocery)
•
Big Bazaar-Retailer of the Year(Value Retailing)
•
Central-Retail Launch of the Year
Voted by Business Today magazine as one of the •
Top 20 Companies in India to watch in 2005
•
India’s most investor-friendly companies in the top 75
•
India’s Biggest wealth creators in the top 100
DAKS London •
PRIL- Brand Builder of the Year 2004
Images Retail Awards 2004 •
PRIL- Most Admired Retailer of the Year
•
Food Bazaar- Retailer of the Year(Food and Grocery)
•
Big Bazaar-Retailer of the Year(Value Retailing)
•
Central-Retail Launch of the Year
Reid & Taylor and DLF Awards
•
PRIL - Retailer of the year 2003
Indian Express Award •
PRIL –Marketing Excellence and Excellence in Brand Building
Indusland Bank (India Brand Summit) •
PRIL - Excellence in Brand Building
Companies of future group
Future Retail (India) Limited Home Solutions Retail India Limited Future Brands Limited Future Media (India) Limited Future Supply Chain Solutions Limited Convergem Communication (India) Limited Pantaloon Food Product (India) Limited Future Knowledge Services Limited Future Capital Holdings Limited Future Generali India Insurance Company Limited
Future Generali India Life Insurance Company Limited Future bazaar India Limited Winner Sports Private Limited Staples Future Office Products Private Limited Talwalkars Pantaloon Fitness Private Limited ConvergeM Indus League Clothing Galaxy Entertainment Corporation Ltd Future Consumer Products Limited Future Ventures India Limited Foot Mart Retail .
Future Brands
The Future Group has built a strong portfolio of some of the fastest growing consumer brands in India. This activity is led through Future Brands India Limited, a specialized subsidiary company that was set up to create and build powerful brands that address the aspirations of the new Indian consumer. Some of the key brands in this portfolio include, John Miller, Lombard, Bare, DJ&C, Buffalo and RIG in the fashion and apparel space. Dreamline, present in the home segment, offers a wide range of products in kitchenware, bed & bath linen, and Home Décor categories. In the food and home care segment brands include Tasty Treat, Premium Harvest, Fresh & Pure, Care Mate and Clean Mate.
In consumer durables and electronics space, the group’s brands include Koryo and Sensei.
Line of Business The company is present across several lines of business which have various formats (stores) lywood, The Doller store(JV). Fashion – Pantaloons, Central, All, Brand Factory, Blue Sky, Top 10, Fashion Station, Big Bazaar, Lee Cooper (JV). General Merchandise – Big Bazaar, Shoe Factory, Navras, Electronics Bazaar, Furniture Bazaar, KB’s Fair Price. Electronics- e-Zone, Staples (JV). Home improvement- Home Town Furniture – Collection I, Furniture Bazaar, Home Bazaar. E-tailling (Online Shopping).
Books & Entertainment – Bowling Co., F123. Wellness – Star & Sitara, Tulsi. Telecom & IT – Gen M, M-bazaar, M-Port, Converge M. Consumer Durables – Koryo, Sensei. Service – E-Care. Malls – TGIP, Central Gurgaon.
Big Bazaar India’s Real Retail Story Big Bazaar, the flagship retail chain of the Future Group, is on the verge of achieving a unique milestone in the History of World retail- by being the first hypermarket format in the globe to rollout fastest 101 stores in a short span of seven years.
Big bazaar’s journey began in October 2001, when the young first generation entrepreneur Kishore Biyani opened The country’s first hypermarket retail outlet in kolkatta [Then Calcutta] .In the same month, Two more stores were added – one each in Hyderabad and Mumbai, thus starting on a successful sojourn which began the chapter of organized retailing in India.
Speaking on this momentous occasion and remembering the days of conceptualizing the hypermarket idea Mr. Kishore Biyani said, ‘’We initially
decided to name the format as ‘’ Bazaar’’ because we had designed the store keeping the Indian mandi style in mind . since the size of the hypermarket was big than an average mandi, the thought came to name it as ‘’ Big Bazaar ‘’ . however we had freezed on the punch line ‘’ Is Se Sasta Aur Accha kahin Nahi’’ much before we met the creative agency to design the final logo of Big Bazaar’.’
Though, Big Bazaar was started purely as a fashion format including apparel cosmetics, accessory and merchandise, the First food bazaar format was added as shop-In shop within Big bazaar in the year 2002. today, Big Bazaar, with its wide range of products and service offering, reflects the aspirations of millions of Indians. The journey of Big Bazaar can be divided into two phases –one pre and the other post January 26 th, 2005 when the company rewrote the retail chapter in India, with the introduction of a never –before sales campaign ‘’ Sasbe Sasta Din’’ In just one day , almost the whole of India descended at various Big Bazaar stores In the country to shop at their favorite shopping destination.
Further, what followed was the time and again rewriting of the Indian Retail experience wherein understanding of the Indian consumers reflected in the products and services offered, creating innovative deals, expanding in the tier II and tier III towns, tying up with branded merchandise to offer exclusive products and services to its customers.
Big Bazaar is present today in 59 cities and occupying over 5 million sq. ft. retail space and driving over 110 million footfalls into its stores. The format is expecting the number of footfall in the stores to increase by over 140 million by this financial year . Over the years , Mr. Biyani for his vision and leadership, and Big Bazaar for its unique proposition to its customers’, have received every prestigious consumer awards both nationally and internationally.
Says Rajan Malhotra, President, Strategy & Convergence, Big Bazaar, “what is important in our journey is not the number of stores, but the customers’ faith in us. It’s the India and the Indians, which have helped us, reach this feat in such a short time span and today our country is creating a history in the word organized retail.
Rajan Malhotra, who is also the first employee of Big Bazaar, joining the organization in early 2001 adds, “Since beginning, we have kept Big Bazaar as a soft brand, which reflects the India and the Indianness. We believed in growing with the society, participating and celebrating all regional and local community festivals, giving customers preferences above everything else.”
Every Big Bazaar is a small family by its own and the head of the family – Karta- is the store manager. Kishore Biyani, the CEO of the Future Group, has a vast understanding of the consumer’s insight, has inculcated the habit of observing, understanding customers, in every employee of the group.
Future Group is confident of the Indian Retail Story. The group has not slowed down its expansion plans depite the fiscal woes in the economy present today. Future Group plans to have 300 stores and is expecting revenues of Rs 13,000 crore by year 2011.
About Big Bazaar Type
: Hypermarket type
Founded
: 2001
Industry
: Retail
Product
: Department store
MD & CEO: Mr. Kishore Biyani Parent
: Future Group
Website
: www.bigbazaar.com
Big Bazaar is a chain of hypermarkets in India, with more than 100 stores in operations. It is a subsidiary of Pantaloon Retail India Ltd, Future Group, offers a wide range of products including clothing, footwear, electronic appliances, groceries and kitchen utensils. You can also buy branded stuff from Reebok, Nike and Puma here. 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.
The word hypermarket is derived from the French word hypermarche, which is a combination of a supermarket and department store. The stores occupy an area which ranges from anywhere between 80000 to 220000 sq. ft. and offer a variety of food products like clothes, jewellery, hardware, sports equipment, books, CDs, DVDs, TVs, electrical equipment and computers etc.
Hypermarkets are today synonymous with one stop shopping. The cheapest prices will normally be found in these stores. Across thre world, hypermarkets are usually part of a retail park, along with other shops, cafeterias and restaurants. A key element of differentiation between the hypermarket and the other retail formats is that they typically have destination locations. The hypermarkets are designed to attract customers from a significantly large area with their low price offers, unique range and offers. It is the largest form of organized retailing today. It is an ideal shopping experience with an amalgamation of product, service and entertainment all under of a common roof. The company has been able to leverage on its multi-formats-multi-brand stores, secure prime locations at the best possible prices and command a strong bargaining power with suppliers, which provide it an edge over its competitors. Customers come in Big Bazaar for purchasing, entertainment and pacing here and there. It gives many facility to the customers like; Helpline, Baggage Counter, Parking, Exchange etc. big Bazaar trying to provide customer with 3V’s •
Value
•
Variety
•
Volume
Big Bazaar has different categories; such as •
Food Bazaar
•
Apparels
•
General Merchandise:- At Big Bazaar, you will definitely get the best products at the best prices- that’s what it guarantees. With the ever increasing array of private labels, it has opened the doors into the world of fashion and general merchandise including home gurnishings, utensils, crockery, cutlery, sports goods and much more at prices that surprise us. Here we talk about the department stores, because Big Bazaar based on the departments.
Department Stores:Carry broad variety and deep assortment organized into separate deparment for displaying merchandise, Major departments includes:•
Utensils
•
Plastics
•
Home décor
•
Luggage
•
Toys
•
Footwear etc.
Chains are very diverse and appeal to different markets. They are unique in terms of the shopping experience they offer, the services they provide and the atmosphere of the store. They are promotion- oriented. They increase competition with discount and specialty stores creating problems.
Store Organization:-
Store Manager Assistant Store Manager Operational Manager Department Manager Additional Department Manager Team Leader
Team Member
Chapter -4 Fashion Department at Big Bazaar
Marketing Strategies of Big Bazaar:
At the time of the launch of Big Bazaar in Udaipur last year, there was no real precedent in the Indian Market. A western model had to be adapted to suits the needs of the Indian environment. Various local markets were studied to understand the product mix and the prices offered.
Savings is to the key to the Indian middle class consumers. The store that would be launched had to offer value to the consumers. Keeping this in mind the concept of Big Bazaar was created.
In India, when a customer needs something for home, a typical thought is to seek it from bazaar where a complete range of products is available to the consumers. As the store offers a large mix of products at a discounted price, the name Big Bazaar was finalized. The idea was to re-create a complete bazaar, with a large product offering and to offer a good depth and width in terms of range.
Price was the basic value proposition at Big Bazaar. The Big Bazaar outlets sold a variety of products at prices which were 5 to 60% lower than the market price. The line “Is Se Sasta Aur Accha Kahin Nahi” emphasized this. The key question faced by the management was whether the low margins on the products would allow the company to sustain growth. With the aim of answer in order to allow the company decides on the right locations.
The key learning which came out of this exercise was that for a large store like Big Bazaar, a large catchments area was needed. The management decided to stick to the existing market places within the city as the western model of hypermarkets,
where the store was located in large area on the mid of the city would also really work in India. The cost of time spent on travels and the cost of petrol in India would really become a plus point for the customers. Some of the key marketing strategies and promotional activities that are successfully employed by Big Bazaar are:-
Discount Selling Big Bazaar sells all its products at a much cheaper price as compared to the local markets. The range of discounts ranges from 5 to 60%. Although the store sells the products at a cheaper rates it does not compromises with the qualities of the products.
Huge No. of Brands Big Bazaar maintains a huge number of brands under its dispose which give the customers the liberty of buying the product of their favorite brand. This helps the customers as they don’t go looking out for a product of a particular brand.
Large Product Line Big Bazaar also stocks a large product line of a single brand or multiple brands which give the customers the choice to select the most appropriate product out of many available at the most economical prices.
Frequent Promotional Activities Frequent promotional programs like “Wednesday- Haftey Ka Sabse Sasta Din”, “Fashion Shows”, “Monthly Bachat”, “Price Challenge”, etc. were conducted in store in which the customers were provided special discounts, offers in addition to the normal discounts and offers of the store. The main purpose of this sort of activities is to generate in the dull days of the week or of the month.
Learning Process for Summer Training at Big Bazaar
The following learning process for summer training at Big Bazaar of Udaipur city was given to me. According to this learning process, I had to undertake my summer training in Big Bazaar. The learning process is given below in brief:-
Merchandising This includes Inward, Display, Replenishing (FIFO), Offer Updating, Top Selling SKU’s, Bottom Line SKU’s, Liquidation Process, Defective Goods Handling (DAD- Damage & Defective), Margins, Buying, Outward, Stocktake.
Customer Service It has CSD (Customer Service Desk) Operations, Customer Movement, Customer Touch Point, After Sale Services, Home Delivery, Alteration and Customer Grievance Handling.
Visual Merchandising It has Signages, Details of Materials,
VM Frames, Shelf Talkers, Focal Piont/ Hot Spots, Execution of Promotions, Communication of Offers, Directional Signages in the Store, Window Display.
Cash Department It works on Cash Till Operations, Billing Process, Handling Cash, Tallying Cash, Allocation of Till wise Cashiers, Depositing of Cash in Bank, Shortage/ Excess Cash Treatment, All Modes of Payments, Checking of Currency Note, Foreign Exchange, Cash Float of Cashier, Grab Process, Currency Handling & System.
Information Technology REM Knowledge, SAP Knowledge, System Generated Report, Stock Adjustment, Scheme Updation, Hardware Knowledge, Day Closing Activity.
Human Resources PERK, Sanjeevani, Fun Jone,
Atithee, Employee of the Month, HR Policies, Prerna, Staff In / Out Management, Sturday Meeting, Payroll Process, Skip Meeting.
Operations Entire SOP, Opening of Stores, H. K. Activities throughout the Day, Security Activities, H. K. positioning, Security Positioning, Discipline & Attire Check of Security & H. K., Parking Management, Trolley management, Scrap Disposal process, Waste Management, Daily Check Points, Fixed Asset Knowledge, AMC’s Checklist of Fire Safety Equipments, A/C’s, Electricals, Lifts, Invertors, Chakkis, DG’s, LPC Process & Team Management.
Analysis Study Stock Cover, DSR Study, Age Analysis, Stock Turns, Sales Mix, Sales Trend, Margin Analysis, Per Sq. Ft. Return Analysis, Ticket Size, Conversion, Return on Capital Employed/ Working Capital Analysis.
FASHION DEPARTMENT @ BIG BAZAAR, UDAIPUR
Introduction Fashion department is a Line of Business (LOB) at Big Bazaar, Udaipur. Location of Fashion department is situated on 3 floor of the store. Fashion department has large range of Product mix. It has collection of huge brands. Fashion department plays an important role in Big Bazaar, Udaipur as it attracts the customers to visit the store. Everyday, it also contributes almost 25% sale of the entire store.
FASHION AT BIG BAZAAR
Fashion Fashion is trend to change that whatever happen in some period It come In all three month with the new product and with the modification of old product. It change simultaneously with the season.
Fashion @ bazaar At Big Bazaar fashion include all apparels Fashion is a very important LOB for big bazaar Big Bazaar get highest margin by fashion department The average contribution of fashion in Udaipur Big Bazaar is 23% The target contribution of fashion sub department in fashion are Men’s wear- 50%, Ladies wear-30% Kids wear-20% We “PROMISE”-that from today –we will start selling “FASHION” & not just apparel & take BIG BAZAAR to the next level by selling more & more fashion. Kar ke dikhana hai……
Process of Fashion Warehouse (Receiving)
Sub department Tagging On floor Staking (MPM)
Sub department of Fashion Men’s wear Ladies wear Kids wear Home Linen
Men’s Wear Section of men’s wear Men's Casual Men's Fabric Men's Formal Men's Occasion Wear Suit & Blazer Men's Accessories Men’s night wear
Men’s wear Brand’s of products AFL Knighthood John Miller DJ&C Famous Basics Signature Shatranj VIP
Ladies Wear Section of ladies wear Ladies Ethanic Ladies Western Saree & Dress Material Ladies Accessories Ladies night wear
Brand’s of Merchandises Sharisty DJ&C SHAYLA
Kids Wear Section in kids wear Children Wear Kids Accessories
Brand’s of Merchandises PINK & Blue Power Ranger
ABP V/S Achievement Week – 1 To 5
Sub Dept
ABP
Achievement
Ach%
Men's Casual
11.45
9.03
79%
Men's Fabric
0.12
0.06
50%
Men's Formal
2.66
4.10
154%
Men's Occasion Wear
0.6
0.82
137%
Suit & Blazer
0.14
0.10
71%
Men's Accessories
2.11
2.12
100%
Ladies Ethanic
4.09
3.11
76%
Ladies Western
5.41
4.94
91%
Saree & Dress Material
2.24
1.47
66%
Ladies Accessories
0.51
0.49
96%
Children Wear
9.23
6.83
74%
Kids Accessories
0.51
0.53
104%
BB-Fashion
39.07
33.60
86%
Tagging pattern There is three type of tag’s Soft Tag Hard Tag String Tag
Types of Tag String Tags
These tags are the hard plastic tags or could be paper sandwich tags with a non-deactivable soft tag placed inside. These tags are reusable like the hard tags Use only the non-deactivating soft tags Used on all items below Rs.400 in value and have been developed as an alternative to hard tags. The tags are attached to the item using a hard nylon fastener. To check if the tags are working, simply place them on the deactivating pad. If the tag does not beep stop use of the tag.
Hard Tags
Has got two specific parts- The pin and the tag. Used for apparels above Rs.400 and in certain categories on all the items. Tags will ring only if the pin is inserted properly Never use bent, damaged or rusty pins while tagging. The pins can be removed only using a detacher, thus care should be
Soft Tags
Soft tags are the flat paper tags. Must always be used on flat clean surfaces. A tag must be bent, do not bend any of the pink area of the circuit. bend 1 cm on one side only & no more than 90 degrees. They should not be used on garments, as they will leave a stain. These tags should not be put on metal or foil products unless there is at least 1 cm space between the security tag and the product, or else they wont work. These tags get deactivated on the deactivation pad.
Importance of mpm In fashion MPM (merchandise presentation manual) mpm is related to the visual merchandise. What is visual merchandising ? merchandise is briefly defied as presentation of a store as merchandise in the way that will attract the attention of potential to the customer and motivate them to make purchase.
Advantage of mpm Arranged merchandise properly Easy to find Easy to pick Easy to buy to put best forward the merchandise highlight I terms of colour ,quality Who can we make effective mpm Product should be tagged from manufacturing house. Focus light should be o the flor. Availability of Proper mannequins For all the product. Hygienic product should be packed. Stock should be properly displayed.
Birthday Celebrations at Big Bazaar 16 th-25th July
Big Bazaar Store located in the heart of Udaipur city had completed its third year since opening in the city in the month of July 2010. Keeping in mind its third anniversary, the store was celebrating it with the customers in the form of Birthday Celebrations. The store celebrated it for ten days from 16 th July to 25 th July 2010. The slogan for the birthday celebrations was “Khushiyon Ke Din Khushiyon Ke Upahaar”. Big Bazaar was celebrating its 3th Birthday from 16 th to 25th July. The theme for this celebration was “come celebrate with us, get fabulous gifts, bumper prizes, and enjoy loads of exciting activities in store.” Continuing its efforts to provide the best shopping deals and savings to Indian consumer, Big Bazaar was all set to celebrate this Birthday Anniversary with its Customers. It was truly memorable eith rock bottom prices, best possible discounts, mega offers and lucky draw also. Apart from the flagship Big Bazaar and its Food Bazaar, other departments like FurnitureBazaar, Electronic Bazaar, Depot, General Merchandise, and Fashion Department were also the part of this celebration. From daily household needs of food and grocery to apparels, footwear, toys, luggage, kitchenware, home decor, furniture and electronics; ‘Birthday Celebrations’ had an exciting array of attractive offers, deals and discounts, ensuring something for everyone in the family, to shop for, and a maximum ‘value for money’ for all customers. With this new shopping concept, Big Bazaar touches the heart of its customers and also maintains the company-customer relationship.
During the Birthday Celebrations, the following were the main offers in the Food Bazaar:
Space Mix and Space Management Space Mix For the retailer space is money. The store has to be planned in such a way that it optimizes the selling area and minimizes the non-selling parts. The selling area is used to present the merchandise and the non-selling part is accounted for by circulation space, staircases, lifts, facilities, the back area, etc. The area mix in a typical department store is: selling area about 60%, circulation area 15%and back area 25%.
Area Mix
60%
15%
2 Circulation 15% Back Area 25% Selling 60% 25%
Space Management The placement of merchandise within the store in the most profitable manner is called space management .it is one of the most important activities, because the location of merchandise at different location have different values. Some parts of store are more valuable because customers visit those more frequently, which results in higher sales. It is easier to make sales along. Space closest to the entrances and exits is the most is the valuable, and values decrease further into the store.
Retail Marketing Mix The basic function of retail is to provide the right goods to the consumer, at the right place and time. Through the retail marketing mix we can compete with our competitors and achieve the sales target. The marketing tools that a retail organization uses to pursue its marketing objectives are termed as the retail marketing mix. The most channels are: •
Product
•
Price
•
Place
•
Promotion
•
Presentation
•
Customer Service
•
People
The channels are illustrated in figure given below:
Promotion
Place
Presentation
Price
Customer Service
Retail Marketing Product Mix
Channels of Retail Marketing
People
Product One of the main elements of the retail marketing mix is the products and /or services that store offers to the customer. Products are also termed as merchandise. The different products that the store offers are together termed as the merchandise mix. For example, if we consider the Fashion at department store, the merchandise line comprises: •
Mans wear
•
Mans accessory
•
Party wear
•
Ladies wear
•
Kids wear
•
Home fashion
Price Pricing is an integral part of the retail marketing mix. The price policy that the organization decides to follow depends on the customer profile of the target audience for its range of products. Big Bazaar gives the good price to the customer .price makes the good relationship to the customers. Big Bazaar has a punch line “Isse Sasta Aur Accha Kahin Nahi”
It gives the high discount on the price like; foods products (20%, 25%, 35%), non food products (10%, 20%, 35%), buy one get one free Top Price, buy 3 get one free Park Avenue soap, etc.
Big Bazaar gives many offers to the customer like; the great Indian festival Big Days, Sabse Saste 3 Din, etc. In these types of days it gives the huge discount on the products.
Place The location of the retail store was considered to be the most important element of the retail marketing mix. Big Bazaar is situated at premier location in Udaipur, where Levis, E-Zone, Cafe Coffee Day, and Reebok like stores are situated. It is the best place for Big Bazaar.
Promotion The advertising budget, sales promotion, publicity and the public relations play a very important role in the competitive world of retailing .these help the store to achieve the short term goals. Promotion may be price led or occasional led, in which case special merchandise offered by the stores only for the occasion. Most retail organization run promotions during festival seasons. Big Bazaar also provides the promotional offers on festival like Diwali, New Year, ID, Valentine day, etc. Discounts depend on the products.
Presentation The manner in which the merchandise is presented at the store level is very important. This aspect not only deals with the store layout and the ambience created, but also with visual merchandising.
Visual merchandising is the orderly, systematic way of putting stock on display in the retail store.
Big Bazaar presents the store as per the season and occasions like; on Diwali store is decorated with candles and flowers, on Christmas store is decorated with stars, ribbons, balloons, Christmas tree and on Independence Day and Republic Day store is decorated with green, orange, and white balloons, etc. that attract the customers.
Customer Service The support services that a retailer offers have become very important today. The credit policies and the product returns policies need to be clear marketing, buzzwords in the industry today and all these are aimed at enhancing customer service.
In the Big Bazaar, the product range is good and availability of the products is very easy. Bag Bazaar provides the low price comparison to the other retailers. Big Bazaar provides the good services to their customer like; baggage counter, parking, product, help line, etc.
People Retailers operate in a unique environment. The retail industry is characterized by a large number of inexperienced workers, who need to put in long hours of work. Most of the time, these employees are in direct contact with the customer and may face irate or unreasonable customer.
The people who work at the front-end of a retail organization are very important, as they are the manners and products knowledge plays a very important role in building long –term relations with the customer.
Retail Communication Mix Communication is an integral part of the retailer’s marketing strategy. Primarily, communication is used to inform the customers about the retailer, the merchandise and the services. It also serves as a tool for the building the store image.
The retailer can used various platform / channel for communication. The most tools are: •
Advertising
•
Sales Promotion
•
Public Relation
•
Personal Selling
•
Point of Purchase (POP) Displays
The tools are illustrated in figure given below:
Sales Promotio n
Public Relation s
Advertisin g
Retail Communicatio n Mix
Point of Purchase (POP) Displays
Personal Selling
Advertising Advertising can be defined as any paid form of non- personal presention and communication through mass media. It is popularly believed that one of the main aims of the advertising is to sell to wide mix of consumers and also to induce repeat purchase.
However, a retailer may use advertising to achieve any of the following objectives:
Creating awareness about a product or store Communication information in order to create a specific image in the customer’s mind in terms of the store merchandise, price, quality, benefits, etc. Create a desire to want a product. To communicate the store’s policy on various issues. Advertising can also help identify a store carrying nationally advertised brands. It can also help in repositioning the store in the mind of the customer. To increase sale of specific categories or to generate short term cash flows by way of sale, bargain days, midnight madness, etc. Advertising can also help reinforce the retailer’s corporate identity.
For advertising, the retailer may use one or a combination of the following mediums:
Press advertisements Posters and leaflets, brochures, booklets Point of purchase displays
Advertising can also be done through mediums like radio, television, outdoor hoardings and the internet.
Sales Promotion Sales promotion helps a retailer by way of attracting customer traffic and enables quick result to be achieved. Depending on the type of promotion carried out, it can help increase impulse buying, generate excitement and can motivate other channel members.
Common retail promotions are illustrated:
•
Coupon: A coupon allows the buyer a reduction in price on specific merchandise or products, when the coupon is redeemed .coupons may be delivered through newspaper, magazines, post or in products.
•
Contests: A contest needs consumers to compete and the prizes are based on skill. In the case of sweepstakes, the customer only needs to enter in his name and the winner is determined by chance. Many retailers allow customers to enter into competitions on the basis of the amount of purchases they have made.
•
Demonstrations:
Demonstrations are used to show the customer, the performance capabilities of the products. Videos may also be used to aid the demonstration and show the use of the products.
•
Product /Brand Promotions and Schemes: This is a straightforward straightforward scheme
in which the consumer consumer either gets a
monetary discount on the purchase of a particular product/s or gets two products of the same type for the price of one –the “by one get one free” scheme is example of same.
Big Bazaar also does this type of sales promotion like; in plastics department important container buy one get one free.
•
Samples: Sampling provides the consumers with an opportunity to use the product at no cost. Various techniques may be adopted for sampling and this may take the form of in-store sampling-where the in-store staff hands out the samples.
•
Shopping Card: Many retailers make the own shopping card. It is very easy to promote the sales. Future group introduces the new future prepaid card .it is easily used in all future groups’ retail outlets.
Public Relations and Publicity
Public relations (PR) are a marketing communication function, which aims at fostering goodwill. An important component of public relations is publicity. By way of public relations, the retail organization strives to create and sustain a favorable image with consumer, shareholders, suppliers and the public at large. The job of public relation is usually handled by an outside Public Relations firm and it may be under taken to promote goodwill for the organization, to promote a particular product or to counteract negative publicity.
Publicity is a non paid form of media coverage. In today’s world, it is rarely free and a fair amount of skill has to be exercised by the organization to ensure that right media coverage is achieved.
Examples of events in retail which merit publicity are: •
Store openings
•
Store renovations
•
Celebrity visits and affiliations
•
Designer associations
•
New product ranges ranges and launches
•
Awards received by the retailer
•
Fashion shows and sponsored events
Personal Selling Personal selling is a paid form of personal advertising where salespeople assist customer in satisfying their needs though a person-to-person exchange of information .it is a process of learning the needs and the wants of the buys and striving to satisfy them with the required product or service. Personal selling may occur within the environs of the retail store-where personal selling requires the sales person to satisfy the needs of the consumer. It may also occur outside the retail store, where orders taken form customer by way of the telephone, internet or mail and them serviced. Personal selling is precise. It is aimed at a specific individual/s. Developing a strong sales force is hence an expensive proposition, as the sales person has to be trained on various aspects of communication, like understanding the body language of the customer, etc. He also needs to be knowledgeable about the features of products and services being offered by the retailer.
Point of Purchase (POP) Displays The dictionary of retailing defines Point of Purchase communication as the promotional signs and interior displays, often located at the point of sale or alongside displays merchandise. Point of Purchase (POP) Displays have become integral to retail today. They help reinforce in-store product branding, enhance retail sales floor communication and provide information to the customer. The basic function of pop in a retail store, include posters, danglers, flyers glow signs, translites, banners, etc.
The role of POP changes significantly with the type of product being sold and the customer’s involvement in the purchase. Different types of POP material would relevant in different types of stores and environment.
In the case of a supermarket, POP may be used to indicate prices, the location of products and any special or bargain offer in the store. POP in a store selling consumer durables and electronics may lay stress on the features of the product, the warranties and guarantees and the after sales services provided by the outlet.
Chapter-5 Conclusion & Suggestions As a matter of fact, this on the job training was fruitful for me as I learnt many management skills practically during training period at Big Bazaar. Right from the beginning of my training I observed so many things which are the part of daily routine of Big Bazaar, Udaipur. The store works smoothly as it is the chain of a well- known reputed organization. The retail staff personnel are of helping nature as they supported and co-operated me during training period and tried their level best to give me proper training of the retail store.
I also learnt how to apply all the management skills in the real situation in any organization. During my on the job training, however, I observed the following things at Big Bazaar, Udaipur:Everyday many people came only for visit at Big Bazaar. The foot- falls of customers are good at Big Bazaar, Udaipur. Mostly middle class family prefers Big Bazaar. Customers come at Big Bazaar because it gives the huge discounts and offers. During big days (5 Days Mahabachat), it has huge crowd of customers and the sale is very high. The offers/discounts changed any time if there is technical problem or shortage of stock. Team members sometimes do not pay proper attention to the customers on the floor.
Sinages were not maintained on the floor by team members. There were more than 10 cash counters at the store but they didn’t open every day. All cash counters are open only on festival season or on the mega offers of Big Bazaar. The order processing take huge time and sometimes gets delayed due to lack of stock at the vendor side. The collection of vegetables and fruits are done from local markets and local farmers. There was at least one meeting of Store Manager with employees in a week. Communication between the employer and employee is good. Employees have the good knowledge about the products in their own sections.
Conclusion
From all the available results this can be concluded that people have huge expectations from the company. They not only want all the things they are getting from other companies but in addition they also want some other benefits which in turn can give them security of being a part of Big Bazaar as a customer in long run. Big Bazaar has many brands in Food Bazaar such as Nestle, HUL, Cadbury, Amul, Tata, Parle, Bikaji, Marico, Adani’s Suffola, etc. but after that they do not have the large product range of these brands that is why they are losing their customers. Since many customers have different brand preferences. In Food Bazaar they have big brands as mentioned above but many times they do not achieve the target due to the arrangements of merchandise is not good and employees interaction with customers are very less. However, Food Bazaar contributes almost 50% of daily sale of the store. But sometimes in normal days, Food Bazaar does not achieve the target. In fact, during festival offers and Big Days, Food Bazaar has the major contribution in attracting customers and increasing the store sale. So we can say that customers want huge offers and discounts. If Big Bazaar gives huge discount and offers, it will definitely increase its sales. All the customers know about the Big Bazaar that is: “Isse Sasta Aur Achha Kahin Nahi!”
Although Big Bazaar provides many services yet there are many areas where customers demand for more than what they should get and which is beyond company policy like, free servicing, additional free gifts and extra term benefits. Company also facing some problems from its previous customers side that had some bad experience about the company product and service. It is due to the less attention of team members to the customers and not giving them complete information about the products. Big Bazaar also needs good service at CSD for their customers. In brief, the organization is working on all these aspects continuously by filling feedback forms from customers and conducting market research on products range and customers’ preferences.
Suggestions
The following suggestions could be made for the better performance of Big Bazaar, Udaipur:Review of everyday discounts/offers at signage whether they are updated properly or not. Signages should be displayed properly on the floor and near the entrance gate. More security gadgets and checks should be there to control thefts and employees working. Availability of products in each size should be at the floor. At least 6 to 8 cash counter should remain open everyday to avoid crowd at cash counter. Increase the number of supporting staff (team members) on the floor of Food Bazaar to pay proper attention to the customers. Increase the brand and products range in the Food Bazaar to increase the sale. Interaction should be there between employees and customers. Sitting arrangement and drinking water facilities on the floor for customers should be maintained regularly. The arrangement of merchandise should be proper on the floor.
Bibliography
Pride, William M., and Ferrell O. C. Marketing: Concepts and Strategies. 12th ed. Houghton Mifflin Co., USA, 2005 Ramaswamy, V. S., and Namakumari S. Marketing Management: Planning, implementation and Control. 3 rd ed. Macmillan India Ltd., 2002 Kotler, Philip, and Keller Kevin Lane. Marketing Management. Pearson Education, Inc., 2006 Kotler, Philip, and Armstrong Gary. Principles of Marketing. 11 th ed. Pearson Prentice Hall, 2006 Pradhan, Swapna. Retailing Management. Tata McGraw Hill, 2004
Web Sites: www.pantaloon.com www.wikimedia.com www.retailindia.com www.google.co.in
Annexure The Daily Log Report
Daily Log
Description of Activities
21 June 2010
This was my first day of summer internship at Big Bazaar, Udaipur. First of all, I met Mr. Dharmendra Sir (HR Manager) to get acquainted with the store organization. Then, he told me about the store organization and other rules and regulations of the organization that I had to follow during my on the job training in Big Bazaar. Then, with him, I visited the whole store and learnt about the systems and procedures followed in the Big Bazaar, Udaipur.
Signature of Supervisor
Name of Supervisor
Date
Remarks (for Comments by Company Supervisor)
Mr. Sanjeev Singh (Assistant Store Manager) 26 June 2010
Daily Log
22 June 2010
Today I met HR Manager in the morning and he took meeting with all the Management Trainees doing internship in Big Bazaar, Udaipur. He told about the interns’ procedures that were planned for us. He gave Description of Activities me the learning process of the summer training. He briefed about the learning process and told us to visit the store and to see the working procedure of Big Bazaar, Udaipur.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager) 30 June 2010
Remarks (for Comments by Company Supervisor)
Daily Log
23 June to 5 July 2010
From 23 June to 05 July, I passed through the learning process in detail. In this, I learnt about the organization and various departments (Line of Business). All department managers told about the processes followed in each line of business. The following learning plans for operations was told me:- 1 Merchandising 2 Customer Service 3 Visual Merchandising Description of Activities 4 Cash Department 5 Information Technology 6 Human resources 7 Operations 8 Analysis Study
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager) 9 July 2010
Remarks (for Comments by Company Supervisor)
Daily Log
06 July to 15 July 2010
From 06 July, I was asked to have on the job training in the Fashion (Department) which is a kind of line of business of Big Bazaar. I underwent my training in Fashion department till 15 July and learnt merchandising used in Fashion department. The learning experience was wonderful and excellent as it was real on the job training in Fashion department. Description of Activities I worked there as a team member and learnt all core concepts from Department Manager of Fashion department. I learnt how to do facing and how to display products properly on the floor. I also learnt about the offers that are used in Fashion department . In brief, I went through all the activities done in Fashion department of Big Bazaar.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
20 July 2010
Remarks (for Comments by Company Supervisor)
Daily Log
16 July to 25 July 2010
From 16 to 25 July, I worked on Birthday Celebrations of Big Bazaar, Udaipur. It was important occasion as this was the first birthday celebration of Big Bazaar, Udaipur. I learnt many activities done during the birthday celebration. Description of Activities
There was more learning for a marketing student. I was assigned the work of visual merchandising as well as customer service. Both the tasks were challenging but the final result was fruitful for me. I was also asked to focus on sales of Fashion department during birthday celebration. I also helped in charity activity done by the Big Bazaar.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
29 July 2010
Remarks (for Comments by Company Supervisor)
Daily Log
27 July 2010
On 27 July I learnt about stock take of the whole store. The whole day there was training about the store stock take that is done quarterly in Big Bazaar. In this, we were told that every product should be kept in proper arrangement as same product of same weight or same bar code should be scanned at a time. Description of Activities If It is not so then there would be mistake in stock take. For that, I helped in applying correct bar code on the product as well locating there place to avoid error in stock. I also helped in sticking stickers on every self to write the stock code on that. It was wonderful experience as I learnt about the inventory management.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
29 July 2010
Remarks (for Comments by Company Supervisor)
Daily Log
28 July to 30 July 2010
After training of stock take, I was assigned to work on stock take of whole store from 28 July to 30 July. I helped the organization in stock take of Fashion Description of Activities department. The whole day I helped in setting up location and sticking bar code.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
01 August 2010
Remarks (for Comments by Company Supervisor)
Daily Log
31 July to 03 August 2010
From 31 July to 03 August, I had learnt about various products of Fashion department. I also learnt how to make purchase order for the products in Fashion department . Without purchase order (P. O.), no product is ordered or dispatched from the vendor. I Description of Activities was told about the offers which are generally used in Fashion department to attract the customers and increase the sale. I also learnt how to handle customer grievance at Customer Service Desk (CSD).
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
05 August 2010
Remarks (for Comments by Company Supervisor)
Daily Log
04 August to 05 August 2010
From 04 to 05 August, I worked in warehouse of the store. In warehouse, I learnt about the handling of goods properly and after setting margin, bringing them on the floor. I also learnt how to do inward of the goods. For this proper checking is done of each material and entry is done in the inward register. I learnt about outward of Description of Activities goods which are defective or of expiry date. That is also noted in outward register. Both the registers are maintained properly in warehouse. After inward of goods, margin is set and then sent on the floor. I was told by the warehouse manager that how to make purchase order and sent it to the particular vendor. In brief, it was good learning experience in warehouse as I learnt about inventory management.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager) 07 August 2010
Remarks (for Comments by Company Supervisor)
Daily Log
06 August to 07 August 2010
I learnt about visual merchandising on 06 and 07 August. VM Manager told me that how VM is important for a retail store as it does the work of a silent salesman. He also told me about the signage and other details of VM materials. There are different sizes of frames in the store for the display. Description of Activities He learnt how a signage communicate offers and also about the execution of promotions. I was told how self talkers help in increasing the sales. He also told about the directional signage used in the store to help the customers. These signages are generally displayed at the entrance, exit, near the lift and near the wall of stairs.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
09 August 2010
Remarks (for Comments by Company Supervisor)
Daily Log
08 August to 10 August 2010
Keeping in mind the upcoming Big days (Five days Mahabachat), from 08 to 10 August, I was assigned the task of planning for big days and displaying the products properly in Fashion department . I was asked to make signages for the Fashion department and displaying them on particular product Description of Activities on the floor of Fashion department . I also helped in bringing the products on the floor and finding right space on the floor for that product to attract the customers and to increase the sales. I was given the responsibility of maintaining proper display on the floor. In brief, I had to work as a team leader on the floor during Big Days.
Signature of Supervisor
Name of Supervisor
Date
Mr. Sanjeev Singh (Assistant Store Manager)
12 August 2010
Remarks (for Comments by Company Supervisor)
Daily Log
11 August to 15 August 2010
