final copy of final project

8/8/2019 Final Copy of Final Project

1/68

1

11.. RReettaaiill IInnttrroodduuccttiioonn::

The word "Retail" originates from a French-Italian word. Retailer-someone who cuts off or

sheds a small piece from something. Retailing is the set of activities that markets products or

services to final consumers for their own personal or household use. It does this by

organizing their availability on a relatively large scale and supplying them to customers on a

relatively small scale. Retailer is a Person or Agent or Agency or Company or Organization

who is instrumental in reaching the Goods or Merchandise or Services to the End User or

Ultimate Consumer.

Retailing is the most active and attractive sector of last decade. While the retailing industry

itself has been present since ages in our country, it is only the recent past that it has witnessed

so much dynamism. The emergence of retailing in India has more to do with the increased

purchasing power of buyers, especially post-liberalization, increase in product variety, and

increase in economies of scale, with the aid of modern supply and distributions solution.

Indian retailing today is at an interesting crossroads. The retail sales are at the highest point in

history and new technologies are improving retail productivity. Though there are many

opportunities to start a new retail business, retailers are facing numerous challenges.


2/68

2

Traditional retail scene in India:

India is the country having the most unorganized retail market. Traditionally the retail

business is run by Mom & Pop having Shop in the front & house at the back. More than 99%retailers function in less than 500Sq.Ft of area. All the merchandise was purchased as per the

test & vim and fancies of the proprietor also the pricing was done on ad hock basis or by

seeing at the face of customer. Generally the accounts of trading & home are not maintained

separately. Profits were accumulated in slow moving & non-moving stocks which were to

become redundant or consumed in-house. Thus profits were vanished without their

knowledge. The Manufactures were to distribute goods through C & F agents to Distributors

& Wholesalers. Retailers happen to source the merchandise from Wholesalers & reach to

end-users. The merchandise price used to get inflated to a great extent till it reaches from

Manufacturer to End-user. Selling prices were largely not controlled by Manufacturers.

Branding was not an issue for majority of customers. More than 99% customers are price

sensitive & not quality or Brand Sensitive at the same time they are Brand conscious also.

Weekly Bazaar in many small tows was held & almost all the commodities were on the scene

including livestock. Bargaining was the unwritten law of market. Educational qualification

level of these retailers was always low. Hence market was controlled by handful of

distributors &/or Wholesalers. Virtually there was only one format of retailing & that was

mass retail. Retailer to consumer ratio was very low, for all the categories without exception.

Varity in terms of quality, Styles were on regional basis, community based & truly very low

range was available at any given single place. Almost all the purchases / (buying) by mass

population was need oriented & next turn may be on festivals, Marriages,

Birthdaysl&Asomekspecifickoccasions.

Impulsive buying or consumption is restricted to food or vegetables etc. Having extra pair of

trousers or Shirts or Casuals & Formals & leisure wear & sports wear & different pair of

shoes for occasions is till date is a luxury for majority population except for those living in

Metros. Purchasing power of Indian urban consumer is very low and that of Branded

merchandise in categories like


3/68

3

Apparels, Cosmetics, Shoes, Watches, Beverages, Food, Jewellery, are slowly seeping into

the lifeline of Indian City folks. However electronic & electrical home appliances do hold

appropriate image into the minds of consumers. Brand name does matter in these white goods

categories. In the coming times also majority of organized retailers will find it difficult to

keep balance with rest of the unbranded retail market which is very huge.

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 has

emerged 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 favorable 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 behavior, ushering in a revolution in shopping in India.

Modern retail has entered India as seen in sprawling shopping centers, multi-storeyed 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. 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.


4/68

4

22.. CCoommppaannyy IInnttrroodduuccttiioonn::

ADITYA BIRLA RETAIL LIMITED - more.

Mission

Our mission is to change the way people shop. We will give them more

The Groups foray into the retail sector began in 2006, when the Aditya Birla Group acquired

Trinethra, the south-India based chain of stores. Trinethra has over 170 outlets spread across

Andhra Pradesh, Karnataka, Tamil Nadu and Kerala. Instead of tying with Tesco, Carrefour,

Woolworth, they have decided to go all alone.

May 2007 saw Aditya Birla Retail Ltd. launching their brand of stores more.

The supermarkets have a minimum size of 10,000 sq.ft, the hypermarkets are spread over an

area of 75,000 sq.ft.

The more. retail chain is positioned on a platform that promises consumers a refreshing

shopping experience that gives them better quality, better value and more variety, combined

with convenience and ease of shopping.

more. promises a world class shopping experience to consumers, in their very own

neighbourhood, fulfilling everyday shopping needs for fruits, vegetables, grocery, frozen

food, bakery, homecare, personal care and pharmacy. Offering branded FMCG products and

house brands. Apart from a large range of national brands, shoppers can also find a section

called the Best of India, which is an assortment of unique products sourced from across India

more. is located at convenient locations within easy reach of consumers and a neat,

cheerful and friendly layout, enough isle space, signage that speaks the consumer's

language aiding in identifying what she has come to shop for easily, all go a long way in

ensuring convenience.


5/68

5

more. also has a membership program Clubmore, which provides convenience, customised

shopping solutions and savings, and the more. value promise becomes all the more evident.

The first supermarket was launched in Pune on 31 May 2007 to a phenomenal response from

consumers right from day one. With glowing and positive feedback from consumers, more.

stores are all set to take the market by storm.

Till date 100 supermarkets have been rolled out spanning Pune, Mumbai, Ahmedabad, Delhi,

Vizag, Bangalore, Vijayawada and Chennai.


6/68

6

33..IInnttrroodduuccttiioonn ttoo PPrroojjeecctt::

1. Project title: Catchment Analysis2. Project Objective:

1. To know the store layout, and the arrangement of the store (MORE) in complete.2. To understand the buying behavior and preferences of the consumers those are falling under

the catchment area.

3. To know the competitors activities taking place around the store falling under catchment area.4. To prepare store dockets that would serve as a bible for the present store manager as well as it

would assist any new manager joining it. The store dockets would consists of the following

information-

The store activities, layout and the arrangement Consumer behavior Competitors activities Catchment map Number of hoardings, print ads and their frequency, any promotions required for

the particular store

To help them finding the average footfalls and to suggest ways to increase it

3. Methodology:1. Visit the area and define the catchment area.2. Go to competitors store (organized as well as unorganized) and check out their offers and

promotional activities.

3. Take survey of the people staying in the catchment area (100 questionnaires per store).4. Prepare a store docket.5. Give suggestions if required.

Duration 1 month

Areas to be covered Central Mumbai (25% of the total outlets in Mumbai)

2 stores.


7/68

7

4. Store Locations:1. Thane Mohan Heritage2. Kalyan Shelar ParkThese are the stores in Central Mumbai. At present there are 16 stores here and at present

there are no plans to open any more store in or beyond this area.

ABRL is looking out for store locations in areas like Ghatkopar, Kurla and in the suburban

areas like Vile Parle and Worli.

5. Store Docket:Store dockets are prepared so as they serve as a bible for the present Store Manager and alsohelp the coming Managers to understand the store and the catchment around the store in a

better way.

It contains Shopper Profile that helps to know the number of households in the area and also

their purchase preferences as in the store name and the category that they prefer to purchase

from the particular store. It helps to understand customers buying behaviour. It also consists

of identifying the recreation areas, clubs, multiplexes, malls and restaurants in the area to

help identify areas where any promotional activities are to be conducted. It also includesidentifying target shopper congregation points which includes educational institutes, petrol

pumps, mandals, govt. organizations where they can again target the customers.

The next section in the docket is that ofCompetition Stores. In this there is a mention of

organized stores (modern trade), unorganized stores (traditional kiranas), mandis or

wholesale market in the catchment from where the potential customers buy. Details required

for organized and unorganized stores are

1.Name

2.Distance from our store (in kms.)

3.Average Sales/ Day

4.Average Walkins

5.Average Ticket Value (Avg. sales / Avg. walkins)

6.Sales/ sq. ft


8/68

8

These details for the modern as well as traditional trade helps understand our position in

terms of competition and also helps know consumer purchase preferences.

This section also includes marketing activities at competition so as to understand their

promotional activities and their actions so as to do well in the market.

The next part in the docket is the Marketing Activities of our store. Here there is a mention

of number of leaflets that are currently being distributed in the catchment area. Leaflets are of

A4 and A5 size. It also includes a door drop activity that has the name of the building or

society and the quantity of leaflets that they require. Also is there are areas where in

awareness is still required then for such areas banners have to be put up. Here we need to

mention the quantity and the size of banners along with communication element, meaning the

language in which communication in the area has to carry out. Also in certain areas that are

far away from our stores and we have some potential customers in the area than we need

some directional banners. Directional banners are also required in case the store is not on the

main road and visibility of the store is a problem. For these reasons we put up directional

banners that help guide way to the customers coming to the store.

It also includes mention of prominent bus shelters, gantries, traffic kiosks which will serve as

prominent hoarding sites.


9/68

9

Then a section comes wherein the stores needs to be scored. The Score Card consists of 5

parameters which are-

Location- location of the store in terms of area around, residential areas is a

preferred area. It also includes the number of competitors around.

Store size- here the store size is rated as per the no. of residents in the area. The

store should be able to accommodate the customers coming in the

store. It also sees the ease with which customer can shop in the

store.ie. whether trolley moving space is available or no and other

such factors.

Sales- rating has to be given as per the areas potential. For this we

Need to see the competitors sales and also the SEC of the

people residing in the catchment.

Footfalls- for this again the potentials is seen. The no. of people residing in the

area and the no. coming to our store for purchase has to be seen.

Visibility space- this includes visibility from outside as well as inside. Outside visibility

means the ease with which the store can be located and seen from the

road. Inside visibility would mean the placement of the products on the

shelves. How easily are they visible to the customers coming in the

store how convenient is it for any customer to locate any item that he

wants.

Once this is done a total has to be taken and an average rating is found out. Then it is to be

decided in this basis whether the store is a lead or a lag store.

The next section includes the Map. This map is the catchment map which includes the area

up to 1.5 to 2 kms radius from the store. It includes the societies, competitors stores and any

other recreational areas around the area.


10/68

10

The next section that follows is the Questionnaire Analysis. The analysis is in the form of

pie-chats that helps to understand the buying pattern of the consumers. It has questions like

the buying preferences in terms of regular store or any store and their buying patterns like

packed items or loose items. Through these questions we come to know the needs of the

catchment. It also helps to understand the demographics of the areas and the SEC of the

catchment. This helps to understand the kind of products required to be kept in the particular

area. For e.g. if it is Maharashtrian dominated catchment than more of poha, shingdana, tur

dal and rice is required. Likewise it also helps to understand the benchmarking product for

the catchment.


11/68

11

MOHAN HERITAGE

- THANE (WEST)


12/68

12

STORE DETAIL

Store Launch Date September 09, 2008

Store Size (in sq.fts.)Built up 2850

Retail Area

Fore court Area (if any) Nil

Staff Details

SM 1

ASM 1

Supervisor 2

CSA 19

Location Details

Store Name Mohan Heritage

Address Mohan Heritage, Ground Floor, Chandanwadi, Thane (W)

City Thane, Maharashtra, 421 201

Store Landline no. 64973861/62

Category Availability Fruits and Vegetables

Bakery

Home and Personal Care

Processed Food , Frozen Food

Staples

Beverages

General Merchandise


13/68

13

Unparallel offerings

/Services / SIS (shop-in-

shop)

No Unparallel offerings;

Services- free home delivery up to 3kms for and above Rs.1000;

SIS- 1.have magazine and novels counter

2.coming up with Essar Telecom counter

No. of -

Cash tills 3

Trolleys 15

Baskets 30


14/68

14

SHOPPER PROFILE

No. of Households 2000

Major Societies /

Residential Complexes

Name of the Society No. of Flats

Rameshwar 41

Sai Aanand 51

Shreeji Villa 156

Centre Point 80

Krishna Dham 64

TOTAL 390

Purchase Preferences

Name of the Store Preferred Purchased Category

Reliance Fresh Everything

Spinach Milk and F & V

Mayas

India Bulls Market

Everything

Everything

Vinod Kirana Store Staples and Beverages

Mangal Murti General stores Staples, Beverages and Personal Care


15/68

15

Recreations / Clubs /

Multiplexes / Malls /

Restaurants

Target Shopper

Congregation points

like Educational

institutes / Petrol

Pumps / Mandals /

Govt. Organisations

etc.

Prem Sagar Rest.,

Chiranjeevi Hospital,

Usha Bhaskar Hall,

Parshwa Banquet Hall,

Baskin Robins,

Cafe Coffee Day,

Monginis,

Dominos,

Pizza Hut.

S.R. Pawar Govt. Complex,

Thane Municipal Corporation,

Shri Nyandev Seva Mandal,

Bus Stops.


16/68

16

COMPETITION STORES

Organised Stores

Name

Distance from our Stores

( in kms.)

Average

Sales / Day

Average

Walkins

Store size

(Retail Area)

Maya's 800mt 35-40000 400-450 3500

Reliance Fresh 1 km 30-35000 350-400 2500

Natures Basket 2km 20000 250 10

India Bulls Market 2km 60-65000 500+ 3500

Spinach 2km 25000 250-300 1500

Reliance Fresh 2km 25000 250 2000

Unorganised Stores (Local Kirana Stores)

Name

Distance from our

Stores ( in kms.)

Average

Sales / Day

Average

Walkins

Store size

(Retail Area)

Santosh Prov. Store 600mt 15000 150 500

Mangal Murti Gen. Store 400mt 12000 120 500

Vinod Kirana Store 800mt 20000 250 700

Sharshi Viram Store 1.8 km 20000 250 600

Mera Bazzar 800mt 30000 350 900-1000


17/68

17

Marketing Activities at Competition

Activity Frequency

Maya's

1. Minimum 2% - 3 % discount on MRP

2. Home Delivery above Rs.700 only up to 2kms

Spinach

1. Spinach Membership card - My Spinach' cards

2. Free Home Delivery above Rs. 500 up to 2-3kms

3. Daily Milk Supply in morning

4. SMS service used for daily promotional activity

India Bulls

Market

1. Free Home Delivery above Rs.500 only up to 1 kms

2. Minimum 2% - 3% discount on MRP

Reliance Fresh

1. Reliance One Membership - For every Rs 100 that a customer spends he earns 1

RelianceOne point (1point = 17paise).The customer can redeem the points once he

has accures a minimum 25 points (can buy for Rs.17). Redemption valid up to 2

years.

2. Mobile Recharge Facility in the store, Electric Bills payment facility in the store.

Also one can get their 2 wheeler insured there through Reliance Finance by providing

some documents at Reliance Fresh itself

3. Happy Hours-Monday to Friday buy anything worth Rs.999 between 12.30pm to

4.30pm and get a surprise gift

4. Leaflet distribution done on every Saturday by door- drop activity

5. Reliance Fresh Recruitment Opportunity

6. Keeps a feedback form for the customers

7. Free Accident Insurance for Rs.50,000 and free home delivery

FEATURES-

1.Custom made deals, 2.Bonus points on everyday essentials, 3.Add-On cards for

your family members, 4.Free Home Delivery, 5.Cash-off Vouchers, 6.Shop-On-Phone, 6.Exclusive Members Preview for promos.


18/68

18

MARKETING ACTIVITIES

No. of Leaflets

Quantity

A4 Leaflets 2000

A5 Leaflets 1500

Door Drop Activity

Name of the Society Quantity

Garima Tower 24

Yashodhan Tower 24

Mohan 24

Mangala Prasad 20

Minal 38

Rameshwar 21

Sairaj 16

Krishna Dham 34

Sai Aanand 51

Automatic 18

Total 270+


19/68

19

SCORE CARD

Factors Reasons

Location 4 Though it has residential area around but

the no. of competitor are more & at present are

stronger than us, but it is at main junction.

Store Size 4 As per the residential area & keeping in

mind the future growth the area is

sufficient enough.

Sales 4 As per the catchment the store is doing

Well.

Footfalls 4 Of the no. of people living in the

catchment almost 70% are coming to the

store.

Visibility Space 3 The store is easily visible from the Thane

Municipal Corporation circle as well as is

on the main road.

Total Score 19

Average Rating 3.8

Result

Lead / Lag Store Lead Store


20/68

20

MAP


21/68

21

RE E TS DE RAPHY

As pert e questi ire, Demographi s consists of-

Nuclear Famil 72%Maharashtrian 86%

Non Vegetarians 84%

Earnings Rs. 15,000 Rs. 20,000

2 Wheeler 27%

Frui & Vegetables

13% ofthe respondents buy from Regular Store & ofthem 62% buy loose FnV

Ofthe 87% who buy from any Vendor, again 98% buy loose

When asked whether they would be buying packed veg, 25% responded yes for the chopped

packed veg.

13%

87%

F & V Buying Preferences

Re

A

38%

62%

Buying Format from

Regular Vendor

P c

e

L se

2%

8%

Buying Format from

Any Vendor

P

c

e

L

se


22/68

22


23/68

23

Staples

97% ofthe respondents buy from a regular store and ofthese 89% buy packed staples ofthe

3% respondents who buy from any store 100% buy packed staples

When asked, they replied that except for rice & wheat they buy packed staples

For rice & wheat they prefer buying the loose ones as they want to feel the quality of these

items prior to buying, also said that if samples are available than they can buy the same as

packed.

97%

%

Staple i g Pre ere ce

Re

A

y

89%

11%

i g Format rom

Reg lar e or

P

c

e

L ! ! se

100%

0%

i g Format rom

A e or

P c " e

L! !

se


24/68

24

Mil

69% ofthe respondents buy from a regular shop, either a dairy or from Spinach and ofthese

99% buy packed milk ofthe 31% ones buying from any shop, 3% buy packed milk

So here people prefer buying packed milk and they would prefer if they get a milk supply to

their homes daily in the morning.

69%

31%

Milk i g Pre ere ce

Re# $ % & '

A(

y

99%

1%

i g Format rom

Reg lar Ve dor

P)

c0 ) 1

e

L 2 2 se

3%

97%

i g Format rom

A Ve dor

P&

c3 & #

e

L4 4

se


25/68

25

Egg & NV

84% ofthe respondents are non vegetarians and of them 4% buy it from a regular shop. Of

the ones buying from the regular shop, 50% ofthem buy loose.

80% ofthe respondents who buy from any shop preferto buy loose NV

When asked if they would buy from packed NV 30% of those buying loose from a regular

shop said yes.

16%

4%

80%

Eggs & NV Buying Preferences

Ve 5 e 6 e 7 8 9 @

Re 5 A B 9 7

A @ y

50%

50%

Buying Format from

Regular Vendor

P C D E C F e

L G G se

0%

100%

Buying Format from

Any Vendor

PC D E C F

e

L H H se


26/68

26

Dri s & Snacks

15% ofthe respondents prefer buying from regular shop and ofthose 7% prefer buying loose

ofthe 85% who buy from any shop, 99% ofthem prefer buying packed drinks and snacks

We can keep certain offers on the snacks & drinks so as to attract more and more customers

to our super-market

As it is there are 12% Gujaratis in the catchment, so there is a greater opportunity of

increasing the sale of snacks & drinks in this particular catchment.

15%

85%

Drinks & Snacks Buying Preferences

Re I P Q R S

AT

y

93%

7%

Buying Format from

Regular Vendor

PU

cV U W

e

LX X

se

99%

1%

Buying Format from

Any Vendor

PR

cY R I

e

L X X se


27/68

27

Home & Personal Care

50% of the respondents buy from regular shop and of them 72% buy packed Home &

PersonalCare

88% ofthe 50% who buy from any shop buy packed Home & PersonalCare Products

Again here to attract more and more customers to MORE we need to offer discounts on these

products, especially on washing powders.

50%

50%

H & P C Buying Preferences

Re ` a b c d

Ae f

72%

28%

Buying Format from

Regular Vendor

P c g h c ` e

L i i se

88%

12%

Buying Format from

Any Vendor

P c g h c ` e

L i i se


28/68

28

IDENTIFIED GAP AREAS

Awareness - 100%

Consumer Perception- Expensive than competitors

Snacks & Drinks Washing Powders Butter Shampoos

Consumer Mind Mapping in Competition Scenario

Identified Non-penetrated Areas -

Krishna Kunj Gautam Sindhu Laxmi Nagar

Insight Shoppers on Drop-out - Reasons for Drop-outs -

Home Delivery not provided to the nearby areas whereas they get it from Reliance Freshas well as from other Competitors.

Chocolates are not stored properly (they found chocolates that were melted and then re-freezed).

Service Level -

The CSAs in the store are not aware about the discounts or offers that are present at anyparticular point of time.

Home delivery is a concern at times.

Assortment-

Smith & Jones jelly is not available Mapro


29/68


30/68

30

CONSUMER INSIGHTS

Feedback -

No separate assortment of veg & non-veg items Rates differ as told by the CSAs & that are actually there for the product Chocolates are in bad condition Lots of packages are open (zip pouch bag, chocolate)

Wish list -

Bajri Jowar More samples of Rice & Wheat Chopped vegetables Cold Drinks


31/68

31

Action Plan

Target residents of -

Krishna Kunj Gautam Sindhu Laxmi Nagar

Method -

Daily milk supply Mobile recharge facility in the store Improve home delivery Use competitive pricing strategy

Type of frequency of shopping should be targeted & kind of offer

Frequency to be targeted o Dailyo Weekly

Offers o Snacks like Lays, Bingo,......o Drinks like Tropicana, Frooti, ...o Feasters drink & Noodleso Oil rangeso Staples like Tur dal, Chana dal & Chana Flooro Washing powders (bucket, scrubber, other soap,)


32/68

32

Special Offerings

Essential

Staples Oil Washing Soaps

Value Added

Snacks Drinks

Catchment level tie-ups (Cross Promotions)

Tie-ups with- Prema Sagar Rest. Monginis Pizza Hut

Language Localization

Marathi Hindi Gujarati

Local Festivals

Diwali Ganesh Chaturthi Navratri


33/68

33

SHELAR PARK- KALYAN (WEST)


34/68

34

STORE DETAIL

Store Launch Date Feburary 29, 2008

Store Size (in sq.fts.)Built up 3100

Retail Area

Fore court Area (if any) Nil

Staff Details

SM 1

ASM 2

Supervisor 3

CSA 16

Location Details

Store Name Shelar Park

Address

Shelar Park C wing, Building no. 3, Shop No. 15-20, Khadak Pada,

Kalyan (W)

City Kalyan, Maharashtra, 421 301Store Landline no. 6457671/3/0

Category Availability Fruits and Vegetables

Bakery

Home and Personal Care

Processed Food, Frozen Food

Staples

Beverages

General Merchandise


35/68

35

Unparallel offerings

/Services / SIS (shop-in-

shop)

No Unparallel offerings;

Services- free home delivery up to 3kms for and above Rs.1000;

SIS- 1.have magazine and novels counter

2. Coming up with Essar Telecom counter3. Have given Vada Pav stall on rent outside the store.

No. of -

Cash tills 4

Trolleys 20

Baskets 66


36/68

36

SHOPPER PROFILE

No. of Households 2500

Major Societies /

Residential Complexes

Name of the Society No. of Flats

Madhav Shristhi 532

Gangagiri 344Flower Vally 168

Kasturi Grain 128

Sairam Vatika Soc. 112

Total 1284


37/68

37

Purchase Preferences

Name of the Store Preferred Purchased Category

Reliance Fresh Everything

Spinach Milk, FnV, NV

Radhanagar Super Store Everything

Laxminarayan General Store Everything

Recreations / Clubs /

Multiplexes / Malls /

Restaurants

Target ShopperCongregation points

like Educational

institutes/Petrol

Pumps/Mandals /

Govt.Organisations etc

Bank of Maharashtra

Smokin Joes

Konkanratna

BSNL

Gurudev NX

Baskin Robbins

Spring Time

Bus Stops

Arya Cambridge International

Gokul Vidayalaya


38/68

38

COMPETITION STORES

Organised Stores

NameDistance from our Stores

( in kms.)Average

Sales / DayAverageWalkins

Store size(Retail Area)

Reliance Fresh1 km 1-1.5 lac 400-500 4500

Spencers750mt 30-35000 200-250 3000

Spinach900 mt 50000 250 2500

Foodland Fresh1 km 1 lac 300 4000

Unorganised Stores (Local Kirana Stores)

Name

Distance from our

Stores ( in kms.)

Average

Sales / Day

Average

Walkins

Store size

(Retail Area)

Lakshminarayan Gen. Store 800 mt 40000 200 600

Mamta Kirana 750 mt 35000 200 700

Chaturbhuja Super Market 500 mt 45-50000 200 500

Mahalakshmi Super Store 500 mt 600000 200 1000

P Sons Kirana 800 mt 40000 150 1000

Radhanagar Super Society 500mt 70-80000 250 1500


39/68

39

Marketing Activities at Competition

Activity Frequency

Reliance Fresh

1. Reliance One Membership - For every Rs 100 that a customer spends he earns 1

RelianceOne point (1point = 17paise).The customer can redeem the points once hehas accures a minimum 25 points (can buy for Rs.17). Redemption valid up to 2

years.

2. Mobile Recharge Facility in the store, Electric Bills payment facility in the store.

Also one can get their 2 wheeler insured there through Reliance Finance by providing

some documents at Reliance Fresh itself

3. Happy Hours-Monday to Friday buy anything worth Rs.999 between 12.30pm to

4.30pm and get a surprise gift

4. Leaflet distribution done on every Saturday by door- drop activity

( Dombivali Station is main targeted area for leaflet distribution)

5. Reliance Fresh Recruitment Opportunity

6. Keeps a feedback form for the customers

7. Free Accident Insurance for Rs.50,000 and free home delivery

FEATURES-

1.Custom made deals, 2.Bonus points on everyday essentials, 3.Add-On cards for

your family members, 4.Free Home Delivery, 5.Cash-off Vouchers, 6.Shop-On-

Phone, 6.Exclusive Members Preview for promos, 7.Event Invitations

Foodland

Free home delivery above Rs. 500 up to 2-3 kms

Spinach

Daily Milk Supply in morning

Spencers

Spencers Card for purchase of every Rs. 1000 get Rs. 100 off


40/68

40

MARKETING ACTIVITIES

No. of Leaflets

Quantity

A4 Leaflets 1000

A5 Leaflets 1500

Door Drop Activity

Name of the Society Quantity

Shri SwamiRaj Soc 28

Shri SwamiKrupa 53

Kasturi Grain 128

Kashinath Apt. 20

Saidham 30

Maya 25

Shankheshwar Krupa 25

Kashinath Apt. 20

Dattatray Krupa 16

Sai Vinayak Co-op. Hsg. Soc 16

Flower Valley 168

Sai Ram Vatika Co-operative 112

housing Society

Prafulla Apt. 25


41/68

41

Shri Complex IV 25

Sai Sagar 20

Richa Apt. 10

Yash Purna Plaza 30

Rameshwar 20

Shri Sapashrungi 9

Krishnanagari 10

Harihar Darshan 9

Shri Jay Gajanan 9

Dwarka 10

Sai Darshan 10

Shiv Krupa 9

SunShine 15

Purnima 16

Kailash Park u/c

Abhishek 16

Abhinandan 16

Mangal Park 52

Parvati Dham 17

Ankita Co-operative Hsg. Soc. 25

Shiv Dhara 16


42/68

42

Gangiri enclave 344

Madhav Shristhi 152

Carnations 39

Chandresh Galaxy Pranit 18

Kewat 9

Kinara 10

Total 1582+


43/68

43

SCORE CARD

Factors Reasons

Location 3 Though it has residential area around but

the no. of competitor are more & at

present they are stronger than us, but it is

at main junction

Store Size 3 As per the residential area & keeping in

mind the future growth the area is

sufficient enough

Sales 2 as per the catchment the store is not

doing well as it should be doing

Footfalls 2 of the no. of people living in the

catchments not even 50% are coming to

the store

Visibility Space 4 The store is easily visible from Khadak

Pada circle as well as is on the main road

Total Score 14

Average Rating 2.8

Result

Lead / Lag Store Lag Store


44/68

44

MAP


45/68

45

RESPONDENTS DEMOGRAPHY

As perthe questionnaire, Demographics consists of-

Nuclear Family 46%Maharashtrian 36%

Non Vegetarians 67%

Earnings Rs. 30,000 Rs. 35,000

2 Wheeler 36%

Fruits & Vegetables

82% ofthe respondents buy from Regular Store& ofthem 82% buy loose F n V

Ofthe 18% who buy from any Vendor, again 61% buy loose

When asked about their preferences they revealed that they prefer buying loose and also

found that a majority of say about 30-40% have started buying from supermarkets and they

like the quality of leafy vegetables in particular from MORE.

82%

18%

F & V Buying Preferences

Rep q r s t

Au v

18%

82%

Buying Format

from Regular

Vendor

Ps

cw s p

e

Lx x

se

39%

61%

Buying Format

from ny Vendor

P y c y e

Lx x

se


46/68

46

Staples

96% ofthe respondents buy from a regular store and ofthese 82% buy packed staples ofthe

4% respondents who buy from any store 75% buy packed staples

When asked, they replied that except for rice & wheat they buy packed staples

For rice & wheat they prefer buying the loose ones as they want to feel the quality of these

items prior to buying, also said that if samples are available than they can buy the same as

packed.

96%

4%

Sta les Buying Preferences

Re

A y

82%

18%

Buying Format from

Regular Vendor

P c e

L

se

75%

25%

Buying Fromat from

Any Vendor

P

c

eL se


47/68

47

Milk

98% ofthe respondents buy from a regular shop and ofthese 70% buy packed milk ofthe 2%

ones buying from any shop, 100% buy packed milk

So here people prefer buying packed milk and they would prefer if they get a milk supplyto

their homes daily in the morning.

98%

2%

Milk Buying Preferences

Re

A

%

3 %

Buying Format from

Regular Vendor

P

c

e

L

se

1

%

%

Buying Fromat from

Any Vendor

P

cj k

e

L

se


48/68

48

Egg & NV

84% ofthe respondents are non vegetarians and ofthem 66% buy it from a regular shop. Of

the ones buying from the regular shop, 77% ofthem buy loose.

18% ofthe respondents who buy from anyshop, 100% preferto buy loose NV

When asked if they would buy from packed NV 30% of those buying loose from a regular

shop said yes.

18%

66%

16%

Eggs & NV Buying Preferences

Vel

em

en o

Re

A

y

23%

77%

Buying Fo

rmat fro

mRegular Vendor

P c l e

L se

100%

0%

Buying Fo

rmat fro

mAny Vendor

P c l e

L se


49/68

49

Drinks & Snacks

61% of the respondents prefer buying from regular shop and of those 64% prefer buying

packed. Ofthe 39% who buy from any shop, 95% of them prefer buying packed drinks and

snacks

We can keep certain offers on the snacks & drinks so as to attract more and more customers

to our super-market

61%

39%

Dri k Snack ing Pre erence

Rez { | } ~

A y

%

3 %

ing Format rom

Reg lar Vendor

P

c

e

L se

95%

5%

ing Format rom

Any Vendor

P

c

e

L

se


50/68


51/68

51

IDENTIFIED GAPAREAS

Awareness - 90%

ConsumerPerception- Expensive than competitors

Snacks & Drinks Staples Bath Soaps

ConsumerMind Mapping in Competition Scenario

Identi ied Non-penetrated Areas -

Madhav Shrishti Gangagiri Enclave

Insight Shoppers on Drop-out - Reasons for Drop-outs -

Home Delivery is not provided in nearby areas whereas they getit fromMohan Heights as well as from Competitors.

Chocolates are not stored properly (they found chocolates that were melted

71%

29%

Buying Format from

Regular Vendor

P

c

e

L se

100%

0%

Buying Format from

Any Vendor

P c e

L se


52/68

52

and then re-freezed)

Service Level -

The CSAs in the store are not aware about the discounts or offers that arepresent at any particular point of time.

Home Delivery is a concern at times.

Assortment-

Packed non-veg products ( specially Godrej Chicken ), Family pack of Colgate toothpaste.

Pricing-

For FnV Reliance Fresh is offering more discount (Specially in onion &Potato daily basis)

For juices they are not offering any discounts.

Communication- Most common languages used in the catchment are

Marathi

Hindi Gujarati


53/68

53

CONSUMER INSIGHTS

Feedback -

FnV should be fresh and packed properly Rates differ as told by the CSAs & that are actually there for the product CSAs are not aware of the products availability in the store. Lots of packages are open (Badasha masala)

Wish list -

Bajri Jowar Lijjat papad Packed chicken Cold Drinks


54/68

54

Action Plan

Target residents of -

Madhav Shrishti, Gagangiri Enclave Flower Valley Societies

Method -

Daily milk supply Mobile recharge facility in the store Improve home delivery Use competitive pricing strategy

Type of frequency of shopping should be targeted & kind of offer

Frequency to be targeted o Dailyo Weekly

Offers o F n V like Onion, Potato, Garlic (Combo Offer)o Combo offer of Oil, Wheat & sugar,o Staples like Tur dal, Rice & Wheat Floor,o Daily milk supply.


55/68

55

Special Offerings

Essential

Staples Oil F n V

Value Added

Snacks Drinks

Catchment level tie-ups (Cross Promotions)

Tie-ups with-

Local Auto Rickshaws Gopi Cine Mall

Language Localization

Marathi Hindi Gujarati

Local Festivals

Diwali Ganesh Chaturthi Navratri


56/68

56

44.. PPrroobblleemm aanndd RReeccoommmmeennddaattiioonn::

1. Stock problems in the store- there is a huge stock issue in this area. The stores are outof stocks for a major and very important period of the buying cycle.ie. in the month

start.

There are 2 reasons associated with the same-

a. The system is not taking the inventory count on its own and so replenishmentof stock is not happening

b. The other reason being that the store has been given a C grade, so the storesare not sent stocks on time

For the reason 1, the IT system has to be updated regularly and for the other reasons

the performance and the catchment be reviewed and to be given grades again. As the

stores that are ranked C grades have a potential to grow if given right support.

2. In both the stores the required stock is not sent and if sent then the MBQ is very lessfor the store. In such cases, the areas to be identified and the demographics to be

understood well so that the category availability is proper and fulfills the catchment

need. For the same reason, I have mentioned the areas along with the demographics

and the SEC classification. This will help deciding the products and the category that

has to be kept in the store.

3. We at our stores are not able to provide sufficient discounts for categories. Here ourcompetitors have a stronger hold and advantage over our stores. For the same reason

we need to offer more or at least same discounts as our competitors. Moreover the

discounts that we have are only very 0.25paise on products that actually gets rounded

off when the bill is made. So this aspect needs a major attention as far as pricing isconcerned to attract customers. The pricing has to be competitive.


57/68

57

4. We also have a disadvantage over our competitors in these areas as there are majorpeople here who are non vegetarians and we at our stores do not keep non vegetarian

food except eggs. Though in certain stores we have decided to come up with

providing non vegetarian food.

5. Other major problem that we have is home delivery. We require to have a stronghome delivery for the customers. As this is what is required by the customers now-a-

days.

6. We should start up with some competitions or activities in the fore court areas or inthe society and try and spread awareness about the store. The activities could include-

a. Having some competitions like painting or quiz or childrenb. Some recipe competition for house wives

7. We at present have a very poor IT System and it has it improve over a period of time.The billing takes too long, there are some errors in the bills taking up the discounts.

However this shall improve over time.

8. We have to be more clear and specific with the membership card that we offer to thecustomers. The surprise gifts have to contain some redemption points and not any

kind of surprise gifts. As these gifts if not be liked by the customers than the

membership card may hold no meaning.

9. In Shelar Park store where a loose staple are required and is preferred more. So forthis area we will have to keep loose staples for the customers.

10.The CSAs in the store are required to know the language that is used most commonlyin the catchment area. It helps to attract more customers and helps create a friendly

environment in the mind of customers and also ensures that the customers shall come

again to the store. As what finally matters in retail industry is the kind of service that

one provides. Service is the only distinguishing feature that helps retail sector.


58/68

58

11.Our stores can work on some themes. Like seasonal themes and the store be keptcolourful and attractive for the kids to be attracted to the store.

12.We shall start keeping stationary materials like children study material-books, pencils,erasers in the store. The locations of the store are such that they are away from the

station and in these areas there is at present very little development that has actually

taken place. For the same reason if we can provide these people with such children

needs then we will be able to attract children more to the stores. Specially the stores

which are located very near to schools and colleges.

13.Also store location for another more store to be carefully studied. There are areaswhere a more has become a competitor for an existing more store. For e.g. In Kalyan,

Shelar Park is at a distance of less than 500mts than Mohan Heights.


59/68

59

55.. CCoonncclluussiioonn::

After interviewing the customer in the catchment area , marketing team , store people

i.e. SM, CSS, CSA and analyzing the data. I came to know that the customer in the

Central Mumbai belong to middle class and usually this people are attracted towards

offers , assortment, quality , price , fresh F&V . So for achieving the mentioned objective

there is needed to work upon the customer need. All the store in the Central Mumbai has

a potential to perform 100% just need little efforts. For e.g., In the month of January

Shelar Park has achieved 84% of the target i.e. target was Rs. 16,40,000 , Mohan

Heights has achieved 91% of the target i.e. target was Rs. 15,00,000. There is needed to

run fresh marketing activities in this area.


60/68

60

66.. BBiibblliiooggrraapphhyy::

1. http://www.adityabirla.com

2. Stores manual at Aditya Birla.

3. Book With four Author Kotler, Keller, Koshy, and Jha. (2007).

Marketing Management Twelfth Edition.

4. http://retail.about.com/od/glossary/g/retailing.htm

5. http://wiki.answers.com/Q/Definition_of_organised_retail


61/68

61

77.. AAppppeennddiixx::

The Questionnaire for the Survey

Name of Respondent

Address

Landmark Date:

Tel. No. Mobile No.

Interviewer name Supervisor

Centre:

Good.....! I am coming from Aditya Birla Retail Ltd. Currently, we are conducting a research

among households in this area. In this connection, I would like to talk to the HOUSEWIFE

who purchases the food products that are consumed in the household. IF RESPONDENT

NOT HOUSEWIFE. RE-INTRODUCE. I have a few questions I would like to ask you. May

I have a few minutes of your time?

1. Could you please take a look at this card and tell me what is your household structure?Nuclear family : 1 Joint family : 3

Nuclear family with

elders

: 2 Single person/ living with siblings / others : 4

2.i. Could you please tell me how many of your family members belong to

__________(READ AGE GROUP FROM GRID1)

2.ii. Could you please tell me how many of your family members belonging to ___________

(READ AGE GROUP FROM GRID1) are

a Malesb Females


62/68

62

GRID 1

Q 2.i Q 2.ii.a Q 2.ii.b

Age group Nos. No of Males No. of females

< 5 years

5 14 years

15-19 years

20 29 years

30 39 years

40- 49 years

50 + years

3.Could you please tell us how many family members eat from your kitchen in this

household?_________

SHOW RELIGION CARD

4.Could you please take a look at this card and tell me to which religion do you belong to?Hindu : 1 Buddhist : 5

Muslim : 2 Jain : 6

Christian : 3 Others : 7

Sikh : 4 Not disclosed : 8


63/68

63

SHOW LANGUAGE CARD

5. Could you please take a look at this card and tell me which language do you

i. Most commonly speak in household

ii. Can speak

iii. Can write

iv. Can understand

i Most commonly

speak in the HH

ii.

Speak

iii.

Write

iv.Understand

Hindi 1 1 1 1

English 2 2 2 2

Marathi 3 3 3 3

Gujarati 4 4 4 4

Punjabi 5 5 5 5

Others 1 (Please specify)______________ 6 6 6 6



SHOW FOOD TYPE CARD

6. Could you please take a look at this card and tell me about what kind of food you eat?

Vegetarian : 1 Non Vegetarian : 3

Egg Vegetarian : 2 Not disclosed : 4


64/68

64

SHOW OCCUPATION CARD

7.a. Could you please tell me the occupation of the chief wage earner (one who

contributes maximum to the running of the household) of your household?

________________________________

CWE

(7.a.)

Officer : 1

Assistant Manager : 2

Manager : 3

Sr. Manager : 4

Dy. General Manager : 5

General Manager : 6

Sr. General manager : 7

Asst. Vice President : 8

Vice President : 9

Head of Department : 10

CEO : 11

Businessman/ Shop-Keeper/ Manufacturing Unit Owner : 12

Others : 13


65/68

65

SHOW EDUCATION CARD

8.b.i Could you please take a look at this card and tell me your education level?

8.b.ii Could you please take a look at this card and tell me the education level of the chief

wage earner (one who contributes maximum to the running of the household) of your

household?

RESP

(8bi)

CWE

(8bii)

Illiterate : 1 1

Literate but no formal school : 2 2

School Below 10th

: 3 3

School 10t

pass : 4 4

School 12th

pass : 5 5

Graduation - BA/ B. Com/ B. Sc : 6 6

Post-Graduation MA/ M. Com/ M. Sc. : 7 7

Diploma : 8 8

Engineer : 9 9

MBA : 10 10

CA : 11 11

Doctor : 12 12

Lawyer : 13 13

Others : 14 14

Not disclosed : 15 15


66/68

66

SHOW MHI CARD

9. Could you please take a look at this card and tell me your total monthly household incomefrom all sources (salary/ pension, investments, rents from property, part-time business)?

10. Could you please take a look at this card and tell me which vehicle do you own?

None 12-Wheeler

(_________________________)

3

Bicycle 2 3-Wheeler

(_________________________)

4

4-Wheeler

(_________________________)

5

Below Rs.2500 1 Rs.20001 -25000 7

Rs.2501 Rs.5000 2 Rs 25001- 30000 8

Rs.5001 Rs.7000 3 Rs 30001- 35000 9

Rs.7001 Rs.10000 4 Rs 35001- 40000 1

0

Rs.10001 Rs.

15,000

5 > Rs 40,000 1

1

Rs.15001

Rs.20000

6 Not Disclosed 1

2


67/68

67

PURCHASE BEHAVIOR

1 Could you tell me, how much you spend in a normal month on _________ ( READ

ITEM FROM GRID 1) RECORD IN GRID 1 BELOW

2ACould you please tell me for your______ (READ PRODUCTS FROM THE GRID

1) do you (READ FROM TABLE BELOW)?

Buy from a Regular Vendor/ Store/

Shop

1 Buy from any vendor/ Store/ Shop in

the area

2

2B RECORD NAME OF VENDOR/S/ STORE/S/SHOP/S

3Could you please tell me for your______(READ PRODUCTS FROM THE GRID 1)do you prefer buying

Package item 1 Loose item 2

4Could you please tell me who in the household usually goes to buy/shop______(READPRODUCTS FROM THE GRID 1) from your household

Self 1 Full family 4

Spouse 2 Servant 5

Me & spouse both 3 Any other (Please specify)______________ 6


68/68

Q1 Q4

Regular Any Package Loose

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

1 2

Salt & Spices

Cooking Oil5

6 Sugar

14 Soft drinks and juices

S.No.

Personal care pdts. e.g. Bathing soaps/powders/ creams & lotions/hair oils etc

16

7

15 Home care prdts eg Washing soaps/

detergents/ washing powder/ etc.

13 Other food items like Wafers/ Chips/ Farsan/

Biscuits/ Chocolates/

Cookies/Jams/bread/cakes/ice creams etc.

12 Hot beverages (Tea/ Coffee/ MFDs)

11 Butter/ cheese/ other dairy

10 Meat/fish

9 Eggs

8 Milk

4 Main Groceries e.g. rice, wheat, dals

3 Onions & potatoes

2 Fresh/Green vegetables

1 Fresh fruits

Items Monthly Spends

(Rs.)

Vendor Type Who

Q.2 Q.3

final copy of final project

Documents