the black box theorists-iim bad mom me - mahindra retail - arpit shah v5
TRANSCRIPT
Mom & Me – Mahindra Retail
The Black Box Theorists
Mom & Me – Mahindra Retail
Campus Champions –
Indian Institute of Management, Ahmedabad
Final Round Presentation to GMB Members
24th November 2009, Mumbai
Currently MoM n Me is positioned as a
one stop shop for mother and child…
…which may not be sufficient in
certain locations
Ahmedabad Pune
Req
uire
d an
nual
cus
tom
er s
pend
ba
sed
on s
tore
siz
eConcerns
Bangalore
Delhi
Mumbai
Average Annual Customer spend
Req
uire
d an
nual
cus
tom
er s
pend
ba
sed
on s
tore
siz
e
City Ahmedabad Bangalore Delhi Mumbai Pune
Required Customer spend 25400 4800 11400 6000 21694
Store Size and
LocationLocation
Customer Value Big Store Small Store
Assortment (Variety)
Time taken for purchase
in store
Conveyance time to store
We should go for big stores in each city,
with 1-2 stores per city
Not Critical in this format
In store experience
Destination Store
Brand Awareness
…as the overall experience and assortment are more important in our format
Stand-alone should be preferred in
place of malls
�Destination Store
�Low Rentals�Low Rentals
Improving Instore
ExperienceExperience
The Rubber Band Theory for store
format
…the Rubber Band Theory contd.
Discouraging Risky Practices
Instore Experience -The missing piece
The piece that completes the puzzle
Baby Food Cafes
New Brand Trials
Ready to serve Foods
Few Adult Snacks
And Drinks
Increasing Margins
Mother’s Apparel
Kids Apparel
Kids Footwear
Brand vs Private Label Strategy
Mother’s Wellness
Baby’s Wellness
Toys and Games
Travel and Safety
Footfalls
Online Opportunities
Online Sales will not reach 100 cr
Rs. 10000/sqft/annum X 70,000 sqft =
70 Crores (Optimistic projections)
Product Compatibility
Targeted Advertising is Frugal Advertising
Targeted Advertising is Frugal Advertising
Website – The loudest mouth
Death of Brand Pages = Death of the Brand
Death of Brand Pages = Death of the Brand
What your competitors have and you do not:
Forums and Blogs
Technology for Online footfall wars
Store StaffStore Staff
Profile of store staff to provide unique
customer experience…..
Adjacent Opportunities
Private Lines
Distributors for International Brands
Tie up with Indian Brands
Target segment Overlap – Sec A, A1
Perfumes Perfumes
- Highest sales/sq ft
World’s biggest brands – Not available in
India
Baby Room Solutions Services –If you didn’t know, we currently sell every single piece in this picture separately.
Areas of Concern – Ahmedabad, Pune
Big Stores – 1 to 2 per city
In-store ExperienceIncreasing Margins
Private Labels Footfalls
E-commerce difficult
Online MarketingStore StaffAdjacent Opportunities
Pune
Stand Alone Stores, not in mallsEvangelism
For those parents who see an astronaut
in their little kid….
Thank You!
AppendixAppendix
There are two broad strategies for Revenue
Expansion
Sh
are
of
wal
let
Broaden Target
Incr
ease
S
ervi
ce
Offe
rings
• Increase repeat clientele
• Improve instore experience
•Additional Services
• Beauty Salon
• Masseurs
Customer Base
Broaden TargetMarket
• Young upwardly mobile career women
• Women’s apparel
• Fashion accessories
•Young teens
• Toys
• Chocolates
Delayed Differentiation can reduce Costs
in the Travel and Safety Category
Customer
ImportReorder
Quality VarietyDelayed Differentiation
Customer
Import
Quality andVariety Reorder
Europe India
Current Sourcing Strategy
Category and Merchandising Strategy
Category Roles
Preferred
• Mothercare Products
• Mattel products
Destination
• Imported Strollers
•International Branded
•Maternity Wear
•Kids Play area
Category Roles
Seasonal
• Winter wear
• Rainy season wear
Convenience
• Cerelac
• Baby oil
• Baby Cream
...attracting and retaining the right talent
G o i n g u p t h e l a d d e r
A u t o m a t i n g m u n d a n e j o b s
C o m p e n s a t i o n