Distributing services

Flow model of distribution to services:

Distribution embraces three interrelated elements:

 Information and promotion flow - Pantaloon retail promotes heavily through newspapers,
magazines, pamphlets, television and also in-store promotion. Their new promotion includes the
T24 concept wherein a customer can get free talktime if he shops at their outlet. The main
objective is to get the customer interested in buying the services.

 Negotiation flow – This element focuses on reaching an agreement on the service feature and
terms of offer so that purchase contract can be closed. It basically includes selling of a product
to a customer at a price with which they are satisfied. Pantaloon retail have segments in their
pricing which suits different customers. It has a online shopping portal named future bazaar
where customers can buy products at a very cheap rate and avail of many deals. The recent one
is a battleground deal which offers air-conditioner at a very cheap rate.

 Product flow – Possession processing services require facilities for delivery. The delivery of a
product is through various malls and stores of future group. They also have an online shopping
portal – “future bazaar” for convenience of the masses. Free home delivery is also provided to
customers.

Distribution of Core and supplementary services:

Core services: Core services include the shopping of products. It includes variety of goods of different
category available under one roof for the customer. Distribution of core services requires a physical
location. In case of pantaloon retail, the products are distributed at their various outlets.

Supplementary services: Supplementary services consist of after sales service, discounts, warranty,
parking facility, rest rooms, cashier and sales staff. In case of retail, distribution of supplementary
services also requires a physical location as it’s a possession processing service. In case of promotional
offers or discounts, these can be conveyed through advertisements in various modes of media. Here,
there is no need to visit the physical facility.

Method of service delivery:

The method of service delivery in case of retail is “customers visit the service site”. Pantaloon Retail
(India) Limited (PRIL) operates multiple retail formats in both the value and lifestyle segment of the
Indian consumer marker. Headquartered in Mumbai, the company operates 16 million square feet of
retail space, has over 1,000 outlets (including shop-in-shops) across 73 cities in India.