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2013

A STUDY OF CUSTOMER PERCEPTION FOR JULIANA FASHION CLUB AND ITS COMPARISON WITH SELECTED APPAREL STORES IN RAJKOT.

Submitted To: Prof. Siraj Bloch


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Prepared By: Pooja Kalaria

PREFACE
In this era of globalization where every minute India is moving a step ahead and expanding it horizontally, management in India is heading towards a profession. The demand for management professionals is increasing day by day. In such competitive surroundings it becomes a requirement to have an edge over others and PGDM is such a course, which helps and assists students in doing that.

The practical studies are treated as a different subject in PGDM which helps the students in practically applying their theoretical knowledge. It helps us to face competition, builds up our confidence and also add something to our personality. Over and above in this fast moving economy, here practical studies play an important role in molding our careers. In this regard, I have prepared a project on JULIANA FASHION CLUB AND ITS COMPARISION WITH SELECTED APPAREL STORES IN RAJKOT we have got a chance to acquire practical knowledge at the time of collecting information. We have tried to cover all the relevant points about consumer satisfaction level. And I have tried to give it in a most precise yet systematic manner.

ACKNOWLEDGMENT

Hereby I take this opportunity to thank MARWADI EDUCATION FOUNDATION for providing me an opportunity to do a research project on Juliana fashion club.

I express our sincere gratitude to my mentor and guide, Prof. Siraj Bloch who always provided me necessary inputs, guidance and direction to carry out this project. He provided me access to different domains of knowledge from where we collected inputs for this project. Last but not the least, our million thanks to all the people including customers, retailers whom we have conversed with and taken inputs from to move ahead and complete this project.

Puja kalaria

EXECUTIVE SUMMARY

The enormous retail boom in India has given space to many companies who have mushroomed out to benefit from this retail boom, which is nothing but a structured format of the unorganized retail business which is being done in India from ages.

Many stores have come up with exquisite interiors, state of the art infrastructure and the best possible brands to the customer which has led to the growth of mall culture in India. The stores try and attract customers by providing them with such services and plethora of options in brands in different categories so that they can retail customers for long and make them loyal towards their retail stores.

The retail business is booming in India and there has been remarkable shift in the buying behavior of the people from traditional stores to these departmental stores. It becomes important for the marketers to understand these relationships for successful design and execution of retail strategies. It would also enable the researcher to understand the organized retail formats and consumers buying attitude towards these stores.

The data was collected by getting the questionnaire filled by the respondents who were loyalty card holders to find out that what makes them loyal towards Westside stores and makes them visit Westside again and motivates them to purchase more from here. The purpose of this paper is to raise the question of the relationship between the various factors and how they lead to store loyalty.

Table of Contents
PREFACE .................................................................................................................................................. 3 ACKNOWLEDGMENT ............................................................................................................................... 4 EXECUTIVE SUMMARY ............................................................................................................................ 5 INTRODUCTION ....................................................................................................................................... 7 INDIAN RETAIL INDUSTRY ................................................................................................................... 9 INDIAN TEXTILE AND APPAREL INDUSTRY SCENARIO ...................................................................... 12 FOREIGN INVESTMENT IN INDIAS RETAIL SCENARIO .......................................................................... 20 ORGANIZED RETAIL IN RAJKOT ............................................................................................................. 28 HISTORY OF RAJKOT CITY ...................................................................................................................... 32 ABOUT JULIANA FASHION CLUB ........................................................................................................... 33 INTRODUCTION TO THE STUDY ............................................................................................................ 34 OBJECTIVE OF THE STUDY: ................................................................................................................ 34 LITERATURE REVIEW ............................................................................................................................. 35 RESEARCH METHODOLOGY .............................................................................................................. 37 HYPOTHESIS ............................................................................................. Error! Bookmark not defined. ANALISYS OF THE STUDY .......................................................................... Error! Bookmark not defined. FINDINGS............................................................................................................................................... 51 SUGGESTIONS ....................................................................................................................................... 53 LIMITATIONS OF THE STUDY ................................................................................................................. 55 BIBILIOGRAPHY ..................................................................................................................................... 56

INTRODUCTION
Retailing consists of the sale of goods or merchandise from a fixed location, such as a department store ,shopping mall etc .The retailer buys goods or products in large quantities from manufacturers either directly or through a wholesaler, and then sells smaller quantities to the end-user. Retail establishments are often called shops or stores. Retailers are at the end of the supply chain. Manufacturing marketers see the process of retailing as a necessary part of their overall distribution strategy.

In the retail outlet various type of good and service are provide to the customer but all the goods and services are generally homogenous in nature through all the other retail outlets . Product and services of every company are available in every retail outlet. It is also find that many customer only used to shopping in own decided outlet rather from every outlets even there is homogenous among the product and service offer by the every retail outlet .So This put the question in the mind of the every retailer that is there is any gap between what customer expected from retailers and what retailer provides to customer during shopping.

No two customers have the identical likes and preferences. Delivery value and narrowing down the zone of tolerance is a tightrope walk for marketer in organized retail sector. Especially in market like India the challenges is formidable because organizations need to cater to a wide and diverse group of customers .Thus building equity and generating volumes in such complex market tapers down to the function of managing customer expectation.

Customers take their time to first sketch their needs and then arrive at a specific decision. At the end of the day the question is what does the customer expect? How to fulfill the glaring gap between need and expectations? The answers to this question are by delivering the value But in many case retailers are not aware of what their customer expect. Hence they are unable to deliver the right value to the right customer and satisfy them .Especially in this competitive scenario where the customer are well informed, commanding and demanding at the same time it has become imperative for the organization to be updated on the WHAT ,WHY and HOW of each and every customer. This calls for empathizing with the customer by indulging into their priorities and decision making.

Following general expectations of a typical customer Value of Money Availability and location Service expectations Quality in Product Need based solution

So in other to deliver the value, Retail outlets in addition to providing products and services, need to cater for a wide range of motives. The various determinants of retail outlet preference include cleanliness, well-stocked shelves, and range of products, helpful staff, disabled access, wide aisles, car parking, multiple billing points and environmentally friendly goods. These differing motives arise as retailers cater to different types of shoppers who include economic consumers (concern with value), personalized consumers (concern with relationships), recreational shoppers (shopping as a leisure activity) and apathetic consumers (who dislike shopping). Retailers have to satisfy budding customers, older consumers as well as time crunched individuals whose motives all tend to be conflicting as well as different. Retailers need to establish a good image to prevent customers from shopping around. They must cater to shoppers need for pleasure and practicality.

If expressed as a calculation, customer satisfaction might look something like this: Customer expectations = Companies Performance/ Companies Satisfaction Satisfaction is a consumers post-purchase evaluation of the overall service experience. It is an affective reaction (Menon and Dub, 2000) in which the consumers needs, desires and expectations during the course of the service experience have been met or exceeded (Lovelock, 2001). Satisfaction in this sense could mean that a supermarket has just barely met the customers expectations, not exceeded nor disappointed those expectations. The benefits of taking the customers response beyond satisfaction at this level by exceeding expectations, is a competitive strategy many retailers aspire to achieve. There is a recurrent struggle for existence and survival in the wake of deep competition, drastically changing customer attitudes and expectation levels.

The study would enable us to understand the impact of various factors that influence a consumers shopping behavior in a departmental store. It would also help in knowing the magnitude and direction of movement of these factors amongst each other. These factors have been divided into three heads- Store, Situation and Shopper factors.

INDIAN RETAIL INDUSTRY


The word 'retail' is derived from the French word 'retailer ' meaning 'to cut a piece off' or 'to break bulk'. In simple terms it involves activities whereby product or services are sold to final consumers in small quantities.

Although retailing in its various formats has been around our country for many decades, it has been confined for a long time to family owned corner shops. Englishmen are great soccer enthusiasts, and they strongly think that one should never give Indians a corner. It stems from the belief that, if you give an Indian a corner he would end up setting a shop. That is how great Indians retail management skill is considered.

Retailing in more developed countries is big business and better organized that what it is in India. Report published by McKinsey & Co. in partnership with Confederation of Indian Industry (CII) states that the global retail business is worth a staggering US $ 7 trillion. The ratio of organized retailing to unorganized in US is around 80 to 20, in Europe it is 70 to 30, while in Asia it comes to around 20 to 80.

In India the scenario is quiet unique, organized retailing accounts for a mere 5% of the total retail sector. Although there are around 5 million retail stores in India, 90% of these have a floor space area of 500sq.ft. Or less. The emergence of organized retailing in India is a recent phenomenon and is concentrated in the top 20 urban towns and cities.

Last up dated, November 2012: The Indian retail market, which is the fifth largest retail destination globally, has been ranked as the most attractive emerging market for investment in the retail sector by AT Kearney's eighth annual Global Retail Development Index (GRDI), in 2010. As per a study conducted by the Indian Council for Research on International Economic Relations (ICRIER), the retail sector is expected to contribute to 22 per cent of India's GDP by 2011

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REASON BEHIND SUCCESS


This emergence of organized retailing has been due to the demographic and psychographic changes taking place in the life of urban consumers.

Growing number of nuclear families, working women, greater work pressure, changing values and Lifestyles, increased commuting time, influence of western way of life etc. have meant that the needs and wants of consumers have shifted from just being Cost and Relationship driven to Brand and Experience driven, while the Value element still dominating the buying decisions.

Also, with the liberalization of Indian Economy in the early 1990's the employment and income from the service sector has lead to the burgeoning of the so called 'Middle Class Consumers'.

THE BIG GIANTS

The level of interest shown by major corporate sector has increased manifold over the last few years. Large conglomerates like the TATA's, ITC, the RPG group, the Piramals and the Rahejas have invested heavily into large format retail stores. Organized retailing for some of these business groups is a logical extension of their businesses. For example Real Estate Major Rahejas have successfully exploited their expertise in selection and execution of retail establishment in prominent places around metros in the country.

Also textile and garments companies like Raymond, Madura Garments and Arvind Denims have successfully employed forward integration by opening up exclusive outlets for their branded garments. This reduces their dependence on intermediaries, increases the profit margin and allows them to remain close to their customers.

Apart from apparel brands, Consumer durables, FMCG products and Sports brands have also spurred the growth of retails outlets. In fact, so much is the promise of this

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sector that old Economy major like Reliance, BPCL and others want to join the band wagon to cash in on their reach and retail space availability.

Organized retailing in India initially began in south The availability of land at prime locations coupled with lower real estate prices enabled the construction of multistoried shopping complexes. The growth of retailing in an expensive real estate places like Mumbai and Delhi was due to the recession in the real estate sector during the mid-nineties. It was during these times that big business houses like Piramas an d Rahejas took notice of the potential in organized retailing.

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INDIAN TEXTILE AND APPAREL INDUSTRY SCENARIO


FASHION BUSINESS: IN-TUNE WITH RETAIL EVOLUTION India in recent years has been the focal point of continuous growth and development making it one of the fastest growing economies of the world. It is the 4 largest economies in terms of Purchasing Power Parity, after USA, China & Japan, and is rated among the top 10 FDI destinations.

The Indian consumer is evolving and driving retail growth due to increased consumption. Private consumption growth contributes to more than half of the GDP growth and is growing in double digit figures. Several businesses are reacting to this evolution positively, both through pull and push phenomenon.

Following a similar trend, the Indian textile and apparel industry is also experiencing rapid changes and growth. Apparel today has the largest share of the modern organized retail in India i.e. 20% of the current market of Rs. 56,000 corer and this is expected to grow at a constant rate of 20% over the next 4 years. The central theme woven through these trends is the way the consumer at various income-levels is evolving, thereby ensuring that businesses are reacting in multiple ways.

The 'mass consumer' segment is moving from tailored clothes to stitched apparel giving rise to discounted apparel stores/retailers. This is causing a shift from unbranded to branded apparel. The 'middle end consumers, already exposed to brands is now looking to extend these brands into all aspects of their life. Brands are thereby becoming lifestyle brands instead of being product brands only. These consumers are also moving up the social ladder and wish to flaunt the change in stature by wearing affordable 'designer wear'. This is prompting designers to introduce lines and corporatist their lines to reach out to a larger audience. The 'high end consumer, who is exposed to international luxury brands, now demands them in his/her vicinity. Apparel businesses are realizing this and tying up with international brands to retail in India. These consumers are also increasingly exposed to environmental issues and want to use eco-friendly products (including apparel) to do their bit for the society. Though this concept is at a very nascent stage in India,

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apparel companies are reacting by 'going green' and using natural fibers in some of their collections.

As all consumers, especially kids and the youth, are exposed to fashion and media, they wish to associate themselves with characters and icons. Picking on this trend, apparel companies are licensing these characters/icons for apparel & accessories to increase their customer base.

Additionally, as consumers face hectic lifestyles, they are looking for convenience in all aspects of life including shopping. Fashion businesses are taking the lead from here and taking on consumers at unconventional avenues of retailing like airports, metro stations, cafes, beauty salons, etc. Designer prt lines go green Retailers buy into brands Manufacturing companies acquire and integrate operations licensing of characters/icons for apparel & accessories to increase their customer base.

RISE IN DISCOUNT RETAIL STORES


Retailers are increasingly accepting the widely agreed fact that consumers love a bargain and always look forward to buying brands at low prices. Factory outlets have become distinct shopping destinations with distinct audiences. Apparel companies are focusing on this market to cash in on consumers converting from stitched apparel to ready-to-wear, further graduating to branded apparel. India is thus seeing a surge in discount retailers offering year round discounts, ranging anywhere between 30% to 70%.

The Future Group has recently launched a new format called the 'Brand Factory' selling national and international fashion brands at discounted prices with discounts ranging between 25-50%. The store will have as many as 120 brands such as Arrow, Esprit, Van Heusen, Levis, Reebok, Lee, Pepe, Wrangler, Provogue and many others, spread over 70,000 sq. ft. of space. The group plans to expand its presence by opening as many as 55 outlets by 2010. The concept is positioned as a direct competition to Arvind Brand's Mega Mart which also sells its brands at discounted prices. Arvind Brands is rapidly expanding their Mega Mart chain with

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plans to increase their number of stores from the current count of 54 to 150 stores in the next 5 years.

Koutons Retail India, which started as a product brand is today the largest menswear brand in India in terms of its sales and number of stores. The success of the brands positioning is very clear from the fact that from a store count of 240 a year ago, it has expanded to 999 in 2007, and its turnover grew from Rs. 58 crores in 2004-05 to Rs. 400 crores in 2006-07.

Close on the heels is Cotton County which will be increasing its stores from 300 to 500 in 2007 and reach a count of 1000+ by 2010. Turnover currently stands at Rs. 100 crores and is projected to grow to Rs. 500 crores by 2010. They are also extending their product portfolio to include women swear and kids wear.

The Provogue Apparel Group introduced its multiband discount format 'Promart' in 2007 in Ahmadabad spread over 40,000 sq. ft. and this store has already achieved a turnover of Rs. 25 crores. Their future plans include opening 20 stores in the next 3 years. The 'Loot' is another discount format retailer with 16 operational stores mostly in the West and South. By 2010 they plan to set up 100 such stores pan-India. The company runs three formats, vise: signature stores, shop in shop and mega stores of 30000 sq. ft. It carries all major local and some international brands.

DESIGNER WEAR CLOTHES IN DEMAND The designer wear market in India is witnessing a high growth pattern, especially in the last few years efforts are being made to develop this segment by bringing it into the main stream retailing and making them more accessible to customers.

Designer wear market is corporatization i.e. strategic tie-ups with large corporate in related industries to provide the necessary financial support and expertise in operational management. The designer wear industry lacks the processes, systems, people and financial resources to rapidly scale up their operations. The direct advantage of this would grow to the designers who would be able to concentrate on the design and aesthetics rather than on business planning.
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Until a decade back, Indian designers were limited to very small revenues through extremely high priced couture and diffusion line garments sold in limited quantities. However most recently, several designers have realized that there is a large market potential for affordable ready-to-wear apparel and they need to move into this segment to tap the opportunity. Many designers since then have launched their 'affordable and designer chic' lines starting as low as Rs.1500, with a lot of designers also seeking to sell their offerings at major retail outlets. Following this trend department stores such as Shoppers Stop, Pantaloon, etc. have launched exclusive designer wear sections inside their stores. INTERNATIONAL BRANDS IN INDIA The Indian consumer desires to possess international luxury brands as an inspirational product. Additionally, no Indian retail brand actually qualifies to be categorized as a luxury brand. This readiness for luxury as an organized market has been recognized throughout the world and international luxury brands are exploring possible avenues and tie-ups to enter the Indian retail market.

Indian apparel companies have realized the huge potential of partnering with these global luxury brands wishing to enter India. This helps them not only to extend their portfolio into the luxury, super premium, premium segments, but also makes them probable sourcing partners for these brands in India as well as internationally. Vice versa, luxury brands gain access to well establish distribution channels and customer base.

The market segment for luxury is only going to get bigger and better. The task is therefore to create retailing zones for luxury and upscale products. In the past, 5-star Hotels have been the most prominent addresses for luxury retail in India. However with the growing market for luxury in India, such spaces are proving inadequate. The concept of luxury retail is being further developed by retailers and mall developers alike. S. Kumars Nationwide Ltd. (SKNL) has specifically set up a subsidiary, Brand house Retail limited to carry out its expansion plans. Brand house Retail Limited

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plans to bring in 17 international brands into India of which 5 will be luxury, 6 super premium and 6 in the premium segment. It has already tied-up with Alfred Dunhill Ltd. and Escada, to retail their offering in India.

In a similar move, Raymond has a 50:50 joint venture with the Italian major, Grotto S.P.A. The joint venture has launched the highly successful Gas brand in India. Planet retail has launched 'Replay', a French premium denim brand in India. On the retailers side, Shoppers' Stop is planning to enter the luxury retail segment with large format retail stores which will house products from many of well-known luxury brands, including Louis Vuitton, Gucci, Zegna, Hugo Boss, YSL, Mont Blanc and Christian Dior. The company plans to invest Rs.100 crores in this model in the first year itself. KIDS AND YOUTH RELATE THEM SELF WITH CHARACTERS Today's consumer is greatly influenced by media and he exhibits a propensity to follow icons to the extent of bringing them into his everyday life. This growing trend amongst consumers is being tapped by apparel companies by taking up licensing of popular characters and icons to be used in their merchandise. This is especially true for the kids and youth market since they identify with these characters and icons more strongly. According to Cartoon Network, the business of license merchandising of animated characters is estimated at Rs. 360 crores in India. India has emerged as the No. 1 market in Asia-Pacific for companies like Cartoon Network in terms of viewer ship and more importantly revenues. Interestingly, children's licensing and merchandising market accounts for 10% of Cartoon Network's revenues i.e. approximately Rs. 300 crores, of which a large percentage is contributed by apparel, accessories, footwear and home textile products.

This trend is picking up very fast in India with many companies taking up licenses of popular cartoon characters. Cartoon Network had launched its Power puff Girls and Dexter apparel through 1,500 retailers in India, including ITC's Lifestyle stores. Disney entered into a pact with Indus Clothing in 2006 to launch Disney jeans in India. Mattel has granted The Shirt Company the license to manufacture and market

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Barbie apparel in India. Nickelodeon, the children's channel, has tied up with Bombay Dyeing for a merchandising arrangement. Weekender has taken up the retailing for ToonWorld and Giny&Jony has tied up with Garfield.

This trend is not restricted to kids wear alone. Brands are also looking towards icons like cricketers, footballers, rock stars, wrestlers, and super heroes such as Spiderman, Superman, Tarzan, Krish, etc. to sell their merchandise. Apparel merchandise with these icons are widely available in the unorganized market, however some sports retailers are already retailing them at their stores.

Nike retails the Indian cricket team jerseys at their stores. Similarly, Reebok has gone a step further and is retailing cricketer T-shirts like Rahall T-shirts, Bhajji T-shirts, 12th man to name a few.

Another similar trend has been used by Biba, the women's ethnic wear brand. Biba has ventured into film merchandising i.e. they liaison with the fashion designer of the film to market the apparel worn by the actress in the movie and timed its launch in their store with the release of the movie. By doing this, they have moved to the starting point of women's wear trends. FORWARD INTEGRATION BY TEXTILE COMPANIES Textile companies providing raw materials (yarns & fabrics) for the apparel & madeup manufacturers are also realizing the importance of control through the value chain. This is happening by forging growth relationships with textile/apparel companies to create synergies and by forward integrating to get a share in retail markets. This is being done through mergers, strategic acquisitions or forward integrations.

The sheer number of mergers and acquisition (M&A) deals struck last year has made 2006 a milestone year for India Inc. According to the Deal tracker study by Grant Thornton, there were 480 M&A deals in India alone with a total value of about $20.3 billion in 2006 with the average deal size being $42 million.

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Primarily IT, Pharmacy and biotech have garnered the highest number of M & as, however textile industry has also had its share in the opportunity. Forward integration, by the textile companies has been prominent in this sector as the margins in the initial stages (spinning, weaving) have shrunk, while subsequent stages (processing, garmenting & retailing) still manage to have relatively better margins. Another reason for this frantic move is buyer's high expectations of vertical setups and bigger capacities in garmenting, be it for domestic or exports.

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FOREIGN INVESTMENT IN INDIAS RETAIL SCENARIO


After much deliberation and vacillation, on January 18, 2006, India opened its retail sector although only a small crack- to foreign investment, by amending its FDI regulations to allow single brand retail stores to be set up in India, with not more than 51% foreign shareholding.

This means that single product brands like Rolex, Louis Vuitton, Versace, and multiple product umbrella brands like Samsung, Sony and Hitachi, would be able to invest in captive retail stores in India, through structures having 49% or more of the shareholding being held by Indian partners/shareholders.

This decision comes after strong internal opposition from within the coalition government, especially from the Communist Party of India (Marxist) which saw the entry of large players as a threat to the small unorganized retailers that presently account for more than 95% of retail sales in India. The government was able to prevail upon its coalition members by justifying the move as part of Indias market access commitments to the WTO and als o submitting that premium, single brand outlets do not compete with the small retailers. However, foreign brands are not exactly waiting to crash in. Our reasons: Many premium brands, as a policy, do not follow a captive retail model in international markets, and work with franchised outlets. Therefore, retail investments are not made by the brands themselves. India already allows franchising and authorized retail outlets on a third party basis, for nearly all kinds of products, and most internationally known brands are already present in India through this route. Ownership of retail operations will only increase statutory costs for foreign brands, in form of employment regulations, social security (provident fund) registrations, and complicated closure, relocation and exit procedures (closure and relocation of retail units is more common than industrial manufacturing establishments). The authorized dealers route does not impose any such requirements on the foreign brand.

Previous experience suggests that premium brands derive their aspiration value from their exclusivity and inaccessibility. As a result, they tend to lose their franchise among their highest echelon consumers, when they become easily accessible in local markets.

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There is a proliferation of grey market and parallel imports in many luxury goods, which competes formidably against official retail outlets. Often, such competition is not discouraged by the global headquarters, on grounds that Indian import tariffs are the very reason for the grey market in the first instance. Authorized service centers are obliged to handle products bought on the grey market or from parallel import channels, as long as they are not counterfeit.

A 51%-49% does not give the foreign partners sufficient management control over Indian operations, as an Indian partner with more than 25% shareholding has veto powers on several important subjects, under the Companies Act 1956.

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TOP 3 ORGANIZED RETAILS IN INDIA

PANTALOONS

SHOPPERS' STOP

WESTSIDE (TRENT)

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TYPES OF RETAILERS AND RETAIL FORMATS Convenience store Hypermarket Shopping Mall Shopping Plaza Discount stores Factory/Seconds Outlet Kiosk Chain of stores Franchise Specialty store Departmental store Supermarket

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MODERN RETAIL IN INDIA: SHARE OF CATEGORIES

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RETAIL SCENARIO

Total private consumption expenditure Retail sale Organized retail Retailing Outlet estimates Format

375 billion USD

205 billion USD (55%) 6.2 billion USD (3%) 13% of GDP Over 12 million Only 4% larger than 500 sq. ft.

Second largest employer after agriculture

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Growth of Indian Retail

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FACTS ABOUT INDIAN RETAILING


India's retail sector is estimated to be worth $350 billion and of this organized part is growing at 30% annually. An estimated $412 billion is likely to be invested in the retail sector over the next five years. Food, beverages and tobacco make up 40% of the retail sector. Major metro's such as Mumbai, Delhi, Chennai, Kolkata, Bangalore and Hyderabad is where 68% of organized retail is located. There was an estimate of 220 malls by 2007, a significant rise from 30 in 2003. Current lease rates in major cities vary from Rs. 88 - 120 per sq ft per month. It is the 2nd largest employer, after the agriculture sector, employing 21 million people, roughly 6% of the country's total workforce and contributes 13% of GDP.

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ORGANIZED RETAIL IN RAJKOT

In a Rajkot few of organized retail sector for apparel like

WESTSIDE

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PANTALOON

C/o Iscon Mall, Near Big Bazaar, 150 Feet Ring Road, Rajkot, - 360005

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GLOBUS

Shop No 2,Crystal Mall, Ground Floor, Opp. Rani Tower, Kalavad Main Road, Kalavad Road, Rajkot 360005(2009)

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Are organized but there are many unorganized retail sector like.. JULIANA FASHION CLUB SAKSHI SATYAM ETHICS RGS

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HISTORY OF RAJKOT CITY


History of Rajkot is about 400 year old. Rajkot state was established by Jadeja family of Jamnagar state after separation before years. During British rule, Carnal Catties has established Rajkumar College in 1871 to made available Cambridge education here to prices of states. Foundation stone of Lalpari irrigation scheme was put in 1895. Motor service between Rajkot and Jasdan was started in 1920 and railway in 1922. Rajkot municipality had provided electricity in 1924 and telephone office, post office established in 1925. After independence, Rajkot was Capital of Saurashtra state and First Chief Minister was Hon'ble Uchhangrai Dhebar. Current Civil hospital building was the secretariats at that time.

Foundation Rajkot was founded by Thakur Saheb Vibhaji Ajoji Jadeja of the Jadeja clan and Sunni Muslim Raju Sandhi in 1612 AD, in the middle of Saurashtra. Vibhaji Ajoji was the grandson of Jam Sataji of Nawanagar, the present day Jamnagar. Rajkot was named in honors of its cofounder, Sunni Muslim Raju Sandhi.

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ABOUT JULIANA FASHION CLUB

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INTRODUCTION TO THE STUDY

OBJECTIVE OF THE STUDY:

1. To study the overall purchasing behavior of customers regarding apparels in Rajkot. 2. To study the customers perception towards Juliana fashion club. 3. Compare Juliana fashion club with selected apparel stores in Rajkot.

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LITERATURE REVIEW
I have found out some of the literatures which indicate the customer satisfaction

Eggert & Ulaga (2002), "Customer perceived value: a substitute for satisfaction in business markets? Emerald 17, 2002. In recent years, there has been a resurgence of interest in the value construct among both marketing researchers and practitioners. Despite a growing body of research, it is still not clear how value interacts with related marketing constructs. Researchers have called for an investigation of the interrelationship between customer satisfaction and customer value to reduce the ambiguities surrounding both concepts. Investigates whether customer value and satisfaction represent two theoretically and empirically distinct concepts. Also addresses whether value is a better predictor of behavioural outcomes than satisfaction in a business marketing context. Two alternative models are developed and empirically tested in a crosssectional survey with purchasing managers in Germany. The first model suggests a direct impact of perceived value on the purchasing managers intentions. In the second model, perceived value is mediated by satisfaction. This research suggests that value and satisfaction can be conceptualized and measured as two distinct, yet complementary constructs. SA Taylor, TL Baker (1994) - Journal of retailing, Service quality and customer satisfaction Elsevier. Service quality and customer satisfaction are widely recognized as key influences in the formation of consumers' purchase intentions in service environments. However, a review of the existing literature suggests that the specific nature of the relationship between these important constructs in the determination of consumers' purchase intentions continues to elude marketing scholars (c.f. Bitner and Hubbert 1994; Bolton and Drew 1994; Gronroos 1993; Rust and Oliver 1994). The study reported here was designed to aid in the understanding of these relationships by empirically assessing the nature of the relationship between service quality and consumer satisfaction in the formation of consumers' purchase intentions across four unique service industries. The results of the current research, coupled with the weight of the evidence in the emerging services literature, suggest that consumer satisfaction is best described as moderating the service quality/purchase intention relationship. The managerial and research implications of the reported study are also discussed.
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EW Anderson, MW Sullivan (1993) Marketing science, The Antecedents and Consequences of Customer Satisfaction for Firms This research investigates the antecedents and consequences of customer satisfaction. We develop a model to link explicitly the antecedents and consequences of satisfaction in a utility-oriented framework. We estimate and test the model against alternative hypotheses from the satisfaction literature. In the process, a unique database is analysed: a nationally representative survey of 22,300 customers of a variety of major products and services in Sweden in 19891990. Several well-known experimental findings of satisfaction research are tested in a field setting of national scope. For example, we find that satisfaction is best specified as a function of perceived quality and disconfirmationthe extent to which perceived quality fails to match repurchase expectations. Surprisingly, expectations do not directly affect satisfaction, as is often suggested in the satisfaction literature. In addition, we find quality which falls short of expectations has a greater impact on satisfaction and repurchase intentions than quality which exceeds expectations. Moreover, we find that disconfirmation is more likely to occur when quality is easy to evaluate. Finally, in terms of systematic variation across firms, we find the elasticity of repurchase intentions with respect to satisfaction to be lower for firms that provide high satisfaction. This implies a long-run reputation effect insulating firms which consistently provide high satisfaction. McDougall, T Levesque (2000) Journal of service marketing, Customer satisfaction with services: putting perceived value into the equation This research investigated the relationship between three elements core service quality, relational service quality- and perceived value and customer satisfaction and future intentions across four services. The results revealed that core service quality (the promise) and perceived value were the most important drivers of customer satisfaction with relational service quality (the delivery) a significant but less important driver. A direct link between customer satisfaction and future intentions was established. The relative importance of the three drivers of satisfaction varied among services. Specifically, the importance of core service quality and perceived value was reversed depending on the service. A major conclusion was that both perceived value and service quality dimensions should be incorporated into customer satisfaction models to provide a more complete picture of the drivers of satisfaction.

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RESEARCH METHODOLOGY

Problem definition:
1. Mgt Decision Problem: To know satisfaction level of customer towards Juliana fashion club. 2. Mgt Research Problem: Our core intention to do this survey is to compare the services provided by both retail chains and compare the satisfaction level of customers. 3. Problem Definition: Our core intention to do this survey is to evaluate effect of different services on the customer buying behavior and measure customer satisfaction.

Sample And Data Collection: This survey was conducted in the context of retail. Data were collected in face-to-face interviews of customers coming to mall while exiting point-of-sale venues. We have chosen the mall of Baroda city for our research purpose. Because it is being convenient to us. Research Design: The research design would be descriptive.

Data Collection:
The data would be collected from primary source through questionnaires, interviews, observation etc. The sample would be surveyed on the basis of questionnaire and data would be quantified for further analysis.

Sample Size:
The sample would be selected on random basis at the store itself. A sample of 51 respondents would be used in the research.

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Data Sources:
Both Secondary and Primary Sources of data will be used. The major type of information used is primary data. This is done through primary survey. The literature review is a secondary data type. The sources include books, periodicals, websites, printed literature etc.

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ANALISYS OF THE STUDY

Gender

MALE -18% FEMALE-82%

Here female ratio is more because our main target audience is female. and Juliana is apparel store for only female.

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AGE

Here we can see that 24 people out of the 50 are in between age of 15-25 means teenager an collagens are their target group.

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Please choose your qualification from the List below

In their customers most of the customers is graduate.

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Please choose your occupation from the List below

In the occupation level most of the Julianas customer is student.

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How much time would you spend in one trip of shopping while shopping for apparel, footwear, accessories etc?

In that most of the customers spend 1-1.5hrs in one trip of shopping.

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Whom do you generally go with for shopping on such a trip?

In this we can see that a customer goes for shopping with their family and also with their friend.

44

Have you been to Juliana fashion club?

In this our sample size is 50 in that 45 people had gone in Juliana fashion club.

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Please give 5 scale amongst the factors you consider when you decide where to shop, maximum to the most important reason and so on. Scale it 1 to 5 ( 1 is for very much favourable and 5 for worst)

70

60

50 12 40 7 30 9 6

13

12

available in the merchendise store opinion of friend/family

10

14

15

promotional offers proximity to other restaurant or coffeeber 2 7 Distance to be traveled

20

20

13

12

10

11 18 12 6

9 5 8 4 7 5

0 1 2 3

Distance tobe traveled get rank 1 in the sense its make difference to the customer to go shopping. Proximity to other restaurant or coffee bar is also the customers want so it get 2ed rank in five scale. Promotional offers also make difference in customers mind so in shopping it get 3ed rank.

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Please rank the following outlets between 1 to 5 based on your preference. (1 being the most preferred and 5 being the least)

80 70 60 16 50 40 30 20 10 12 0 1 2 3 10 20 11 10 13 17 7 20 11 5 3 4 4 10 6 5 5 5 11 5 16 7 9 westside1 juliana fashion club globus pantaloon lifestyle 13

Here I find that pantaloons and Globus both are in 1st rank. Lifestyle is on 2nd rank. Juliana and Westside both are in 3ed rank. On the basis of the customers preference.

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Please choose the option which is the closest to what you feel.

160 11 140 13 120 12 16 100 12 5 80 7 10 4 8 5 7 5 9 3 10 19 9 9 7 11 9 13 11 13 14 15 netural 8 agree 17 18 15 20 6 12 22 16 11 11 13 3 10 6 6 4 6 3 8 7 stongly agree promise to do something ,it will do so it is not helpful with return and exchange I never get my size easy to find what I need juliana doesnt have all my favorite brand does not have the latest in terms of fashion sophisticated outlet 16 prompt service to customer

shopping at juliana is a grate experience I love juliana fashion club

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40

20

0 strongly disagree disagree

Strongly disagree- in this we know that Juliana has no all the customers preferable brand. Disagree-in this we know that ratio of prompt service is low. Neutral-in this ratio of promise is high. So is fever of the Juliana fashion club. Agree-Juliana fashion club has a size problem. In all over observation we can so that in all the facility customers has neutrals response towards the above facility.

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Choose the alternative below which describes why you go to Juliana fashion club.

120

100 26 80 23 22 60 27 40 13 20 27 0 always mostly 21 36 to save time on my shopping to kill my free time to spend time with friend/family to get grate shopping experience

26 % people go to Juliana for save their shopping time. 27% people go to Juliana to kill them time. Always. 27% people have a great experience at Juliana.

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Please choose the best company among the given choices according to you on various parameters.

140 120 100 22 80 60 40 20 19 0 westside juliana pantaloons 18 14 15 16 19 15 27

19 22

is most likely to stock what you want value for money courtesy of the staff

24

10 15 12 16 fashion 9 14 range of good offered ambience

Westside has two major factor fashion and range of good offered and also customers likely stock it is their +point. Juliana has value for money, custody of the staff and ambience it is their +point. Pantaloons has good range.

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FINDINGS
As we know about customer satisfaction these are the factors which are effectively affect to the precious customers of any retail outlet. So from our study, findings are as follows.

1. Convenience in approach: We have find that the customers of both Pantaloons and Westside are satisfied with the convenience approach. The way with which a salespersons are approaching to customer that is more convenient in Westside then Pantaloons, it means the salespersons are not giving force to purchase the product or whenever customer are asking for help at that time only salesperson come ahead towards customer otherwise they allow them to browse first. But Customers of Pantaloons are also satisfied with the convenience approach. So we can say that both Pantaloons and Westside is equal in convenience in approach.

2. Product assortment: Product assortment is one of the important factor for make customer satisfied. the way of arranging the stuff on the floor as well as different department in the retail outlet which creates easy geography of the store. According to our research customer are more satisfied with the pantaloons strategy of assortment then Westside. The departmental wise arrangement of merchandise in pantaloons is better than Westside.

3. Extra service provide: Apart of the common activity that means i.e. selling of merchandise there are other services also which is very much necessary to retain the customer. From the research analysis we can identify that the customer are more satisfied with Westside incase of deliverance of extra services.

4. Transparency in billing: This part put a little bit more trust on the concern retail outlet that means transparency in billing makes customer more satisfied in terms of ethical aspect. Customers are more satisfied with pantaloons in these particular aspects. It means that makes clear understanding between customer & retail outlet.
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5. Sales persons service: Positive approach or best customer service will increase the sales as well as customer portfolio. How efficient and effective sales staff you are having it will judge your future scenario. According to the research we can easily make out that the satisfaction level of the customer for sales person service towards pantaloons is more. They are having smart profile of sales person whose approach and service are more effective then Westside.

6. Sales promotional offer: Promotional offer will increase the customer walking as well as purchase frequency. Gifts , coupons, crockery set, etc are thee common things in this retail outlets but according to customer Westside is the best retail outlet which is providing more promotional offer and it is attracting to the customer for add on purchase. Customers are more satisfied with Westside rather than pantaloons.juliana has also promotional offers in a time of festival like jamnastami, Diwali.

7. Loyalty Programmes : According to our study, we find out that loyalty programmes plays an important role in retaining a customers. And Pantaloons proves better in conducting loyalty programmes than Westside.

8. Alteration facility: According to research both the retail outlet i.e. Pantaloons as well as Westside are having up to the mark alteration facility. So customers are satisfied with both the retail outlets service and also with the Juliana fashion club.

9. Varieties : According to the research both retail outlet is better in providing varieties of the products and customers of all the retail chains are satisfied with it.

10. Location: According to the research, In Rajkot Pantaloons and Westside both are located nearer to each other. And Westside and Juliana both have better parking facility.

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11. Overall Satisfaction: It will considered overall satisfaction of the customer towards retail store. At last customers of both retail chains are satisfied with the services provided. So satisfaction ratio is almost equal in both retail cha.

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SUGGESTIONS
1. Juliana is the store where customers get what they want but many customer which have no awareness about the Juliana fashion club. 2. Juliana has to give more seasonal sale and promotional offers to the customer for more attraction. 3. In the analysis I find that many customers dont get prompt service in Juliana so they should have to make CRM strong.
4. Juliana keep more western outfit it is good but in like 3tire city as like Rajkot.

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LIMITATIONS OF THE STUDY

Sample size of 50 units may not be sufficient to draw the accurate conclusion. Sampling area is Rajkot city only whereas the other cities are not the part of it. Some important aspects affecting the consumer behavior in buying in terms of factors may not be covered on revealed in the questionnaire used. Personal bias of respondents and in analysis and interpretation may become a constraint in revealing the true perception. We have only included samples which are the customers of Juliana fashion club.

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BIBILIOGRAPHY

1. http://rajkot.infoline.in/readymade-garment-mfrs_dlr/juliana-fashion-club/id_i211051 2. https://www.facebook.com/juliana.india 3. http://www.google.co.in/search?hl=en&q=growth%20of%20retail%20industry%20in%20rajko t&btnK=&um=1&ie=UTF 4. http://en.wikipedia.org/wiki/Crystal_Mall_Rajkot 5. http://www.justdial.com/Rajkot/globus-stores-pvt-ltd-%3Cnear%3E-kalavad-

road/0281PX281-X281-091130130345-A1F7

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ANNEXURE

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A Study of customer perception for Juliana Fashion Club and its comparison with selected apparel stores in Rajkot.
Disclaimer: The Following questionnaire is for a study on Organised Retail. The following information is for educational use only and will not be used for any other purpose whatsoever.
1. Please give information about yourself:

Name Age Sex


2. Please write your education level from below.

Graduation Master Degree

3. Your occupation: ..

4. How much time would you spend in one trip of shopping while shopping for apparel,

footwear, accessories etc?

0 to 0.5 hrs 0.5 to 1 hr 1 to 2 hrs 2 to 3 hrs more than 3 hrs

5. Whom do you generally go with for shopping on such a trip?

Alone Family With a friend in a group


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6. Have you visited Juliana Fashion Club? Yes No

If Yes, How frequently you visit Juliana? In a Week In a Month In a Year

7. Please divide 100 points amongst the factors you consider when you decide where to shop, maximum to the most important reason and so on; such that the total comes to 100.

FACTORS Distance to be travelled Proximity to other restaurants / coffee shops, etc Promotional offers, sales Opinion of friends, family Merchandise Available in the Store TOTAL 100

8. What are the other stores you frequently visit for apparels? Blue Club Globus Pantaloons Westside Other __________

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9. Please rank the following outlets between 1 to 5 based on your preference. (1 being

the most preferred and 5 being the least)

STORE Blue Club Globus Pantaloons Juliana Westside

RANK

10. You or anybody in your immediate family a loyalty Card holder in Juliana. Yes No

11. On an average how much do you spend on a single visit to Juliana? Rs 200 - 500 Rs 501 - 2000 Rs 2001 - Rs 5000 Rs 5000+

12. Are you aware of Juliana's own brand of apparel? Name them. (Please write "NO" if not aware of any brand) .

13. Please complete the sentence given below.

Juliana reminds me of................................................................................................

14. Choose the alternative below which describes why you go to Juliana.

Always Mostly Sometimes Rarely Never To get a great shopping experience. To spend time with my friends and family. To kill my free time. To save time on my shopping

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15. Please choose the option which is the closest to what you feel.

Strongly Disagree Juliana does not have all my favourite brands The Store Layout at Juliana makes it easy for me to find I never get my size at Juliana. Juliana is not helpful with returns and exchanges When Juliana promises to do something by a certain time, it will do so. Juliana is a sophisticated outlet Juliana does not have the latest in terms of fashion. Employees in Juliana do not give prompt service to customers. I love Juliana Shopping at Juliana is a great experience.

Somewhat Disagree

Neutral

Somewhat Agree

Strongly Agree

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16. Rate the five outlets on a scale of 1 to 5 based on the following parameters. (A score of "5" being the highest.) For e.g. If rating on the parameter of Fashion and Westside deserves a score of 3 out of 5 put "3" in the box.

Westside Ambience Range of goods offered Courtesy of the staff Value for money Is most likely to stock what you want Quality of merchandise

Juliana

Pantaloons

Lifestyle

Globus

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