Customer Retention in Retail Setor by Noname

www.final-yearprojects.co.cc | www.troubleshoot4free.
com/fyp/
EXECUTIVE SUMMARY
Consumer retention is the key success factor for any retailer in current competitive
market. With a view to comprehend the competitive market scenario , the most upcoming
suburb after the launch of many new retail outlets and malls, an effort was made to
ascertain and analyze customer views and preferences for the same through process of
Brand Recall. Also, a detailed study was made to understand the performance pattern of
major competitors of Pantaloon shop.
In doing so, it was possible to assess the competition in the market, hence enabling us to
position ourselves more effectively and strategize on a long term basis.
During the course of this project, I was also fortunate enough to be able to study the
promotional campaigns carried out in the store.
This report contains the findings arrived after detailed analysis of the data received
through observations made at the competitors stores and personal interviews conducted
with the customers at various department stores.
Though not professionally equipped to suggest strategies to the pioneer of organized
retailing in India, a sincere effort has been made to give some humble Recommendations
for the organization at the end of the report which would benefit the firm in the long run.
Top Retailers Worldwide

Rank, Retailer, Home Country
1. Wal-Mart Store, Inc. U.S.A.
2. Carrefour Group France
3. The Kroger Co. U.S.A.
4. The Home Depot, Inc. U.S.A.
5. Metro Germany
www.final-yearprojects.co.cc | www.troubleshoot4free.com/fyp/
INTRODUCTION
The Retail Industry in India:
After 50 years of unorganized retailing and fragmented kirana stores, the Indian retail
industry has finally begun to move towards modernization, systematization and
consolidation. Indias billion plus population and its changing lifestyle continue to
kindle the interest of major retail chains.
The retail sector in India is witnessing a huge revamping exercise as traditional markets
make way for new formats such as departmental stores, hypermarkets, supermarkets and
specialty stores. Western-style malls have begun appearing in metros and second-rung
cities alike introducing the Indian consumer to a shopping experience like never before.
Rated the fifth most attractive emerging retail market, India is being seen as a potential
goldmine. It has been ranked 2nd in a Global Retail Development Index of 30 developing
countries drawn up by A T Kearney. The list was developed as a response to requests
from retail chains facing saturated demand in most western markets.
India's vast middle class and its almost untapped retail industry are key attractions for
global retail giants wanting to enter newer markets.
In the last decade or so, the much oppressed Indian consumer has undergone a sea
change. Consumer Revolution in India can be studied by analyzing the different
parameters of the Indian consumer.
Changing Income Profile:

The key global trend in the retail industry is the change in the consumers mindset.
Unlike in the past where consumers had largely physical stores to walk-in and shop from,
todays consumers are demanding the freedom to decide the channel of transaction. As
higher incomes generate additional spending and as the consumer experience his/her
freedom of expression in a liberalized world, the broad contours of the retail market have
changed significantly.
Household Income class

( Annual Income )
Number of Household (millions) and

(% of Population)
FY 1996
FY 2002
FY 2006
FY 2009
1.2
2.6
5.2
7.0
"RICH" :
(> INR 5 Lacs) CAGR: 15%
0.8%
1.5%
2.6%
3.3%
"UPPER MIDDLE" :
(INR 3 - 5 Lacs) CAGR: 10%
32.5 19.7% 46.4 25.6% 75.5 37.9% 91.0 42.7%
"MIDDLE" :
(INR 1 3 Lacs) CAGR: 2%
54.1 32.8% 74.4 41.2% 81.7 41.1% 85.0 39.9%
"LOWER" :
(< INR 1 Lacs) CAGR: -8%
77.0 46.7% 57.2 31.7% 36.7 18.4% 30.0 14.1%
420 million people (90 million families) expected to be added in the middle and upper
middle income groups by FY 2009.
100
80
No,of
Households
(millions)
Rich
60
Upper Middle
40
Middle
20
Lower
0
FY 1996 FY 2002 FY 2006 FY 2009
Changing Age Profile:
This determinant is going to be very important for the growth prospect of Indian retail
sector. With an estimated population of around 1.08 billion, the major lucrative point
from retailers perspective is the rapid increase in the proportion of people in the
consuming age group of 15-45.
A study shows that there should be a big surge in the 15-45 age group up from 210
million (25% of the total population) in 1991 to a projected 600 million by 2010.
This demographic shift in favor of younger people can be a harbinger of increased

urbanization, and could raise the consumption of branded and aspirational products.
Organized Retailing In India:

The retail market is highly fragmented and is dominated by the innumerous, independent,
owner managed shops. The modern day consumer is in the process of getting exposed to
the organized version of retail. What distinguishes organized retailers is the presence in
multiple locations and their ability to extract huge concessions from the manufacturers
because of economies of scale.
Establishment of international quality formats modified to suit Indian behavior,
improvement in retail processes and a turnaround in the operation of some existing
retailers have contributed to the development of organized retailing.
Organized retail, at present comprises merely 4.6 per cent of the total market in
India.
Organized retailing is projected to growth to grow at the rate of about 37 per cent
in 2007 and 42 per cent in 2008. Organized retail in India has the potential to add
over INR 2,000 billion ($ 45 billion) business by the Year 2010 a figure that
appears quite small if one were to compare the extent of the total market.
If this growth is sustained, the share of organized retailing should rise to 6% to
10% by the end of this decade.
Current Composition of Organized retail 2007 (in Percentage)

(Market size: Rs.55,000 Crore at current prices)
9
1
3
7
7
39
3
11
Food & Grocery

Apparel
Books & Music
Consumer Durables
Jewellery
Watches
Footwear
Health&Beauty
Pharmaceuticals
mobilephone
Furniture
Catering
Entertainment
Malls: The new face of retail

The selling format that has really transformed the retail landscape and consumer attitude
towards shopping is the Malls. The malls are coming up keeping in mind diverse
consumer needs. A class of retail property that has mushroomed over the last few years is
the family entertainment center, which consists of a large entertainment componentmultiplex with quite a few eating-places and some retail outlets. Under Malls there is
development of horde of new formats including mass merchandisers, hypermarkets,
supermarkets, factory outlets, discounters, convenience stores etc.
From just 3 malls in 2000, India is all set to have over 220 malls in different stages of
planning, design and construction by end of 2005. In India, 100 mn sq ft of quality
shopping centre space by 2007-08.In India 100 hypermarkets, 500 departments store and
2000 supermarkets. Over 10,000 small and big existing outlets to undergo complete
facelife In most malls in the country almost 30% of the space is allotted to the apparel
sector while around 12%-20% of the available space goes to food & beverages.
Indias first true shopping mall complete with food courts, recreation facilities and large
car parking space was Crossroads inaugurated as lately as in 1999 in Mumbai. But
now, some malls are being developed as part of a large residential development where the
idea is to provide total quality lifestyle with residential, retail and office space as part of an
integrated development.
Challenges In Retailing:
Foreign Direct Investment:
FDI in retail in India, which has been recommended (to the extent of 51 per cent) by
ICRIER, a New Delhi-based policy research group, is under the consideration of the
Union Government. Indias retail industry being dominated by the unorganized sector,
there is a threat that FDI could adversely affect the small retailers. Also, the threat
increases if report of the UK Competition Commission is to be believed, which says
thousands of retail jobs were lost on the entry of hypermarkets through FDI in retail in
the UK.
As per Images Handbook 2006, employment in retail is 2nd largest after agriculture
pegged at around 8% of Indias total employment, dominated by supermarkets and
hypermarkets. Therefore FDI will throw up huge employment opportunities. Retail can
create many new jobs in different sectors like BPO, Tourism & hospitality, etc. FDI will
radically and favorably impact the value creation and modernization of India's retail
sector.
The think-tank has suggested that any opening up of FDI in retail should be gradual (3-5
years) to give the domestic industry enough time to adjust to the changes and to cope up
with competition from Wal-Marts and Carrefours of the world.
Real Estate of Retail Industry:

Real estate costs are high in India and it is also not easy to find a suitable property for a
large format retail store. Usually, spaces in malls are given out on lease rentals and never
sold upright. The rates are highly speculative in nature. The demand is very high for good
locations as there is unbelievable business and their turnaround is tremendous.
Legislation and Supply Chain Management:

Different sales tax rates across states make supply chain management a difficult task for
retailers. Multiple point octroi is levied in some locations. High import duties reduce the
product choices available to the end consumer. However restrictions on imports are
gradually being reduced.
Size of the retail distribution network:

In terms of number of retail outlets, India ranks highest in the world with around 12
million outlets across the country. The excellent network of retail outlets is going to be
one of the principle driving forces behind the growth of the retail industry.
On the other hand, the per capita retail space is among the lowest in the world at 2 sq ft.
per person as opposed to 16 sq ft. per person in the US.
This fragmented nature of retail space seems to indicate a tremendous opportunity for
Indian retail to organize and reap the benefits of economies of scale.
The Price-sensitive Consumer:

The Indian consumers are price-sensitive and bargain-driven. Prices of branded products
are uniform throughout the country. Unbranded products or lesser-known brands offer a
very large margin to retailers, thereby allowing them to offer discount.
Brand Competition:
The Indian urban consumers are value conscious. Many brands have established
themselves strongly over years. Despite the absence of an international retail chain,
international brands have edged out local competition by focusing on economies of scale.
OBJECTIVES
Primary Objectives:
To determine a competitive analysis based on the customer perception.
Secondary Obectives:
Finding what the customer actually looks for in a store especially market.
Study of current consumer tastes & attitudes towards a store.
Finding for completely satisfying store from pantaloon to consumers.
SCOPE OF THE PROJECT
The scope of project was limited to find out measure competitors market share and
consumer behavior in selected region and understand various factors affecting the
customer choice while shopping.
COMPANY PROFILE
Introduction:
Pantaloon Retail (India) Limited, is Indias leading retailer that operates multiple retail
formats in both the value and lifestyle segment of the Indian consumer marker.
Headquartered in Mumbai (Bombay), the company operates over 5 million square feet of
retail space, has over 350 stores across 40 cities in India and employs over 18,000 people.
The companys leading formats include Pantaloons, a chain of fashion outlets, Big
Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a supermarket chain, blends
the look, touch and feel of Indian bazaars with aspects of modern retail like choice,
convenience and quality and Central, a chain of seamless destination malls. Some of its
other formats include, Depot, Shoe Factory, Brand Factory, Blue Sky, Fashion Station,
aLL, Top 10, mBazaar and Star and Sitara. The company also operates an online portal,
futurebazaar.com.
The first Pantaloons was opened in Gariahat in 1997. Over the years, it has undergone
several transitions. When it was first launched, this store mostly sold external brands.
Gradually, it started retailing a mix of external brands while at the same time introduced
its own private brands. Initially positioned as a family store, it finally veered towards
becoming a fashion store with an emphasis on 'youth' and clear focus on fresh
fashion.
Today, the fashion store extends to almost all the major cities across the
country. Pantaloons has established its presence with stores not just in the metros, but
also in smaller towns.
Pantaloon Retail was recently awarded the International Retailer of the Year 2007 by the
US-based National Retail Federation (NRF) and the Emerging Market Retailer of the
Year 2007 at the World Retail Congress held in Barcelona.
Pantaloon Retail is the flagship company of Future Group, a business group catering to
the entire Indian consumption space.
Culture:
At Pantaloon, Empowerment is what you acquire and Freedom at Work is what you get.
We believe our most valuable assets are our People. Young in spirit, adventurous in
action, with an average age of 27 years, our skilled & qualified professionals work in an
environment where change is the only constant.
Powered by the desire to create path-breaking practices and held together by values, work
in this people intensive industry is driven by softer issues. In our world, making a
difference to Customers lives is a Passion and performance is the key that makes it
possible. Out of the Box thinking has become a way of life at Pantaloon and living with
the change, a habit.
Leadership is a value that is followed by one and all at Pantaloon. Leadership is the
quality that motivates us to never stop learning, stretching to reach the next challenge,
knowing that we will be rewarded along the way. In the quest of creating an Indian model
of retailing, Pantaloon has taken initiatives to launch many retail formats that have come
to serve as a benchmark in the industry. Believing in leadership has given us the
optimism to change and be successful at it. We do not predict the future, but create it.
At Pantaloon you will get an opportunity to handle multiple responsibilities, and therein,
the grooming to play a larger role in the future. Work is a unique mix of preserving our
core Indian values and yet providing customers with a service, on par with international
standards.
At Pantaloon you will work with some of the brightest people from different spheres of
industry. We believe its a place where you can live your dreams and pursue a career that
reflects your skills and passions.
Board of Directors:
Mr. Kishore Biyani, Managing Director
Kishore Biyani is the Managing Director of Pantaloon Retail (India) Limited and the
Group Chief Executive Officer of Future Group.
Mr. Gopikishan Biyani, Wholetime Director
Mr. Rakesh Biyani, Wholetime Director
Mr. Ved Prakash Arya, Director
Mr. Shailesh Haribhakti, Independent Director
Mr. S Doreswamy, Independent Directo
Dr. D O Koshy, Independent Director
Ms. Anju Poddar, Independent Director
Ms. Bala Deshpande, Independent Director
Mr. Anil Harish, Independent Director
10
Corporate Statement:
Future Group Manifesto
Future the word which signifies optimism, growth, achievement, strength, beauty,
rewards and perfection. Future encourages us to explore areas yet unexplored, write rules
yet unwritten; create new opportunities and new successes. To strive for a glorious future
brings to us our strength, our ability to learn, unlearn and re-learn, our ability to evolve.
We, in Future Group, will not wait for the Future to unfold itself but create future
scenarios in the consumer space and facilitate consumption because consumption is
development. Thereby, we will effect socio-economic development for our customers,
employees, shareholders, associates and partners.
Our customers will not just get what they need, but also get them where, how and when
they need.
We will not just post satisfactory results, we will write success stories.
We will not just operate efficiently in the Indian economy, we will evolve it.
We will not just spot trends, we will set trends by marrying our understanding of the
Indian consumer to their needs of tomorrow.
It is this understanding that has helped us succeed. And it is this that will help us succeed
in the Future. We shall keep relearning. And in this process, do just one thing.
Rewrite Rules. Retain Values.
Group Vision:
Future Group shall deliver Everything, Everywhere, Everytime for Every Indian
Consumer in the most profitable manner.
Group Mission:
We share the vision and belief that our customers and stakeholders shall be served only
by creating and executing future scenarios in the consumption space leading to economic
development.
We will be the trendsetters in evolving delivery formats, creating retail realty, making
consumption affordable for all customer segments for classes and for masses.
11
We shall infuse Indian brands with confidence and renewed ambition.

We shall be efficient, cost- conscious and committed to quality in whatever we do.
We shall ensure that our positive attitude, sincerity, humility and united determination
shall be the driving force to make us successful.
Core Values:
Indianness: confidence in ourselves.
Leadership: to be a leader, both in thought and business.
Respect & Humility: to respect every individual and be humble in our conduct.
Introspection: leading to purposeful thinking.
Openness: to be open and receptive to new ideas, knowledge and information.
Valuing and Nurturing Relationships: to build long term relationships.
Simplicity & Positively: Simplicity and positivity in our thought, business and action.
Adaptability: to be flexible and adaptable, to meet challenges.
Flow: to respect and understand the universal laws of nature.
Awards & Recognition:

2007
National Retail Federation Awards
International Retailer for the Year 2007 Pantaloon Retail (India) Ltd
World Retail Congress Awards
Emerging Market Retailer of the Year 2007 Pantaloon Retail (India) Ltd
Hewitt Best Employers 2007
Best Employers in India (Rank 14th) Pantaloon Retail (India) Ltd
PC World Indian Website Awards
Best Indian Website In The Shopping Category - Futurebazaar.com
Readers Digest Trusted Brands Platinum Awards
Trusted Brands Platinum Award (Supermarket Category) Big Bazaar
12
2006
Retail Asia Pacific Top 500 Awards
Asia Pacific Best of the Best Retailers Pantaloon Retail (India) Ltd
Best Retailer in India Pantaloon Retail (India) Ltd
Asiamoney Awards
Best Managed Company in India (Mid-cap) Pantaloon retail (India) Ltd.
Ernst & Young Entrepreneur of the Year Award
Ernst & Young Entrepreneur of the Year (Services) Kishore Biyani
CNBC Indian Business Leaders Awards
The First Generation Entrepreneur of the Year Kishore Biyani
Images Retail Awards
Best Value Retail Store Big Bazaar
Best Retail Destination Big Bazaar
Best Food & Grocery Store Food Bazaar
Retail Face of the Year Kishore Biyani
Readers Digest Awards
Platinum Trusted Brand Award - Big Bazaar
CNBC Awaaz Consumer Awards
Most Preferred Large Food & Grocery Supermarket Big Bazaar
Reid & Taylor Awards for Retail Excellence
Retail Entrepreneur of the Year Kishore Biyani
Product Range:
Mens wear
Winter wear
Womens wear
Footwear
Fashion accessories
13
Competitors:
Shoppers stop
Westside
Lifestyle
RPG Retail (Foodworld, Musicworld)
Crossword
Wills Lifestyle
Globus
Piramals (Piramyd & Crossword)
Ebony Retail Holdings Ltd.
Reliance Fresh
More
14
THEORETICAL BACKGROUND
RETAIL MANAGEMENT
What is retailing?
Retailing includes all the activities involved in selling goods or services directly to final
consumers for their personal, nonbusiness use. A Retailer or Retail store is any business
enterprise whose sell volume comes primarily from retailing.
Type of Retailers:
Retail organization exhibit great variety and new form keep emerging. Several
classifications have been proposed. For our purposes, we will discuss store retailing,
nonstore retailing, and retail organizations.
Store Retailing:
Consumers today can shop for goods and services in a wide variety of store. The most
important retail store types, many of which are found in most countries, fall in eight
categories:
Specialty store
Department store
Supermarkets
Convenience store
Discount store
Off price retailers
Superstore
Catalog showroom
15
Specialty store:
Carry a narrow product line with a deep assortment within that line.
Department store:
Carry several product lines typically clothing, home furnishing, and household goods
with each line operated as a separate department managed by specialist buyers or
merchandisers.
Supermarkets:
Relatively large , low cost, low margin, high volume, self service operations design to
serve the consumers total needs for food, laundry, and household maintenance product.
Convenience store:
Relatively small store that are located near residential areas, are open long hour seven
days a week, and carry a limited line of high turnover convenience product.
Discount store:
Sell standard merchandise at lower price by accepting lower margin and selling higher
volumes.
Off-price Retailers:
Buy at less than regular wholesale price and charge consumer less than retail.
Superstores:
Average 35000 square feet of selling space and have traditionally aimed at meeting
consumers total needs for routinely purchase food and non food items.
16
Catalog showrooms:
Sell a broad selection of high markup, fast moving, brand name goods at discount prices.
What is retail strategy?

A retail strategy is an overall plan or framework of action that guides a retailer. Without
pre-defined and well-integrated strategy the firm may flounder and be unable to cope
with the environment that surrounds it.
Elements of a retail strategy:
1 Situation analysis
It means:
Defining and adhering to an organizational mission i.e. what is the firms attitude to
consumers, employee, competitors, government and others.
Evaluating ownership and management option i.e. whether to operate as a sole
proprietorship a partnership or a corporation as well as whether to start a new
business, to buy an existing business or to become a franchisee.
Outlining goods/service category o be sold i.e. in what line of business should a retail
firm operate?
2 Objectives:
These are the goals, long run and short run, that a retailer hopes to attain. These goals are
sales (including growth, stability and market share) profit (including level, return on
investment and efficiency) satisfaction of public (including stock holders and consumers)
17
and image (including customer and perception). The statement of clear objectives help to
mould a strategy and translate the company mission into action.
3 - Identification of customer:
The retailer must identify the characteristics and needs of customers. The customer group
that a retailer seeks to attract and satisfy is called the target market. In selecting it targe
market, a retailer may use one of the three techniques: selling goods and services to broad
spectrum of customers, the mass market, zeroing in on one specific group, a market
segment are aiming at two or more distinct consumer groups, multiple segments.
4 - Overall strategy:
This strategy involves two components:
Controllable variables that is those aspects of business that the retailer can directly affect
(such as choosing a store location, management of business, merchandise management
and pricing and communicating with the customer).
Uncontrollable variables that is those aspect of business to which the retailer must adopt
(such as customers needs, competition, technological changes, economic conditions,
seasonal changes, legal restrictions).
5 - Specific activities:
These actions are known as tactics and encompass a retailers daily and short term
operation. They must be responsive to the uncontrollable environment (like use of
research while deciding the store location, proper planning for merchandise, various
promotional etc.) activities.
6 Control:
18
In this phase a semi annual or annual review of the company should take place, with the
strategy and tactics that have been developed and implemented being evaluated against
the business i.e.
Mission, Objectives and Target Market of the fir
CONSUMER BEHAVIOR:
What is consumer behavior?
The ways in which consumers buy and use products.Typical metrics: purchase frequency,
loyalty/retention, assortment/range of different products purchased from company.
The aim of marketing is to meet and satisfy target consumers needs and wants. The field
of consumer behavior studies how individual, groups, services, ideas, or experience to
satisfy there needs and desires.
Consumer behavior has been always of great interest to marketers. The knowledge of
Consumer behavior helps the marketer to understand how consumers think, feel and
select
From alternatives like products, brands and the like and how the consumers are
influenced by their environment, the reference groups, family, and salespersons and so
on. A consumers buying behavior is influenced by cultural, social, personal and
psychological factors. Most of these factors are uncontrollable and beyond the hands of
marketers but they have to be considered while trying to understand the complex
behavior of the consumers. In this study, the researcher emphasizes the importance of
lifestyle and its impact on the buyer behavior. The main purpose of this study is to
empirically examine the association between the consumers general life styles and their
consumption pattern. It uses the generalized lifestyle basis in order to investigate the
relationship between life style consumption pattern and brand choice behavior .In this
study, Wells and Triggers activities, interests and opinion measure (AIO) was adopted
to operationally measure a persons lifestyle pattern. The impact of the factors like the
influencers, the sources of information and the product attributes on the purchase
19
decision of the respondents was analyzed. The brand preferences exhibited by the
respondents of different lifestyle was examined .From the study it was concluded that
consumers often choose products, services and activities over other because they are
associated with a certain lifestyle. The products are the buildings blocks of lifestyle,
marketers should therefore, have a complete idea of these changing lifestyles so as to
segment them and position their products successfully
Key Words: Lifestyle, Purchase Decision, Product Attributes, Brand Preference.
20
RESEARCH METHODOLOGY
Market Research is defined as a systematic gathering, recording and analysis of the data
concerned with an objective. This whole activity is divided in to various parts & after
compilation of that we reach at certain findings, which enable us to take marketing
decision.
It involves the diagnosis of information needed and the selection of relevant and
interrelated variables.
Project Title:
Consumer Behavior and Competitive Analysis
The project was conducted to determine the Consumer Behavior which helped to throw
light on competitors. This will gives us an idea about the current market scenario and
what exactly attracts a customer towards a store.
21
Research Design:
A research design is the specification of method and procedure or acquiring information
needed. According to my research design I have performed the following steps in the
project.
Steps:
1. To decide the objective of research.
2. To determine the most suitable method of research.
3. To determine the source of data.
4. To decide the appropriate instrument for data collection.
5. To determine the suitable sampling design & sample design.
6. To conduct the field survey for data collection.
7. To process and analyze data.
8. To prepare the research report.
Data source:
In this study both primary as well as secondary data is collected for project.
Primary data:
It is that data which is collected at fist hand either by researcher or someone else
especially for the purpose of study.
Here I collected the data from the target segment through questionnaire i.e. from
consumers, the common people who have visited a store.
Method of data collection:
Survey method
Secondary data:
It refers to any data which have been gathered earlier for some other purpose.
Here the secondary data was collected from the following sources:
Journals and magazines
Internet (related websites)
Text books
22
Research type:
I have used the descriptive method. It is a specification of method and procedures for
acquiring the information needed to solve the problems. It is an overall pattern or
framework of the project that stipulates what information is to be collected from which
source and by what procedure.
Research Instrument:
The tool used for data collection was Structured Questionnaire which was designed
keeping the objective in mind. Some direct questions were asked to respondent.
Sampling plan:
Sample Universe:
Our sample population was places near Sitabuldi, Dharampeth, Sadar, Vardhaman nagar.
Sample Unit:
Men and Women who visited store often or occasionally.
Area:
Area Under study was restricted to Nagpur.
Sampling technique:
Convenience sampling
23
Sampling size:
Sample size taken by us was 200 people.
Contact method:
Contact method used in the survey was Personal Interview.
24
DATA ANALYSIS
1) Where do you prefer to shop?
Location
Sitabuldi
Dharampeth
Sadar
Vardhaman
nagar
Response
71
70
40
19
Response
10%
35%
20%
Sitabuldi
Dharampeth
35%
Sadar
Vardhaman nagar
Interpretation:
Maximum number of respondents like going to Dharampheth because of no of store over
there, it will connect and also they find Dharampeth good place to chill and hangout.
25
2) What comes to your mind when you think of store?
Reason to visit
Shopping
Entertainment
Hangout
Others
64
54
40
39
a store
No. of
Respondents
No. of Respondent
20%
33%
20%
27%
Shopping
Entertainment
Hangout
Others
Interpretation:
From above graph we can analyze that when opening a new store it should be a Shopping
destination which should have entertainment store. This entire package is referred to as
Shoppertainment which means shopping + Entertainment under one roof.
26
3) Would you like to visit a store with.
Type of
store
Food court
Movie
theatres
Kids zone
Book store
All
No. of
Respondents
35
22
40
74
29
No. of Respondents
15%
18%
11%
36%
20%
Food court
Movie theatres
Kids zone
Book store
All
Interpretation:
It is clear from above analysis that a store with book store is preferred the most by
consumer since he/she can spend more time in such store. So it is better to open a store
with a book store.
27
4) Which store do you visit the most?
Store
Pantaloon
Piramyd
Apana bazar
Westside
No. of
Respondents
66
43
54
37
66
54
No.of Respondent
37
43
80
60
East
40
20
0
Pantaloon
Piramyd
Apana
bazar
Westside
Interpretation:
It has been found that most of the people like to go to Pantaloon, followed by Apana
bazar.
28
5) What attracts you to this store?
Attraction to
Store
Location
Variety of
brand
Price
range
Ambience
Convenience
Offers/
Discounts
No. of
Respondents
32
32
34
18
28
56
Response
32
34
56
28
32
60
18
50
40
Column 2
30
20
10
Offers/
Discounts
Convenience
Ambience
Price range
Variety of
brand
Location
Interpretation:
After going through above data we can interpret that Offers and discount are the major
reasons which attract customers to a store, then comes price range and location, so we
should try to give more offers and discount which attract to all.
29
6) How frequently do you visit this store in a month?
Freq. visit
Once
Twice
Thrice
Occasionally
No. of
Respondents
58
106
24
12
No.of Respondents
12%
6%
29%
53%
Once
Twice
Thrice
Occasionally
Interpretation:
Out 200 customers studied maximum portion (53%) of the customers are coming for
shopping twice in a week or more. It means shopping is a usual habit of a customer.
30
7) Which day you prefer for shopping?
Prefer days
Weekdays
Weekends
No. of Respondents
63
137
137
63
160
140
120
100
80
60
40
20
0
East
West
North
Weekdays
Weekends
Intepretation:
Out of the sample collected 137 preferred for shopping in the weekends and the rest go
for weekdays
31
8) Which time do you like to go for shopping?
Time
Morning
Afternoon
Evening
No. of
Respondents
63
54
83
No. of Respondents
32%
41%
27%
Morning
Afternoon
Evening
Interpretation:
Maximum portion (41%) of the sample preferred shopping in the peak hrs that is 5pm
9pm.
32
9) With whom do you normally go for shopping?
With
Alone
wife
Parents
Friends
Husband
Kids
Colleagues
No. of
Respondents
42
22
18
52
42
20
No. of Respondents
2%
10%
21%
21%
11%
9%
Alone
wife
Parents
Friends
Husband
Kids
Colleagues
26%
Interpretation:
Most of the sample (26%) do shopping with their friends, next big portion (21%) use to
go for shopping with their husbands and individually.
33
10) Whom do you normally shop for?
Shop for
Own
Family
Relatives
Friends
Others
No. of
Respondents
78
46
28
48
00
No.of Respondents
0%
24%
39%
14%
23%
Own
Family
Relatives
Friends
Others
Interpretation:
Most of the customers (39%) do shopping for their own, friends and family
34
11) How much time do you normally spend in store?
Hours Spend
One
Two
Three
>Three
No. of
Respondents
22
64
88
26
No. of Respondents
13%
11%
32%
44%
One
Two
Three
<Three
Interpretation:
44% of the sample is saying that they spend all together 3 hrs in single visit of shopping.
The lowest percentage of customers is saying that they spend 1 hr in a single visit of
shopping.
35
12) Do you make preplan about shopping?
Preplan
Yes
No
No. of Respondents
148
52
No.of Respondents
26%
74%
Yes
No
Interpretation:
After going through above data we can interpret that most of the respondents made
preplan before shopping.
36
13) What is your average expenditure for shopping/month?
Expenditure
< Rs.1000
Rs. 10013000
Rs.3001-6000
Above Rs.
6001
Cant say
No. of
Respondents
48
62
34
16
40
70
62
No. of Respondents
60
50
48
40
40
34
East
30
16
20
10
Cant say
Above Rs.
6001
Rs.30016000
Rs. 10013000
> Rs.1000
Interpretation:
After going through above data we can interpret that most of the respondents are
spending there money on shopping in between Rs.1001-3000 followed by less than
Rs.1000/month.
37
15) What do you expect from store merchandise?
Expectation
Variety
Quality
No. of
Respondents
78
62
Latest trends &

Fashion
20
All the above

40
No. of Respondents
Variety
20%
39%
Quality
Latest trends &
Fashion
All the above
10%
31%
Interpretation:
After going through above data we can interpret that most of the respondents are expect
variety and quality from store merchandise.
38
Comparison between Pantaloon, Piramyd, Apana bazar and Westside:
Quality of merchandise:
Grade
Respondents
Excellent
4
Good
21
Fair
20
Poor
5
pantaloon
10%
8%
Excellent
Good
Fair
Grade
Respondents
Poor
42%
40%
Excellent
9
Good
22
Fair
16
Poor
3
Piramyd
6%
18%
Excellen
t
Good
32%
Fair
Poor
44%
39
Grade
Respondents
Excellent
2
Good
25
Fair
18
Poor
5
Apana Bazar
4%
10%
36%
Grade
Respondents
50%
Excellent
7
Good
23
Fair
18
Excellent
Good
Fair
Poor
Poor
2
Westside
4%
14%
Excellent
Good
Fair
Poor
36%
46%
Interpretation:
Sample says that the quality of merchandise is good in Piramyd which has very close
competition with Westside followed by pantaloon and Apana bazar in the total sample
collected.
40
Variety of merchandise:
Grade
Respondents
Excellent
2
Good
9
Fair
32
Poor
7
Pantaloon
4%
14%
18%
Excellent
Good
Fair
Poor
64%
Grade
Respondents
Excellent
8
Good
20
Fair
20
Poor
2
Piramyd
4%
16%
Excellent
Good
Fair
Poor
40%
40%
41
Grade
Respondents
Excellent
15
Good
30
Fair
5
Poor
0
Apana bazar
0%
10%
30%
Excellent
Good
Fair
Poor
60%
Grade
Respondents
Excellent
10
Good
34
Fair
4
Poor
2
Westside
4%
8%
20%
Excellent
Good
Fair
Poor
68%
Interpretation:
Apana bazar is ahead of pantaloon
As the sample says Apana bazar has more varieties in terms of sizes, color, and design
than other stores.
42
New trend and fashion in merchandise:
Grade
Respondents
Excellent
0
Good
20
Fair
30
Poor
0
Pantaloon
0%
20%
40%
Excellent
Good
Fair
Poor
40%
Grade
Respondents
Excellent
15
Good
25
Fair
10
Poor
0
Piramyd
0%
20%
30%
Excellent
Good
Fair
Poor
50%
43
Grade
Respondents
Excellent
0
Good
42
Fair
8
Poor
0
Apana bazar
16%
0%
Excellent
Good
Fair
Poor
84%
Grade
Respondents
Excellent
14
Good
22
Fair
14
Poor
0
Westside
0%
28%
28%
Excellent
Good
Fair
Poor
44%
Interpretation:
Pantaloon stands at rank 1st in this factor.
Data from sample says that Pantaloon is most admired store in terms of latest fashion and
style. As example Pantaloon has launched its summer series of Fresh Fashion
.Pantaloon is very much flexible in terms of latest style, design and colors.
44
Customer relationship management:
Grade
Respondents
Excellent
18
Good
25
Fair
7
Poor
0
Pantaloon
0%
14%
36%
Excellent
Good
Fair
Poor
50%
Grade
Respondents
Excellent
8
Good
30
Fair
10
Poor
2
Piramyd
4%
16%
20%
Excellent
Good
Fair
Poor
60%
45
Grade
Respondents
Excellent
0
Good
35
Fair
10
Poor
5
Apana bazar
10%
0%
Excellent
Good
Fair
Poor
20%
70%
Grade
Respondents
Excellent
10
Good
30
Fair
10
Poor
0
Westside
20%
0%
20%
Excellent
Good
Fair
Poor
60%
Interpretation:
Pantaloon is in the rank 1st in this factor.
Pantaloon has been appreciated a lot by the customers as compared to others.
46
Service from staff:

Grade
Respondents
Excellent
20
Good
28
Fair
2
Poor
0
Pantaloon
4% 0%
40%
Excellent
Good
Fair
Poor
56%
Grade
Respondents
Excellent
10
Good
20
Fair
20
Poor
0
Piramyd
0%
20%
Excellent
Good
Fair
Poor
40%
40%
47
Grade
Respondents
Excellent
10
Good
25
Fair
15
Poor
0
Apana bazar
0%
20%
30%
Excellent
Good
Fair
Poor
50%
Grade
Respondents
Excellent
10
Good
28
Fair
12
Poor
0
Westside
0%
20%
24%
Excellent
Good
Fair
Poor
56%
Interpretation:
Pantaloons staff has give good service to the customer by the help of there good
communication so that they are ahead from Piramyd, Apana bazar and Westside.
48
Parking and security:
Grade
Respondents
Excellent
32
Good
8
Fair
10
Poor
0
Pantaloon
0%
20%
Excellent
Good
Fair
Poor
16%
64%
Grade
Respondents
Excellent
18
Good
20
Fair
12
Poor
0
Piramyd
0%
24%
36%
Excellent
Good
Fair
Poor
40%
49
Grade
Respondents
Excellent
2
Good
30
Fair
8
Poor
10
Apana bazar
13%
13%
17%
Excellent
Good
Fair
Poor
57%
Grade
Respondents
Excellent
5
Good
30
Fair
10
Poor
5
Westside
10%
10%
Excellent
Good
Fair
Poor
20%
60%
Interpretation:
Pantaloon has very wide space for parking so that it is ahead from other competitors in
this factor.
50
Ambience:
Grade
Respondents
Excellent
5
Good
30
Fair
15
Poor
0
Pantaloon
0%
10%
30%
Excellent
Good
Fair
Poor
60%
Grade
Respondents
Excellent
5
Good
25
Fair
20
Poor
0
Piramyd
0%
10%
40%
Excellent
Good
Fair
Poor
50%
51
Grade
Respondents
Excellent
0
Good
30
Fair
10
Poor
5
Apana bazar
11%
0%
Excellent
Good
Fair
Poor
22%
67%
Grade
Respondents
Excellent
18
Good
25
Fair
7
Poor
0
Westside
14%
0%
36%
Excellent
Good
Fair
Poor
50%
Interpretation:
Westside is in the rank 1st in this factor.
Westside has much more outer space on its wall to place big hoarding and displays so
That it results in much proper visibility to common public.
52
Billing process:
Grade
Respondents
Excellent
20
Good
25
Fair
5
Poor
0
Pantaloon
10%
0%
Excellent
Good
Fair
Poor
40%
50%
Grade
Respondents
Excellent
0
Good
20
Fair
25
Poor
5
Piramyd
10%
0%
40%
Excellent
Good
Fair
Poor
50%
53
Grade
Respondents
Excellent
2
Good
35
Fair
10
Poor
3
Apana bazar
6%
4%
20%
Excellent
Good
Fair
Poor
70%
Grade
Respondents
Excellent
10
Good
25
Fair
15
Poor
0
Westside
0%
20%
30%
Excellent
Good
Fair
Poor
50%
Interpretation:
Data from sample says that Pantaloon has different billing counter for each department so
that it is ahead than its competitor in this factor.
54
Sinages & Advertisement:

Grade
Respondents
Excellent
15
Good
25
Fair
10
Poor
0
Pantaloon
0%
20%
30%
Excellent
Good
Fair
Poor
50%
Grade
Respondents
Excellent
8
Good
32
Fair
10
Poor
0
Piramyd
20%
0%
16%
Excellent
Good
Fair
Poor
64%
55
Grade
Respondents
Excellent
0
Good
35
Fair
10
Poor
5
Apana bazar
10%
0%
Excellent
Good
Fair
Poor
20%
70%
Grade
Respondents
Excellent
10
Good
30
Fair
10
Poor
0
Westside
20%
0%
20%
Excellent
Good
Fair
Poor
60%
Interpretation:
Pantaloon is ahead of Piramyd, Apana bazar and Westside in this factor.
Communication by signage in PANTALOON is much better than others because of its

larger and contrasting hoarding and signage, which has more visibility than in Piramyd,
Apana bazar and Westside.
56
Offers & Discount:

Grade
Respondents
Excellent
25
Good
20
Fair
5
Poor
0
Pantaloon
10%
0%
50%
Excellent
Good
Fair
Poor
40%
Grade
Respondents
Excellent
5
Good
20
Fair
25
Poor
0
Piramyd
0%
10%
Excellent
Good
Fair
Poor
50%
40%
57
Grade
Respondents
Excellent
10
Good
20
Fair
20
Poor
0
Apana bazar
0%
20%
Excellent
Good
Fair
Poor
40%
40%
Grade
Respondents
Excellent
5
Good
30
Fair
15
Poor
0
Westside
0%
10%
Excellent
Good
Fair
Poor
30%
60%
Interpretation:
Pantaloon is ahead of Piramyd, Apana bazar and Westside in this factor.
Pantaloon is very much flexible in terms of marketing promotion, offers, and events. It
makes changes according to the changing scenario. Seasonal promotions such as summer
series and winter series have affected in increased demand of its product and increased
sales.
58
AS THE ABOVE FACTORS SHOWS US CLEARLY THAT THERE IS A VERY

CLOSE COMPETITION BETWEEN PANTALOON, PIRAMYD, APANA BAZAR
AND WESTSIDE. IN FEW FACTORS SUCH AS CUSTOMER RELATIONSHIP
MANAGEMENT
AMBIENCE,
NEW
TREND
AND
FASHION
IN
MERCHANDISE BILLING PROCESS SINAGE AND ADVERTISEMENT

OFFERS AND DISCOUNTS PANTALOON IS MUCH AHEAD OF PIRAMYD,
APANA BAZAR AND WESTSIDE.SO THIS IS THE MAIN REASON WHY
PANTALOON STANDS FIRST RANK IN OUR TOTAL SAMPLE COLLECTED.
59
FINDINGS
Maximum number of respondent like going to Sitabuldi for shopping because of

number of store over there, its well connected and also they find Sitabuldi as
good place to relax and hangout.
From analysis we find that a store with variety of brand as well as new fashion is
preferred the most by consumer since he/she can compare the brand quality.
It has been found that most of the people in Nagpur like going to Pantaloon
followed by Apana bazaar.
Most of the respondent prefered going to a store twice in a month.
Most of the respondents prefered to shop in pantaloon because of offers and
discount.
Most of the respondents are expect variety and quality from store merchandise.
It is found that most of the respondents are spending there money on shopping in
between Rs.1001-3000 followed by less than Rs.1000/month.
It is found that most of the respondents made preplan before shopping.
It is found that most of the respondents preferred shopping in the peak hrs that is
5pm 9pm.
Most of the respondents preferred for shopping in the weekends mostly in the
Saturdays and Sundays.
60
It is found that majority of customers are coming for shopping twice in a week or
more. It means shopping is a usual habit of a customer.
It is very clear from above analysis that a store with book store is preferred the
most by consumer since he/she can spend more time in such store.
Most of the respondents were found that they preferred to shop with friend.
From analysis we find that most of the customer preferred to shop for own.
61
LIMITATIONS OF THE PROJECT

Limited response from respondent response may not reveal the accurate picture as
accurate data was not revealed by the respective respondents.
Time constraint was our first limitation because of which we could not study the
whole Nagpur market.
We have restricted our sample size to 200 because most of the people give wrong
information.
Respondent were not giving much though to questions though we have honesty
and sincerely tried to present the facts and figures but because of some non
responses errors still might have cropped level.
62
CONCLUSION
As we know in the present scenario there is a cutthroat competition in the retail market.
The only way to survive in the market is to attract the customers more and more and to
provide the best services available in the market. As it is discussed in this project about
all the factors that are responsible for a positive attitude of a consumer to move to a
particular shopping mall or a particular department store. New competitors are entering in
to the Indian market. Competitors such as Shoppers stop, Piramyd, Westside are trying to
create new ideas and implementation of them in order to attract the customers attention.
So consumer behavior and consumers reaction is an important factor, which must be
taken into consideration by every retailer. Factors such as service, ambience, availability
of merchandising, variety of merchandising, latest trends and fashion are the main factors
which directs a customer to choose a particular department store for his/her shopping. In
this research it has been found that even if one factor is missing in a particular store then
the customer reacts very strongly. So its a must for every retailer to take care of every
factor delicately to retain their loyal customers and attract new customers.
63
RECOMMENDATIONS
The trend today has been to combine shopping with various offering. Take a mall for
example, apart from shopping there are food court, cinema theaters, and even in some, an
amusement centre for children. Shopping has made people spend not just on their
requirements of good to be bought but to look on the totality of the experience have a
quick bite at Mc Donalds in the mall or let the kids play fun game while one is busy
shopping or even taking the family out to movie and having a dinner all under one roof.
The benefits of this totality offering are that many venders get to have people patronized
there offerings. While the shopping experience i.e. being enhanced, more business is got
by the store at the venue. Shopping is no longer a one time agenda for people. Various
options are opening up.
Shopping has become a more whole some experience today and the segment which
Feels the need for the add-on offering is not complaining.
It was seen that, kurta section was the one where majority of the female customers
were stressing on the limited variety. Concentration on this section will
simultaneously help us to tackle the increasing competition from Westside in the
Women Indian wear.
In the Mens section, stock and varieties in T-Shirts has to be increased. For instance,
full-sleeves T-Shirts. Also introducing new brands in this section is required.
During the research period there were cases where customer has selected the design
and pattern, but end-up without buying it due to non-availability of the required size.
This problem can be solved till some extent if we immediately check for the required
size at our other stores.
New collections in Party wear have to be added in both Men and Women section.
Unavailability of colors was the main issue in the Party wear section.
64
More frequent promotional activities are to be conducted in the store. During the
research period it was known that many people were not aware about the available
offers at the store.
Innovation at regular interval required not only in products but also in customer
services.
Merchandise for all type of income levels should be available.
We should try to keep the customer loyal to us so that his or her visits to the store
increase or at least rewind them from switching to other store
Customer loyalty program is must for retaining the customer since acquiring a new
customer is five times more expensive then retaining an existing customer.
Ambience of the store should be different and attractive so that the customer feels at
ease each time he or she visits the store.
Skilled personnel are required.
65
BIBLIOGRAPHY
Books referred:
Marketing Management by Philip Kotler
Marketing research by Dilip Sarvate
Website:
www.pantaloons.com
www.google.com
www.indiainfoline.com
www.search.com
www.retailindia.com
66
ANNEXURE
Questionnaire
Personal Details:Name: -
Age: -
Sex: -
Education: -
Occupation: -
Income: -
Marital status: -
1) Where do you prefer to shop?

a) Sitabuldi
c) Sadar
b) Dharampeth
e) Vardhaman nagar
2) What comes to your mind when you think of a store?

a) Shopping
b) Entertainment
c) Hangout
d) Others
3) Would you like to visit a store with..
a) Food court/Restaurants
c) Kids zone
e) All
4) Which store do you visit the most?
a) Pantaloon
c) Apana bazaar
5) What attracts you to this store?
a) Location
c) Price range
e) Convenience
b) Movie theatres
d) Book store
b) Piramyd
d) Westside
b) Variety of brands
d) Ambience
f) Offers/Discounts
6) How frequently do you visit this store in a month?

a) Once
b) Twice
c) Thrice
d) Occasionally
7) Which day you prefer for shopping?
a) Weekdays
b) Weekends
67
8) Which time do you like to go for shopping?

a) Morning
c) Evening
b) Afternoon
9) With whom do you normally go for shopping?

a) Alone
c) With parents
e) With husband
g) With colleagues
b) With wife
d) With friends
f) With kids
10) Whom do you normally shop for?

a) For own
c) Relatives
e) Others
b) Family
d) Friends
11) How much time do you normally spend in store?

a) One Hour
c) Three Hours
b) Two Hours
d) More than three
12) Do you make pre-plan about shopping?

a) Yes
b) No
13) What is your average expenditure for shopping/month?

a) Less than Rs.1000
b) Rs.1001-3000
c) Rs.3001-6000
d) Above Rs.6000
e) Cant say
14) What do you expect from store merchandise?
a) Variety
c) Latest trends & fashion
b) Quality
d) All the above
15) How do you rate following in this store?

Excellent
Good
Fair
Poor
a) Quality of Merchandise
b) Variety of Merchandise
c) New trends & fashion in Merchandise
d) Customer relationship management
e) Services from staff
f) Parking & Security
68
g) Ambience
h) Temperature
i) Billing process
j) Signages & advertisement.
k) Offers &Discounts
69

Customer Retention in Retail Setor by Noname

Hochgeladen von

Dokumentinformationen

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

Customer Retention in Retail Setor by Noname

Hochgeladen von

Copyright:

Verfügbare Formate

www.final-yearprojects.co.cc | www.troubleshoot4free.

Top Retailers Worldwide

Changing Income Profile:

Household Income class

Number of Household (millions) and

77.0 46.7% 57.2 31.7% 36.7 18.4% 30.0 14.1%

Changing Age Profile:

This demographic shift in favor of younger people can be a harbinger of increased

Organized Retailing In India:

Current Composition of Organized retail 2007 (in Percentage)

Food & Grocery

Malls: The new face of retail

Real Estate of Retail Industry:

Legislation and Supply Chain Management:

Size of the retail distribution network:

The Price-sensitive Consumer:

SCOPE OF THE PROJECT

We shall infuse Indian brands with confidence and renewed ambition.

Indianness: confidence in ourselves.

Leadership: to be a leader, both in thought and business.

Introspection: leading to purposeful thinking.

Openness: to be open and receptive to new ideas, knowledge and information.

Valuing and Nurturing Relationships: to build long term relationships.

Adaptability: to be flexible and adaptable, to meet challenges.

Flow: to respect and understand the universal laws of nature.

Awards & Recognition:

Off price retailers

What is retail strategy?

Men and Women who visited store often or occasionally.

Area Under study was restricted to Nagpur.

Sample size taken by us was 200 people.

Contact method used in the survey was Personal Interview.

1) Where do you prefer to shop?

2) What comes to your mind when you think of store?

3) Would you like to visit a store with.

4) Which store do you visit the most?

5) What attracts you to this store?

6) How frequently do you visit this store in a month?

7) Which day you prefer for shopping?

8) Which time do you like to go for shopping?

9) With whom do you normally go for shopping?

10) Whom do you normally shop for?

11) How much time do you normally spend in store?

12) Do you make preplan about shopping?

13) What is your average expenditure for shopping/month?

15) What do you expect from store merchandise?

Latest trends &

All the above

Comparison between Pantaloon, Piramyd, Apana bazar and Westside:

New trend and fashion in merchandise:

Customer relationship management:

Service from staff:

Parking and security:

Sinages & Advertisement:

Communication by signage in PANTALOON is much better than others because of its

Offers & Discount:

Pantaloon is ahead of Piramyd, Apana bazar and Westside in this factor.

AS THE ABOVE FACTORS SHOWS US CLEARLY THAT THERE IS A VERY

MERCHANDISE BILLING PROCESS SINAGE AND ADVERTISEMENT

Maximum number of respondent like going to Sitabuldi for shopping because of

LIMITATIONS OF THE PROJECT

1) Where do you prefer to shop?

2) What comes to your mind when you think of a store?

6) How frequently do you visit this store in a month?