UNIVERSITY OF MUMBAI

MAHATMA EDUCATION SOCIETYS PILLAIS COLLEGE OF ARTS, COMMERCE & SCIENCE NEW PANVEL

ACADEMIC YEAR 2011-2012

PROJECT: PANTALOONS MARKETING
SUBMITTED BY: CLASS T.Y.B.COM (A)

NAME: ANKIT SHARMA ROLLNO: 3839

DATE OF SUBMISSION: 25/7/2011

SUBMITTED BY: ANKIT SHARMA

SUBMITTED TO: SEEMA SOMANI

Declaration:I Mr. Ankit Sharma Student Of T.Y.BCOM Pillais college of Arts, Commerce & Science New Panvel, Navi Mumbai Here By Declare That: I HAVE COMPLETED THE PRESENT ON MY OWN INFORMATION PROVIDED. THE REGARDING PROJECT IS TRUE & ORIGINAL.

Sign:

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ACKNOWLEDGEMENT:

THE COMPLETION OF PROJECT INVOLVES CONTRIBUTION OF TIME & EFFORTS OF MANY PEOPLE. I WOULD LIKE TO ACKNOWLEDGE THEIR HELP INDIVIDUALLY BY EXPRESSING OUR HEART GRATITUDE TO ALL OF THEM. I WOULD LIKE TO THANKS MRS. SEEMA SOMANI FOR GIVING HER VALUABLE GUIDANCE, TIPS & HELPING US THROUGHOUT THE PROJECTS. I THANK TO ALL THOSE PERSONS WHO HELPED US DIRECTLY OR INDIRECTLY FOR THE SUCCESSFUL COMPLETION OF PROJECT.

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Sr.No. 1 2 3 4 5 6 7 8 9 10 11 12
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Name of Contents Introduction History of Pantaloons Objectives Major Milestones Brands Available Marketing Mix Advertising & Marketing SWOT Analysis Product Mix Offered Table of Product Category/format/ offerings Pantaloons Business Strategy
ANALYSIS AND INTERPRETATION

Page No. 5 7 8 10 11 12 13 14 18 20 24 25

13 14

Suggestion Conclusion

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INTRODUCTION
Fashion is all about the now. Why, then should people not see a fresh look every time they walk into a Pantaloons store? That is the thought behind 'Fresh Fashion'. An idea that has captured the imagination of young India. With a focus on the youth of today, Pantaloons offers trendy and hip fashion that defines the hopes and aspirations of this demography. Pantaloons Fresh Fashion stands out as a fashion trendsetter, on the lines of how fashion is followed internationally. All Pantaloons stores reflect the new ideology -- Fresh Feeling, Fresh Attitude, Fresh Fashion. The stores offer fresh collections and are visually stimulating thanks to appealing interiors and attractive product display. The First Pantaloons started in the year 2000 in Kolkata. In India, the company has over 1000 stores across 71 cities and it employs more than 30000 people in their stores. It is the country largest listed retailer by market capitalization and revenue. It focused on meeting customer requirements for Fashion, Food, General merchandise and home in both value & life style segment. Range of Branded & Private label apparel, Footwear, Perfumes, Cosmetics, Jewellery, Leather Product etc. Business model- Family Focus rather that Individual Focus. Aim was to provide customers a unique shopping experience, comprising a vast range of

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lifestyle & value retail product, mix of retailing formats coupled with facility of entertainment & leisure. Pantaloons visual merchandising is creative, innovative and outstanding which can be seen from its own in house private brands such as John Miller. All the merchandise is placed at both 360 degree and 180 degrees. The new launched products are showed by prominent colour back ground. Window display is highly interactive for impulsive buyer. Price range is average. Pantaloons follows a theme based interior, like a corner is assigned to every brand and that brand put up its product as per its liking. Also the posters and ads for discounts and offers for them are put up there only Exteriors of pantaloons stores are very attractive & eye catchy. They put up fresh fashion collections on the dummies on the entrance. The exterior appearance of a store silently announces what customers can expect inside. Good exterior visual merchandising attracts attention, creates interest and invites the customer into the business. Pantaloons stores have very attractive display areas, in which they put the dummies, accessories & all. They have a broad walkway & doorways. Also there are small screens put up at various corners which are most visible, and which they show case ads of their own as well as other brands available there. Here each rack are placed in such a way so that consumers can easily take their wanted products. Pantaloons have their own in house brands in Apparel as well as different sections. Pantaloons visual merchandising is creative, innovative and outstanding which can be seen from its own in house private brands such as John Miller. All the merchandise is placed at both 360 degree and 180 degrees. The new launched products are showed by prominent colour back ground. Window display is highly interactive for impulsive buyer.
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History of Pantaloons:Our Company was incorporated on October 12, 1987 as Manz Wear Private Limited. The Company was converted into a public limited company on September 20, 1991 and on September 25, 1992 the name was changed to Pantaloon Fashions (India) Limited and in the same year the Company made an initial public offering. We later changed our name to Pantaloon Retail (India) Limited on July 7 1999. The Registered Office of the Company was shifted from Venkatesh Bhavan ,4th Floor 86 Mirza Street, Mumbai 400003 to Pantaloon House, G 11, M.I.D.C. Cross Road A, Andheri East, Mumbai 400 093 and subsequently shifted to its current registered office at Pantaloon Knowledge House, Shyam Nagar, Off. Jogeshwari Vikhroli Road, Jogeshwari (East), Mumbai 400 060. The Equity Shares of our Company were first listed on BSE, DSE and ASE, on July 30, 1992. Thereafter, the Equity Shares were listed on the NSE on February 20, 2001 We started our operations by selling branded garments under Pantaloon, Bare and John Miller brands. We set up our first menswear Pantaloon Shoppe Outlet in 1993. Our business has grown from one store in Kolkata in 1997 occupying an area of 8,000 Sq ft to 72 stores, apart from our 22 factory outlets located in the multiple cities occupying an aggregate area of 21,07,608 Sq. ft. We focus on the Lifestyle segment through 14 Pantaloon stores, 3 Central Malls, 2
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aLL, 2 Fashion Station and 1 MeLa store. In the Value offering, we cater to the mass through our 21 Big Bazaar and 30 Food Bazaar outlets. .

Objectives:Objects as contained in Memorandum of Association include: 1. To carry on the business of manufacturing, buying, selling, exchanging, altering, importing, exporting, distributing or otherwise dealing in ready made garments an hosiery made of cotton, silk, rayon, wool, nylon, man-made fabrics, polyester, canvas, jute, leather, any other fabric coated with any chemical or not, or other preparation and other fabric. 2. To carry on the business of manufacturing, processing, dyeing, bleaching, buying, selling, exchanging, importing, exporting or otherwise dealing in yarns and textiles made of cotton, silk, rayon, wool, nylon, man-made fibres, polyester, canvas or any other substances. 3. To carry on trade or retail business in India through retail formats and including but not limited to hyper markets, super markets, mega stores/discount stores, cash & carry, departmental stores, shoppers plaza, direct to home, phone order and mail order, catalogue, through internet and other forms and multi level channels for all products and services, dealing in all kinds of goods, materials and items including but not limited to food & provisions, household goods, consumer durables, jewellery, home improvement products, footwears, luggages, books & stationery, health care and beauty products, toys and music, computers & accessories, telecom products, agri input products, furniture & furnishings, Automobile & accessories, and acquiring and running food, service and entertainment centres including but
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not limited to multiplexes, cinemas, gaming centres, amusement parks, restaurants and food courts and acquiring of land or building on lease or freehold or any commercial or industrial or residential building for running and management of retail business and to acquire flats, offices and retail spaces for carrying on retail business and to sell them, lease or sublet them and to undertake and execute civil, mechanical, electrical and structural works contracts and sub contracts in all their respective branches to carry on retailing business.

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Major Milestones:-

1987: Company incorporated as Mens Wear Private Limited. Launch of Pantaloons trouser, Indias first formal trouser brand. 1991: Launch of BARE, the Indian jeans brand. 1992: Initial public offer (IPO) was made in the month of May. 1994: The Pantaloon Shoppe exclusive menswear store in franchisee format launched across the nation. The company starts the distribution of branded garments through multi-brand retail outlets across the nation. 1995: John Miller Formal shirt brand launched. 1997: Pantaloons Indias family store launched in Kolkata. 2001: Big Bazaar, Is se sasta aur accha kahi nahin - Indias first hypermarket chain launched. 2002: Food Bazaar, the supermarket chain is launched. 2004: Central Shop, Eat, Celebrate in the Heart of Our City - Indias first seamless mall is launched in Bangalore. 2005: Fashion Station - the popular fashion chain is launched ALL a little larger - exclusive stores for plus-size individuals is launched
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2006: Future Capital Holdings, the companys financial arm launches real estate Sr.No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 PRIVATE LABEL & BRANDS AT STORE. ADIDAS AKKRITI BARE BIBA BLACK PANTHER CONVERSE Dio Rucci GANUCHI GINI N JONY GIOVANI HONEY INDIAN TERRAIN INDIGO NATION JEALOUS JM SPORT JOCKEY JOHN MILLER LEE LEE COOPER LEONE LILLIPUT LOMBARD MIX N MATCH MONTE CARLO URBAN YOGA TRISHAA AGILE REMANIKA SHRISHTI SCOTSVILLE funds Kshitij and Horizon and private equity fund In division. Plans forays into insurance and consumer credit.

These are the few famous brands which are available at Pantaloons:

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MARKETING MIX:Marketers use numerous tools to elicit desired responses from their target markets. These tools constitute a marketing mix .Marketing mix i s t h e s e t o r m a r k e t i n g t o o l s t h a t f i r m uses to pursue its marketing objectives in the target market. M c C a r t h y c l a s s i f i e d t h e s e t o o l s i n t o f o u r br o a d gr o u p s that he called the four Ps of marketing: product, price, place, and promotion.

Product:-The store preparing an offering mix of products, services and

prices, and utilizing a promotion mix of sales promotion, advertising, sales force, public relations, direct mail, telemarketing, and internet to reach the trade channels and the target customers.

Price: - A store can change their price according to their expenditure on advertising and sales promotion.

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Place: -A place is matters for profit margin. A store must be open at

crowded & populated.

Promotion: - A product may be promoted by advertising & by using sales

techniques. These are the four Ps which are followed by these stores. These Ps help

them in increasing their sales margin as well as profit margin. It takes place after proper determination of market. These Ps are adopted by the Kishore Biyani in pantaloons and for this he is awarded by many awards. These four Ps boost their market & also increase their share value in the share market and it is one of the most success full departmental stores of India.

ADVERTISING & MARKETING

Advertising is omnipresent. It is everywhere. Advertising is a powerful tool of business and marketing. But some others say that advertising manipulates our needs and makes us buy things, which we do not want. Advertising is considered so powerful that doing business today without advertising is like looking at a girl in a dark room. Countering claims about the powerful persuasive nature of adverti s i n g i s o n e o f t h e m o s t n o t o r i o u s s a y i n g s i n w o r l d of advertising; I know half the money I spent on advertising in wasted; but I can never find which half. It always gets return in form of improvement of sale.

Advertising through mass media: - Advertising through television is most effective advertisement. It attracts consumer attention at a very high speed.
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Advertisement through radio: - Advertising through radio is known as oral advertising. It gives information if new scheme and discount has been allowed in their stores. Now-a-days it reduces but it also attracts consumer attention. Advertisement by other different ways: - Advertising also made through internet, SMS services, and it also sells their product directly through internet and now-adays it is one of the most fast selling processes. People buy their product by sitting at one place. This also increases the pantaloons profit margin.

SWOT Analysis:(Internal Environment Analysis (strengths/weaknesses Analysis) This is one thing to decide attractive opportunities and another to have the competencies to succeed in these opportunities. Each business needs to evaluate its internal strengths and weaknesses periodically. It can do so by using a form like the one shown in the marketing Memo Checklist for Performing Strength/Weaknesses Analysis. Managementor an outside consultantreviews marketing, financial, manufacturing and organizational competencies and rates each factor as a major strength, minor strength, neutral factor, minor weakness, or major weakness. Clearly, the business does not have to correct all its weakness, nor should it gloat about all its strengths. The big question is whether the business should limit itself to those opportunities where it might have to acquire or develop certain strengths.

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Sometimes a business does poorly not because its departments lack the required strengths but because they do not work together as a team. In one major electronics company, the engineers look down on the salespeople as engineers who couldnt make it, and the salespeople look down on the service people as salespeople who couldnt make it. It is therefore critically important to assess interdepartmental working relationships as part of the internal environmental audit. This analysis helps in reducing the market risk and increases the sales margin as well as their profit margin.

Some of the SWOT Factor of the pantaloons explains below: Strength: - Brand equity and early mover advantage; Entrepreneur led, professionally managed by an experienced team; Project execution and operations capabilities; Vast range of lifestyle and value retail products and services; Strong distribution and logistics network and supply chain; strong distribution and logistics network, with our 21 distribution centres covering; and Large base of customers and Strong focus on systems and processes; Retailing is a "technologyintensive" industry. A pantaloon is an excellent branding and high quality image. People buy product because it possesses branded product and quality product. Teenagers and young generation are crazy about these branded products. Weakness:- It face a lot of competition from other different malls, departmental stores. Some places it has not been able to compete due to its high prices. High prices limited range their range of customers and it is affordable only by the middle class and upper class of the society.
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Opportunity:-The fickle and design. This is because of the conscious nature of the target market of young teenagers and adults who like to buy the latest fashions. It brings out new technology and new product or any new fashion which attracts the customers. Moving towards the young and adult customers. Threat: - More number of outlets of competitors available in the surrounding. If the unorganized retailers are put together, they are parallel to a large supermarket with no or little overheads, high degree of flexibility in merchandise, display, prices and turnover. Shopping Culture: Shopping culture has not developed in India as yet. Even now malls are just a place to hang around with family and friends and largely confined to window-shopping. Financial slow down, consumer choice differs, price wars & more window shopping.

Marquees
A special type of sign is used to display the name of the store. It is used to announce a change in season, sale, a special event or a promotion.

Promotion Strategy
Promotion includes all the activities the company undertakes to communicate and promote its products to the target market. Atlas has to hire, train, and motivate salespeople. It has to set up communication and promotion programs consisting of advertising, sales promotion, public relations, and direct and on-line marketing.

Hoardings:

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Pantaloon puts its hoarding at prime locations, featuring the upcoming Fashion events or its brand ambassadors who are generally eminent celebrity. Category manager plans promotions / brand or product building schemes. The category manager identifies slow movers and also disposal plan for the same. Labour: The manpower information is useful in knowing the employee capacity, which is proportional to the production capacity.

Financial Information: The financial status of the vendor is useful in knowing the capability of the vendor to deliver the order, in adverse situations. Names and Addresses of all Units used for Production Carrying expenses for the company will decrease, which depends on the vendor unit location. The criterion of selecting a vendor by the company is equipped with the information needed for the proper delivering and distribution of the order by the company. IT System IT system at Pantaloon stores is fully centralized; the report of daily sales is being reported to head office in Germany. Bar Coding and Scanners: Point of sale systems use scanners and bar coding to identify an item, use prestored data to calculate the cost and generate the total bill for a client. Payment: Payment through credit cards has become quite widespread and this enables a fast and easy payment process
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CRM Systems: Data warehousing & mining technologies offer consumer data and apply it to business.

Product Mix Offered:The kind of product mix to be offered by the retailer is another important consideration. As mentioned earlier the main product line of Pantaloons is mens and womens clothing and other accessories comprising a vigilant mix of private as well as other labels... Since Pantaloons provides products to a potentially large number of customers at affordable prices, it falls in the High Turnover - Low Margin Category

PRODUCT Spring (designer wear for men and women) Ladies formal Ladies ethnic and casuals Nightwear Infant necessities
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Mens occasion wear Mens Formal Mens Ethnic Denim wear Active wear, sports

Indo-Western Kids wear

wear Teen Boys Wear Mens casuals

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Table:Product Category Concepts Food Brew Bar Status Operational Format/Offerings Beers, snacks and set meals Caf Bollywood Chomosa Operational Snack counter in high traffic area Food Bazaar Rain Sport Bar Fashion aLL Operational Operational Operational Operational Supermarket Food and beverages Focused on sports lovers Fashion apparel for plus-size individual Big Bazaar Blue Sky Central Fashion Station Gini & Jony Pantaloons Home & Electronics Electronics Bazaar e-zone Operational Operational Present within Big Bazaar Consumer Electronics Collection i Operational Operational Operational Operational Operational Operational Operational Hypermarket Fashion accessories Seamless malls Popular fashion Kids fashion Department store Home furnishings Planned Eateries

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Furniture Bazaar Got it

Operational

Home furniture

Planned

One stop shop for home maintenance

Home Town Telecom & IT Gen M M Bazaar

Planned Planned Planned

One stop Destination Hi-tech products Solutions for knowledge, entertainment and communication

M Port

Planned

Standalone stores/Shopin-shop

General Merchandise

Big Bazaar

Operational

Hypermarket

Blue Sky Central Footwear Bazaar Navarasa Pantaloons Shoe Factory

Operational Operational Planned

Fashion Accessories Seamless malls Footwear and accessories

Planned Operational Operational

N.A. Department store Footwear and accessories

Leisure & Entertainment

Bowling Co.

Operational

Premium family entertainment center

F 123

Operational

For leisure and

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entertainment Wellness & Beauty Star Sitara Operational Beauty salon for men and women Tulsi Turmeric Operational Planned Pharmacy Cut-in format at Food Bazaar Books & Music e-tailing Depot Operational Books and music Futurebazaar.com Health Village Planned N.A.

Online retailing Operational

IT System
IT system at Pantaloon stores is fully centralized; the report of daily sales is being reported to head office in Germany. Pantaloon Retail selected the entire suite of Connected Retailer solutions to take them into the future of retailing. They purchased Connected Retailer Store, Merchandising, Planning, Sales Analytics, and CRM. At the core of their systems is the Connected Retailer Merchandising Solution, which streamlines operations, unifies asset management, and helps retailers learn the truth about their business. This powerful retail enterprise solution features an open-architecture design that provides unprecedented flexibility, scalability, power, and control merchandisings centralized transactional database and support tools enable retailers to make and execute better decisions based on accurate, current, and shared information. Buying consistent data to guide all processes, the solution automatically synchronizes and integrates all key functions,

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including planning, ordering, pricing, flow, sales, margins, and inventory management Connected Retailer. Bar Coding and Scanners: Point of sale systems use scanners and bar coding to identify an item, use pre-stored data to calculate the cost and generate the total bill for a client.

Pantaloons Business Strategy

1 2 3 4 5 6 7
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Emphasis on backward integration. Expansion of FMCG. Increasing customer satisfaction and Pantaloon base of loyal customers. Continue to upgrade information technology systems and processes. Continue to train employees and seek entrepreneurship from employees. Providing discount to attract the customer attention. It is expanding his business at densely populated area. To understand the concept of lifestyle retailing by the company. Mix-Marketing Strategy adopted. Providing gifts on different type of goods. It adopted FOUR Ps for increasing their sales and profit margin. It should be operated by experienced management team.

9 10 11 12
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13 14 15

Increasing sales by providing attractive rate of discount to their customers. There have been weekly offers to customers at a cheaper rate. Recently, pantaloons providing upto 50% of discount on any of their product. Future Group shall deliver Everything, Everywhere, Every time for Every Indian Consumer in the most profitable manner.

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ANALYSIS AND INTERPRETATION:

Q1. In a month how many times you visit Pantaloons? a) Once 7 b) Twice 21 c) Thrice 8 d) More than thrice 25 e) As per requirement 37 INTERPRETATION:

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Out of 100 respondent, 37% people visit the store when they have some requirement and 25% are visited more than thrice, 23% visited two times in month and 7% & 8% people visited one and three times in a month respectively. Most of them regularly visit Pantaloons. Q2. Your shopping experience in Pantaloons is always! a) Outstanding 11 b) Excellent 19 c) Good 26 d) Average 42 e) Bad 2 INTERPRETATION: Out of 100 respondent, 26% people has good shopping experience in Pantaloons,42% has average and 19% people has excellent. But 11% has outstanding shopping experience and 2% has bad shopping experience. Q3. Discounts and offers served in Pantaloons is ! a) Outstanding 7 b) Excellent 32 c) Good 36 d) Average 23 e) Bad 2 INTERPRETATION: Out of 100 respondents, Discounts and offers served in big bazaar is good said by 36% customers, 32% feel it is excellent and only 7% feel outstanding. But 25% customers are not satisfied by Discounts and offers
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served in the Pantaloons. Maximum Customers are satisfied by Discounts and offers served in the Pantaloons. Q4. How do you feel about sales persons and promoters? a) Outstanding 4 b) Excellent 21 c) Good 49 d) Average 23 e) Bad 3 INTERPRETATION: 74% of the respondents are satisfied by the sales persons and promoters in the store rest 26% respondents are not satisfied by the sales persons and promoters in the store. Sales persons and promoters behave well with customer.

Q5. Are you satisfied with the billing facility at the store? a) YES 85 b) NO 15 INTERPRETATION: 85% of the respondents are satisfied by the billing facility in the store, rest 15 % are not satisfied. Some customer is not satisfied by billing facility.

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FINDING AND SUGGESTIONS:

1. Generally youth and women are the main customers at Pantaloons. 2. Electronic media has a great impact on customers. Electronic media help in making people aware about new products and offers 3. The availability of all products under one roof of GM and nearby their house helps customer to shop weekly and shop fresh every time. 4. Mega events like great Indian shopping festival has great impact in attracting customer to purchase more and more. 5. Customer are more attracted toward discount and offer including gift. 6. Signage and display helps in attracting customer to purchase more and more. 7. Offers and promotional scheme helps in add on sales.

SUGGESTION
1. General merchandise constitute number of departments so cash counter should be added up in the section to reduce problem of billing. 2. Queue process management should be made good. 3. During weekend customer often feel problem of trolleys so trolley should be properly managed to get rid of trolley problem. 4. Damaged product should be replaced because it gives bad impact to other product kept on the shelf. 5. Pantaloons should include more of branded products in its product Category so as to attract the brand choosy people to come in to Pantaloons.
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6. Employee should be given training time to time. The service of the Sales person is needed to be improved. Personal care should be taken by the sales person for the customers so that the customers feel good. 7. It was observed most of the customers were not aware about the offer and scheme going in the store .so proper communication should be made to make customer aware about the offer and discount. 8. Customer often face problem of unavailability of product like shoes, folder, different size of pressure cooker etc. so product should be made available in stock so that customer should not face problem of stock out.

Conclusion:A pantaloon is the best bet in retail. The store has been well maintained in accordance with the latest demands of the customers. The organization must strive for the development of new formats to facilitate a better shopping environment for its customers. It can be undoubtedly stated the company has well planned retail strategies currently but these must be updated with the continuously changing environment so that it can sustain the competitive advantage. The underlying principle of market segmentation is that the product and Services needs of individual customers differ. Market segmentation involves the

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grouping of customers together with the aim of better satisfying their needs whilst maintaining economies of scale. It consists of three stages and if properly executed should deliver more satisfy Customers, few direct confrontations with competitors, and better Designed marketing programmes. It holds a large customer base and it seemed from the study that the customers are quite satisfied with Pantaloons. Brands like ADIDAS, JOHN MILLER, and LILIPUT are offered at discount and reasonable price. The majority of customers belong to middle class family. The youth generation also likes shopping and moving around Pantaloons. Volume sales always take place in Pantaloons. Impulse buying behaviour of customers comes in to play most of the times in Pantaloons. Discount and scheme decision are taken by the headquarters and new product is added time to time by the direction of category management. They manage their merchandise in such a way that must be accepted by customer.

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