GIRISH FOOD STORE ( CASE

PRESENTATION )

PRESENTED BY:
AMIT KUMAR
SHARDUL BHARDWAJ
JYOTI PUNJ PRAKASH
PRASHANT KUMAR
SHARMA

Girish Food Store

0 Started by his grand father 50 year ago
0 Girish was a third generation entrepreneur
0 was facing changes in retail scenario
0 Store was completing Golden Jubilee in 2005
0 Facing stiff competition from modern retail

formats
0 Girish wanted to open several stores in its
Golden Jubilee year

Indian Grocery Industries

0 One of the largest Industries
0 Provided employment to 5% of Indias total

workforce
0 Retailers contributed roughly Rs. 3000 crore
in Sales in 2005
0 10% of Indias GDP
0 Changing Scenario of Retail

Different Format of
Retailing
0
0
0
0
0

Kiranas
Upgraded Kiranas
Super Market
Hyper Market
Wholesellers

Shoppers Analysis
0
0
0

600 per day customer

Generates more than 575 bills
3 types of shoppers
Fill in
Routine
Stockup

Q.1. Analyze the data provided in the

case study and suggest category
tactics based on the profitability of
each sub-categories, GMROF and
category share?
According to table 7.9

CATEGORY: 1. GROCERY PRODUCTS

2. MERCHANDISE CATEGORY

Grocery products
Total sales amount = 807071
COGS
= 640911
Gross Margin = 166160 (weekly)
Safety stock
= 42.94 units

GMROF

= GROSS MARGIN / SPACE

PROVIDED

= 166160/ 791.65
= Rs 209.89/sqft

Merchandise category
Total sales amount
Cogs
Gross margin

0 GMROF

= 974468
= 832561
= 141907

=
=

141907/ 843.62
Rs.168.21/sqft

CATEGORY SHARE
0 WEEKLY UNIT SALES BASIS

i. Grocery: 41.3%
ii. Merchandise: 58.7%
0 WEEKLY SALES AMOUNT BASIS

i. Grocery: 45.3%
ii.Merchandise: 54.70%
0 SHELF SPACE BASIS

i. Grocery: 48.41%
ii. Merchandise: 51.59%

Q.2 Suggest an assortment based

competitive strategy for Girish to
meet the challenges posed by kirana
stores and hypermarkets?
Item sales performance is the most important factor. If an item

succeeds to create a significant turnover during field tests it is

automatically considered as a prospect to enter into the
assortment.
Incremental contribution of each SKU is tested through regular

evaluations
The decision to launch a private label is based on substitution

analysis where the brand and private label is presented on the

shelf next to each other.
If the turnover of private label item reaches to 80 % of sales of

the national brand then the national brand is replaced

Q.3. Analyse the performance of the promotional

efforts of the store. Draw implication ans suggest
measures to improve category and sub-category
promotional performance

The performance of promotional activity is

good.

Buying Characteristics Feature,

No
Display

Display
And
Feature

Coupons

Low
Promotio
n

High PenetrationHigh Purchase

Frequency

High

Medium

Low

Low

High PenetrationHigh Purchase

Frequency

High

Medium

Medium

High

High PenetrationHigh Purchase

Frequency

Low

Low

Low

High

0 Q.4. Draw out a classification plan for

the different categories and identify

their roles based on the sales data and
strength of the other formats.