SUMMER INTERNSHIP PROJECT AT: Reliance Retail Hypermarket (JAMNAGAR)

RESEARCH ON : SEGMENTATION OF THE CUSTOMERS AT RELIANCE SUPER (JAMNAGAR)

PRESENTED BY: SANGTANI PRIYA JVIMS- JAMNAGAR
Segmentation of the Customers

Segmentation of the Customers

ORGANIZATIONAL STUDY
RELIANCE SUPER falls under the Retail sector of Reliance Industries ltd. Reliance Hyper mart was set-up in Jamnagar on 9th of july-2008.

The premises of the store cover the land of 17,000 square feet.
It serves the customers with 20,000 SKUS. It was inaugurated by the first customer by lightening the lamp. It has its distant office in Ahmedabad and main office in Mumbai.

OVERVIEW OF MARKETING DEPARTMENT

TARGET MARKET: The target Market is the employees of Essar, Defense, Foreigners visiting the city & Residents of Jamnagar city. POSITIONING STRATEGY: Aapki Khushi Hamari Khushi PRODUCT PORTFOLIO: Apparels, CDIT, Home-ware, Lifestyle, FMCG, N-FMCG, Footwear, luggage CHANNEL OF DISTRIBUTION : Reliance Super (opp. Ayurvedic uni.) PRICING POLICY : Loss leader policy, Bundling policy, Discount offers. PROMOTION STRATEGY : Newspapers, leaflets, POPs
Segmentation of the Customers

OVERVIEW OF human resource DEPARTMENT

There are 38 employees employed in the organization The work of staff maintenance is outsourced to strategic manpower solution.

DIVISION OF STAFF: House keeping Security [SLM] Renters Electrician repairer Customer care

Personnel Policy: Recruitment & Selection Training and development Performance appraisal Industrial relations

Segmentation of the Customers

OVERVIEW OF operations DEPARTMENT

PROCUREMENT STRATEGY: Through distribution centre from Ahmedabad TQM: Use of FEFO method. Implication of loss leader strategy, Mark down of prices SUPPLY CHAIN MANAGEMENT: Vehicle & loading GRN Report [Goods Received Note] Macro & Micro Checking Stacking
Segmentation of the Customers

REVIEW OF LITERATURE
Ajay Kumar at Bangalore (IIFM) did a Research project on operation management in retail sector A study conducted by Loudon and Britta (1993), better Interior design actually helps to elevate the image of the mall & impart a sense of excitement among the minds of the consumers According to Kaufmann (1996), consumers are getting more and more inclined towards a one stop destination for their complete shopping desire Preeta Vyas from IIM-Ahmedabad found that Price off offers with immediate incentive on a national brand & awareness through point of purchase and awareness was created through word of mouth.
Segmentation of the Customers

Research objectives
PRIMARY OBJECTIVE: To know the different segments of the customers visiting the store. SECONDARY OBJECTIVE: Identification of the demographic profile of the customers To find the socio-demographic profile of the customers To Know the geographic profile of the customers To understand the taste and preference of the customers visiting the store
Segmentation of the Customers

DATA COLLECTION METHODS -SOURCES OF DATA

PRIMARY DATA SOURCE
Observation
Questionnaire

Interviewing

SECONDARY DATA SOURCE

(i) Internet (ii) Magazines (iv) Books
Segmentation of the Customers

(iii) Research papers

Significance of the study

As an individual: I can get the insight of the retail industry and can apply this knowledge to get the better understanding of the market. To company: It can know the taste and preferences of its customers and find an opportunity to capture new customers and retain and satisfy the existing customers. To the Society: People can have better idea of the available products and the scope of the retail market which is the growing industry in the current scenario
Segmentation of the Customers

Tools & techniques of analysis

RESEARCH DESIGN: Exploratory research Sampling Technique: Convenient sampling Location : Reliance Super-Jamnagar Sample Size : 100 samples Other Tools: SWOT Analysis
Segmentation of the Customers

Data analysis &interpretation

Segmentation of the Customers

Gender-Ratio of the customers visiting the store

Number of Male & Female
80 70

60

73

50

40

30

20

27

10

0 Male Female

Segmentation of the Customers

Age-Group of the customers visiting the store

6 32 17

below 25 26-35 35-45

45

45 & above

Segmentation of the Customers

Occupation of the Respondents

19
Private Job

12
Government Job

House-Wife

32 7

Student

businessmen

27 3
0 5 10 15 20 25 30 35

self-employed

Segmentation of the Customers

Educational Qualification of the Respondents

Others 5 19 44 17 15

Post graduate
Graduate HSC SSC

10

20
Segmentation of the Customers

30

40

50

Income of the Respondents

35

35

30

25

25

25

20

15

10

8
5

3
0 Below 5000 5001-10000 10001-20000 20001-50000

4
50001 & above Others

Segmentation of the Customers

From where do you Shop?

Both

66

Reliance Store

12

Retail store

22

10

20

30

40

50

60

70

Segmentation of the Customers

Data analysis
The major reason why people buy from Reliance super is its discount offers Proximity is the factor that affects the least to respondents who do not visit the store daily Female gender is less brand oriented in comparison of male Multi-brands affect the buying decision of the respondents.

Segmentation of the Customers

Data analysis
40 respondents out of the 100 visit the stores once in a week. The respondents with nuclear family were more. 79 respondents had only 4 or below 4 members in the family. The respondents prefer to make maximum purchases during the time of festivals. Respondents owning only the two-wheeler were more in comparison to 4 wheeler owners or both.
Segmentation of the Customers

which things do you keep in mind at the time of shopping?

30

25

20

26 24 24

15

10

14
12

0 Brand name Price Approximity to the mall Product availability Quality

Segmentation of the customers

90

what would you like to purchase from a shopping store?

78

80

70

60

50

40

37
30 20

23 12
crockery grocery

15
7
apparels domestic items electronics

17

10

0 gift articles others

Segmentation of the Customers

Frequency of visiting the Store

45 40

35

40

30

25

24
20 15

25

10

6
Once in week Frequently Daily Rarely

5
Others

Segmentation of the Customers

With whom do you visit stores?

60 50

55

40

30

20

27

10

14 2
friends relatives colleagues spouse

2
others

Segmentation of the Customers

How many hours you spend shopping/ recreation purpose in stores?

60 50 40

49

30

30
20

10

12
less than 1 hour 1-2 hours 2-4 hours

9
more than 4 hours

Segmentation of the Customers

Type of house owned by the buyers of the store

50 45 40 35 30 25 20 15 10 5 0 Own house Tenament Bungalow Apartment

43 36

12 9

Segmentation of the Customers

Major FINDINGS
Female gender visiting the store is more in comparison to male gender. The average income of most of the customers is between 10000 to 20000. Reason behind shopping from store is wide range of products, discount schemes and also product quality. Discount is the main attraction for the customers. Respondents do not feel the store as one stop shop as not all the products as per their requirement are available.
Segmentation of the Customers

Major FINDINGS
Core Competency: Wide Range of Products People who visit the store daily spend less time in the store Proximity of the store affects the respondents who visit daily Few Respondents are dissatisfied with the customer services and few are dissatisfied with the quality of the consumable goods Respondents believe that the prices of the products are moderate.
Segmentation of the Customers

Limitations of the study

This exploratory research is done focusing on Jamnagar region only small sample and random sampling method.

Inexperience in the research field

At the time of fill up questionnaire may be, they may not give or have accurate answer. Biasness in response by the respondents
Segmentation of the Customers

RECOMMENDATIONS
Focus upon the quality of F&V Display the hoarding in the store so that it becomes easy for the customers to find the product

Proper display of discount schemes

One Stop Shop- Increase the product line

Increase customer Services.

Increase in merchandise for fair gender & apply discount schemes on them
Segmentation of the Customers

conclusion
The stores overall performance is good.

Improve the quality of available products.

A high level of service is important for customer retention Sufficient incentive

Emphasis on marketing activities

Customer retention & satisfaction
Segmentation of the Customers

bibliography
BOOKS Pradhan Swapna, Retailing Management, Tata Mc-Graw Hill Publishing Company Ltd., New Delhi, 2nd Edition,2007.

Kotler Philip, Marketing Management, Pearson Education (Singapore) Pte. New Delhi, 12th Edition, 2006, WEBSITES http://www.indiainbusiness.nic.in/india-profile/ser-retail.html http://indiaonestop.com/retailing.html
Segmentation of the Customers