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INTRODUCTION

Global Retailing

The top 200 Retailers alone contribute for 30% of worldwide demand. Retail sales is

generally driven by people’s ability (disposable income) and willingness (consumer

confidence) to buy goods and services. Money spent on household consumption worldwide

has increased by 68% between 1980 and 2003. The leader has unquestionably been the USA

where some two-thirds or $ 6.6 trillions out of the $ 10 trillions American economy is

consumer spending. Consumers are spending around $ 3 trillions on discretionary products

and services. Retail turnover in the European Union is around Euros 2000 billion and the

average growth in this sector seems to be following an upward trend. The Asian economies

(excluding Japan) are expected to grow at 6% consistently till 2005-06. Positive forces at

work in Retail consumer markets today include high rates of personal expenditures, low

interest rates, low unemployment and very low inflation. Negative factors that impact retail

sales involve weakening consumer confidence

Type of Retailers:

Retail Organizations have shown great variety and different format of stores are coming up

quite rapidly. Generally Retailers can be of six types.

1. Specialty Store

This stores are characterized by narrow product lines but with deep assortments such as

Apparel Stores , Sporting goods store, Furniture store ,Florist and Book store. Under this also

there could be specializations like limited line store ( eg. Men’s clothing store) and Super

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specialty store (eg. Men’s custom shirt store ). Example of such stores are Athlete’s foot ,Tall

men.

2. Departmental Store

Several Product Lines –typically clothing ,home furnishing and household goods with each

line operated as a separate department managed by specialist buyers and merchandisers

Examples Sears, JC Penny , Nordstrom.

3. Supermarkets

Relatively large ,low cost ,low margin high volume ,self service operation which is designed

to cater total needs for food, laundry, household maintenance products .Supermarkets earn an

average profit of only 1 percent on sales. Example : Safeway, Kroger.

4. Convenience Store

These are the stores which are relatively small in size and they are located near residential

area , normally remains open seven days a week and carrying a limited line of high turnover

convenience products at slightly high prices. Many have added take away sandwiches , coffee

and pastries. Example : 7-Eleven ,Circle K

5. Discount Stores

Standard merchandise sold at lower prices with lower margin but higher volumes. Actual

discount stores regularly sell merchandise at lower prices and offer mostly national brands. In

Discount retailing , Discount specialty retailing is also present eg. discount electronic store

or discount book store Example : Wal- Mart (all purpose discount store) , Kmart . Specialty :

Crown Bookstore.

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6. Off Price Retailers.

Merchandise bought at less than regular wholesale prices and sold at less than retail prices.

Often left over goods , irregulars obtained at reduced prices from manufacturers and other

retailers.

Factory outlets are owned and operated by manufacturers and they normally carry

manufacturer’s surplus ,discontinued and irregular goods. Example : Mikasa (Dinnerware )

and Dexter(Shoes).

Decline in Small Stores

It is observed that small independently owned stores are gradually loosing their foothold in

the market place. These stores are generally called “Mom and Pop” stores and they offer

limited merchandise to the consumer. These store are facing stiff competition from the large

departmental stores or superstores and in this process they are closing down their shutters. In

many locations the arrival of a superstore has forced nearby independents out of business. In

the book selling business Barnes & Noble superstore or Borders Books and music usually

puts smaller bookstores out of business. This is a major characteristic prevailing worldwide.

But it is also true that many small independent outlets still thrive by knowing their customers

better and providing them with more personalized service.

Internet and E-Commerce

Internet the ubiquitous medium has opened a new avenue in front of the Retailers. It has

offered an opportunity to the consumers to shop from the home. As it stands today overall

Retail sales through internet may not be that significant but gradually it is gaining popularity

amongst consumers. Amazon.com is the company which is very successful in this E

commerce domain.

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Repositioning of Departmental Stores

The appeal of big departmental store is in the wane and they are trying to reposition

themselves. They are repositioning their product lines to survive in this highly competitive

market eg. A departmental stores which is supplying general merchandise to the consumer is

changing themselves to a giant apparel store.

Rise in Discount stores

Supremacy of Discount store is also one of the distinct characteristics of Retail Industry

today. Discount stores offer money back guarantee, every day low price etc to lure customers.

They also provide floor help and easy access to the merchandise to facilitate the consumer.

Wal-Mart the worlds largest Retailer comes under this category of Retail store.

Category Killers

There are Retailers who actually concentrate on one particular product category and grab a

lion’s share of that market and outperform their competitors. They are called Category

Killers. Toys R Us (Toy market ), Home Depot (Home Improvement) , Staples (Office

Supplies) are the examples of such Retailers who have grabbed a major market share in that

product category and they have forced a reduction in the number of players in that product

segment. This is also a distinct trend observed in the current Retail market. Ten years back

there were number of players in the toy market and no one was controlling more than 5% of

market share but now the number of players has come down to six and Toys R Us is enjoying

20% market share.

Direct Marketing

With the advancement of technology Retailers have found another sales channel through

which they can reach the consumer and this is direct marketing. Direct marketing has their

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root in direct mail and catalog marketing (Land’s End and LL Bean). It includes

telemarketing, television direct response marketing. (Home shopping network, QVC) .

Although an overwhelming majority of goods and services is sold through stores, non store

Retailing is also growing at a faster rate. Direct selling is $9 Billion industry with around 600

companies selling door to door. Avon ,Electrolux ,Southwestern company ,Tupperware and

Mary key cosmetics are the examples who have adopted this strategy successfully.

Demographic Changes

Retail industry is impacted by the demographic changes. As a result of this change taste of

the consumer is undergoing a change and it creates a demand for certain products. World

wide Retailers are keeping a close watch on this change and they are trying to realign

themselves with this change.

Mergers and Acquisitions

Retailers who want to dominate the market place have adopted the strategy of mergers and

acquisitions. This is also one of the distinct trends in Global Retail Industry today. Instead of

achieving an organic growth Retailers can grow significantly with the help of mergers and

acquisitions. This helps them to occupy more shelf space in the market place. As the volume

increases they are establishing better control over their suppliers and they are reducing the

procurement cost and in that way they are boosting their profitability. This is driven by the

economic growth factors, size ,revenue pattern and the customer demand. Sears and Land’s

End merger is one of the significant mergers which has happened in recent times. Another

important example would be Nikes acquisition of Hurley, a well known surfing brand. This

has helped Nike to enter in to a new market segment.

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Operational Issues:

In order to survive in this Industry, which is driven by the consumer demand Retailers need

to successfully counter the operational issues. If the Retailers fail to diagnose and address

those operational issues their existence will be jeopardized.

Supply Chain Management and Logistics

The process of getting goods to the customer has been traditionally known as Physical

Distribution. Physical Distribution starts at the factory and it ends at the store. Nowadays the

definition of Physical distribution is expanded and a broader concept has come which is

Supply Chain Management. Ideally Supply Chain Management encompasses the material

flow from supplier’s suppliers to the final destination. Retailers need to have a grip on that

whole chain in order to control the procurement and delivery cost. This will help them to

choose the right supplier for the merchandise. Retailers need to come out of the constricted

view about the supply chain which is viewing the market as a point to point destination,

instead they need to consider the holistic picture which is a part of Market Logistics. Market

Logistics involves physical flow of materials from point of origin to the point where it meets

the customers requirement.

This Demand Chain orientation can help them to cut down the procurement cost to a great

extent. IKEA the global furniture retailing giant has successfully addressed this issue and

they are able to sell quality furniture at a much lower cost than his competitors.

Pricing

In Retailing environment pricing has become a burning issue to the retailers. Customer’s

expectation from a Retail store has become very high and customers are looking for more and

more bargain prices. This situation can be referred as Price drought . Price deflation is taking

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hold in the Retail environment and any reduction in volume is complicating the scenario

further. This trend is quite evident in Apparel and Consumer goods market. Pricing seems to

be a key positioning factor and must be decided in relation to the target market , Assortment

mix and competition. Strategic pricing has become an important strategic tool to the retailers.

Airlines Industry started this strategic pricing technique where the underlying philosophy is

not all consumers want a particular product at the same time and the degree of demand will

also vary. With this idea in mind different consumers are charged different prices for the

same product or service. Retailers need to adopt the right pricing tactics in this environment

of fierce competition. Retail stores markdown the price for some items to attract people, this

is called traffic building. They also run storewide reduction sell. It is observed that a shoe

Retail outlet sells 50% of the product at normal mark up , 25% of the product at 40% mark

up and remaining 25% at cost. Some Retailers have done away with sales pricing and they

are resorting to everyday low price (EDLP). It leads to lower advertising cost , greater pricing

stability and higher Retail profits. Wal- Mart uses this kind of pricing strategy.

Sales Channels

Design of sales channel is also a key operational issue in today’s Retail industry. Technology

has become one indispensable business component and Retailers need to make use of this

successfully. Retailer needs to come out from the mindset of traditional store retailing and

they need to use all available channels to reach a wider consumer community. Amongst Non

store Retail channels Internet and E commerce is gradually gaining popularity. Consumers do

not need to come to store for buying goods or service they can do that over a click of a button

from their drawing room. Retailers need to derive benefit from that . Marketing through call

centre or catalogue marketing is also an emerging trend . Retailers need to choose sales

channels carefully and need to use all those channels effectively to acquire more customer

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centricity. Ultimate objective here is to offer a consumer a tailor made shopping experience

and to provide more easy access to his product and service offering.

Strategies in Retail:

A business firm can not travel in an unplanned way . To encounter the business challenges in

a highly competitive environment and to find out a sustainable growth road map Retailers

need to realize the importance of strategic planning. Strategic planning can be viewed as a

stream of decisions and activities which lead to Effective business strategies which help the

organization to fulfill its objectives. Retail landscape is changing rapidly and in this

changing economic environment Retailers need to find out the right strategy which will help

them to cope up with this environment and empowers them to take right decisions for the

future. Adopting correct strategy will help the Retailers to optimize their resources and also it

will give an edge over its competitors. Margin and Turnover are the two important

parameters of Retail Industry and the Retail operations can be classified into four

groups/quadrants.

i) High Margin and High Turnover eg. a convenience food store

ii) Low Margin and High Turnover eg. a discount store

iii) Low Margin Low Turnover i.e .a dying business

iv) High Margin Low Turnover eg. an up market specialty store.

Retail business needs to formulate the suitable strategy after considering its strengths and

weaknesses. Hence SWOT analysis will be an effective tool in determining the correct

strategy for the particular category of retail business.

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IT in Retail:

Information Technology has become a key business driver in today’s world. Retailers are also

trying to reap in the benefits of the technology. Thus technology has become a critical and

competitive tool for surviving in the business. Retailers are using software systems to

manage and plan their inventory , to reduce the procurement costs , electronic ordering ,

electronic fund transfer , e mail communication and for many other things. IT is poised to

take a much bigger role in Retail Industry however the high implementation cost of IT

projects has restricted many Retailers to go for proper IT solution. IT growth areas in Retail

are mentioned below.

Supply Chain Management:

Supply chain is one of the focus areas for the Retailers and immense opportunity of business

process improvement and scope of technological empowerment is there in this area. In

today’s tough economic climate customers have become price sensitive and there is a price

draught in the market . Retailers are struggling to control the cost and in this environment

effective Supply Chain Management can act as a big contributor. It helps them to integrate

with their suppliers and through collaborative planning retailers can reduce the cost. SCM

solutions will enable Retailers to track their inventory movement from supplier’s premises to

the point of sale. It gives a better visibility in the area of demand planning, forecasting and

inventory management. Worlds largest Retailer Wal –Mart has adopted a state of the art SCM

system which not only tracks the inventory but also it increases the efficiency of the process.

Wal –Mart has also introduced the Radio Frequency Identification (RFID) of merchandise.

CRM

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CRM continues to be a growth area for IT in Retail sector. Advancement in this field helps to

maintain sophisticated customer database and systems that can maximize multi channel

returns. This helps the retailers to understand the customers demand pattern and enables them

to offer a tailor made shopping experience.

Internet

Internet has unfolded lot of opportunities to the Retailers. Retailers can do business over

internet. It can also be used as a communication medium. Successful Retail community uses

internet technology for reliable communication between Retailers , customers and suppliers.

Business Intelligence

Business Intelligence is an effective analytical tool which helps the Retailers to understand

the eco system of retail business . It helps the business community to take mission critical

business decisions which will help them to navigate in the right direction. In today’s world

Retailers equipped with such data mining or data warehousing tool can have the micro level

understanding of customer demand.

Retail scenario in India:

Major Retail Players in India:

Retailer Current Turn Over in Rs. Crore

Pantaloon 700

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RPG 550

Shopper Stop 400

Life style 230

Westside 120

Ebony 85

Piramyd 72

COMPANY PROFILE

It started as a humble one store enterprise in 1986 in Kolkata(erstwhile, Calcutta) is today a

conglomerate encompassing 132 showrooms in 81 cities / 20 states. India’s first hyper-

market has also been opened for the Indian consumer by Vishal. Situated in the national

capital Delhi this store boasts of the singe largest collection of goods and commodities sold

under one roof in India. The group had a turnover of Rs. 1463.12 million for fiscal 2005,

under the dynamic leadership of Mr.Ram Chandra Aggarwal . The group had of turnover Rs

2884.43 million for fiscal 2006 and Rs. 6026.53 million for fiscal 2007 The group’s prime

focus is on retailing. The Vishal stores offer affordable family fashion at prices to suit every

pocket. The group’s philosophy is integration and towards this end has initiated backward

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integration in the field of high fashion by setting up a state of the art manufacturing facility to

support its retail endeavors. Vishal is one of fastest growing retailing groups in India. Its

outlets cater to almost all price ranges. The showrooms have over 70,000 products range

which fulfills all your household needs, and can be catered to under one roof. It is covering

about 2059292 lac sq. ft. in 18 state across India. Each store gives you international quality

goods and prices hard to match. The cost benefits that is derived from the large central

purchase of goods and services is passed on to the consumer.

INFRASTRUCTURE

Vishal Retail Ltd. has a factory in Gurgaon, Haryana. This factory has more than 700

imported machines that have a capacity to manufacturer 150000 pieces a month. The factory

occupies 80000 sq ft of covered space. The Vishal group indirectly gives employment to

more than a 1000 people. These people work in ancillaries that supply finished goods to the

company. They have 10 warehouses that cater to 132 showrooms in 20 states/81 cities. It is

covering about 2059292 sq. ft. .in 20 state across India.

Details about the topic

Definition of Sales promotion

Sales promotions are short-term incentives to encourage the purchase or sale of a product or

service. Sales promotion includes several communications activities that attempt to provided

value or incentives to consumers, wholesalers, retailers, or other organizational customers to

stimulate immediate sales. These efforts can attempt to stimulate product interest, trial, or

purchase. Examples of devices used in sales promotion include coupons, samples, premiums,

point-of-purchase (POP) displays, contests, rebates, and sweepstakes

Sales Promotion Strategies

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Sales promotion is a process of increasing sales volume of a defined product in a defined

territory in a defined time period to meet short term sales objective. Sales promotion

plays a vital role in marketing campaigns, it consists of a collection of incentives, tools

mostly short term, designed to stimulate quicker or greater purchase of particular products or

services by consumers or trade.

Sales promotion tools offer three distinctive benefits:

(a) Communication: They gain attention and may lead the consumer to the product.

(b) Incentives : They incorporate some concessions, inducement, or contribution that gives

value to the consumers.

(c) Invitation:Theyincludeadistinctinvitationtoengageinthetransaction now or as quickly as

possible.

TYPES OF SALES PROMOTION

PUSH

PULL

A push strategy involves convincing trade intermediary channel members to "push" the

product through the distribution channels to the ultimate consumer via promotions and

personal selling efforts. The company promotes the product through a reseller who in turn

promotes it to yet another reseller or the final consumer. Trade-promotion objectives are to

persuade retailers or wholesalers to carry a brand, give a brand shelf space, promote a brand

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in advertising, and/or push a brand to final consumers. Typical tactics employed in push

strategy are: allowances, buy-back guarantees, free trials, contests, specialty advertising

items, discounts, displays, and premiums.

A pull strategy attempts to get consumers to "pull" the product from the manufacturer

through the marketing channel. The company focuses its marketing communications efforts

on consumers in the hope that it stimulates interest and demand for the product at the end-

user level. This strategy is often employed if distributors are reluctant to carry a product

because it gets as many consumers as possible to go to retail out lets and request the product,

thus pulling it through the channel. Consumer-promotion objectives are to entice consumers

to try a new product, attract customers away from competitors products, get consumers to

"load up" on a mature product, hold &reward loyal customers, and build consumer

relationships. Typical tactics employed in pull strategy are: samples, coupons, cash refunds

and rebates, premiums, advertising specialties, loyalty

SWOT ANALYSIS

Some of the strengths and weaknesses of Vishal Mega Mart are outlined below.

STRENGTHS:

i) Understanding of the ‘value retail’ segment

ii) Supply chain management

iii) Logistics and distribution network

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iv) Geographical spread

v) Identifying new locations

vi) Private labels

vii) Information technology systems

viii) Experienced and skilled management team

WEAKNESSES:

i) Slow performance of the Stores

ii) Advent of Category Killers.

OPPORTUNITIES:

i) Increasing penetration in the country by leveraging our supply chain,

distribution and logistics network

ii) Emphasis on Backward Integration

iii) Expansion of FMCG

iv) Procurement from low-cost production centres outside India

v) Increasing customer satisfaction and our base of loyal customers

vi) Continue to upgrade information technology systems and processes

vii) Continue to train employees and seek entrepreneurship from employees

THREATS:

i) Demise of Independent small stores

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ii) Demographic Changes

PRODUCTS

 FOODMART

 Beverage

 Cooked Indian

 Cooked Chinese

 Drinks

 Fruits & Vegetables

BRANDS

Vishal Mega Mart is one of India’s fastest growing retail chains. The chain currently has 132

company stores in 20 states / 81 cities in India. The Vishal brand is known for great modern

style for men, women and children. Vishal offers high level fashion styling. Since 1986, their

name has been synonymous with quality, value and fashion integrity. They offer an

unparalleled collection of clothes for the entire family. Each garment is hand selected for

quality and contemporary styling. Vishal manufactures majority of its own garments and out

sources some under its direct quality supervision. This enables them to offer the lowest

possible and most reasonable prices. Their goal is to provide a range of fashion wear to suit

every pocket. Their product mix represents the most current fashion trends in tops, bottoms,

formals and accessories for men, women and kids. Their courteous staff will ensure that

consumers get a perfect fit.

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The Popular Brands of Vishal Mega Mart are:

 Zeppelin : Mens Shirts & Trousers

 Fizzy Babe : Ladies & Kids Girls

 Kitaan Studio : Mens Shirts & Trousers

 Jasmine : Ladies & Kids Girls

 Blues & Khakis : Mens Trousers

 Zero Degree : Kids Boys

 Paranoia : Mens Shirts & T-Shirts

 Soil : Mens Shirts

 Chlorine : Mens Shirts

 Massa Bay : Mens Trousers & Bermudas

 Fume : Mens Shirts, T-Shirts, UnderGarments.

QUALITY CONTROL

The dedicated professional Quality Control team of Vishal Mega Mart ensures the quality of

products. Their quality checks start with basic cloth and accessories and end with doing a full

inspection of the finished items. They believe that Quality Control is the key to success. Their

goal is to give the customer with the best quality and value for his money.

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LITRATURE REVIEW

In the background of high consumerism and income of the urban consumers, in recent year

there are a number of companies have expressed their interest towards retail sector outlets. As

a result numbers of shopping malls have started their operations in metro and urban areas.

Pantaloon, big bazaar, Vishal Mega Mart, Reliance Fresh are the best known examples of

retail sector outlets in India.Retailing is the interface between the producer and the individual

consumer buying for personal consumption. This excludes direct interface between the

manufacturer and institutional buyers such as the government and other bulk customers. A

retailer is one who stocks the producer’s goods and is involved in the act of selling it to the

individual consumer, at a margin of profit. As such, retailing is the last link that connects the

individual consumer with the manufacturing and distribution chain. Some of the key features

of retailing include

 Selling directly to customers with out having any intermediaries

 Selling in smaller units / quantities, breaking the bulk

 Present in neighborhood or in the location which is quite convenient to the

customers.

 Very high in numbers

 Recognized by their service levels

 Fitting any size and or location

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It is assumed that due to the entry of a number of retail outlets in the urban and semi urban

areas, the mindset of the existing customers have undergone drastic changes. Besides it is

also reported that the traditional retailing such an age old Grocery shops have directly faced

competition with the organized retailing sector. In some parts of the country, it is reported

that the traditional retails are resisting the entry of organized shopping malls. For instance the

traditional retails of Bhubaneswar with the active support of the consumers at large didn’t

allow reliance Fresh to start outlet initially.

“Future is thinking beyond horizon” & in order to keep its pace with the modern retail,

Vishal Retail Limited is spreading its wings. Instead of resting on its laurels the Group are

busy identifying new avenues of growth by venturing in other formats like cash & carry,

convenios as well as specialty stores and inspiring local retailers to grow along with the big

names. The group has tied up with HPCL to open corner stores at their petrol pumps and in

addition to the above Vishal has come up with an institute to train manpower for the service

industry.

Today Vishal Retail Limited, Flagship Company of Vishal Group, engaged in Hyper Market

stores with an average area of 25,000 to 30,000 sq. ft. through an impressive chain of more

than 100 fully integrated stores in spread of more than the area of around 22, 00,000 sq. ft. in

69 cities across India & has a plan to cross total retail area of 35 lakh sq. ft. in tier II and tier

III cities by the end of 2009.

According to Mr. Ram Chandra Agarwal, CMD, Vishal Retail Limited, the group owes its

origin to a small 50 sq ft shop in Kolkata's Lal Bazaar that started selling readymade

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garments. In tune with the pulse of the market, he envisioned a mega store that would sell

garments at prices none other could match. . The first big store opened in Calcutta's

Esplanade area in 1997, under the banner of Vishal Garments. He was involved in all the

aspects of the business: right from sourcing the garments to interacting with customers. And

this led to his greatest finding “The Vishal Group.”

After identifying the immense market in fashion garment for the masses, He moved to Delhi

in 2001 and opened his first store in Delhi’s Rajouri Garden by the name of Vishal Mega

Mart (The jewel in Vishal Group’s crown) and then there was no looking back for Mr. Ram

Chandra Agarwal. At present, in addition to garments, Vishal Mega Mart stores retail the

entire range of household products, FMCG and electronic goods. Vishal's prices are roughly

15 to 20 per cent less than other mass market garment labels.

Mr. Ram Chandra Agarwal, CMD, Vishal Retail Limited believes that the shopping habits of

Indians are changing due to their growing disposable income, higher aspirations, relative

increase in the younger population, and the change in attitudes towards shopping. The

emphasis has changed from price consideration to design, quality and trendy. Age is also a

major factor that affects the spending decisions of an individual. Consumer spending is an

important factor that affects the economic growth and development in a country. As a trend,

consumer is more educated. He has access to all reforms taking place through various arrays

of communication. He is becoming a “value shopper” everyday. Keeping this in mind, the

group is now looking for franchisees to join hands with Vishal and grow under common

banner. This partnership will help small retailers to survive the onslaught of organized retail

as it will enhance their competitiveness. Small stores can avail of the benefits on account of

the economies of scale, a key advantage for big retailers. As per the plans, Vishal Retail will

completely take over the supply chain of its franchisees and provide them with technology,

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new practices, visual merchandising skill and special promotional schemes, besides its brand

and costumer base.

Objective of Research

1) To access the current sales promotion scheme in Vishal Megamart

2) To find out the nature and types of the sales promotion scheme offered by

Vishal mega mart to customer

3 Find out consumer perception toward sales promotion scheme

4) To find out the how much effective sales promotion for vishal mega mart

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RESEARCH METHODOLOGY

When we talk about research methodology, we do not talk only of research method but also

consider the logic behind the method that be used in

context research study. We also evaluate why we are using a particular method and the used

technique should be such that the research is capable of being evaluated by the researcher and

as by others.

Research Design

Descriptive research is one, which involves describing the state of affairs, as they exist. This

type of research was used in the study of marketing strategies for the sale of company's

product also while studying about the parameters, which affect

competitiveness o the product.

Method of data collection

tvpe of Research: - This research is Descriptive Research in nature because in this we are

conducting a customer based survey to know the opinion of customers about the promotional

strategy of the Vishal Megamart.

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Types of Data:- There are two types of data has been used in this research. Primary and

Secondary.

Primary Data: Survey by Questionnaire from concerned authorities questionnaire for the

customers

Secondary Data:-Previous Report and websites of the organization. For Literature review few

researches has been used..

Research Instrument:-For this purpose Questionnaire & Observation has been used as tool.

Contact Method: -Direct survey of the employees and questionnaire for the customers.

Sampling Size: - 10 employees 20 customers Sampling Area:-Vishal mega mart, Bathinda

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DATA ANALYSIS AND FINDING

1. Are you visiting the store for the first time?

PARTICULARS NO OF RESPONDANTS % OF RESPONDANTS

Yes 14 7%

No 186 93%

TOTAL 200 100%

Inference:

According to the survey done, 93% of the customers say that they have visited the store many

times whereas rest 7% of the customers say they are visiting the store for the first time.

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2. How often do you visit SPENCERS?

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Once in a week 48 24%

Once in a fortnight 52 26%

Once in a month 56 28%

When ever need arises 44 22%

TOTAL 200 100%

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Inference :

According to the survey done, 28% of the customers say that they visit the store once in every

month ,26% say they visit once in fortnight, 24% say that they visit the store once in a week

and the rest 22% says whenever need arises they visit the store.

3. To what extent were your complaints resolved at Spencer’s?

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Well 72 36%

Very well 72 36%

Can’t say 48 24%

Bad 8 4%

TOTAL 200 100%

Inference:

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According to the survey done, 36% of the customers say that their complaints were solved

very well same way 36% of the customers say their complaints were resolved fair well, 24%

of the customers say they can’t say anything about it and finally the rest 4% say it was bad and

not satisfied with the store.

4. Ambient conditions such as temperature, noise, ventilation, odour prevailing in premises

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 54 27%

Poor 48 24%

Average 56 28%

Very good 32 16%

Excellent 10 5%

TOTAL 200 100%

Inference:

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According to the survey done, 28% of the customers feel that the ambient conditions in the

store is average, 27% feel it’s very poor , 24% of the respondents say it is poor whereas 16%

of the respondents feel it is very good and expect more and rest 5% say the conditions

provided is excellent and to keep going

5. Physical layout of the various sections/ store?

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 10 5%

Poor 30 15%

Average 78 39%

Very good 58 29%

Excellent 24 12%

TOTAL 200 100%

Inference:

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According to the survey done, 39% of the respondents feel that the physical layout of the

store is average ,whereas 29% feel the layout and physical structure of the store is very good

and among the rest respondents 15% of the total feel the layout of the store is poor and 12%

say it’s excellent the rest 5% of the crowd say it’s very poor .

6. Cleanliness

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 20 10%

Poor 58 29%

Average 48 24%

Very good 54 27%

Excellent 20 10%

TOTAL 200 100%

Inference:

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As per the survey done, 29% of the respondents feel the store is not so clean and it’s poor

where as 27% of the crowd believe that store is very much clean an good to look ,24% of

respondents view towards cleanliness is average and 10% say its very poor and other 10% say

its excellent and maintain the same .

7. Visually appealing signs and boards

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 14 7%

Poor 36 18%

Average 76 38%

Very good 40 20%

Excellent 34 17%

TOTAL 200 100%

Inference:

30
As per the data collected believe 38% of the respondents say the visually appealing signs and

boards are up to mark mean to say its average and 20% say its very good, 18% of the total

respondents say it’s very poor and 17% feel the signs and boards being displayed is excellent

rest 7% say it’s very poor .

8. Neat and professional appearance of employees

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 12 6%

Poor 48 24%

Average 60 30%

Very good 60 30%

Excellent 20 10%

TOTAL 200 100%

Inference:

31
According to the survey done30% of the respondents say the appearance of the employees is

average , same way 30% say it’s very good and 24% of the crowd believe the appearance is

not up to the mark and therefore poor and 10% of them say its excellent finally the rest 6%

say very poor .

9. Employees willingness to help customers

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 4 2%

Poor 22 11%

Average 88 44%

Very good 56 28%

Excellent 30 15%

TOTAL 200 100%

Inference:

32
As shown in above graph among the total respondents 44% of the respondents say the

employees courtesy and willingness is average , 28% of them say very good whereas 15%

opinion is excellent , 11% of the respondents say poor and rest 2% opinion is very poor .

10. Use of customer’s feedback to improve service standards

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 50 25%

Poor 30 15%

Average 64 32%

Very good 38 19%

Excellent 18 9%

TOTAL 200 100%

Inference:

33
As per the above graph among the total respondents 32% of the respondents say the use of

customers feedback is average , 25% of them say very poor whereas 19% opinion is very good

, 15% of the respondents say poor and rest 9% of the total believe feedback is taken well and

used up to mark .

11. Provision of reliable information

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 8 4%

Poor 42 21%

Average 86 43%

Very good 56 28%

Excellent 8 4%

TOTAL 200 100%

Inference:

34
According to the survey done, 43% of the customers feel that the information provided is

average , 28% feel it’s very good , 21% of the respondents say it is poor whereas 4% of the

respondents feel it is very poor and rest 4% say the information provided is excellent.

12. Diversity and range of goods of goods / services

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 24 12%

Poor 46 23%

Average 56 28%

Very good 46 23%

Excellent 28 14%

TOTAL 200 100%

Inference:

35
As per the survey done, 28% of the customers feel that the range of goods available in the

store is average, 23% feel it’s very good , 23% of the respondents say it is poor whereas 14%

of the respondents feel it is excellent and expect more and rest 12% say that the goods in the

store is not up to the mark and very poor

13. Service innovation (offers, tie-ups, promotional campaigns)

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 14 7%

Poor 36 18%

Average 76 38%

Very good 54 27%

Excellent 20 10%

TOTAL 200 100%

Inference:

36
According to the survey done,38% of the customers feel that the innovations offers and tie

ups in the store is average, 27% feel it’s very good, 18% of the respondents say it is poor

whereas 10% of the respondents feel it is excellent and expect more and rest 7% say that

innovations and tie ups is very poor .

14. Convenience of operating hours and days

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 6 3%

Poor 42 21%

Average 56 28%

Very good 76 38%

Excellent 20 10%

TOTAL 200 100%

Inference:

37
According to the survey done, 38% of the customers feel that the operating hours of the store

is very good , 28% feel it’s average ,21% of the respondents say it is poor whereas 10% of the

respondents feel it is excellent and expect more and rest 3% say to extent the operating

schedule .

15. Safety and security

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 16 8%

Poor 36 18%

Average 50 25%

Very good 50 25%

Excellent 48 24%

TOTAL 200 100%

Inference:

38
According to the survey done, 25% of the customers feel that the store safety and security is

very good,25% feel it’s average , 24% of the respondents say it is excellent whereas 18% of

the respondents feel it is poor and expect more and rest 8% say the security is very poor and

improve on it .

16. Lifts /escalator services

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 30 15%

Poor 50 25%

Average 70 35%

Very good 30 15%

Excellent 20 10%

TOTAL 200 100%

Inference:

39
As per the survey done, 35% of the customers feel that lift service provided in the store is

average, 25% feel it’s poor and dangerous, 15% of the respondents say it is very good whereas

15% of the respondents feel it is very poor and expect more and rest 10% say the service

provided is excellent and to keep going .

17. Rest room services

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 20 10%

Poor 38 19%

Average 62 31%

Very good 60 30%

Excellent 20 10%

TOTAL 200 100%

Inference:

40
According to the survey done, 31% of the customers feel that the rest room in the store is

average, 30% feel it’s very good and tidy ,19% of the respondents say it is poor whereas 10%

of the respondents feel it is very poor and expect more and rest 10% say the rest room

provided is excellent and to keep going

18. Parking facilities

PARTICULARS NO OF RESPONDANTS % OF RESPONDANTS

Very poor 30 15%

Poor 60 30%

Average 86 43%

Very good 16 8%

Excellent 8 4%

TOTAL 200 100%

Inference:

41
According to the survey done, 43% of the customers feel that the parking facilities in the

store is average, 30% feel it’s poor , 15% of the respondents say it is very poor whereas 8% of

the respondents feel it is very good and expect more and rest 4% say the parking provided is

excellent .

19. Customers services desk (csd)

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very poor 14 7%

Poor 22 11%

Average 40 20%

Very good 64 32%

Excellent 60 30%

TOTAL 200 100%

Inference:

42
According to the survey done, 32% of the customers feel that the customer service desk in

the store is average, 30% feel it’s excellent , 20% of the respondents say it is average whereas

11% of the respondents feel it’s poor and expect much more and rest 7% say the conditions

provided is very poor .

20. Overall how satisfied are you with the customer service experience?

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Very satisfied 96 48%

Somewhat satisfied 84 42%

Very dissatisfied 4 2%

Somewhat dissatisfied 16 8%

TOTAL 200 100%

Inference:

43
According to the survey done, 48% of the customers say that they are very much satisfied

with the service experience in the store and 42% of them say they are somewhat satisfied ,

whereas 8% say they are somewhat dissatisfied and finally 2% of them say they are very

dissatisfied .

21. How do you rate the store?

PARTICULARS NO OF % OF RESPONDANTS

RESPONDANTS

Average 36 18%

Good 72 36%

Very good 72 36%

Excellent 20 10%

TOTAL 200 100%

Inference:

44
According to the survey done, 36% of the customers say that the store can be rated as very

good and 36% of them say it’s good whereas 18% of the respondents say average and the rest

of them vote for excellent .

Findings

there were two types of respondents with different type of questions so the findings of the

questionnaire are as following:

y Vishal mega mart uses promotional tool at wider range. y They mostly use discount offers

as a promotional tool for increasing sales.

y They use promotional tool mostly for a week y Promotional tools are very much important

for Vishal

Mega Mart, in increasing sales and also in introducing

new products.

y Customers are also satisfied with the promotional tools of Vishal Mega

Mart; mostly they are satisfied with the discount offers.

y Customers are satisfied with the products of Vishal Mega Mart and also

with the behavior of the employees.

y Vishal mega mart maintains good customer relationship that¶s why

most of the customers said that they will visit Vishal Mega Mart

45
frequently.

Limitation:-

This research is conducted on a very small sample size, so it might be possible that the

information given by such respondents may not match with the replay of total customer

available in the store at that time. There was a time constraint while conducting the report.

It might be possible that the answers given by the respondents are full of biasness.

As there are two types of respondents so there is difference between the responses towards

the sales promotion tools avail by both of them which become a constraint towards the

research project.

Suggestions.

1’ They need to focus on other promotional tools as they only rely on discount offers. y They

should also focus on quality of product.

2. They should also focus on customer handling services and they should take new steps in

reducing the waiting time of customer during making payments as there is a long queue.

3.

3. They should also use promotional tool for more than a week so that every

customer is benefited.

46
CONCLUSION

In the research we found that Indian retail industry is very complicated in nature because the

taste and preferences of the customers vary a lot in nature. The customers are very choosy in

nature; they are not ready to compromise with their requirements. The customers have lots of

option related to the choices. There are many competitors in the retail industry. So the sales

and promotion activity of the company is the only tool to attract the customers.

In the study we found that Vshal Megamart is one of the most successful retail stores in India.

They apply various methods of sales and promotion. They apply most of the tools on weekly

basis. They also keep on changing the methods regularly. They do so because they know that

if they have to sustain in the market will need to give their customers always something new.

47
BIBLIOGRAPHY

To make my project a successful one I have taken help from various sources, such as direct

interaction journals and web sites. The books I have referred are

 Retail management (ICFAI).

 The web sites I have referred for different information are

 www.vishalmegamart.com

 www.indianretailindustry.com

 The previous thesis I have referred of

 Mr. Nalinikanta Padhi “A study on customer satisfaction with reference to VISHAL

MEGA MART

48
QUESTIONNAIRE

Questionnaire for the Customers

Name- Occupation- address-

1. Since how many days you are visiting the Vishal Megamart?

a) >1 year

b) 1-2 year

c) 2-4 years

d) 4< years

Are you satisfied with its products and customer handling?

a) Yes

b) No

Do you enjoy the discounts being provided here?

a) Yes

b) No

c) Not Really

Are you satisfied with sales and promotion activity of the Vishal Megamart?

49
a) Yes

b) No

Which offer do you like the most?

a) Discounts

b) Free Gifts

c) Buy one Get one free

d) Other if any.

Do you think you will keep visiting the Vishal Megamart?

a) Yes

b) May be

c) No

Questionnaire for Employees

Name :- _________

Do you adopt the Sales Promotion techniques?

a) Yes

b) No

Which type of sales promotion techniques you adopt -

A. Discount

B. Coupons

C. Buy one and get free

50
D. Free gifts

E. If other, specify

Which techniques is most attractive to the customer?

A. Discount

B. Coupons

C. Buy one and get free

D. Free gifts

E. If other, specify

Do you strongly rely on these techniques -

a) Yes

b) No

c) Sometimes

d) Generally

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