Retail managementsupermarkets

Retail Management
• INTRODUCTION • DEFINITION • GLOBAL OVERVIEW OF RETAILING

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INTRODUCTION
Every one of us is very familiar with the word ‘shop’. The shop is a retail store where we buy books, clothes, groceries, consumer durable items etc. The business in which the shop keeper or retailer deals is called retailing or retail trade, The word retail is an original French word which means, “To cut of small piece.” In other words, it means to divide a large piece into small pieces.

DEFINITION
Philip Kotler states, “Retailing includes all activities involved in selling goods or services directly to final consumer for there personal, non-business use.” In simple terms, it implies a first –hand transaction with the customer. Retailing involves a direct interface with the customer and the coordination of business activities from end to end –right from the concept or design stage of a product or offering, to its delivery and post-delivery service to the customer. The industry has contributed to the economy growth of many countries and is undoubtedly one of the fastest changing and dynamic industries in the world today. Retailing forms an integral part of the marketing mix and includes elements like product, place, price, people, presentation and promotion. Customers are first introduced to product and services through these retail outlets and get feedback on the performance of their product and customers

Retail managementsupermarkets expectation about them.

GLOBAL OVERVIEW OF RETAILING
Retailing in more developed countries is big business and better organized, than what its is in India. According to a report published by McKinsey & Co. along with the confederation of The Indian Industries the global retail business is worth a staggering US $6.6 trillion. In the developed world, most of it is accounted for by the organized retail sector. Some of the world’s largest companies are in this sector: over50 Fortune 500 companies and round 25 of the Asian top 200 firms are retailers. Wal-mart, the world’s second largest retailer, has a turn over of US $ 140 billion, almost one-third of India’s GDP.

As many as 10% of the worlds billionaire are retailers. The industry accounts for over 8% of GDP in western countries and is one of the largest employers. Retailing in the developed world today is far more organized than in India. Organised retail formats world wide have evolved in three phases : 1. Retailer decide on the category and quality of product and services differentiating them from other retailers. Example, Supermarkets, Departmental Stores and Speciality Stores. 2. During the second phase, price become the main selling point for standardized product and services which result into increased in competition. This phase gives way to discount stores. 3. The third phase arrives when competition peaks. Hypermarkes usually compete on price and wider product range, but they normally lack

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Cross-border Movement : Retailer expand their businesses outside their traditional home markets. . and the more visible presence in Asia.product debt and service components Globally three factor influence how consumer shop and will be shopping in the near future. Migration of Formats 1. mail order and like most other recently. hypermarket. now has a strong presence in South America and Europe. Consolidation : Another trend that is visible is the rapid pace of mergers and acquisitions. Each of these merger has created huge retail organization ranging in size from about US $ 35 billion in sales to US $ 160 billion (wal-mart). Cross-border Movement 2. Consolidation 3. 2. In recent times wal-mart acquisition of Asda in the UK. Britains Tesco operates departmental stores. offering to the gradually adopting the classical formats of departmental supermarkets. hypermarket as they customize their different consumer segments. Wal-mart. the worlds largest retailer. supermarkets. leading to the emergence of truly global retailers. These are 1. 3. Migration of Formats : A large number of retailer are stores.

Retail Management In India • THE INDIAN RETAIL SCENE • UNORGANIZED RETAIL • GROWTH OF ORGANISED RETAILING IN INDIA • TRADITIONALvis a vis MODERN FORMAT RETAILERS • INDUSTRY EVOLUTION • INTERNATIONAL RETAILERS IN INDIA • KEY DRIVERS OF RETAILING IN INDIA • RETAILING FORMAT IN INDIA 5 . Globally organized retailing has a brought tremendous benefits for the consumer and has actually helped the consumer to be King.Retail managementsupermarkets e-stores. The most important theme for various old and new retailing formats is convenience in terms of a one stop location and ease of shopping and time saved.

The sector contributes 10% of the GDP. Some of the biggest players of the world are going to enter the industry soon. Estimates and predictions for retail sector: • At present.5%. . the industry is estimated to be at more than US$ 400 billion by a study of McKinsey.• STRATEGIES. It is on the threshold of bringing the next big revolution after the IT sector. it is expected to grow manifolds by the year 2010. TRENDS AND OPPORTUNITIES 2009 • CHALLENGES • SUPPLY CHAIN MANAGEMENT • FRAUDS IN RETAIL • CHALLENGES LOGISTICS • RETAIL SALES IN INDIA • CONCLUSION WITH INFRASTRUCTURE AND THE INDIAN RETAIL SCENE Retail Sector is the most booming sector in the Indian economy. and is estimated to show 20% annual growth rate by the end of the decade as against the current growth rate of 8. Although organized retail market is not so strong as of now. A CRISIL report says that the Indian retail market is the most fragmented in the world and that only 2% of the entire retailing business is in the organized sector. There are about 300 new malls. This suggests that the potential for growth is immense. 1500 supermarkets and 325 departmental stores currently being built in the cities across India.

Retail managementsupermarkets • • • The Economist Intelligence Unit (EIU) estimates the retail market in KPMG Report says that the organized retail would grow at a higher rate The retail sector would generate employment for more than 2. than the GDP in the next five years.9 billion in 2009 from US$394 billion in 2005.5 million India will increase to US$608. Percentage of Organised Retail across the world 7 . predicts an analysis by Ma Foi Management Consultants Ltd. people by the year 2010.

UNORGANIZED RETAIL IN INDIA India is the country having the most unorganized retail market. Traditionally it is a family’s livelihood. with their shop in the front and house at the back. Global retail consultants KSA Technopak have estimated that organized retailing in India is expected to touch Rs 35. The Indian retail sector is estimated at around Rs 900. while they run the retail business.000 crore in the year 2005-06. of which the organized sector accounts for a mere 2 per cent indicating a huge potential .000 crore. More than 99% retailer’s function in less than 500 square feet of shopping space.

In their preparation to face fierce competitive pressure. Beverages. self-service music stores. supermarkets. There is no doubt that the Indian retail scene is booming. newage book stores.Retail managementsupermarkets Market opportunity that is lying in the waiting for the consumer-savvy organized retailer. image and reputation into a coherent retail brand strategy. Today the organized players have attacked every retail category. Watches. Indian retailers must come to recognize the value of building their own stores as brands to reinforce their marketing positioning. Shoes. Food and even Jeweller. Raheja’s. Piramals’s. The Indian retail scene has witnessed too many players in too short a time. crowding several categories without looking at their core competencies. or having a well thought out branding strategy. office equipment stores and home/building construction stores. with beauty and health stores. Sustainable competitive advantage will be dependent on translating core values combining products. 9 . to communicate quality as well as value for money. Purchasing power of Indian urban consumer is growing and branded merchandise in categories like Apparels. The emphasis here is on retail as a brand rather than retailers selling brands. everydaylow-price stores. computers and peripherals stores. Goenka’s — have already made their foray into this arena. A number of large corporate houses — Tata’s. Indian retailers need to advantage of this growth and aiming to grow. are slowly becoming lifestyle products that are widely accepted by the urban Indian consumer. Cosmetics. diversify and introduce new formats have to pay more attention to the brand building process. The focus should be on branding the retail business itself.

India is rapidly evolving into an exciting and competitive market place with potential target consumer in both the niche and middle class segment . . And now South India. retail stores need to identify with different life style.5%. The number of retail outlet is growing at about 8.5% annually in the urban areas. The availability of land at prime location coupled with lower real estate prices (compare to Mumbai and Delhi) made multi-storeyied shopping complexes possible. and in towns with a population between one lacs to one million the growth rate is about 4.notably Chennai and to a lesser extend Bangalore and Hyderabad has a emerged as a centre of organized retailing. In order to appeal to all classes of the society.Retailing is one of the fastest growing industries in India. the morden retailer is yet to exhaust the opportunies in the urban market and has therefore probably not looked at other market seriously. Secondly the modern retailing trends despit its cost effectiveness has come to be identified with life styles. There are two main reasons for this firstly. The boom in retailing has been confined primarily to the urban market.GROWTH OF ORGANISED RETAILING IN INDIA Organized retailing in India initially began in the South. It tooks two years of recession for this concept of shopping to take root in major cities like Mumbai and Delhi. catering to the world’s second largest consumer marker.

free home delivery and ‘no-questions-asked’ return policies are some of the featuers offered by this new forms of stores. The growth and development of organized retailing in India will be driven mainly by two factors-low price and benefits the consumers can’t resist. It is customer-driven.Retail managementsupermarkets A four-gear path for the organized retail trade suggested by KSA Technopak places India in the second gear and predicts that it will match global standards by 2010. provison for trial and taste. In order to develop the right proposition one needs to go through the learning curve. India is currently in this stage. the emphasis will shift to experience-based shopping. free parking. 11 . where buyers exposed to new retail formats. It is completely driven from the demand side and not on the supply side. This leads to first-generation retailers expanding to multiple locations. Economies of scale will drive down the cost of the supply chain and increase the benefits offered to the customer. The development of the modern retail industry began when Indian shoppers upgraded from local shops to the Super Bazaars. price below MRP (maximum retail price). Convenient timings. Gear II is a period growth. who was used to be serve while shopping. manufacturer in the food and grocery business hardly get into retailing. From product-based shopping. The second gear is about meeting customer expectations. as a concept focusing on price control. The open layout and self-service concepts were new to the Indian consumer. The model primarily applies to apparel more than any other form of retailing. Gear I was driven by entrepreneurs like Subhiksha. dial-n-order. started during the inflationary period of the 1960s. Gear one is the stage of infancy. India is going through that phase in retailing which the US experienced in the eighties and early nineties. For instance. The Super Bazaar.

Marks & Spencers. Buying from Malls. INDUSTRY EVOLUTION • • • Traditionally retailing in India can be traced to The emergence of the neighborhood ‘Kirana’ stores catering to the convenience of the consumers Era of government support for rural retail: Indigenous franchise . etc. Owing to the entry of such big players. These are easily accessible and provide services like free home delivery and goods at credit. Reliance Retail Ltd. Supermarkets and Department stores like Subhiksha. provide a different environment where one can pick and choose from a variety of products.TRADITIONALvis a vis MODERN FORMAT RETAILERS The retail boom will face a strong competition from the 12 million mom-andpop stores. the small shopkeepers fear losing their business. which is not possible with hypermarkets and supermarkets. has been inviting such people to join in its Dairy business as franchisees.

S Kumar's and Grasim first saw the emergence of retail chains Later Titan successfully created an organized retailing concept and established a series of showrooms for its premium watches The latter half of the 1990s saw a fresh wave of entrants with a shift from Manufactures to Pure Retailers. 13. Planet M and Music World in music. Mainly in urban areas. At year end of 2000 the size of the Indian organized retail industry is estimated at Rs. Post 1995 onwards saw an emergence of shopping centers. Raymond's. Crossword and Fountainhead in books. Textiles sector with companies like Bombay Dyeing.000 crore 13 .Value. with facilities like car parking Targeted to provide a complete destination experience for all segments of society Emergence of hyper and super markets trying to provide customer with 3 V’s .Retail managementsupermarkets model of store chains run • • • • • • • • • • • • • • • • • • by Khadi & Village Industries Commission 1980s experienced slow change as India began to open up economy.g. Subhiksha and Nilgiris in food and FMCG. Variety and Volume Expanding target consumer segment: The Sachet revolution example of reaching to the bottom of the pyramid. Food World. For e.

Indian fashion industry would see the advent of fashion brand DKNY through a franchisee agreement with S. mergers and acquisitions and huge investments. etc. .• The evolution of the sector includes the continuous improvement in the supply chain management. are going to foray into the booming retail industry in India. this would finally lead to more of consolidation. Nike. distribution channels. In the food & beverages sector. Kumar's. back-end operations. etc. International Retailers in India Major retail players like Wal-Mart. technology. Carrefour. Marks & Spencer. Tommy Hilfiger.

infrastructural. McDonald's. AV Birla group and Future group are all gearing up for huge investments and aggressive business strategies. Reliance Retail has announced its plan to open 5000 stores over the next 5 years. and Dominos. The recent initiatives taken by the government to open up the sector for foreign players have lured many companies to enter the industry. Many companies like Lee Cooper. labour and real estate problems. This might leave a lot of people jobless. There are various kinds of restrictions on FDI in the Indian retail sector. At present. They also suffer from capital shortage. but organizations can enter the industry through Strategic License agreements. Encouraged by the huge success of Pizza Hut. The government is considering the introduction of multi brand specialty formats like consumer electronics. another organization known as Starbucks has expressed its interest in opening up outlets in India through franchising. 15 . building. the 12 million mom-and-pop and kirana stores dominating the retail landscape suffer from certain limitations. The government has allowed 51 percent foreign direct investment (FDI) in single brand retail outlets.Retail managementsupermarkets McDonald's is going to penetrate the markets through 100 new outlets across the country. Franchising and Cash and carry wholesale trading. cultural and educational constraints would have to be considered if the sector truly desires to achieve the kind of future it has planned for itself. Tesco. sports goods and construction and stationery. Walmart-Bharti combination. Big players like Reliance Retail. Legal. political. Some experts believe that the influx of major retail chains would wipe out millions of these shops. low cost format and pervasive use of tax evasion techniques. such as small size of operations. Starbucks and Wal-Mart have put forward their FDI proposals to the government.

KEY DRIVERS OF RETAILING IN INDIA • Consumer Pull In the pre-liberalization supply-led market. In todays demand-led market. the power rested clearly with the manufacturers. it’s the consumer who .

Kick-started by the cable explosion during the Gulf War. • Changes In Consumer Behavior There has been a change in shopping behaviour in urban India over the past few years with consumer looking for convenience. variety. That is.Retail managementsupermarkets calls the shots. better quality and hygiene as well as increased customer service. they want everything under one roof and bigger price of product. Consumer can be divided into two broad segments: 1. High-income segment. • Explosion of Media There has been an explosion in media as well during the past decade. The concept of “Value for Money” is picking up. India’s middle and high-income population has grown at the rapid pace of over 10% per annum. product availability. This growing highincome population is triggering the demand for consumer goods. • Rising Incomes Over the past decade. 17 . television has accelerated to a point where there are more cable connections than telephones in Indian homes and about 70 channels are being aired at all times. Incresed awareness has also meant that consumers now seek more information. leading to the proliferation of higher quality/higher price product. Middle and lower income group. 2.

manufacturers of consumer goods. retailers turn into the vital link in this supply chain. Eventually over time the distributor gains control over the market.both FMCGs and durables-have begun developing new products and marketing strategies with the rural consumer in mind. When the market starts developing and expanding its horizons. Entry restrictions for multinationals have been removed in . at this stage the distributor becomes an important link between manufacturer and customer. a shift from quota to tariff-based systems for imports and sophistication in manufacturing. In response. the consumer goods sector has being transformed by increase liberalization. • Establishment of the Supply Chain Over the past few years. accounting for over one-third of the demand for most key consumer durables and non-durable products.• Consumerism Cycle The consumer cycle starts with industry dictating the market. • The Rural Market: Waking up The rural market is beginning to emerge as an important consumption area. continuous reduction in customes duty.

Subhiksha. has expanded to a total of 50 stores in less than three years. • Change in Scale of Operations Subhiksha has over 50 stores in Chennai and Food World has 41. In fact. This growing scale enables the super markets to eliminate links in the purchasing chain and to make a deals with food processors directly.Retail managementsupermarkets nearly all sectors. Bangalore and Hyderabad. India’s largest consumer goods company. because of the huge scale of purchases. an innovative discount grocery chain in Chennai. about 17% of food sales flow through super markets and 2530% of consumer durable sales come from specialty chain such as Viveks and Vasanth. In Chennai. has dedicated a special team to deal with this emerging power retailers. Bangalore and Hyderabad have become major retail hubs. and is one of the most successful retail start-ups of the recent past. Venture capitalist like ICICI and IL&FS are also increasingly willing to invest in retail businesses. spread over Chennai. • Emergence of Hubs of Retail Activity Chennai. Hindustan Lever Ltd (HLL). • New Entrepreneurs The growing attractiveness of the retail trade has begun to attract new entrepreneurs with ideas and venture capitalists with funds. 19 .

RETAILING FORMAT IN INDIA 0100090000031602000002009601000000009601000 026060f002203574d4643010000000000010061ee000 0000001000000000300000000000000030000010000 006c00000000000000000000001a0000003700000000 00000000000000c63c00000d39000020454d4600000 1000003000010000000020000000000000000000000 .

Retail managementsupermarkets 21 .

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• Category killers: Small specialty stores have expanded to offer a 23 .Retail managementsupermarkets Retail Formats The following kinds of retail formats are found in India: • Mom-and-pop stores: These are generally family-owned businesses catering to small sections of society. individually run and handled retail outlets. They are small.

Mumbai's bookstore Crossword. • Malls: These are the largest form of retail formats.00.000 sq ft and above. etc. • Specialty Stores: The retail chains.range of categories. clothing. such as home and décor. stores ranging from 20000-50000 sq. toys. which deal in specific categories and provide deep assortment in them are specialty stores. TDI Mall in Delhi. They provide an ideal shopping experience by providing a mix of all kinds of products and services. Examples are Sahara Mall. catering to a variety of consumer needs These do not offer full service category products and some carry a selective product line. • Discount stores: These are the stores or factory outlets that provide discount on the MRP items. such as electronics (Best Buy) and sporting goods (Sport Authority). They focus on mass selling and reaching economies of scale or selling the stock left after the season .000 sq ft to 7. ft. Other examples are Lifestyle and Westside. Ranges from 60. They have widened their vision in terms of the number of categories. food and entertainment under one roof. Examples are RPG's Music World. K Raheja's Shoppers Stop is a good example of department stores. They are called category killers as they specialize in their fields. etc. groceries. These stores have further categories. • Department stores: These are the general merchandise retailers offering various kinds of quality products and services.

These stores contribute 30% of all food and grocery organized retail sales. At present. Super Markets can further be classified in to mini supermarkets typically 1. Prices are slightly higher due to the convenience given to the customers.000 sq ft and large supermarkets ranging from of 3. it is 25 . • E-tailers: These are retailers that provide online facility of buying and selling products and services via Internet. offering a variety of categories with deep assortments.000 sq ft. snacks are some the items that can be bought through vending machines. A lot of such retailers are booming in the industry. But it does not provide a feel of the product and is sometimes not authentic. Ebay. Example: Big Bazaar. etc. • Vending: This kind of retailing is making incursions into the industry.500 sq sales. They are open for an extended period of the day and have a limited variety of stock and convenience products. • Hypermarkets/ Supermarkets: These are generally large selfservice outlets.000 sq. feet located near residential areas. as this method provides convenience and a wide variety for customer. Smaller products such as beverages.com. They provide a picture and description of the product. These are relatively small stores 4002. having a strong focus on food & grocery and personal • Convenience stores: They are comparatively smaller stores located near residential areas. ft to 5.Retail managementsupermarkets is over.com.000 sq ft to 2. Examples are Amazon.

A large young working population with median age of 24 years. offer several brands across a single product category. multistoried malls and huge complexes offer shopping. along with increasing workingwomen population and emerging opportunities in the services sector are going to be the key growth drivers of the organized retail sector in India . nuclear families in urban areas. The whole concept of shopping has altered in terms of format and consumer buying behavior. • MBO’s: Multi Brand outlets. ushering in a revolution in shopping in India. These usually do well in busy market places and Metros.not very common in India. The Indian retailing sector is at an inflexion point where the growth of organized retailing and growth in the consumption by the Indian population is going to take a higher growth trajectory. STRATEGIES. TRENDS AND OPPORTUNITIES 2009 Retailing in India is gradually inching its way toward becoming the next boom industry. also known as Category Killers. Modern retail has entered India as seen in sprawling shopping centres. entertainment and food all under one roof. The Indian population is witnessing a significant change in its demographics.

marketing. The sector is likely to produce 2 million jobs in the coming 3 years. All of these would lead to the recruitment of highly professional people who specialize in these fields. There also exists a possibility that the retail sector would become a poaching ground once a number of domestic and international players enter the industry. though now many retail schools are coming up. There is also a trend for hiring hotel management graduates. distribution. supply chain. management of point sale (POS) data. such as logistics. innovation. transparency. product development and research are becoming very critical for the success of the organizations. and Pantaloon has set up links with major business schools from where it would be selecting the right candidates. distribution and inventory. Some of the areas such as technology. constant changes in consumer preferences and evolution of new retail formats. All this increases the challenges faced by the industry. Retail majors are under serious pressure to improve their supply chain systems and distribution channels and reach the levels of quality and service 27 . logistics. Major retailers are hiring aggressively from the similar and smaller organizations by offering better packages. Supply Chain Management The retail scenario is characterized by logistical challenges. Various strategies are to be implemented to improve core business processes.Retail managementsupermarkets Challenges The industry is facing a shortage of middle management level professionals. They are creating various levels of management and hiring on a spree.

thefts. Frauds in Retail It is one of the primary challenges the companies would have to face. frauds and discrepancies in the system.desired by the consumers. This is a major hindrance for retailers as a non- . As the size of the sector would increase. This is so even after the use of security techniques. Frauds. such as CCTVs and POS systems. shoplifting and inaccuracy in supervision and administration are the challenges that are difficult to handle. Challenges with Infrastructure and Logistics The lack of proper infrastructure and distribution channels in the country results in inefficient processes. this would increase the number of thefts. including vendor frauds.

29 . an aspiration and above all an experience that a consumer would like to repeat. Airport capacities and power supply have to be enhanced. including railway systems. No longer can a manufacturer rely on sales to take place by ensuring mere availability of his product. Infrastructure does not have a strong base in India. and forging longlasting relationships. It’s about casting customers in a story. As the Indian consumer evolves they expects more and more at each and every time when they steps into a store. retailing is about so much more than mere merchandising. Warehouse facilities and timely distribution are other areas of challenge.Retail managementsupermarkets efficient distribution channel is very difficult to handle and can result in huge losses. Highways have to meet global standards. To fully utilize India's potential in retail sector. reflecting their desires and aspirations. Transportation. Retail today has changed from selling a product or a service to selling a hope. these major obstacles have to be removed. Today. has to be more efficient. RETAIL SALES IN INDIA Retailing has seen such a transformation over the past decade that its very definition has undergone a sea change. Urbanization and globalization are compelling companies to develop infrastructure facilities.

organized retail is projected to reach US$ 23 billion. CONCLUSION The retail sector has played a phenomenal role throughout the world in increasing productivity of consumer goods and services.4 billion. manufacturers and service providers will also increasingly face a host of specialist retailers. Organized retail appears inevitable. Challenges to the manufacturers and service providers would abound when market power shifts to organized retail. It is also the second largest industry in US in terms of numbers of employees and establishments. backed with seemingly unlimited financial resources. . things have never looked better and brighter. However. For retail industry in India.For manufacturers and service providers the emerging opportunities in urban markets seem to lie in capturing and delivering better value to the customers through retail. of which organized retailing makes up a paltry 3 percent or US$ 6. By 2010. Retailing in India is currently estimated to be a US$ 200 billion industry. who are characterized by use of modern management techniques.

The India Retail Industry is the largest among all the industries.Retail managementsupermarkets There is no denying the fact that most of the developed economies are very much relying on their retail sector as a locomotive of growth. accounting for over 10 per cent of the country’s GDP and around 8 per cent of the employment. But all of them have not yet tasted success because of the heavy initial investments that are required to break even with other companies and compete with them. The Retail Industry in India has come forth as one of the most dynamic and fast paced industries with several players entering the market. The India Retail Industry is gradually inching its way towards becoming the next boom industry. SUPER 31 .

MARKETS • INTRODUCTION • OVERVIEW • HISTORY • TYPICAL SUPERMARKET MERCHANDISE • TYPICAL STORE ARCHITECTURE • HOW TO LAYOUT SUPERMARKET • INVENTORY CONTROL SYSTEM FOR SUPERMARKET • SUPERMARKET STRATEGIES: What's New at the Grocer? • SUPERMARKETS: CHALLENGES AND OPPORTUNITIES FOR SMALL PRODUCERS • CRITICISMS • ADVANTAGES INTRODUCTION .

The traditional supermarket occupies a large floor space on a single level and is situated near a residential area in order to be convenient to consumers. clothes. produce. along with various household merchandise. pharmacy products. dairy. and so forth. Other advantages include ease of parking and. those owning and managing the stores must take responsibility to serve the whole purpose. dairy. such as alcohol (where permitted). Its basic appeal is the availability of a broad selection of goods under a single roof at relatively low prices. medicine. As with so many advances. social and environmental. frequently. While supermarkets offer convenience and variety to consumers. selfcentered greed on the part of those in authority causes problems. Supermarkets usually make massive outlays for newspaper and other advertising and often present elaborate in-store displays of products. the convenience of shopping hours that extend far into the evening.Retail managementsupermarkets A supermarket is a departmentalized self-service retail store offering a wide variety of food products. and some sell a much wider range of non-food products. they have attracted significant criticism. household cleaning products. Supermarkets are generally situated near residential areas for easy access and maximum sales. A variety of non-food items such as household cleaners. produce. It is larger in size and has a wider selection than a traditional grocery store. OVERVIEW The supermarket typically comprises meat. Most supermarkets also sell a variety of other household products that are consumed regularly. Supermarkets are often part of a chain that owns or controls (sometimes by 33 . and pet supplies are also available. and baked goods departments along with shelf space reserved for canned and packaged goods. such as meat. both technological and social. For the supermarket to be beneficial to society.

Many retailers have implemented self-checkout devices in their stores in an attempt to reduce labor costs. This is purposely done to ensure maximum time spent in the store. Milk. such as Loblaw Companies in Canada. Customers usually shop by putting their products into shopping carts (trolleys) or baskets (selfservice) and pay for the products at the check-out. and with sales of higher-margin items. this increases the opportunities for economies of scale. .franchise) other supermarkets located in the same or other towns. and sugar) are often sold as loss leaders. which owns thousands of supermarkets across the nation. Supermarkets usually offer products at low prices by reducing margins. with negative margins. and other essential items may be located in the rear or other out of the way places. Most supermarkets are similar in design and layout due to trends in marketing. supermarket chains are often supplied from the distribution centers of a larger business. strolling past other items and capitalizing on impulse buying. that is. Produce tends to be near the entrance of the store. Certain products (typically staples such as bread. To maintain a profit. supermarkets attempt to make up for the low margins with a high overall volume of sales. A group of four or five self-checkoutg machines can be supervised by a single assistant. The front of the store is where one finds point of sale machines or cash registers. bread. Supermarket check outIn North America. They have a distribution center in every province—usually in the largest city in the province. milk.

His first store opened in Memphis. These practices were by nature very labor-intensive and therefore also quite expensive. The stores were a financial success and Saunders began to offer franchises. having become common in North American cities in the 1920s. so an assistant had to measure out and wrap the precise amount desired by the consumer. Also. Tennessee in 1916. as the number of customers who could be attended to at one time was limited by the number of clerks employed in the store. Saunders was awarded several patents for the ideas he incorporated into the Piggly Wiggly stores. pharmacies. The shopping process was slow. video rental. The general trend in retail since then has been to stack shelves at night and 35 . most foods and merchandise did not come in individually wrapped consumer-sized packages." Other services that supermarkets may have include banks. day care. cafés. A&P was another successful early chain in Canada and the United States. photo development. all products generally were fetched by an assistant from shelves behind the merchant's counter while customers waited in front of the counter and indicated the items they wanted. The concept of a self-service grocery store was developed by Clarence Saunders and his Piggly Wiggly stores. History In the early days of retailing. and gas stations.Retail managementsupermarkets A larger full-service supermarket may be combined with a department store and is sometimes known as a "hypermarket.

let the customers get their own goods and bring them to the front of the store to pay for them. named for King Kong. The store. Throughout the 1950s. 1970s. and 1980s. the first true supermarket in the United States. Although there is a higher risk of shoplifting. Soon. with some parts of Asia accusing the major supermarket chains of promoting . the costs of appropriate security measures will be ideally outweighed by the economies of scale and reduced labor costs. and they stocked national brands of food that were not easily found at neighborhood markets. Cullen. The rest of the world accepted supermarkets throughout the 1960s. operated under the slogan "Pile it high. in a 6. using the ideas that Cullen had originated to attract many consumers." The main difference between this store and the Piggly Wiggly stores was that Cullen's store was much larger. Supermarkets proliferated in Canada and the United States after World War II.000 square foot (560 m²) former garage in Jamaica. The rise of the refrigerator also gave Cullen the idea to install a parking lot near the supermarket so people could buy large quantities of food for storage. Kroger took the idea one step farther and pioneered the first supermarket surrounded on all four sides by a parking lot. According to the Smithsonian Institution. was opened by ex-Kroger employee Michael J. and the world. When Cullen died in 1936. supermarkets spread into Europe. 1930. New York. Sell it low. other supermarkets popped up. Queens. on August 4. but eventually were forced to build their own supermarkets as the North American economy sank further into the Great Depression and consumers became price-sensitive to a degree never seen before. King Kullen. there were 17 stores in operation. Existing grocery chains like Kroger and Safeway at first resisted Cullen's idea.

Kroger is probably the closest thing to a national chain in the United States but has preserved most of its regional brands like Ralphs. The figure is similar in Europe. Loblaw Companies operates grocery stores across Canada under a variety of regional names such as Fortinos. South America. Tesco is the largest chain of supermarkets followed by ASDA and Sainsbury's. and are also wary of the negotiating power large retailers have with suppliers. In Canada. In particular. and Africa places supermarkets in control of about 55 percent of all food retail in the regions. operating under many banners (Sobeys. IGA in Quebec locations). spreading rapidly through eastern and southern Africa. Sobeys is Canada's second largest supermarket with locations across the country. the proliferation of out-of-town supermarkets has been blamed for the disappearance of smaller. North American supermarkets are often co-located with smaller retailers in strip malls and are generally regional rather than national. Supermarkets rose to prominence in Africa in the 1990s. some critics consider the practice of selling loss leaders to be anti-competitive. 70 percent of the food retail is controlled by supermarkets. Zehrs. In the United Kingdom. It was formerly common for supermarkets to give trading stamps. and the largest Loblaws (named after the company itself). and King Soopers. local grocery stores and for increased dependency on the automobile (and the consequent traffic). Exterior of a typical British supermarket (a Tesco Extra)In many parts of the world. the largest food retailer is Loblaw Companies. In the United States. The rise of supermarkets in Asia. Today.Retail managementsupermarkets westernization. most 37 . City Market. Supermarkets own much of the food retail in many countries.

several items are given special discounts if the credit card-like devices are used." "club cards. Today supermarkets face price competition from discount retailers such as Wal-Mart and Zellers (non-union labor and greater buying power) and warehouse stores such as Costco (savings in bulk quantities). Typically." or "loyalty cards" which are scanned at the register when the customer goes to checkout. Typical supermarket merchandise .supermarkets issue store-specific "member’s cards.

Retail managementsupermarkets

Larger supermarkets all over the world typically sell many different types of items, such as: * Alcoholic products (where provincial/state and/or local laws allow) * Baby foods and products * Bakery * Books, newspapers, and magazines, including supermarket tabloids * Bread * Car care products * Confectionery * Cosmetics * Dairy products * Diet foods * Electrical items * Flowers * Frozen foods * Fruits and vegetables

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* Greeting cards * House cleaning products * Meat * Medicines and first aid items (mostly over-the-counter, some supermarkets have pharmacies) * Non-alcoholic beverages, such as refreshments and water * Personal hygiene and grooming products * Pet foods and products * Rice and Wheat * Seeds * Spices * Snacks Some countries expand their supermarkets to include products that are not related to food and necessary items, such as music CDs, movies, and clothing.

Typical store architecture
Most supermarkets are similar in design and layout due to trends in marketing. Fresh produce tends to be located near the entrance of the store. Milk, bread, and other essential staple items are usually situated toward the rear of the store and in other out-of-the-way places, purposely done to maximize the customer's time spent in the store, strolling past other items and capitalizing

Retail managementsupermarkets on impulse buying. The front of the store, or "front end'" is the area where point of sale machines or cash registers are usually located. Many retailers also have implemented self-checkout devices in an attempt to reduce labor costs.

HOW TO LAYOUT SUPERMARKET Supermarkets operate in a manner that is designed to push the user through the store until they end up at the cash register. Think about when you first walk in, what do you see? Typically, you feel like you only have one way to go. From there you will probably see the vegetables and maybe the bakery. From the veggies you encounter meats and possibly refrigerated foods such as cheeses, juices and dairy. In the middle aisles you will have your dry goods and breads. On one side of the store you will have your household items like cleaning supplies, tissue, baby supplies and storage supplies. Now as you turn for the cash registers you'll encounter your frozen foods and desserts. 41

When you see the cereal. Why? Because in between picking up your veggies. Supermarkets are also set up to appeal to the younger generation. but you wouldn't be able to market all of your other products if you did that. The flow of the grocery store is designed specifically to encourage shoppers to pick more than what's on their list and it often works in this manner. See the marketing here? The idea of the grocery store is that you feel like you're getting around the store quickly to get your three items. you can go for the more expensive and more sugary cereals that are in the eyesight of your five year old child. The best way to layout your grocery store is to keep the essentials in the four corners and place items that are appealing right in eyesight. You can go for the cheaper and a little healthier cereal that is down near the floor shelves. Your frozen foods are usually the last items you encounter because they are frozen. Think about it like this. They could place all the essentials right in one location. you're going to have two options on this aisle. These are the two keys to the supermarket layout . If you picked them all up first.While you're walking through the grocery store. you will want to have this same kind of flow in your store. as many of their favorite items are right in eyesight on the third or fourth shelf. except on those individuals who are strict shoppers and only get what's on their list. but it's what lies in between where the marketing really comes into play. you're going to see that you need cereal to go with your milk. they would probably be partially defrosted by the time you finished your shopping. but you're more likely to get a good walk in and go home with six items and that's not even including what you're going to see at the cash register and be tempted to purchase. This is may be practical. Or. the first thing you encounter is the veggies and all the way across the store is the dairy.

Retail managementsupermarkets Inventory Control System for Supermarkets Inventory control in the convenience store business is important because these businesses depend on the rapid turnover of the inventory items with a limited shelf life at relatively small margins. The convenience store must be able to satisfy the customers by being able to supply the desired merchandise 43 .

Inevitably. inventory analysis and control as well as automated ordering systems are very much desirable in a convenience store. The first things to go are fancy luxuries. an attempt has been made to analyse convenience store inventory systems and to present the most appropriate solution for a variety of stores. and food. Supermarket Strategies: What's New at the Grocer? From ready-to-eat meals to eco-friendly offerings. they focus on their biggest expenses: housing.when required and not have a large amount of capital tied up in the inventory items lying in the store. food retailers are finding more ways to distinguish themselves and win customers It's no surprise that in a recession consumers cut back spending. In order to satisfy the customer and make a decent profit. . CRM. but after all the fat is trimmed people begin to cut necessities. The items that are likely to be in demand must be ordered just in time and then sold prior to the expiry of their shelf life. health. In this report.

fewer shoppers want to go out of their way for food. ethnic stores that cater to Latinos or immigrants from Asia and the Middle East. WalMart spent two years and $10 million developing Smart Network. but the repeat business can add up. download coupons for them on cell phones. As the purchasing power of minorities grows. an advanced in-store television market that can provide detailed product info and control the ads on each individual screen. And now. Wal-Mart's Supermercado and Publix's Sabor are examples of smaller.Retail managementsupermarkets So with little room to further cut prices or wow consumers with unique products. basics. More employees are bilingual. Safeway's (SWY) Market. and pay without ever entering a line. With most people on tight schedules. food retailers are seeking out new trends and technology that might differentiate them from competitors One way a grocer can impress consumers is to get out of the way. Smart shopping carts. 45 . and selfcheckout lanes let consumers help themselves. keep a running tab by scanning goods as they're placed in a cart. thanks to handiwork by EnVision Marketing Group. Accommodating Busy Shoppers Another tool is convenience. mobile coupons. The average sale might be smaller. and Tesco's Fresh & Easy are filling in the gaps between their bigger locations with smaller stores and stocking them with ready-made meals. grocers are increasingly attempting to accommodate their tastes. The black conveyor belts at Kroger's (KR) cashier stations are being branded. too. there's no place for a customer to escape targeted advertising. Supervalu's (SVU) Urban Fresh. They can pull up reviews on products. Stores such as Wal-Mart's (WMT) Marketside. and extras like in-store baby-sitters. too.

and it seems there might be as many kinds of stores as there are people. . green products. eco-friendly stores that Kroger and Price Chopper are building. among other chains. in-store restaurants now found in Whole Foods (WFMI) and Wegman's.Meantime. but convenience. or a ready-to-eat meals just might do the trick. Combine these advances with niche private labels. for example. These embedded microchips let employees know when to restock empty shelves and track in-store advertising to ensure it's placed where it belongs and when it's supposed to be—to coincide with a national TV campaign. Walgreen's (WAG) and Wal-Mart are testing new RFID technology. Supermarkets may not be able to pull shoppers away from the competition by putting 2-liter sodas on sale. Says Stern: "Differentiation works for the retailer who can truly master it SUPERMARKETS: CHALLENGES AND OPPORTUNITIES FOR SMALL PRODUCERS The question is not whether small producers should participate in supermarket-driven supply chains but rather how they can do so in a manner that improves their livelihoods. A Procter & Gamble (PG) trial boosted sales nearly 20%. such as Supervalu's Wild Harvest Organic brand. But that's the point.

driven by the need to maximise efficiency and minimise cost in their supply chains. The new risks posed to small producers from supermarket participation in agricultural supply chains are twofold. Their increasing dominance of supply chains has brought about significant structural shifts. However. given the reality of supermarkets´ role in supply chains. not least to the livelihoods of small commodity producers which are ill-prepared to deal with supermarkets and other agri-food Transnational Corporations (TNCs). Opportunities exist as the supermarkets potentially offer a regular and sizable channel for small producers´ goods. On the other side. Exclusion Supermarkets. 47 . and examples are emerging of supermarkets acting with the social and economic wellbeing of small producers in mind. as well as other commercial conditions. 2. 1. environmental and social standards. Pressure on both costs and revenues Cost is increased through the investments required to meet the emerging web of sanitary. prefer to deal with larger suppliers perceived to better meet their quantity and quality requirements. the asymmetric bargaining power of the supermarkets squeezes small producer revenues. the question is not whether small producers should participate in supermarket-driven supply chains but rather how they can do so in a manner that improves their livelihoods.Retail managementsupermarkets Supermarket Basket Supermarkets have assumed a pivotal role in agricultural sectors in both the developed and developing worlds.

Many supermarkets have initiated new environmental protection policies and switched to organic options for food choices. Many supermarkets have started stealing methods of organic farming to sell their produce. The new environmental policies are hand in hand with the same problems that supermarkets have always had. Supermarkets import out of season fruits and vegetables. Surveys have shown that people are less informed on where their produce comes from. but some of these changes are deceptive.Criticisms Supermarkets are criticized for being not being environmentally supportive. It is suggested that supermarkets create a skewed perspective on the development and production of food. as many supermarkets would have customers believe. which ensure a constant supply while forcing laborers to work in stifling conditions for low wages. raising humanitarian and labor issues. while shutting out organic farmers from doing business with them in order to maximize profit. but the supermarkets still create pollution. including such obvious staples as milk and potato chips. Changes are a step in the right direction. but rather come from farms owned by transnational corporations. Advantages Supermarkets are a staple of consumerist society. and are unable to identify how certain foods are made. They bring mass quantities of food to as many people as possible. Markets have been around for . The organic foods that many markets provide are not from independent farms.

large carts in order to transport large amounts of food with ease. how good or bad the agriculture was that year.Retail managementsupermarkets centuries. or finding their own food. browsing digital produce in digital aisles without leaving the home. Many supermarkets have made their stock available on the internet. This is seen by some as the future of supermarket shopping. No longer are families dependent upon which foods are in season. and cashiers with selfservice checkouts at the front of the stores. Often. delivering the chosen groceries to the customer's doorstep. and it will be ready for them by the time they arrive at the supermarket. is a unique change in human eating habits. supermarkets will run coupon and sales specials for customers. and numerous locations. Many coupons and discounts are also available online to print out and bring to the supermarket. Customers can select what they want on their computer. 49 . Supermarkets are set up with colorful advertisements. Supermarkets are a convenience for consumers due to their ease of navigation. but a supermarket. their business hours. it is all at one convenient location. which imports food and has a constantly refilled supply of produce. Some supermarkets even use this method for a delivery service.

Article .the advantages of doing business in India • NEW SUPERMARKET CHAIN IN INDIA • LARGEST INDIAN SUPERMARKET OPENS.SUPERMARKETS IN INDIA • SUPERMARKETS IN INDIA • SUPERMARKETS .

Supermarkets of India offer products with different price bands for each and every sections of urban society. furniture. product range includes foods. Supermarkets in India houses varied shops selling different types of essential commodities along with luxury items. • HyperCITY India's largest hypermarket. sports. the British colonial government introduced the idea of Supermarkets to facilitate its officers with access of all household goods under one roof. Actually. home entertainment. located in Malad. Mumbai. hi-tech. These Supermarkets are mainly concentrated in urban areas or semi-urban areas. domestic and international manufacturers. toys & clothing Supermarkets • Apna Bazaar 51 . homeware. Most of these Supermarkets sell branded products of both.Retail managementsupermarkets SUPERMARKETS IN INDIA The concept of Supermarkets is not new to Indian consumers. part of the K. appliances. Raheja Group. Supermarkets operating in India typically has a heterogeneous mixture of large and small individual retailers.

home care & personal care products. travel and fashion accessories. started by the initiative of a non-profit and charitable trust CARS headquartered in Hyderabad Supermarkets • Spencers Largest supermarket chain in India. jewellery etc Supermarkets Retail Chains • Style Plus Shop located at Keston road in Thiruvananthapuram. home décor. cameras & optics etc Supermarkets . offers sports. has 125 stores spread across 25 cities. product profile covers groceries & staples.Chain of supermarkets with 400 outlets in the districts of Telangana. Guntur and Prakasam in Andhra Pradesh. toy and baby products. Kurnool. garments. books. magazines. Krishna. Secunderabad. Hyderabad. part of RPG Enterprises. gifts and music. electronics. apparels. stationery.

the advantages of doing business in India are – • • • • • • • affairs • • • • • • Introduction of Value Added Tax or VAT and tax reforms High degree of professionalism and corporate ethics Excellent Investment opportunities in Indian retail sector and in allied sectors. sure and high returns on investments To invest US $130 billion for the development of infrastructure. by year 2010 Hordes of foreign investors are thronging in to invest in Indian retail markets Highly educated English speaking young workforce 53 Ranks 5th on global retail development index It is the second fastest growing economy of the world Going to be the third largest economy in terms of GDP in next few years It ranks high amongst the top 10 FDI destinations of the world Fastest growing tourist market in Asia World bank states.Retail managementsupermarkets Supermarkets . India to be world's second largest economy after China by the year 2050 Stable and investor friendly Central Government at the helm of .

• • • • • • Vibrant and multi cultured cities Huge opportunity exists.Central Government has ultimately realized the need to remove the insulation out of the Indian retail sector. . especially in semi-rural and rural areas Till date the second largest employer after agriculture sector. leaving tremendous scope of growth in semi-rural and rural areas also. for the huge semi-skilled Indian population Offers highest shop density in the whole world Having almost 1.20. Moreover. the Supermarkets in India are regaining their lost importance. this consumerism has spread its tentacles to semi-rural areas also. Indian and international market leaders are pouring into the Indian market to encash on the Supermarkets boom. across the length and breadth of the country In a stage of development as an organized industry The With increased consumerism post India Economic System reform earnest in July 1991.000 shops. . Both.

prices of key vegetables were about half those of other grocers in the capital.5-£3. with the opening of the first recognisably western-style supermarkets in this sprawling conurbation of 15m people. Reliance Industries plans to open 100 Reliance Fresh stores in the capital by April as part of a proposed $5-$7bn (£2. four booming 55 . Faridabad and Ghaziabad. India's national capital region will enter the modern retailing era today. In the latest phase of its breakneck roll-out of supermarkets ahead of the arrival of foreign-backed retail rivals.6bn) investment in a "farm-to-fork" supply chain that will force radical change on one of the largest and most inefficient sectors of the Indian economy. Gurgaon. a big draw in such a cost-sensitive market. a satellite city of Delhi. At a preview of one of three stores that will open in Noida.Retail managementsupermarkets New Supermarket Chain in India India opens western-style supermarkets. Reliance will today open nine pilot supermarkets in Noida.

Reliance yesterday said its business would be "inclusive" and that it would allow existing "mom and pop" stores to buy from it at wholesale prices.5 stores per 1. Mr Pillai said the industry's rapid growth would leave room for modern retailers to co-exist with family-run operations. It opened its first store in Hyderabad last September and now has 46 in operation. onions were on sale for Rs13 (15p) per kilo and garlic for Rs81 per kilo. a shopping area in south Delhi . with Reliance aiming to "carpet" 100m sq ft and achieve $25bn in sales by 2010. Reliance plans to open stores in 784 cities and towns and 6. India has the highest retail outlet density in the world. Promising to create 500. Conscious of the political backlash it will face if it is seen to be putting small shopkeepers to the wall. The pace of the planned store roll-out is unprecedented. With an average of 5.suburbs.000 jobs in three years.000 smaller towns.000 people. Wal-Mart Stores late last year announced a joint venture with Bharti Enterprises that will see it enter the Indian market as a wholesaler. At the Noida store. a family-run store in Khan Market. president and chief executive of Reliance Retail. according to Raghu Pillai. But almost all of the 12m "mom and pop" stores that account for 98 per cent of the $300bn industry's sales lack access to capital and technology. compared with Rs24 and Rs150 respectively at Allied Fruit. Foreign supermarket retailers are barred from India under the country's foreign direct investment rules.

With money supply and bank credit growth of 20. a confection made out of tamarind.25 per cent tomorrow ARTICLE : Largest Indian Supermarket opens Article By Venkat Raman 57 . for example." said Jai Bendre. crossing 6 per cent.Retail managementsupermarkets popular with expatriates and wealthy Indians.5 per cent and 20 per cent).5 per cent and 6. Reliance is also breaking new ground by pricing many products to the second decimal place. was priced at Rs23.52. "These are fabulous prices. economists expect the RBI to lift the repo and reverse repo rates 25 basis points to 7. A pot of Chulbuli Imli. Reliance Retail's foods marketing head. The emergence of potentially deflationary forces in the retail sector will be welcomed by the Reserve Bank of India at a time when inflation has broken out of the central bank's comfort range. a selling-point for customers whose average shopping basket costs just Rs150.2 per cent (ahead of targets of 15.4 per cent and 30.

a pre- . Auckland on June 20. ice cream and pizza. The new retail outlet. a butcher shop. a tailor and alteration shop and retail outlets for Indian sweets. beverages. 2009 Moshims Discount House created history last week when it opened the largest Indian Supermarket in New Zealand.000 visited the new supermarket on the opening day on June 20 and the following three days to behold a huge variety of groceries. Moshims Discount House created history last week when it opened the largest Indian Supermarket in New Zealand. Moshims Plaza where the supermarket is located. The complex will also have a $2 Shop that has become ubiquitous and popular throughout New Zealand. More than 10.image An unheard of crowd at the new Moshims Discount House Supermarket in Mt Roskill. also accounts for a restaurant and takeaway. fruits and vegetables and other items of daily use at home. The 2000 sq m complex has abundant space for customer car parking. located on Stoddard Road in Mt Roskill is the first in a series of expansion and refurbishment programmes of the burgeoning enterprise.

” he said. the support and encouragement experienced during the opening days of the new facility demonstrated our mutually rewarding relationship. “While Moshims has always shared loyalty with a growing number of customers.Retail managementsupermarkets requisite for retailing. 59 . The new supermarket stocks and sells a wide range of items that were hitherto not available at the branded retail outlets. Moshims Discount House managing director Mohammed Hashim Khan said public support has been overwhelming.

CASE STUDY APNA BAZAAR .

Retail managementsupermarkets “For us customer is First” INTRODUCTION Apna Bazar is probably the oldest and largest consumer co-operative multistate society with a customer base of over 12 lakhs. It enjoys strong consumer loyalty. It has recently opened its first shop outside the Maharashtra state. Apna Bazaar has developed a strong brand image in the mind of the consumers. in Goa. for over 55 years remained largely “middle-class” has 80 outlets in Mumbai. The Rs 140-crore retail chain that. Govingi Keni Road. Dadar [East]. Brand name: Mumbai Kamgar Madhyavarti Grahak Sahakari Mandal Ltd Date of Incorporation:9th May 1948 Constitution: Multi State Co-operative Society Sector: Private Industry: Retailing Registered Office: 106-A. Naigaon. Thane and the neighbouring Konkan region. Mumbai 400014 61 . There are just 4%-5% consumers who shift over to other retail stores.

new branches were opened along the Konkan stretch following demand. societies merged into it. In 1968. Further franchisees were encouraged. which became Mumbai Kamgar in 1958-59 after other consumer co. In 1962-63 the organization became Madhyawarti Grahak Sahakari Mandal. In a short time the brand APNABAZAR grew popular all over Mumbai and has never looked back since. the organization started the nation’s first departmental store on the mill worker dominated areas like Naigaon. . They started a co-operative under the brand name “Apna Bazaar” . PURPOSE OF ESTABLISHMENT There was an industrial lock – out as a result of which many textile workers became unemployed. In order to help these workers and to provide them with employment. the Mumbai Kamgar Madhawarti Grahak Sahakari Sanstha Limited came into existence. After successfully establishing a wide network of branches all over Mumbai. giving livelihood opportunity to many entrepreneurs.HISTORY In 1948 it started with The Naigaon Grahak Sahakari Mandal Limited. op. under the name of APNA BAZAR.

Apna Bazaar has developed a strong brand image in the mind of the consumers. think APNA BAZAAR. pleasure and above all a feeling of pride. variety. a world of shopping paradise. exuberance. fun.Retail managementsupermarkets ABOUT APNA BAZAR Think of a mixture of old and new. we bring you the best and the latest of shopping goodies. Apna Bazar is probably the oldest and largest consumer co-operative multistate society with a customer base of over 12 lakhs. The Rs 140-crore retail chain that. which 63 . There are just 4%-5% consumers who shift over to other retail stores. it’s the right place and the right getaway for all our shopping needs. Step into that confines and experience a shopping expedition in itself. an art which transmits a veil of joy. in Goa. A place where you can scent quality. Stay tuned with us. It’s a place where you feel at home. traditional and modern. merriment. which is an art in itself. security and an aura of assured feel-good factor in terms of affordable and reasonable rates. step into Apna Bazaar and realise a whole new world. It has recently opened its first shop outside the Maharashtra state. past glory and present bright times. for over 55 years remained largely “middle-class” has 80 outlets in Mumbai. a place where one comes. makes purchases and goes. It has become a place where one should experience the thrill of shopping. In 1948 it started with The Naigaon Grahak Sahakari Mandal Limited. a home away from home. Super Bazaars are no more a place where purchase-chore is a mechanical affair. Thane and the neighbouring Konkan region. It enjoys strong consumer loyalty.

There was an industrial lock – out as a result of which many textile workers became unemployed.became Mumbai Kamgar in 1958-59 after other consumer co. it’s the right place and the right getaway for all your shopping needs. In order to help these workers and to provide them with employment. past glory and present bright times. variety. It’s a place where you feel at home. traditional and modern. Further franchisees were encouraged. . In 1962-63 the organization became Madhyawarti Grahak Sahakari Mandal. . a home away from home. societies merged into it. think APNA BAZAAR. the Mumbai Kamgar Madhawarti Grahak Sahakari Sanstha Limited came into existence. new branches were opened along the Konkan stretch following demand. They started a co-operative under the brand name “Apna Bazaar” Think of a mixture of old and new. giving livelihood opportunity to many entrepreneurs. security and an aura of assured feel-good factor in terms of affordable and reasonable rates. In a short time the brand APNABAZAR grew popular all over Mumbai and has never looked back since. After successfully establishing a wide network of branches all over Mumbai. the organization started the nation’s first departmental store on the mill worker dominated areas like Naigaon. op. In 1968. A place where you can scent quality. under the name of APNA BAZAR.

Their outlets are well spaced to display the vast range of products at easy view angles.000 volunteers and indirect employment to more than 10. They possess one of the best and biggest warehouse facilities. indirectly cooperates with every activity and supports consumer rights to acquire quality products without compromising on quality. selling more than 6. scientifically tested to be of quality one.Retail managementsupermarkets They project the following highlights Vastness and Space They have the biggest chain of supermarkets in India operating with more than 500 outlets throughout the state.000 people. Each and every outlet 65 . They are the only biggest supermarket chain that keeps in view the development of consumer association.000 essential commodities. In this way it has been a good job creator and sustainer. with ample room for people's movements. It also provides direct employment to more than 1. The same is well equipped.

They are: • • • • • • • • • Density of population Easy Address Access to four corners of that particular locality Parking Space Real Estate Neighbourhood Outlets – a study Income Group – a study Double Roads – their impact Frontage All of the above points are worked out to the nicety to provide the maximum benefit to the consumers. income-range and purchasing power. Lowest Prices The same Buying from the source of production. Location All their outlets are located in prime locations which are home to people of varying backgrounds. It has been possible due to the following factors The above two points provide the base for securing all the stocks at a very cheap rate and the accrued profits are passed on to the consumers in the . They go by certain points before setting up of Apna Bazaar outlet in that area/locality. Buying in large quantities by catering to the needs of all the Apna Bazaar outlets in the state apart from our institutional sales.covers an average plinth area which is said to be a better space for this sort of retailing format.

Quality They adhere to the best quality standards. mixing and imitation. packaging and storage.adulteration.Retail managementsupermarkets shape of the following : • • • Providing all items at less than MRP rates. They have achieved tremendous success in the same and also it has been possible due to their loyal nationwide producer base. The other notable factor is that they ensure the weighment and quantity of the products before they are dispatched for sale (before packing and after packing) in the warehouse. our products are AGMARK accredited. purification. Work Force Productivity They possess an army of well-trained large volunteer force that ensures 67 . Discounts and offers (freebies). The whole work process tackled from the following angles . The same has been possible due to the long process commencing from identification. cleaning. Promotional activities. that is. selection.

the same has been utilised well by people who are busy and have little time to spare for shopping. Ambience . The same is worked out by dialling our helpline at no extra cost. milk. crockery items and so on and also they come with depth in range and makes. vegetables.maximum interactivity. The same has given the advantage to get the best out of their capacity vide making them work on a flexi-hour basis. personnel care products. food and beverages. All the products are available under one roof. their volunteerto-outlet ration has enabled them to divide work among them in areas as: • • • • Service Maintenance Monitoring Point-of-purchase assistance Easy and Quick Availability All their outlets are equipped with a complete range of products that forms a part of the daily/regular needs of a typical Indian family. The whole process is based on the foundation of “Freedom of Choice” to shop at a one-stop! Home Delivery They have introduced for the benefit of our consumers the concept of “Home Delivery”. groceries.

their customers can deposit their suggestions and complaints pertaining to any product or service.Retail managementsupermarkets To put their customers in the proper frame of mind and instill the dose of “shopping spirit”. In addition to this. They are further guided by the themes of “Shop-at-Ease in Peace” or “Shopping Peacefully”. The blue hoardings at their outlet's entrance signify a positive spirit and approach serenity. Value-added Services • Customer Suggestion Box: Every outlet possesses special boxes wherein. Other Advantages Their network extends to more than 1. tasteful and well-decorated manner.100 mandals and has specified consumer cells. They possess a network of 30 branches in various parts of the city. 69 . calmness and above all that “feel at home” theme. their outlets are done up in the most modern.

The same are maintained carefully and resolved through consumer courts. etc. • Convenience–Joints: They are initiating the introduction of “Bill Payment” service through which their customers can pay their telephone. Advantages • • • • • • Continuous Availability Authentic Promotions Sale Good Will Brand Penetration Low Transaction . travel. Supplier focus towards achieving world class supply chain efficiency.• Consumer Grievance Cell: Problems faced by the customers in their day-to-day life relating to products and services used by them and the complaints against defects in them are lodged in cell. They are very much focused and believe in the theme. “Together let us redefine the view of business in the minds of consumers”. water. electricity bills and bookings for cooking gas.

They demand more sops from the suppliers on mutually-beneficial 71 .Retail managementsupermarkets Strengths • • • Higher Retention Rates “Stable” Supplier Relations Multiplier Effect Up-gradation at the Outer Level • • Increase in display space Creation of separate section called “Latest” or “New Arrivals” in each product category (Encouragement to niche products) • • Induction of more product lines into our product portfolio range Implementation of innovative. As a result. makes customers feel happy resulting in an increase in the sales • Creation of regular promotional (frontage) space in all the outlets thus helping the suppliers working out their business more practically at the outlet level Friendly Advice to the Suppliers They are a consumer organization as well as a retail chain – our basic service to the consumers start at the supermarket level and towards the same they seek the cooperation from all their regular and trusted suppliers.

More than 20 lakhs consumers all over the state are being introduced to new products. Imitation is so close to the real product that it is difficult for the consumer to distinguish between the real product and the imitation. They encourage • Quality Products • More Discounts / Margins • Your participation in various welfare activities conducted by CARS (Trust) The other noted point is that they have a solid and established base all over the state which is a major plus to the suppliers. the manufacturers of the quality products and the buyers of the imitation products are the ultimate losers. The most difficult problem faced by most well-known brands today is 'imitation'. reaching so many consumers is a task possible only through Apna Bazaar. through Apna Bazaar. As a result. The facility of this “prompt service to the consumers” can only be understood by the suppliers/manufacturers who want enduring returns (in retailing parlance) and not by those who look for “everything quick in today’s competitive business world”. The Producer/Manufacturer also need not invest any money on advertising since Apna Bazaar will ensure the sale of his product. The same comes about in the form of no investment required on advertising and publicity and instead they can avail the facility of outlets all over the state. manufacturers and farmers. by selling their products through the totally centralised and .terms which will result in a substantial sale increase as well as quality service to the consumers. Manufacturers can also avoid the hurdle of imitations.

lab testing. accounts and security. packing. computer section. INFRASTRUCTURE • Warehouse Their warehouse is located on Nagarjuna Sagar Road. the same covers an area of 2 acres and houses facilities as storage. The members of the Apna Bazaar are also members of the local Consumer Association. it beckons and it sure glows brightly and emits that priceless quality called “Pride of Place”. the sales of pure and quality products will increase by leaps and bounds. the future is Apna Bazaar. Their warehouse possess the capacity to store around 500 companies indented products besides grocery products of each category in large quantities. Future is here.Retail managementsupermarkets transparent functioning of the Apna Bazaar. transportation. • Clearing of Stocks Unclean and unfinished grocery products that are brought from the production places are cleaned and purified thoroughly with the help of both machines and people. In this way. cleaning. so they will have a good idea of the quality of the products. 73 .

They also follow the guidelines issued by the AGMARK (Govt. . the same are well-manned by experienced technicians.. the material is packed for sale. quality certifying organization).• Lab . In addition to the following above parameters. All the material that comes to the warehouse is tested based on the following parameters: • • • • • • Dryness Moisture Content Nutrition value Assessment of holding period Adulteration Weighment After the process of testing is done.Testing They possess one of the best laboratory facilities in the nation.

• Information Technology Today’s age demands the need for usage of technology. there is no alternative to information technology. For sheer accuracy and instant information. the warehouse and the wide chain of supermarkets the whole work process being manned by over 60 well-trained people. technology holds the key and most importantly information technology is a foregone necessity. etc.Retail managementsupermarkets • Packing They possess the most modern packing procedure that takes care of packaging of Liquids. Powders and Solids. etc. sharpened by in- 75 . usage of disinfectants. They possess the best and state-of-the-art computer equipment which integrates the complete process of the organization linking all the departments.. Semi-solids. They possess an in-built cold storage that is available for the storage of items such as tamarind. related to storage of company and grocery products are taken care of well. All the products are stored category wise and arranged neatly for immediate despatch to the various Apna Bazaar branches. • Storage They observe strict storage procedure as aeration.

The secret of its success has come from the fact that the consumers are encouraged to come to the office and put forth their grievances/views/suggestions. The whole network is integrated by WAN which ensures quick and instant flow of information and the same enables the management to chart out proper plans for further sales/purchases in the outlets. so that the required action can be taken.000 volunteers who are satisfied and contented lot. • Human Resources They possess a fine and efficient team of human personnel. One of the most noted achievements of this has been. The computer personnel are kept abreast with the latest in information-technology arena. secured justice in the form of compensation worth Rs 75 crores from the seed traders. The other achievement has been the Maruti Udyog Ltd.house training. the same has rendered yeoman service to the consumers. In . punctuality and quick grasping power are the need of the hour in our gigantic task of providing nothing but the best at affordable rates to the consumers. we have around 1. the farmers of 2 Districts of the state of A. which has been a major boon to them.P. was directed to pay RS 12 crores as compensation to the concerned consumers. • Legal Cell They possess a well-tuned Legal Cell.. They believe in the principle that people with high dedication levels. As on now.

They are proud to say that we have maintained the said principle ethos. have an in-house motivational classes to arouse the spirit of volunteers towards the path of delivery proper and responsive customer service. executed and enjoyed. • Reading and Music 77 . • Service Ethos They believe in the spirit of service. Further more. exquisite and noteworthy one. It has become an art in itself. • Making Shopping a Delightful Chore Shopping has undergone a sea change in the way it is done. responsible and good citizens of the country. something which provides that extra zip to the confidence and motivation levels of the customers who throng a shopping joint. the non-profit nature of the organization being a great source of quicker passage to achieve the same. They also instill in the volunteers the need to be matured. they are trained to interact in the right manner with customers keeping in focus an intensive customer-approach and respect for their duty towards them. They are well aware of the same and have introduced many enlightened and stimulating steps which make the whole game of shopping a memorable.Retail managementsupermarkets addition to this.

their outlets are equipped with books and magazines. e-commerce way.Chat. To ensure that shopping is not all shopping. • Greet With a Smile They know that a beautiful and neat smile with a pleasant approach goes a long way to make the chore of shopping a delightful affair. that is. They have introduced the following extra • • Attached Bakery. Apna Bazaar goes by the principle – It is not people who carve for profits. • Home Shopping They are well-aware of the potential of information technology and its impact on people’s lives. their customerrelation policy is based on decent norms of behaviour. but those who wish to serve the society and . courtesy and manners.an Apna Bazaar Being a people’s movement.They Has been introduced to enable every customer to enjoy every minute of time spent in the supermarket. the same will fetch more benefits and savings to our valued customers.Ice-creams and Fruit Juice Centre Attached pharmacy bites How to start . Isn’t it said that a good smile and a timely wish helps put a customer at ease and proper frame of mind to go ahead with shopping. They are going global with our outlet coming up online.

. Atleast one person who has obtained a minimum education of up to 10th standard should be appointed for supervision and 1-3 helpers can be employed as per the need and size of the APNA BAZAAR. the unemployed and any other persons who are capable of starting an Apna Bazaar in their neighbourhood.000 S. the coordinator should also make arrangements for space or accommodation. After the deposit is made.R. This principle acts as bedrock for starting an APNA BAZAAR. the CARS Trust will take the entire responsibility and care of the remaining things to be done. the accommodation arranged and the required personnel and assistants appointed and these three requirements taken care of by the depositor. There are four categories of Apna Bazaars: • • • • Home Apna Bazaar Mini Apna Bazaar Medium Apna Bazaar Mega Apna Bazaar Those who wish to start one such Bazaar should (as per their area and number of members) deposit an amount ranging from RS 1 lakh to RS 5 lakhs with the Consumer Awareness and Research Society Trust and enroll as a Co-ordinator. 79 .Retail managementsupermarkets earning regular income as a source of their livelihood. from 150 to 1. Retired Citizens. in accordance with the class of APNA BAZAAR. Those who fall under this category are Housewives. to be established. Similarly. They are as follows: The Government’s Licenses required for the establishment of APNA BAZAAR.

The CARS Trust will also supply all the items of daily consumption to be sold to the consumer. If the Coordinator. The food grains. the number of members and the quantity of sales at the Centre. Weighing Machines. Racks. the payment of taxes will be processed by the trust. while extending full service to the consumer and in complete keeping with the terms and conditions and rules and regulations of APNA BAZAAR. packing and other incidental expenses. Depending on the size of the APNA BAZAAR.000/. The goods will be transported to the Centres in special transport vehicles. packed and the rates fixed before them are sent to the coordinator.as service charge alone. Also. manages to increase the turnover he will then be eligible for an extra income.Billing Machines.000/. the Coordinator will receive 5% of his total turnover as Service Charge and the remaining 2% is used for transpiration. at rates fixed by the trust. cleaning. The food items and products will be cleaned. packaged and then sent to the APNA BAZAAR outlets. . Hence the coordinator can conveniently and directly supply the goods to the consumer. Furniture and other infrastructural facilities will be provided (as per the Deposit) by the CARS Trust. The products rate sold at our outlets at a rate which adds a minimal 7% to the manufacturing price. before they are packed.to RS 50. products and other items obtained from the sources of production are tested for quality in the laboratories. each coordinator will on average earn about RS 10. The items are cleared.

The 81 . Passbooks and Bill books will also be supplied to the Coordinator by the CARS Trust.V.Retail managementsupermarkets The promotional and publicity requirements. Radio and T.000 members. Video materials.000 to 4. Consumer Welfare – the Ultimate aim of APNA BAZAAR The consumer who avails the services and benefits of APNA BAZAAR will have to pay a nominal membership fee of RS 10/. Within the parameters of the CARS Trust rules. banners. wall posters. The Coordinator will be given special training by the CARS Trust. The Membership and preference will be given on “First Come First Serve Basis”. applications and membership forms.per Family per annum and obtain Membership. the number of members in each may range from 1. the Coordinator can transfer the Coordinatorship or terminate it. According to the size of the APNA BAZAAR. announcements and advertisements will also be released. Depending on the occasion and necessity. the pamphlets. Audio.

• Every member will be issued an identity card along with the pass book. • More than 1. Electric. Since the food grains are pre-cleaned. Further. stationery and so on are available at APNA BAZAAR. due to the reduced prices in APNA BAZAAR. the market price will also be brought under control. Pesticides. In future Fertilisers. • Only items supplied by the CARS Trust will be available at the APNA BAZAAR. increasing the purchasing power of the customer and acknowledging his importance in the socio-economic structure. The details of the bills on every purchase made by the consumer will be entered in the pass book.000 varieties of consumer items including dals. progress and development of the CARS Trust. it is time-saving and very convenient and ready for use for the Consumer. Electronic and various types of Home appliances will also be available and supplied by APNA BAZAAR. so the consumer can confidently be assured of the quality and purchase without the fear of adulteration. Seeds.membership fee collected from the consumer will be deposited for Consumer Welfare activities and will be utilised to extend widespread services. . • The Consumer can purchase daily essential items at rates which are 3% to 30% less than the market rate. improvements.

• The APNA BAZAAR is periodically inspected by the special Inspection 83 . and obtain the required legal advice of APNA BAZAAR. unadulterated food articles is the best way to safeguard and ensure good health. The membership will be cancelled if any member fails to attend 3 consecutive meetings.Retail managementsupermarkets • Those who are not members of APNA BAZAAR cannot avail the services of APNA BAZAAR. • The purchase of pure. It is compulsory that the members make it a point to attend the consumer member meetings held regularly in each locality. • The consumer members will also be able to avail counselling on day-today problems. • No item will be sold at APNA BAZAAR without the bill being raised. • The Members can actively participate in the development activities of the consumer association. • The Consumer can purchase the goods in the most accurate of weights and measurements.

These consumer associations will only supervise and ensure that the Apna Bazaar is functioning to the advantage and satisfaction of the consumer. Their vision is as follows • More Outlets . • The welfare and true progress of the Association of Consumers is possible only through Apna Bazaar. FUTURE VISION Vision is a bold word. • There is no connection between the Consumer Association and the Transaction of Apna Bazaar. Thus the consumers can purchase any item with total trust and confidence. one which lights the path to a future.Committee appointed by the CARS Trust which also supervises the local consumer association.

They are going to reach out to the farmers creating an exclusive supply chain that will stretch right from the farmer to our stores. They plan to offer them a feast of service-oriented and organised retailing which enables them to savour the traditional Indian goods and items at cost-effective rates at a quality which is worthy and more than useful. • Distribution (F2O . large size and franchise operations.Farmer to Outlet Policy) They want to get rid of all middle men involved in order to gain the crucial margin advantage.Retail managementsupermarkets They aim to reach out to each and every mandal (1. These outlets will be opened in 4 different formats – small. an inclination towards taking our brand name closer to the people and make the same a household 85 . They are proud to announce that we have attracted the attention of ETA (European Telugu Association) which has assured us its support in setting up APNA BAZAAR outlets in their places. • Brand Image They believe in the corporate philosophy policy. that is. The same is done up to pass on the benefits to almost all the consumers in the state in a most sincere and befitting fashion. midsize.100 mandals) in the state irrespective of size and any other parameters. Towards this end. The main reason behind the same is to set up a single and biggest distribution outlet in the nation catering to the need of the retailing community as well. • Going Global They aim to go global and the same has been taken considering the enormous leverage and power of NRI’s all over the world.

name. DWCRA is an organization which is associated with the enlistment of the rural women and strives for their betterment. They offer a new concept which promises to change the way people buy products. thus allowing them to earn their living. • They sell quality products at affordable prices to all the rural and urban consumers through our network of super markets. It enables them to be selfsufficient and instills in them to stand on their own feet. DWCRA .Apna Bazaar Two revolutionary concepts. This it done by encouraging them to produce and manufacture products and help in selling them. Apna Bazaar and DWCRA come together to create DWCRA Apna Bazaar Super Market. one Apna Bazaar and another DWCRA join hands together and make an irresistible and people friendly combination. . progress and prosperity. a unique and interesting convergence that seeks to change the way people of Andhra Pradesh look at and buy products and then sample their utility value. To meet the exacting standards of cost-effectiveness and efficient service to consumers. The same is being planned to be achieved through educating/enlightening what we are all about. Coming on one platform. we. They aim to take the concept to the people’s door step and make it a success. The following are the goals of this unique concept: • They aim to provide either in a direct and indirect manner employment opportunity to lakhs of rural women and help them to earn their living.

We remain your steadfast ally in all things. National and International outlets in the name of Apna Bazaar. malpractices followed in measurements. duplicity of products and many more such devious methods through the consumer rights protection act. 87 . set up Apna Bazaar Super Markets in USA. England.100 mandals throughout the state and also with the cooperation of Telugu Associations. • They seek to help the consumers realise their rights and make them aware of the consumer production courts. through DWCRA women associations. make the consumers in the rural areas to be aware of identification of the defects in the products. • their will be one of a kind and is sure to change the way shopping is done and enjoyed. • They aim to start our super markets at more than 1. Singapore. wealth and prosperity now and ahead. South Africa and Mauritius. Switzerland. The participation of women in the consumer revolution results in the development of the state. shopping and beyond. They remain your constant partner on the road to good health.Retail managementsupermarkets • They sell the products prepared and manufactured by the DWCRA women at all the State. • They aim to.

They are a consumer’s service and people’s organization and dedicated to ensure justice to the consumers – providing them the real value to their money. Their mission is .GOAL • Mission They are a mission. such as • • • • • • Adulteration Unavailability of wide range High Prices Authenticity of discounts/offers/promotions Lack of responsive customer service Weighment of the products . one which is uncompromising and all-pervading. • Objective They aim to put an end to all the problems faced by the consumers.Strive towards building a society where consumer satisfaction is “REAL”.

Suggesting the medicines. diagnosis of disease by medical net. Health insurance. Doctors information and services. Blood bank . close late Freedom of choice Shopping – a pleasure Responsive customer service Low prices everyday hopping trend in India • Commitment • They are committed to aid the consumer and the same is reflected in the following points • • To educate the consumer Responsibility as a people’s organisation SERVICES • Medical Services: Pharmacy. health card. Ambulance services. Pathological services. • Legal Services: Providing necessary advisors and advocates to solve 89 .Retail managementsupermarkets • Philosophy • • • • • Open early. information about hospitals needed to the patient.

Fiters. Munucipal taxes. TV repairers. Hospitality management persons. Painters. Water bills etc… like e-seva. Discount card. Books. • • • • • • • Courier Services Parcel Services Packers & Movers Sales of Application forms of All jobs. Cable TV. • • • Security services: Guidance and services. Dish TV. cooks. and Insurance disputes. and making convenience of getting the machines and tools for rent and . Telephone bills. Credit card. Seeds. etc… • Utility Services: Provision of paying electric bills. Pest killers. Educational Advises (Primary to foreign education): guidance and services. Plumbers. and Internet etc… . Health card. Magazines: Fertilizers. Electricians.the issues like Civil cases. Vehicle mechanics. Consumer cases. Computer repairers. warehouse facilities for formers. Labor. • Mobile recharging: Giving connections and bill payments for the services like Tata Sky. Drivers. and Debit card Services. Friz & Air Conditioning mechanics. Placement Services: Guidance and services. Sun Network. . • Servant maid: Supply of Technicians.

and few in days PRODUCTS The CARS (trust which runs Apna Bazaar) has a well spread out and maintained complex beside the Hyderabad-Nagarjuna Sagar Road. The complex is located on an area. • Mineral water. Supplying to consumers Electrical. Motors etc… • Co-operation in purchasing of new vehicles. and loan facility. which spans 2 acres of prime land. Electronics. brochures and video cassettes. which measures 40. few in hours. Services mentioned above are provided to the consumers few in minutes. Watches. Furniture.Retail managementsupermarkets giving them for rent. Consumer durables. 91 . Apna Bazaar outlets as on now have 400 outlets in all the 10 districts of Telangana. Soil testing. computers & Laptops etc as early as possible by showing the dummies. Hallmark gold & Jewelry. Marketing and loan facility. Costly garments. Secunderabad. The trust has a fleet of 15 heavy container transport vehicles. Arrangements of Audio & Video cassettes and Video games. Hyderabad. which distributes the essential daily items to the various Apna Bazaar outlets in different parts of the city. • • • Second hand vehicles sales purchases.000 sqft. Bulk supply. Water purification of water tanks wells etc… and supply of Bore well equipments.

QUESTIONS ASKED A. it has earned rave reviews from the general public and various international organizations. All their products are labtested and well certified to attach the quality tag to it. Krishna. manager of the retail chain. The plans are to consolidate on what already exists.698 different products. With its philosophy based on the saying “The Consumer is the King”.Kurnool. Guntur and Prakasam districts. food products and medicines.H. marks fresh food and vegetables segment as the focus area to sustain its growth. They deal in more than 5. . Well-manned and trained staff mans each and every outlet. the chain has provided direct employment to more than 400 people and indirect employment to many more. Apna Bazaar. which sells provisions.BATTA.

What is the current strength of Apna Bazaar? Any plans to increase the number of outlets? Apna Bazaar has 86 outlets. create vehicle parking facility are also in our agenda. Upgrading the skills of our manpower. Charkop. You have any link with credit card company / financial institution? 93 . of which 46 are company owned and the rest are franchisees. 2. a new way for presenting the products will be introduced. The network includes seven department stores. we are on the verge of signing a MoU with SBI. As visual merchandising. and talks are on with PlanetM. Regarding credit card. 3. what are the latest plans? We are more in to consolidation than expansion. and to form strategic alliances. the details of which cannot be disclosed. We have already introduced a new section . We're now planning improvement on whatever we presently run. We have started with the Mulund store. 26 food stores and five speciality chemist stores. visual merchandising and setting up a co-operative food brand. six supermarkets. We will soon partner with the Japanese Consumer Co-operative Union (JCCU) in areas of training the staff force. operational in stores at Vashi. Andheri.Retail managementsupermarkets 1. We are focusing on the new generation customers.Food and Vegetables. The company is also foraying into cobranding exercises to offer value to its consumers. and it is the first consumer cooperative store sector in India to have aircondition. RPG Group etc. Mulund and Fort. We may have a tie-up with Citibank on cobranding.Looking ahead.

Yes, we have link with Maharashrta Co-operative Bank, Apna Credit Bank and Axis Bank for credit card.

4. How far has the upgrading skills of manpower reached? We have roped in consultants to impart training, done through in-house facilities and affiliations with the Asoka Mehta Institute of Management and Research. Talks on an exchange programme of our personnel to JCCU are going on. All the stores have started staff training. 5.What will be the new focus? Also, which section of the society are you looking at? We have marked the fresh food and vegetables segment as the focus area to sustain growth. They are currently available at four stores, and will extend it to other outlets soon. We are looking at building an all-round image by targeting the upper middle class segment as well. We are bringing in initiatives like specialised counters and food courts at its department stores and super markets. People in their 40s are already coming to us. What we are targeting now is the still younger generation, the people who possess spending power. 6.What has been happening on the Inventory management? To ensure minimum inventory and maximum rotation, the plan is to centralise the supply chain management. While the super markets would be serviced directly by the companies, the requirements of franchisee outlets would be met by Apna Bazaar to ensure better co-ordination.

Retail managementsupermarkets Back-end automation has already been started in some stores with specific emphasis in areas of inventory management. The front-end and back-end of six department stores in Mumbai will be computerised. 7. What is your annual turnover? We are projecting sales of Rs 165 crore this fiscal year, including the franchisee contribution of Rs 30-35 crore, down by Rs 10 crore from last year. We have closed down our export division to concentrate only on the core activities. The processing unit at Jalgaon is also closed down. The spices and dal factory at Taloja are being outsourced now. These moves have affected the sales.

Meanwhile, we have stopped the plans of going online, on the lines of Sangam Direct, the online initiative of HLL. The home delivery concept would not work unless there is delivery density. As such, the earlier plan to start a call centre parallel to this is also halted.

8. What do you want Apna Bazaar to be known for? When it comes to food it has to be Apna Bazaar that must come into one's mind. I will say the punch line for Apna Bazaar will be - when you think about genuine products, think about Apna Bazaar.

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9. What type of services or benefits you provide to your customer ? We arranged medical camp, Vijayi Bachat Yogana , gift vouchers and accept sodexo passes.

10. What kind of strategy used to retain or increase customer? We sold our product below MRP. And also various offers provide to customer to their satisfaction.

97 . Because of loyal customer. and adoption of new techniques and strategies Apana Bazar have glorious future…………. They are a consumer’s service and people’s organization and dedicated to ensure justice to the consumers – providing them the real value to their money. Increasing the distribution reach is a strategy to counter competition the co-operative plans to increase its outlets from 80 at present to about 100 by next year. This would comprise department stores. The management of Apana Bazar is greatful to all the customer. Their mission is . super markets. both in Maharashtra as well as rest of the country. ungrudging work of the employees and love and goodwill of millions of inhabitants & Maharashtra of Mumbai.Strive towards building a society where consumer satisfaction is “REAL”. sincere. franchisee outlets and medical stores.Retail managementsupermarkets CONCLUSION The achievement of Apana Bazar has been possible because of the dedication and devotion of active participating members and visionary leadership.

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