A research study on

Developing a Marketing strategy framework for large scale Retailing in India

A Dissertation submitted in partial fulfillment of the requirement for the award of MBA Degree of Bangalore University.
Submitted By Mr. INAYATULLAH MBA FOURTH SEMESTER Register No. 05XQCM6031 (This research topic has been conceptualized by me under the guidance of Prof. SHINU ABHI, MPBIM, and Bangalore)

MP BIRLA INSTITUTE OF MANAGEMENT (Associate Bharatiya Vidya Bhavan) 43, Race Course Road BANGALORE 560001
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STUDENT DECLARATION

I hereby declare that this Research Project entitled Developing a

Marketing strategy framework for large scale Retailing in India has been
undertaken and completed by me under the valuable guidance of Prof. Shinu Abhi, M.P.B.I.M, in partial fulfillment of Degree of MBA program is my original work and no part of the work has been submitted for any degree, diploma, fellowship or other similar title or prizes for any institution previously.

Date: Place: Bangalore (Inayatullah)

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ACKNOWLEDGEMENT

Blessed are those who give without remembering and blessed are those who take without forgetting. -Bernard Meltzer I would like to express my profound gratitude to Prof. Shinu Abhi, Professor, M.P.Birla Institute of Management whose guidance was significant in the successful completion of the project. I wish to thank our Dr. Nagesh Malavalli, Principal, M.P.Birla Institute of Management for providing the means and encouragement. Last but certainly not the least, my family and friends who tolerated me and cooperated when I was not so very best.

Date: Place: Bangalore (Inayatullah)

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MPBIM

PRINCIPALS CERTIFICATE

This is to certify that this report is the result of Research Project Developing a Marketing strategy framework for large scale Retailing in

India undergone by Mr. Inayatullah bearing the register number 05XQCM6031 under
the guidance and supervision of Prof. Shinu Abhi. This has not formed a basis for the award of any Degree/ Diploma of any University.

Date: Place: Bangalore

Dr Nagesh. Malavalli (Principal)

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GUIDES CERTIFICATE

This is to certify that this report is the result of Research Project Developing a

Marketing strategy framework for large scale Retailing in India undergone by

Mr.Inayatullah, bearing the register number 05XQCM6031 under the guidance and supervision of Prof. Shinu Abhi. This has not formed a basis for the award of any Degree/ Diploma of any University.

Date: Place: Bangalore

Prof. Shinu Abhi (Guide)

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CHAPTER SCHEME

1. CHAPTER I Research Extract 2. CHAPTER II

Prologue Statement of problem Objective

02

04 07 07

3. CHAPTER III
Review of the study Marketing in retail sector Industry profile Emerging Retailing Forms in India Current Retail Scenario in Bangalore Overall Strategic Framework 08 12 21 24 30 32

4. CHAPTER IV
Methodology 35

5. CHAPTER V
Analysis & interpretation 37

6. CHAPTER VI
Finding & Recommendation 7. CHAPTER VII Annexure 51

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Research Extract
Retailing like rest of the world retailing is one of the largest industries in India with sales amounting to about $350 billion, but organized retail is estimated at only US$ 8 billion. It is countrys largest source of employment after agriculture, has deepest penetration into rural India and accounts to about 10-11 % of Indias GDP and around 8% of the employment. Retailing is one of the least evolved industries in India, it is not even considered as industry, although we have successful retailing models from the developed world due to early retail revolution there, but considering Indian markets own unique culture, characteristics, tastes, preferences and expectations. It is required to develop its own model to match Indian consumers requirement. The industry suffers from lack of management talent, poor access to capital, unfavorable regulation and denial of access to best practices. This study aims at studying the present marketing strategies of large retail players in India and developing a comprehensive marketing strategy framework to suit the Indian retail market in the emerging competitive environment. Indian retail market is witnessing change in the consumer environment, lifestyle trends, economic environment, and technological and legal environment, which has been a good sign fur potential in retail industry. Statement of the Problem Developing a Marketing Strategy framework for large scale retailing in India. The study focus on Studying Retail scenario in India Current retail market scenario in India. Challenges of retailing in India Doing empirical study of marketing strategies in Bangalore market Developing framework for retail marketing Sampling procedure: Non probability Quota sampling used where prescribed number of respondent in each of several categories will be examined. Sampling size of 30 retail managers

from Apparel & Grocery sector in Bangalore.

Primary sources will be also used to considerable extent to gather information of various retail outlets operating in Bangalore. Learning from the empirics After doing the apparel retail industry analysis in detail with the help of primary as well as secondary analysis, the most important retail marketing mix element for apparel retail industry was found to he Location and Branding. Location was perceived to be the most important factor because of the following reasons.

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Each retail store has distinct retail image in consumers mind, which emerges from its combination of the various elements of the retail mix. The retail mix elements are 1. Price which includes markups, markdowns, price lining and discounting The framework has to cater to Price-Quality of Shopping Experience Mapping price band, Pricing Strategy and Indirect methods of price competition 2. Promotion which includes advertising, publicity, public relations und characteristic of potential customer The framework looks into selection of right advertising media, its influence of communication and competitors promotion 3. People which includes customer service, personal selling and information The framework stresses on methods to uncover customer problems, rapidly develop/ re-launch market driven solutions and creating a customer valued process 4. Product which includes breadth and depth The decision has to cater to the number of private vs national brand, licensing, product life cycle, merchandise assortment positioning, merchandise gap strategy and image fit analysis. 5. Place, which includes location and shopping hours This decision has to analyze traffic flow & Accessibility, retail structure, site characteristic and let and cost factors 6. Presentations which includes layout, atmosphere, store appearance The framework decision should cater to decisions regarding look, feel and aroma extending outside the store, safety of environment and reputation as community player After the primary research of interviewing retail stores manager in the apparel sector one more element is added to the retail mix i.e. branding 7. Branding includes single brand, multi-brand and private label brand The decision framework should look into brand leverage, defining target segment and advertising, & marketing efforts. The strategic framework is different for new store and a well established store. The framework has been discussed in detail in the report. Overall strategic framework for retail store is also proposed in the report.

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Chapter II Prologue
The Indian retail industry is beginning to evolve in line with the transformation that has swept other large economies. Fifty years of restriction on the consumer goods industry and a fractured supply chain of agricultural products have all contributed to prevent the development of modem formats based on scale advantages and Consumer preferences. India is having the highest per capita density of retail outlets with around 12 million outlets currently present which are mostly unorganized. The total retail trade in India is estimated at about $240 billion, out of which organized business accounts for only $3 billion. The organized retail industry is poised to grow at 35 per cent per annum in the next five years. This is in exact contradiction of the organized global retail industry. In many of the developed countries organized retail already has about 40% share of the market compared to Indias current level of only 3%.

Honk Kong Malaysia Argentina US Brazil Mexico India 0

44 190 324 905 1071 1179 12000 2000 4000 6000 8000 10000 12000 14000
retail outlet

retail outlet

Retail with total sales of $6.6 trillion is the worlds largest private industry in the world economy ahead of financial industries ($ 5.1 trillion) and engineering with $3.2 trillion
electronic energy chemical industry packaged goods engineering financial services retail 0 1 2 3 4 5 6 7
sales in trilion

Sales per year in trillion dollars across various industries Retailing like rest of the world retailing is one of the largest industries in India with sales amounting to about $350 billion. It is countrys largest source of employment after MPBIM

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agriculture, has deepest penetration into rural India and accounts to about 10-11% of Indias GDP. As seen from above figures organized retailing is one of the least evolved industries in India, it is no even considered as industry. Over the last few years there have been number of attempts to build retail businesses. Entrants have included large business houses, foreign retailers through joint ventures, new entrepreneurs and government bodies. Yet there is no significant retail business in India today Segment wise Retail and organized retail sale: Retail Sale Rs cr 80,000 43,500 2,800 10,000 2,500 30,000 32,000 13,000 33,000 6,15,000 35,000 8,200 25,000
9,30,000

Segment Apparel Jewelry Watches Footwear Health & Beauty Care Services Health & Beauty Products (Including Pharma) Consumer Durables Mobile Handsets & Accessories Furniture & furnishings Food & Grocery Catering Services (F&B) Books, Music & Gifts Entertainment

Organized Retail Sale Rs cr 10,900 850 1,110 2,500 150 550 2,500 840 2,200 2,950 2,000 800 650
28,000

% Share in Org. Retail 39 3 4 9 1 2 9 3 8 11 7 3 2

100

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, 2% , 3% , 7%
segment

, 11% , 8% , 3% , 9% , 2% , 1% , 9% , 4% , 3% , 39%
% share in org sector

Although we have successful retailing models from the developed world due to early retail revolution there, but considering Indian markets own unique culture, characteristics, tastes, preferences and expectations, it is required to develop its own model to match Indian consumers requirement. The industry suffers from lack of management talent, poor access to capital, unfavorable regulation and denial of access to best practices. It is the need of the hour for the Indian retail market to build customer traffic and hold their loyalty in the environment of competition from international players, which are better funded and the unorganized retail sector, which holds 98% of the market. This study aims at studying the present marketing strategies of large retail players in India and developing a comprehensive marketing strategy framework to suit the Indian market in the emerging competitive environment.

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Statement of the Problem Developing a Marketing Strategy framework for large scale retailing in India.

Objective of the study

This study aims at studying the present marketing strategies for large retail player in India and developing a comprehensive marketing strategy framework to suit the Indian market in the emerging competitive environment. Indian retail market witnessing change in the consumer environment, lifestyle trends economic environment and technological and legal environment, which has been a good sign for potential in retail industry.

Studying Retail scenario in India

1. 2. 3. 4. 5. Current retail market scenario in India Comparison of Indian retail scenario with other countries. Factors responsible for development of retail industry in India. Challenges of retailing in India. Hurdles of retailing in India.

Studying Retail Marketing and retail process

1. 2. 3. 4. Definition of retail marketing, classification of retailing. Contribution of retail marketing. Brief description of the process involved in starting a retail outlet. Managing and developing strong value chain.

Doing empirical study of marketing strategies in Bangalore market Developing framework for retail marketing.

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Chapter III Review of the study Basics of Retailing

What is Retailing? Retailing does not contain a single definition because of its customer orientation and sensitivity to environmental pressures. The definition advanced 1950s suggested that retailing is selling goods in small quantities to households. A great deal of progress has taken since then and with the dynamics of the environment, philosophic and institutional parameters, retailing is defined from three points of view The discipline of retailing: As a social science discipline, retailing is the study of the interaction of consumers and their social institutions as they conduct transactions (that is exchange of goods, services, ideas) in the market place (broadly defined). The science of retailing: Retailing as a science is the attempt to organize our knowledge about retailing through observation, study and experimentation and to use this information in broadening our base of knowledge. The managerial point of view: Retailing is an attempt to manage transactions at the point of ultimate consumption for the benefit of the organization and society Classification of Retailing Retailing is extremely diverse. Although all retail stores share the common focus of selling to ultimate customers, retail stores have different formats, sizes, policies and marketing strategies. This has led to various classification schemes to categorize retail stores. They are:

Classification of Retailing 1. Service versus product retailing Furniture, home furnishing and furniture, home equipment dealers furnishing and Household appliances, radios and TV equipment dealers stores Other stores

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Building materials hardware Building material stores garden supplies and mobile home Hardware Stores dealers Other stores Apparel and accessories stores Mens and boys clothing and furnishings Womens clothing Specialty stores Furriers Shoe stores Other apparel and accessories store Grocery stores food stores Other

Food stores

Gasoline service stations General merchandise stores Department stores Variety stores Other general merchandise stores

Liquor stores 3. by Method consumer contact of Regular store Mail order

By catalog selling By advertising in regular media By membership club plans By house to house canvassing By regular delivery route service By party plan selling

House hold contact

Vending machine

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4. By type of location

Urban

Central business district Secondary business district String street location Neighborhood location Controlled (planned) shopping center Public market stalls Downtown neighborhood

5. by type of service rendered 6. By legal form of organization

7. By management org or operational technique 8. By margin and turnover 9. By type ownership

Small city Rural stores Full service Limited service (cash and carry) self-Service proprietorship partnership Corporation special types Undifferentiated Departmentalized

of Single unit independent store Multi unit retail organization Manufacturer owned retail outlets consumer Co operatives Farmer owned establishment Company owned stores Government operated stores Public utility Co stores

10. By size of Estb

By number of employees By annual sales volume of Nonintegrated integrated with wholesaling function Integrated with manufacturing

11. By degree integration

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Six Global Formats of Retailing The major formats of retailing currently being employed are Formats Supermarket Characteristic Example

30%of the grocery market. 4000-20000 Tesco, Safeway square feet in size, strong focus on food and personal care 40000 square feet plus, out of the town Super centers - Wal-Mart store that stocks grocery (typically 50% of sales and space), apparel, electronics and consumables Targets large institutional buyers and Sams Club household looking to buy large quantities. captures 10%of the grocery market Stripped supermarkets, offering a basic range of grocery products at great discounts 400-2000 square feet, self service format, account for the 10%of the grocery market This traditional format, next-door stores

Hypermarket

Warehouse Club

Discounters

Convenience stores Moms and Pops

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Marketing in retail sector Retailing Mix

The Retailing Mix ref to the combination of marketing activities by which the retail managers must determine the Optimum mix of activities and co ordinate the elements of the mix. While many elements max make up firms retail mix, the basic ones are as Shown in the lit1ure below . Price Markup Markdown Discounting

Promotion Advertising Publicity Public relation

Retail Marketing Mix

People Customer service Personal selling Information

Place Location Hours Presentations Layout Atmosphere

Product Breadth Depth

Each retail store has distinct retail image in consumers mind, which emerges from its combination of the various elements of the retail mix. The retail mix must he very carefully planned so that it creates the desired image. Each element of the mix must be consistent with the others or the image will be confused. Retailers can control the retail mix elements and these elements are the weapons for fighting the competitive war. Now we will see the various dimensions of retailing mix in depth.

Price
In the retailing context the effects of price changes are more immediate and direct and the appeals based on price are the easiest to communicate to prospective buyers. However competitors can easily react to appeals based on price than those based on product benefits MPBIM 18

and imagery. Nevertheless price is considered to be the most significant among the decisions of the marketing mix for the branded product. The retail price plan should start from explicitly defined objectives which are often reflected in the strategic profit model of the retailing organization. The absence of a distinct pricing policy often reflects a lack of strategic focus and a lack of understanding the cost drivers. Strategically the price and the quality of the shopping experience highly correlated Framework for retail pricing

Price-Quality of shopping experience If we try to map Price and Quality of shopping experience at least 3 distinct competitive clusters emerge in the context of price and the quality of the shopping experience as a part of the value platform of different retailers. Most of retail stores have pricing guidelines which are often based on industry practice like the single-price policy, Negotiated flexible pricing, Price-lining, Leader pricing and so on. Price zone compatibility is a concept used in the context of price and merchandising strategy designed to improve the price line consistency across merchandise classifications. Such a strategy helps to increase sales per square foot since customers can satisfy more of their needs in one store. What is the Price Band?

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Price band is the degree of price latitude retailers have relative to competitors in setting prices. The price band is usually wider when the price visibility for the product is relatively low as in the case of infrequently purchased items. The price band is likely to be quite narrow for heavily advertised national brand items. Role of pricing in competitive strategy Price cart he assigned one of four roles in a marketing strategy. The retail management can follow a high active, a high passive, a low active or a low passive strategy. Activeness or passiveness in pricing as an element of strategy means how aggressively price is featured in advertising, personal selling and other promotional methods. High active strategy Is used in the marketing plan to establish a high quality or prestige image in the minds of the consumers when they have no basis other than price for evaluating quality. Also price gets prominently featured in the marketing plan. Low-Active strategy In this the firms offer acceptable quality products at low prices and aggressively promote the low prices. This basically appeals to the price-conscious consumers. This strategy is effective for companies with low costs that face little threat of competitors undercutting their prices. Low active strategy players typically carry only the fast moving items. High-Passive strategy In this strategy the firms seta price above the competition, but use non price factors to persuade customers to buy the product or service. Emphasis is likely to be on quality or performance instead of price. High prices however do not necessarily mean higher profits since ego-driven prices can also mean ego-sized overhead. Low-Passive strategy Firms with lower quality offerings than the competition do not emphasize price in their strategy to make customers less likely to equate quality with price. Firms offering generic products follow a low-passive pricing strategy. Virtually no funds are spent on marketing programs; the low prices are the appealing feature of the offering. Other outlets following a low-passive strategy include those selling perused clothing or other low quality thrift shops. It is found most of the times that retailers arc often hesitant to openly use price as a competitive weapon. They arc more prone to use indirect methods of price competition that are not as likely to they followed by competitors. Some of the indirect price strategies used by retailers are Scrambled Merchandising and in which the retailers try to expand their merchandising mix to take the advantage of higher markups and Multiplex Distribution which is majority used in major appliance retailing. The other indirect methods of price strategies used by the retailers are Variations in the Service mix, variation in the brand mix, Price discounts etc.

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Product The basic aim of the Product or Merchandising strategy is to serve the customer in a better way than any comparable retailing organization in its market segments. The five rights of successful merchandising are to ensure that the customer is offered the right merchandise, at right place, at right price, at right time and in the right quantities. Some of the strategies used by the retailers for merchandising management arc Private Label versus National brand strategy, Licensing and so on. The various strategic issues in Merchandise / Product management are Product life cycle, Merchandise assortment positioning. Merchandise gap strategy and Image lit analysis. People The major objective of the People / Services in retail marketing mix is to Uncover customer Problems Rapidly develop/Re launch market driven solutions Create a customer Valued Process The customer-valued process can be best depicted by the service process map. This will demonstrate the service delivery process from customers point of view and define customers involvement. Identify critical area where service delivery may break down so contingency and recovery plans can he deployed. We will start by identifying and sequencing all interactions between customer and frontline company employees. These interactions will involve direct contact between the customer and retail store. Then we will map the physical operations of the services that are invisible to customers the interactions between frontline company employees and support employees. Finally employee interaction with the company assets required to support the process such as important equipment, vehicles and information databases will be depicted. People innovation For the People aspect of retailing proactive intervention by employees with customers is the need to create the individualized shopping experience. It requires that management provide the right leadership, create appropriate work environment, and provide support, skills, tools and reward that propel employees to be proactive with the customers. There are four Principles that must he adhered to in order to maximize the people innovation impact. 1. Put people back into the equation as the core part of creating uniqueness in the delivery of service Here the employees should be allowed to leverage their own intellect and have degree of discretion and personal judgment when interacting with the customers. Using intelligently technology should support or enable efforts of the people. 2. Create a system that allows people to rapidly create tailored solutions for specific customers

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3. Give people the skills that will enable them to provide the customers with the individual experience Skill building is an integrated orchestration of setting plans for the employees to gain the necessary expertise, providing mentoring and quality leadership and motivating employees to take action through awards and incentives. 4. Pursue integrated target customer relationships where individuals from the provider and customer have ongoing personal relationship Presentations Consumer responds to more than a tangible product or service. Thus retailers cannot neglect the psychological effects of their outlets on consumer purchasing behavior. These effects are called silent language of communication. Thus following factors have to be looked at fir the presentation Store Appearance

The Store Appearance consists of Store equipments: This broadly includes the entire physical object in store such as counters, elevators, escalators, signs and area dividers Interior lighting: It comprises of lights used to provide emphasis. Flexible lighting that is combination of skylight, fluorescent tights and incandescent lights has to he thus needs to be expertly planned. Counters and display cases: Depending upon the culture to be nurtured in the outlet the display cases and counters have to he planned. Look, Feel and aroma extending outside the store: In outlets it is wise to display a limited number of items from each floor on the main floor perhaps in window displays to attract the attention of the customer. This encourages shoppers seek more complete selection available elsewhere in the outlet. In doing so they are likely to pass an extensive array of other merchandise increasing the likelihood of some type of unplanned purchase. Safety of environment The safety of the environment removes the safety concerns, which usually are in the mind of the customer. This creates worry free environment thus enhancing the shopping experience. The following safety concern needs to be addressed in an outlet Fire safety: This is done as per the safety norms laid down by the government for that type of outlet Theft of personal belongings: Good security and vigilance with the use of technology takes care of this issue. Emergency power: This is needed to avoid any displeasure due to interruption by power cut during shopping. Reputation as community player The increasing competition has lead to various dimension of differentiation of stores. The reputation of store as community player has great emotional appeal to the customers. The

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customers thus interpret it as indirect way of social service through the fraction of their spent going towards these services via the retailer. Thus presentation is not prohibitively expensive. The advantage of developing unique identity of the outlet outweighs the possible extra effort and additional expenses. This is a combination of selling and non-selling attributes enhances the customer satisfaction and hence brings in crowd and customer loyalty. Place The various issues that Place entails are Traffic Flow and Accessibility Since retail outlets serve customers who travel from various distances, ease of access to outlets is a critical determinant of their success. Accessibility ultimately determines the number of customers the site can attract, depending on several factors such as quality of road surrounding the site, the ease of entry and exit from the site and physical and psychological barriers to travel in that area. An important component of site evaluation is a quantitative enumeration of level and composition of traffic flow around the site. In general higher level of traffic flow increases sales potential. A large volume of truck traffic not only does not generate sales it may also deter shoppers because of congestion. The evaluation of pedestrian traffic has to be matched with the target market of the outlet to be located. Since the traffic data vary significantly during the day between weekdays and weekends, care must be taken that the traffic count must compare the data for the different days of the week and different parts of the day to accurately depict total traffic flow. These figures can he augmented by interviews of randomly selecting the subset of people passing h the store. Retail Structure

Many retail sites are part of same shopping cluster. Therefore in evaluating a potential site one must study the number and composition of stores in the immediate area to assure store compatibility. The compatibility of the adjacent stores depend upon level of affinity between two types of outlet. For example a paint store, a lumberyard and a hardware store have strong affinity for each other. Since consumer may have to visit all three in the same visit. The locating next to each other them of multipurpose shopping. This benefits all three types of stores since increased traffic increases sales of all of them. Some stores have strong affinity for competing outlets. Examples of such stores arc automobiles, furniture. These outlets tend to cluster in same area to facilitate comparisonshopping and to maintain close links with the competitors. To gain competitive advantage each store in cluster tries to differentiate its merchandise, price or service levels. However when planning to enter in a place having same type of stores careful evaluation of the future potential and the competitors has to be done.

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 Site Characteristic The physical characteristics of the site determine the type of structure that can be built there, the visibility for the potential customers and the ease with which they can enter and exit. Although the visibility of the stores in Small Street or in places far from major roadway can be remedied by constructing large, clearly visible signs, there is always potential for losing a significant amount of business. The position of site is also another important consideration. Generally a corner site at the intersection of the two roads is better than one in the middle of the block. These corner sites also provide greater opportunity for the window display. The availability of the parking space has also become the important physical characteristics of the site. Stores usually handle this by providing free parking facility but much effort is needed by the municipal authorities for making available the parking space. Legal and cost Factors The attractiveness of the site has to he compared with its cost. This cost varies with construction of terms of occupancy in variety of ways. Hence expert knowledge and past experience must be used to analyze the benefits of the different terms of occupancy and compare them to the cost. The sites can be occupied by owing or leasing. The general trend is leasing, which has various forms. One of them is fixed annual or monthly rent, other is sale and lease back arrangement where retailer develops the site and sells it to real estate, which in turn leases this site back to retailer. Promotion Merchandizing sales depend not only on its physical qualities but also on advertising and promotion. Hence promotion must grow out of firms total merchandizing process. If outlets promotional efforts are not in harmony with decisions on pricing and other elements a confusing and distorted image of outlet will result. A proper communication can only be developed in the context of the firms objectives and of its marketing strategies. The advertising should seek to tap the buying motivation of the specific market groups to which promotion is directed. The promotion objectives are 1) Additional buyers - Imaginative in store point of sale promotions may expand sales by attracting new buyers for the product 2) Reminder promotions - Such effort are utilized in getting customers to stock large amount of products prior to seasonal increases in sales, anticipated product shortages and anticipated price increases 3) Market expansion 4) Consumer Conversion - These are the campaigns launched to get the consumers to switch brands or stores usually these are the price wars.

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5) Image Development -This helps in identification of the store towards a particular market niche and consistently promoting it. 6) Market Positioning To reposition the store in the minds of customers so as to broaden the consumer base Factors that affect the promotion are The Characteristic of potential customer like Demographics (age, income. location e Predispositions (awareness, attitudes, habits). The media used for the promotion like Newspapers, Magazines. Television, Radio, Outdoor advertising, Direct Advertising, Catalogs Influence of Communication which depends upon Group Influences and Cultural influences Factors that have major impact on the media selection are Audience involvement with the program The ability to provide a specialized audience with group identification The ability to offer the advertiser a monopoly over communication on the subject The quality of the advertising reproduction The time of message delivery The available budget and the cost of various media Competitive promotional campaign

Determining promotional objectives

Establishing overall promotional budget

Selecting the promotional mix

Implementing the promotional mix

Reviewing & revising the promotional plan Promotional Strategy A continuous Process

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Influence of 6 Ps of Marketing on Retail Marketing. (Strategy in the Indian context) Price For the Indian consumer price is the most important issue which the retailers need to address critically. It has been observed that the effects of price chances are more immediate and direct and the appeals based on price are the easiest to communicate to prospective buyers. However competitors can easily react to appeals based on price than those based on product benefits and imagery. Nevertheless price is considered to be the most significant among the decisions of the marketing mix for the branded product. Product The basic aim of the Product or Merchandising strategy is to serve the customer in a better way than any comparable retailing organization in its market segments. The five rights of successful merchandising are to ensure that the customer is offered the right merchandise, at right place, at right price, at right time and in the right quantities. The peculiar characteristic shown by the Indian consumer is his habit of comparing the products of various brands and then arriving at the purchasing decision. This makes the retailer to store appropriate kinds of merchandise in the retail store. People Todays Indian customer is looking for personalized attention in this world of mass merchandising and mass marketing. This is where the personnel at the retail store plays a special role in making the customer feel that he is the most important customer to them. The basic quality that these store personnel is to have empathy with the customer, understand his problems and deliver the services and solutions to his problem in a better way. Presentations Consumer responds to more than a tangible product or service. Thus retailers cannot neglect the psychological effects of their outlets on consumer purchasing behavior. These effects are called silent language of communication. Let it be any customer in the world the quality of the retail store is usually associated with the way the retail store is presented to him and the Indian customer is no exception to it. This makes the retailer to present his store to the Customer in a better way. Place The basic reason for the sustainability of mom-n-pop store in India is the easy of accessibility they provide as they are located very much near to the customers. This makes the location an important factor which the retailer needs to look into to give ease of accessibility and convenience to the customers and eat away the market share of mom-npop store. Promotion Just as price is the most important factor for Indian consumer so is the promotion. The promotional schemes not only include the advertising schemes but also the discount schemes for which the Indian customer pays the most attention. This makers the retail store to keep on developing continuous promotional schemes to motivate the customers for buying.

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Industry profile Large Scale Retail Scenario in India

Few years back
The major reasons l retail as one of the least evolved industries m especially the organized retail sector were 1. Too Many Small players The sector had been plagued by the inefficiencies of the smaller players. This in turn resulted in the lack of an industry status, thereby affecting the financing prospects f the industry, In contrast, players in other Asian markets such as Malaysia. Singapore or even in the United Arab Emirates have access to bank financing, thereby enhancing the growth opportunities. 2. Distorted Tax Structure India had a differential tax system. This resulted in inability of even large players to expand on a national basis. Furthermore, with retailing coming under the purview of the respective state governments. Procuring permission at each and every state level created unnecessary hurdle in the industry. 3. Real Estate Problem With location being one of the prime success criteria, acquiring the right location is a must for every retailer. Unfortunately, retailers didnt get the optimal location at all centers in India due to high price factor. In other cases, despite the acquisition of the right property, co-operative landowners were a rarity in the country. With such shortage for the basic raw material for the industry, prices had been on the increase (despite occasional declines) all the time. Furthermore, there seem to be no cooperation between the mall owners and the tenants in the country. This phenomenon has been a major factor in spurring retail growth in the developed markets Current Scenario in India In recent times we have witnessed phenomenal growth in the Indian retailing sector. Factors such as scale in sourcing, merchandising, operational effectiveness and ambience have driven the spread of organized retailing. The various other factors that are responsible for the growth of the organized retailing sector in India are CONSUMER ENVIRONMENT 1. The Trickle Effect Basic product categories such as tooth paste, soaps etc has traditionally been the largest market in the country. With the rural consumer too beginning to enjoy the fruits of liberalization, rural market has become a key consumer of durable goods too (around 35%

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of overall demand). This in turn has resulted in the manufacturing and retailing sector starling to pay greater attention to this virgin market. 2. The changing Indian Family Smaller families Metropolitan life has lead to shrinking space, more independence and privacy for the modern generation. This has resulted in the nuclearization of Indian families. Working women One of the most important social changes of the recent years is the growth in the number of workingwomen. With more women entering the labor force, the average time spent by the Indian woman in the kitchen has declined over the years and the disposable income of the dual-career household has increased. As a result of this, two wage families are inclined to spend more and are less likely to delay purchases. LIFE STYLE TRENDS 1. Poverty of time The increasing number of the workingwomen outside the home has given rise to time compressed consumers. This poverty of time is stimulating the growth of time saving devices such as microwave ovens, food processors and prepared food. It is also increasing the growth of convenience stores, fast food outlets and direct marketing. To help customer do their grocery shopping in less time, a number of supermarket chains now accept orders by phone and then deliver the order to customers home free of cost or for a nominal charge. 2. Shopping for value The biggest base of the middle class in the total population in India with cash constrains and aspiration for more has lead to the lifestyle of value for money. 3. Blending of traditional male and female roles, In the past husband and wives had separate and clearly defined purchase domain in India, but now this trend has changed to joint decision of both towards majority of purchasing. This is due to increase in number of the working women. This has increased their purchasing power and hence more influence in the traditional male dominated purchasing decisions 4. Liking for natural product Due to fear of chemical usage and ayurveda tradition, large base of Indian customer prefer products with natural ingredients. Hence Indian retailing comprises of a separate section of ayurvedic or herbal products. ECONOMIC ENVIRONMENT Due to liberalization the middle and high-income segments in the domestic populace grew at over 10.0% per annum over the last decade. At the same time, the lower income group has declined in size. While growth has been more predominant in the urban areas, the

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effect has trickled down to the rural areas too. Consequently, demand for consumer goods has been on the increase TECHNOLOGICAL ENVIRONMENT - New form of retailing With the penetration of the cable television in India Home shopping through cable television is the new form of retailing emerging in India. In this type of shopping the retailer displays its products with the help of show, which is viewed by the cable television subscriber. The customer can then identify the product of his need and make a telephone call to the retailer for buying it. This form of retailing has inconvenience on the customer side to wait and watch for the product he intends to buy. LEGAL ENVIRONMENT Pre-reform Small scale sector restriction No FDI Dividend balancing norms Licensing for capacity Punitive tax Most consumer goods import banned, with over 150% duty as personal import

Post-reform Small scale sector restriction lifted from many areas 51% FDI in single brand retail cleared Dividend balancing waived Licensing requirement waived Taxes lowered significantly Most consumer goods moved to OGL

Barriers to FDI: FDI is not permitted in pure retailing at present, but can franchise as well as enter into technological alliances Unavailability/high costs of real estates: The rent laws are pro tenant. There is restrictive zoning legislation. Government land is not available. There is lack of ownership titles and complex sub letting arrangements Complex taxation system: There is different sales tax across the states. The octroi is multi point. There is evasion of sales tax by smaller stores Multiple legislations: The labor laws are stringent governing hours of work, minimum wages, payment of PF. Multiple licenses/ clearance are required from different agencies.

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Emerging Retailing Forms in India

Indian Apparel Retail Market The apparel sector in India has changed dramatically in the recent past with the growth of large multi-branded apparel outlets like life Style, Shoppers Stop, etc. and a proliferations of manufacturer brand-led chains like Planet Fashion by Madura garments, Mega Mart by Arvind Mills, Wills Sport by ITC and so on. Indias $25 billion clothing market is Indias second-largest opportunity for organized retailers. Apparel is one of the most advanced yet fragmented retail sectors globally. At Rs. 87,000 crore the Indian textiles and clothing market is huge, however only 22% of the market is apparel and only 20% is branded as can he seen From the graph below.
Indian Textile Market

shirting, 12%

suiting, 10% others, 17%

apparel sarees shirting suiting

sarees, 31% apparel, 22%

others

Market segments such as mens ready-to-wear and sports clothing has begun to evolve in recent times and look potentially very profitable. Mens clothing currently accounts for 70% of all the branded apparel sales of around Rs. 4000 crore compared to 22% of childrens wear and 8% of womens wear. This trend is expected to continue with about growth of about 30% per year for mens branded apparel segment and 10% each for childrens and womens branded apparel segment. Branded apparel makes up about 3% of womens clothing market and around 13% of their apparel market. The total kids wear market including organized and unorganized market is estimated at around Rs. 6000 crore. The organized sector constitutes of about 10-12% of this market leaving the balance to the unorganized market and smallscale regional local brands. The market is subdivided into infant wear (0 to 2 years) and kids wear (2- 12 years). Now a day with the rise of specialty stores like Kids Kemp, a more assertive target segment purchases are becoming more frequent. However price-sensitivity remains large because of consumer perception that price is proportional to the size of the garment. Branded ready-to-wear garments account for about 40% of all mens apparel segment. The major factors, which contributed to its growth in the recent past, are entry of MNC brands in India after liberalization. Forward integration of Indian textile manufacturers and the expansion of apparel exporters into the local market. The entry of textile companies into branded ready-mades like Madura garment (Allen Solly, Van Heusen. Louis Philippe and Peter England), Arvind Mills (Ruggers. MPBIM

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Newport, Excalibur and Ruf & Tuf), the .JK Group (Raymonds), Color Plus, Indus League (Indigo Nation. Scullers), Acme Clothing (Provogue) and TNG have been the main drivers of market growth in the mens apparel segment in the recent past Womens clothing brands are virtually non-existent. Provogue and Allen Solly have recently entered in this segment in the casual wear segment. Brands if any in the more lucrative salwar-kameez market belong to small, unorganized players, designers of haute couture and store labels as Fab India, Soma. Stop and Pyramid. In the kids segment the major national brands are Weekender Kids, Benetton 012, Planet Kids, Oshkosh BGosh, Zerotondo and Balloons. Currently in India specialty apparel retail stores are showing decent growth in comparison to other types of apparel retail stores like department stores, upscale multibrand outlets, street markets and traditional outlets as can be seen fro the graph below. Market Share of various types of Retail Outlets in the Apparel Segment
types of retail outlet department speciality multi-brand street market traditional outlet 0 10 20 30 40 50 60 1 0 3 7 15 25 70 70 80 81 90 5 9 1995 2007

The franchising route adopted by MNCs helped to have fast and low investment expansion, and its also helped to get way around the real estate issues which are very prominent in India. Over the last five years with the proliferation of brands and the growth in incomes large-scale multi branded outlets and department stores have begun to emerge. Some of the retailers have begun to develop a private label brand to supplement their range and improve their margins. In the Indian womens ethnic sector which is largely unorganized, stores like Nalli and Radhas in sarees and Fab Indian and Anokhi in salwar-kameez are attempting to build national chains. It is expected that the department stores and multi-brand outlets are likely to develop into a significant format in the Indian market over the next decade. However for these formats to become truly successful they will need to improve their merchandising, sales densities and scale of operations. Indian Electrical / Electronic Goods Retail Market The Indian electronics market has shown significant growth in the last decade. This growth is largely driven by the rise in Indian incomes and increasing consumer willingness to spend more on home, entertainment and convenience. The global electrical and electronics market place is characterized by variety of formats, differentiated by range arid pricing. Nearly 80% of the market is controlled by MPBIM

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chains and the key format is category killer of the superstores. In India electrical and electronics market is growing rapidly with a turnover of Rs. 20,000 crore which includes Rs. 8000 crore from domestic appliances sales, Rs. 7000 crore from audio/video equipment and Rs. 5000 crore from white goods as shown in the graph below.
8000 7000 6000 5000 4000 3000 2000 1000 0 8000 7000 5000 3000 3500 5000 1995 2007

white goods

audio/video

domestic appliences

The main drivers of growth are increased incomes, changing lifestyles due to media, nuclear families, and increase in number of brands, increased financing options, and improved technology and so on. The retail market for electronics remains largely fragmented and nearly 80% of the business is controlled by traditional dealers who own multi-branded outlets that primarily sell low-end audio systems, some domestic appliances and a limited TV range. Organized departmental stores have a very negligible share of this market. However the recent product proliferation has started to put pressure on small players in the market as their limited shelf-space is preventing them form carrying the full range of products. In this environment very few retailers running a large full range chain of stores have flourished like Vivek, Vasanth and Vijay Sales. With the ongoing liberalization, imports is expected to further accelerate range proliferation and rise in margins which will enhance the potential for creating large format electrical and electronics stores that can compete with small stores on the basis of range and price of the products offered. Indian Grocery Retail Market Grocery Constitutes over 50% of the Indian retail market and has an annual turnover of $80 billion. There are estimated to be $6.5 million grocery outlets in the country in various shapes and sizes. Almost all of these are unorganized and fragmented. The organized sector represents mere 2% of the total grocery market in India and this is concentrated in urban locality. The pressures from the consumer demand and range proliferation arc impacting the grocery in urban India today.

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% Share of various formats in Grocery Segment in India Graph below

supermarket cooperatives kiosk street market street vendors traditional outlets 0%

2% 4% 7% 18% 21% 48% 10% 20% 30% % share 40% 50% 60% % shares

In the past there have been sporadic efforts by the government and the co-operative sector to develop modern formats. These include discount dry grocery shops like Super Bazaar in Delhi and Shakhari Bhandar in Mumbai. Numbers of traditional kirana stores are expanding to become super kiranas. New forms of stores are expanding to include customer walk through space and allow self service shopping with touch and feel. Food world is the best example for this where product categories include staples, fresh fruits, vegetables, dairy, bakery, frozen products, processed foods, beverages, household cleaning products and general merchandise. The other example includes Subhiksha in Chennai. In parallel with this evolution, a number of specialist chains are beginning to emerge, especially in fresh products and personal care. Notable successes have been dairy booth like Mother Dairy and Vegetable store chain like Safal. Indian Niche Retail Market There are number of niche retail segments emerging in India. The few emerging of them are books, music, liquor and drugstore. Books The total market for the books is estimated to be Rs. 3000 crores and is growing by 11-12% per annum. Most of these books are produced locally with imports accounting for only 4% of the market. Regional language books constitute 51% of the book market. Hindi 28% and English only 21%. A major part of this market is estimated to be educational books, and this is expected to be one the fastest growing segments.

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Retail in book segment

hindi, 28% others others, 51% english hindi english, 21%

Distribution in India is mostly through independent retailers who number over 500,000. Over the last three years focus retailer chains are beginning to emerge. The top three chains are Landmark, Crossword, and Higginbothams and they account for meager Rs 85 crores of sales i.e. 2% of the market. To build a large business in books retailing, the retailers will need to target massmarket i.e. regional language and educational books Music The Indian music market is estimated to be Rs 2000 crores of which 40% is pirated. Low priced cassettes dominate the market. Cassettes sell about 34O million units per annum compared to 14 million CDs. Nearly 96% of all music sold in India is local. With sales to the tune of 60% film music dominates the market as a result the industry is inextricably linked with that of film industry. The retai1int of music in India is very fragmented with retail chains accounting for approximately 5% of sales (Rs 90 crores). Music World and Planet M are the two major players in the retail chains. The music industry is quite amenable to modern retailing as the business relies on walk ins and impulse purchases. The ability to differentiate oneself on the quality of the retailing experience generated through good merchandising, listen and buy features and live shows make this sector one of the most attractive for the organized retailers. One more emerging trend in music retailing is as add-on category in supermarkets like Shoppers Stop. As it evolves in India grocery retailers might become important distribution channels for music. Liquor The Indian liquor market is estimated to be 370 million cases a year. Country liquor or the unorganized sectors constitute the bulk of liquor produced in India with 67% of the volumes. The organized liquor segment is divided into beer (15 %), whisky (11%) and other spirits. Wine is nearly non-existent. In value terms the organized liquor market is sized at Rs. 1600 crores. The liquor trade in India is highly regulated, with each state having its own policies regarding production, distribution and taxation. The retail trade is still licensed and in MPBIM

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certain states completely restricted to the government or government appointed dealers. In these circumstances it is extremely difficult to create a retail chain of liquor store or even include liquor as category within a large grocery store. So the grocers could attempt on selective basis to gel license fir some of their stores to check the proposition. Drugstores In India drug market is highly underdeveloped. While prescription drugs are large market ($ 4 plus billion. the market for OTC and personal care products has not evolved to a level where a distinction proposition can be evolved. Operating as a retailer in the prescription market alone is not very attractive due to significant regulatory restrictions and high level of unionized behavior of existing trade. While experiments in this area has begun by Health and Glow and Subhiksha. Wal-Marts Personality Characteristic.

exciting fun caring respected trustworthy Friendly 0 20 40

53 67 80 86 88 93 60 80 100 personality characterstic

The important step in the brand-building process is assuring a brands proximity to consumers. The culmination of this trend, of course, is electronic commerce over the World Wide Web. Big-box retailers in particular increasingly face the challenges of multi-channel management and the need to provide a consistent brand statement across each channel. The ultimate mix of channels remains to be seen.

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Current Retail Scenario in Bangalore

In retailing currently more than around Rs. 2,500 crore of investment is being put in all over India. Various industrial houses such as the RPG and Piramal groups are looking at the retail sector as a high-growth area while other industrial houses are getting ready for action too. In Bangalore the investment in the organized retailing sector has begun and the large-format supermarkets are coming up. RPG group has started organized retailing in Bangalore and Chennai via Food World, Health & Glow and Music World. Times Groups has also opened music chains under the banner of Planet M in Bangalore. They toy specialist had opened Kemp Fort. Indias largest single store (300000 sq-ft) on the outskirts of Bangalore. Madura Garment, the marketer of Van Heusen, Louis Philippe and Allen Solly clothes, has over 110 showrooms for these high brands and another 79 for its mid priced brands. Peter England and Element all over India. Besides, it has started new chains under Planet Fashion and Trouser Town in Bangalore. Almost a third of the firms turnover now comes from direct retail. Along the lines of Madura Garments, Arvind Mills have started Mega Mart and ITC has started Wills Sport in the garments sector. Currently two mega stores have opened in Bangalore on the line of Cross Road in Mumbai viz Life Style and Shoppers Stop. Shoppers Stops sales were set to cross the Rs 200-crore mark in the year 2006-07 The Indian consumer is adapting faster than the retailer can adapt right now. Indias most successful retailer in consumer durables market segment is Chennai based Viveks, which has been around for 35 years. It recorded a turnover of Rs 106.8 crore in 1999-2000, and having acquired another chain Jainsons in late 1999 and crossed Rs 200 crore mark in the year 2000-01. In all, the group now has 36 outlets in Tamil Nadu and Karnataka. For TVs, fridges and the like, its dominance of Chennai is near absolute. It is expected that this trend will follow in near future with more number of large scale retail stores opening in Bangalore As the organized retail sector in India is catching up and many players have entered in this sector the competition is catching up in this sector. Now these players are required to differentiate themselves from others by developing and following a framework of marketing strategy to increase their customer base and improve their bottom lines. The most important issue which these players need to address is the 6 Ps of Marketing which are Place, Price, Promotion, Product, People and Presentation. Keeping this thing in mind this project aims at Developing a Marketing Strategy Framework for Large Scale Retailing in India .

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Retail Mindset & Indian Consumer

The big retailers are still looked at with suspicion by the average Indian consumer. The mindset of average Indian is to shop from kirana stores for their daily requirements. The question that arises is that, how are the big retailers going to convince the consumer to shop for his daily requirement. This retail mindset drives the crowd away from super stores and malls. The retailer today is not interested in talking about the manufacturers brand. It just wants to sell what the consumer wants. It therefore becomes important for retailer to change this mindset to bring more customer traffic to the store, and to increase total revenue per checkout station. The suspicion prevalent in the Indian consumers mind needs to be broken by delivering value and developing trust. The store will no longer be just a point of distribution. The store today is an active medium unto itself. Retailers are focusing on branding these needs to be conveyed to the manufacturer also. Retailers are beginning to put category branding above all those nationally branded products that sit under that banner. They want to separate and differentiate themselves from their competition. Theyre doing the same thing with events. If a manufacturer brings a retailer an event today, they better not bring them something everybody else has. They had better bring them something thats going to be theirs alone, that they can own. The retail mindset today is about destination - retailers are thinking about their store, their chain -- they want to be a destination for shoppers. And they want to do it by differentiation. This is critical for them because they have had so many problems with category killers. They have to have a clearly defined differentiation strategy. To assist this change of mindset the retailer today sees the store as a collaborative marketing medium. Collaborative marketing simply means retailers and manufacturers working together to understand, anticipate and satisfy consumer needs. To make collaborative marketing work, manufacturers have to stop presenting and start listening. They have to understand the retailers business and their strategies and how they can assist .They have to be flexible too. They have to be prepared to adjust to suit the retailers need, and provide business-building ideas that are based on consumer and shopper insights. Manufacturers also have to have people who really understand the retail business. They need to work in the retail operation for six weeks and find out how the system works. Continuity is also critical. If the manufacturer expects to build a long- term collaborative process they need to have consistency in terms of the people they have working with the retailers, building customer knowledge and know-how. Thus in building of the marketing strategy to cater to retail mindset integrated strategic planning will be critical, innovative, proprietary store/category/brand building ideas will he critical.

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Overall Strategic Framework

The various market segments that can be targeted by the retailers are either mass market or market segment or multiple segments. The various strategies that the retailer needs to follow for new brand and existing brand are as shown in the table below depending upon the target market they select. The new brand should generally start targeting a particular market segment then it should upgrade itself to target multiple segments and then ultimately it should target the mass market. Existing brand should start with targeting multiple segments and the eventually move to targeting the mass market. The various strategies that the retailer needs to follow while targeting these different segments arc as shown in the table below. Strategic Implications Retailers Location Goods & Services Mix Promotion Efforts Price Orientation Target Market Selected Mass Market Market Segment Near a large population base Wide assortment of medium quality items Mass advertising Near a small or medium population base Deep assortment of high quality items Direct mail. subscription

Multiple Segments Near a large population base Distinct goods and services aimed at each market segment Different media and messages for each segment High, medium and low - depending on market segment Several specific strategies aimed at different groups of consumers

Popular prices

High or low

Strategy

Directed at a large homogeneous group of consumers

Directed at a specific, limited group of customers

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Strategic Retail Marketing Mix Framework

Price
Markup Markdown Price lining Discounting

- Price quality of shopping experience mapping - Price band - pricing strategy -indirect method of price competition

Promotion
Advertising Publicity Public relation

- Characteristic of potential customer - Advertising media - Influence of communication - Competitor promotion

People
Customer service Personal selling Information

- Uncover customer problems - Rapidly develop/relaunch market driven solution - Create a customer valued process

Retailing Mix

Product
Breadth Depth

Private Vs national brand strategy - Licensing - Product life cycle - Merchandised assortment positioning - Merchandised gap strategy - Traffic flow & accessibility - Retail structure - Site characteristic - Legal and cost factors - Store appearance - Look, feel and aroma extending outside the store - Safety of environment - Reputation as community player

Place
Location Hours

Presentation
Layout Atmosphere

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Various pricing issues

Retail Objective
Sales Profits Return on investment Early recovery of cash

Broad price policy

Selection of target segment Choice of retail image Composition of retail mix Selection of price policy

Price strategy
Demand Cost Competitive Integrated

Pricing issues These needs to be Addressed on a continuous basis

Implementation of price strategy

Customary & variable pricing One price & flexible pricing Odd pricing Multiple unit pricings Price lining

Price adjustment
Markdowns Additional markups Employee discounts

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Chapter IV

Methodology
Secondary Data
To pursue the information on retailing in Indian market like groceries and clothing will be collected through secondary source. The source of data collection will be through internet, books, journals, Industry reports and business magazines.

Primary Data
Primary source will be also used to considerable extent to gather information of various retail outlets operating in Bangalore. The information provided by this source will be helpful in understanding the approaches taken by various players and the current status of retail market in Bangalore. Finally, with the help of expert guide and with marketing fundamentals we will study and develop marketing strategy framework for large scale retailing in India.

Sampling plan
Sampling unit: -

Retail managers and customers of Bangalore city.

Sampling size: -

30 retail managers from Apparel & Grocery sector in Bangalore.

Sampling procedure: -

Non probability Quota sampling with apparel and groceries retail outlets with respondent in each of these categories will be examined. The
advantage of this technique is that it is both economical and reasonably reliable. Research instrument: -

1. Interview techniques will be used to collect data from retail managers. 2. Structured questionnaire. 3. Personal observation.
Contact method: -

1. Email. 2. Direct contact with the customer. 3. Telephone.

In this way to pursue information on retailing in Indian markets like groceries, clothing, consumer durables, etc. will be collected through secondary sources. The source

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of data collection will be through internet portals, books, jourr1a industry reports and business magazines. Primary sources will be also used to considerable extent to gather information of various retail outlets operating in Bangalore. The information provided by these sources will be helpful to us in understanding the approaches taken by various players and the current status of retail market in Bangalore. Finally with the help of expert Guide and with marketing fundamentals we will study and develop marketing strategy framework for large scale retailing in India.

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Chapter V Analysis & interpretation

Segmentation
Respondents
Geographic Psychographic Demographic Behavioral

Basis
apparel grocery

Geographic Demographic Psychographic Behavioral

4 10 1 0
15

9 5 1 0 15

10 8 6 4 2 0 apparel grocery

Inference: - Segmentation for apparel sector mostly based on demographic some go for geographic where as in grocery segmentation largely based on geographic segmentation. This would infer that nearly 70% of the respondents in apparel believe that segmentation is based on demographic where as geographic in case of grocery.

Demographic Segmentation
Respondents
18-25 25-35 35 & above

Parameter
apparel grocery

18-25 25-35 35 & above

4 7 4
15

3 5 7 15

7 6 5 4 3 2 1 0 apparel grocery

Inference: - Apparel sector looks mostly between the age group of 25-35, where as in grocery they looks age group between 25 and above. This would infer that nearly 70% of the respondents in both sectors feel the target mostly on age group of 25 and above.

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10k-25k

25k- 35k

35k & above

Income 10k-25k 25k- 35k 35k & above

Respondents apparel grocery

7 6 5 4 3 2 1 0 apparel grocery

4 7 4
15

3 5 7 15

Inference: - Apparel sector looks mostly between the age group of 25k-35k, where as in grocery they looks age group between 25k and above. This would infer that nearly 70% of the respondents in both sectors feel the target mostly on income group more than 25k.

Pattern of target market selection

Respondents

Parameter
appare l grocer y

8 6 4 2 0 apparel
Single segment concentration Selection specialization Product specialization Market specialization Full market coverage

Single segment concentration Selection specialization Product specialization Market specialization Full market coverage

7 3 3 2 0
15

0 3 5 0 7 15

Inference: - Apparel sector largely concentrate on single segment where as grocery sector cover full market as far as pattern of target market selection is concern. This would infer that nearly 50% of the respondents in apparel sectors look for single market selection where as grocery sector look for full market coverage.

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Pricing
Respondents
Cost plus pricing Rate of return Demand based pricing Competitor indexing

Types
apparel grocery

Cost plus pricing Demand based pricing Rate of return Competitor indexing

11 4 0 0
15

8 4 0 3 15

12 10 8 6 4 2 0 apparel grocery

Inference: - Respondent from both sectors in favor of cost plus pricing model. This would infer that nearly 70% of the respondents in both sectors feel that they follow cost plus pricing. Sales promotion tools
Respondents

Tools
apparel grocery

Samples

Coupons

Cash refund offer

Premium/gifts

Samples Coupons Cash refund offer Premium/gifts

0 6 4 5
15

5 6 0 4 15

6 4 2 0 apparel grocery

Inference: - Sales promotion like coupons & premium/gifts are mostly used in apparel sector where as in samples & coupons were largely used in grocery sector. Types of advertising
Respondents

Types
appar el grocery

15 10 5 0 apparel
Product advertising Markdown event advertising Institutional advertising Co-operative advertising

Product advertising Markdown event advertising Institutional advertising Co-operative advertising

10 3 1 1
15

12 2 0 1 15

grocery

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Marketing mix: - The objective here is how retail manager rank different marketing mix and different parameter in each marketing mix element. Product
Range

Quality
grocer y appa rel groc ery

Brand name
appare l groc ery

Service line
appa rel grocer y

Scale 5 4 3 2 1
No of respondent Cum Point Average

appa rel

3 4 5 2 1
15 51 3.4

7 4 2 2 0 15 61 4.07

8 4 2 1 0 15 64 4.27

7 6 3 0 0 15 68 4.53

9 4 2 0 0 15 67 4.47

5 4 3 2 1 15 55 3.67

6 5 2 2 0 15 60 4

7 4 3 1 0 15 62 4.13

5 4 3.4 3 2 1 0 range quality brand service apparel grocery 4.07 4.53 4.27 4.47 3.67 4 4.13

I nference: - In grocery sector Product range got more weightage compared to the apparel sector. As far as quality is concern both apparel & grocery scored equal weight. In case of brand name apparel sectors feels that there should be good brand name for their product, both sectors have par with each other as far as service is concern.

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Price
Level

Qlty/price
grocer y appa rel groc ery

Differentiation
appare l groc ery

Discount
appa rel grocer y

Scale 5 4 3 2 1
No of respondent Cum Point Average

appa rel

5 3 3 2 2
15 52 3.46

7 4 2 1 1 15 60 4

5 6 2 2 0 15 59 3.93

6 6 3 0 0 15 63 4.2

8 3 3 1 0 15 63 4.2

2 4 4 3 2 15 50 3.33

6 5 4 0 0 15 62 4.13

7 5 3 0 0 15 64 4.26

4.5 4 3.5 3 2.5 2 1.5 1 0.5 0

4 3.46

3.93

4.2

4.2 3.33

4.26 4.13

apparel grocery

level

qlty/price

diffn

discount

Inference: - Price level in grocery sector has dominated over apparel sector, incase of price differentiation apparel sector is dominated over grocery sector, and quality/price & discount has earn equal point in both sector.

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Place
Location Accessibility
groc ery appa rel groc ery

Distn channel
appare l groc ery

Distn coverage
appa rel grocery

Scale 5 4 3 2 1
No of respondent Cum Point Average

appare l

8 5 2 0 0
15 66 4.4

7 5 2 1 0 15 63 4.2

5 6 2 2 0 15 59 3.93

8 5 2 0 0 15 66 4.4

8 4 2 1 0 15 64 4.27

8 5 2 0 0 15 66 4.4

6 5 3 1 0 15 61 4.07

7 6 2 0 0 15 65 4.33

4.4 4.3 4.2 4.1 4 3.9 3.8 3.7 3.6 location accessibilty dist channel dist coverage apparel grocery

Inference: - Location & accessibility is important for apparel sector as compared to the grocery sector, distribution channel and coverage in grocery have dominated over apparel sector.

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Promotion Advertising scale

appa rel grocer y

personal selling
appa rel groc ery

sales promotion
appare l groc ery

publicity
appa rel groc ery

public relation
Appa rel grocer y

5 4 3 2 1
No of respondent Cum Point Average

7 3 3 2 0
15 60 4

4 5 3 3 0 15 55 3.67

2 3 4 3 3 15 43 2.87

7 5 2 1 0 15 63 4.2

3 4 5 2 1 15 64 4.27

8 6 1 0 0 15 67 4.47

6 5 4 0 0 15 62 4.13

7 7 1 0 0 15 66 4.4

5 4 3 3 0 15 56 3.73

6 5 3 1 0 15 61 4.07

4.5 4 3.5 3 2.5 2 1.5 1 0.5 0

4.2 3.67 2.87

4.47 4.27

4.4 4.13

4.07 3.73

apparel grocery

ad

p selling

s publicity p relation promotion

Inference: - Advertising is more in apparel sector compare to the grocery sector where as in case of personal selling most of the respondent were in favor of for grocery where as sale promotion, publicity and public relation respondent feels that they are equally important in both sector.

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Physical evidence

Furnishing scale 5 4 3 2 1
No of respondent Cum Point Average appa rel grocer y

color
appa rel groc ery

layout
appare l groc ery

noise level
appa rel grocer y

9 6 0 0 0
15 69 4.6

5 5 4 1 0 15 59 3.93

8 6 1 0 0 15 67 4.47

4 4 4 2 1 15 50 3.33

5 4 3 3 0 15 60 4

7 3 4 1 0 15 61 4.07

4 3 3 4 1 15 50 3.33

7 5 2 1 0 15 63 4.2

5 4 3

4.6 3.93

4.47 4 4.07 3.33 3.33

4.2

apparel 2 1 0 furnishing color layout noise level grocery

Inference: - Respondent from apparel sector gives important for both store furnishing and color, but in case of layout respondent from both the sector given equal point.

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Process Policies scale

appa rel grocer y appa rel groc ery appare l groc ery

procedures

mechanization

customer involvement
appa rel grocer y

5 4 3 2 1
No of respondent Cum Point Average

5 3 3 2 2
15 52 3.46

7 4 2 1 1 15 60 4

5 6 2 2 0 15 59 3.93

6 6 3 0 0 15 63 4.2

8 3 3 1 0 15 63 4.2

2 4 4 3 2 15 50 3.33

6 5 4 0 0 15 62 4.13

7 5 3 0 0 15 64 4.26

5 4 3 2 1 0 policies procedure apparel m'zation grocery cust invlment 4 3.46 3.93 4.2 4.2 3.33 4.13 4.26

Inference: - Respondent from grocery sector has given more important to policies, procedure, customer involvement is concern but in case of mechanization respondent from apparel sector has given more important compare to the grocery sector.

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The objective here is to know, how the manager rate stores look, infrastructure.

Rating on store ambience

Respondents apparel grocery
Excellent Very Good Good Average Poor

6 5 4 3 2 1 0 apparel grocery

Excellent Very Good Good Average Poor

6 5 4 0 0
15

3 4 5 2 0 15

Inference: Most of the respondents of apparel totally agree with the store ambience. The atmosphere or mood created by the environment in the store make convenient for the customer. This would infer that nearly 70% of the respondents in both sectors in favor of store ambience.

Rating on Displays

Respondents apparel grocery

Excellent

Very Good

Good

Average

Poor

Excellent Very Good Good Average Poor

7 5 3 0 0
15

5 5 3 2 0 15

7 6 5 4 3 2 1 0 apparel grocery

Inference: Most of the respondents of apparel totally agree with the proper display help the customer while shopping their needs. This would infer that nearly 80% of the respondents feel that there should be proper display in the store.

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Rating on Space design

Respondents apparel grocery
8 7 6 5 4 3 2 1 0 apparel grocery Excellent Very Good Good Average Poor

Excellent Very Good Good Average Poor

7 4 3 1 0
15

3 4 5 2 1 15

Inference: Most of the respondents of apparel totally agree with the space design in store. This would infer that nearly 70% of the respondents agree that space design has effect on customer mind. Rating on Colors
Respondents apparel grocery
Excellent Very Good Good Average Poor

Excellent Very Good Good Average Poor

7 5 3 0 0
15

5 5 3 2 0 15

7 6 5 4 3 2 1 0 apperal grocery

Inference: Most of the respondents of apparel feel that color combination has great impact on the customer mind. This would infer that nearly 85% of the respondents in both the sectors in favor of store colors.

Rating on Lighting MPBIM 53

Respondents apparel grocery

8 7

Excellent Very Good Good Average Poor

7 5 3 0 0
15

5 3 3 3 1 15

6 5 4 3 2 1 0 apparel grocery

Excellent Very Good Good Average Poor

Inference: Most of the respondents of apparel totally agree that there should be proper lighting in the store to attract the customer. Do you agree that different stores that cater to different customers need to be different in their internal design?
6

Respondents apparel Totally agree Somewhat agree Neither agree nor disagree Somewhat disagree Totally disagree grocery

5 4 3 2 1 0 apparel grocery

Totally agree Somewhat agree Neither agree nor disagree Somewhat disagree Totally disagree

6 5 3 1 0
15

1 1 4 5 4 15

Inference: Most of the respondents of apparel totally agree with the different internal design. This would infer that nearly 85% of the respondents in apparel sectors in favor of different internal design.

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Do you agree that the window display should be changed weekly or fortnightly to ensure fresh display?
8

Respondents apparel Totally agree Somewhat agree Neither agree nor disagree Somewhat disagree Totally disagree grocery

7 6 5 4 3 2 1 0 apparel grocery

Totally agree Somewhat agree Neither agree nor disagree Somewhat disagree Totally disagree

8 5 2 0 0
15

2 4 6 2 1 15

Inference: Most of the respondents feel that the display should be changed Weekly/fortnightly to avoid monotony to regular customers. This would infer that nearly 85% of the respondents in apparel sectors in favor of store display change.

Do you agree that the visual merchandising help retailers to communicate retail brand message so that the customers can make better informed choices?
7

Respondents apparel Totally agree Somewhat agree Neither agree nor disagree Somewhat disagree Totally disagree grocery

6 5 4 3 2 1 0 apparel grocery

Totally agree Som ew hat agree Neither agree nor disagree Som ew hat disagree Totally disagree

7 5 2 1 0
15

3 4 4 2 2 15

Inference: Most of the respondents of apparel sector agree that visual merchandising help to communicate retail brand message. This would infer that nearly 80% of the respondents from apparel sectors in favor of that the visual merchandising help retailer to communicate retail brand message so that the customer can make better informed choice.

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Do you agree that the retailers should avoid too many floors because shoppers would be tired?
6

Respondents apparel Totally agree Somewhat agree Neither agree nor disagree Somewhat disagree Totally disagree grocery

5 4 3 2 1 0 apparel grocery

Totally agree Som ew hat agree Neither agree nor disagree Som ew hat disagree Totally disagree

4 3 1 4 3
15

6 4 2 2 1 15

Inference: Most of the respondents of grocery feel that too many floors should be avoided. This would infer that nearly 70% of the respondents in grocery sectors agree that too many floors should be avoided.

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Chapter VI FINDINGS AND RECOMMENDATIONS Segmentation for apparel sector mostly based on demographic and for grocery geographic segmentation. Apparel sector looks mostly between the age group of 25-35, where as in grocery they looks age group between 25 and above. Apparel sector largely concentrate on single segment market where as grocery sector cover full market Pricing in both the sector largely depend on cost plus Sales promotion tools like coupons & premium/gifts are mostly used in apparel sector where as samples & coupons in grocery. The marketing mix like product, price, place, promotion, physical evidence and process were differs in different parameter in apparel and grocery sector. Apparel sector gives important to store look. They give important to store display, internal design, color and store environment. Learning from the empirics After doing the apparel retail industry analysis in detail with the help of primary as well as secondary analysis, the most important retail marketing mix element for apparel retail industry was found to he Location and Branding. Location was perceived to be the most important factor because of the following reasons. The traffic flow of the customer largely depends on the location of the store. Strategic location gives, ease of access to the customers Strategic location also gives ease of brand presence and increase opportunity for brand display. Space planning is a well-established method of ensuring that core retail offerings are planned for, and implemented to maximise store sales. In a highly competitive demand-focused environment the accuracy, compliance and performance of space planning is critical to the success of any retailer. The ambience of the store is a very important element as it influences consumers in purchase decision. A customer is highly influenced by the look and feel of the store. The minute he/she walks in, an image of the store is formed. This image is extremely important to the retailer if he wants to bag a new customer. Hence the ambience is to be given utmost importance. A retailer needs to hire a good interior decorator and if possible use ergonomics while designing a store.

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Recommendation Segmentation for apparel sector mostly based on demographic but there is ample
opportunity for apparel sector to target on geographic segment. Market segmentation divides large, heterogeneous customer groups into smaller, more manageable segments that can be targeted more efficiently. After segmentation, each of the segments can be evaluated and attractive segments targeted. A customer value proposition for the segment can then be developed. Retailers should also be aware that customers, who may look alike, dont necessarily act alike, and therefore it is critical to consider segmentation by customer needs and attitudes as well as by customer characteristic. Apparel sector largely concentrate on single segment market they should go for product specialization and full market coverage.

Apparel sector gives important to store look but the grocery sector have to give
equal importance to store look, design etc.

Pricing is the spearhead of marketing strategy.

It is one of the first things a customer spots and can therefore easily become the one factor that clarifies or confuses the customers perception of brand positioning. Research indicates that pricing has the largest impact on retailer profitability when compared to the results of traditional cost cutting. A retailers brand is of unparalleled importance both for customers and suppliers. Indeed much of a retailers market value may be attributable to its brand equity. Retailers need to guarantee that the business is a professional, efficient organisation that manages their products and processes appropriately. One of the key trends to transform many areas of retail is the proliferation of communication and distribution channels. Although some channels have been overhyped, they have established themselves as part of the retail experience. Developing leadership capability My description of personal leadership it starts with the hard work of strategy, culture and communications. It includes measurement, accountability, visibility and active participation in all aspects of the enterprise. Visual merchandising will lead to impulse purchase of the product. Visual merchandising is used to attract shoppers to view the product more closely. Effective visual merchandising is essential to attract shoppers enticing them to make a purchase. Effective visual merchandising should also be supported by good sales staff to close deals with shoppers.

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Visual Merchandising enhances the pleasure of shopping experience. Store windows can be used effectively to entice people on the streets to walk into the store. Promotions, props and decorative items are huge attractions with regard to visual merchandising. Unfortunately, stores use these tools only during festivals and anniversaries.

CONCLUSION This project has helped me understand the importance and significance of developing marketing strategy framework in retailing and its impact on consumer buying behavior. It has given me exposure to the practical side of retailing and at the same time enhanced my knowledge by applying theory learnt in class to practice Marketing when used effectively is no doubt, a powerful tool to entice customers in making a purchase decision. Retailers can attract more customers and increase sales by proper use of marketing strategy.

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Chapter VII Annexure Success Stories Bombay Store

On December 14th. 1905 the idea of Bombay Swadeshi Cooperative Stores Company was conceived by eminent personalities like Bal Gangadhar Tilak, Dadahhai Naoroji & other stalwarts like Sir Jamshedji Tata. The first Bomhay Swadeshi Cooperative Store was opened by Mr. Dadabhai Naoroji on December I 7. 1906, Mr. Manmohandas Ramji was its Managing Director then. After its inception the store immediately gained prominence as a reliable place for Indian handloom cottons, woolens, silks, furnishings, linen & handicrafts. In the early days there were 12 such stores in India and all of them were located on the famous M.G. Roads in different cities but eventually the company wound oil its stores in most the cities and focused its attention on Mumbai and Pune. Currently Bomhay Store is located in three cities; two of its stores are in Mumbai and one each in Pune and Bangalore. As in the present era of globalization, the Swadeshi movement has little significance in December 1995 the company decided to re-brand the name of its retail operations and the stores are today popularly known as the Bomhay Store. Bombay Stores has brought the best designers from around the world in its team to translate traditional skills into present day functional ideas and an international quality certification is done to benchmark for all its merchandise. The Bomhay Store has been in forefront to give the world a taste of contemporary Indian styling. All the products are perceived as cultural ambassadors and they pass rigid quality tests before being exported. Currently the store is positioned as a Contemporary lifestyle store and a showcase of Indian culture & heritage made available under a single roof to Indians, NRIs & Foreigners, all across the country. The International Trade Division of The Bombay Store has maintained a ready database of manufacturers and their ability to source and consolidate all types of handicrafts from different states of India is giving them cutting edge over everybody else in the market. The Bombay Store exports its products to stores/distributors in Canada, Dubai, Switzerland, New Zealand, USA, Chile, & UK. The Institutional Sales Division of Bombay Stores has been operational from the past 30 years catering to the requirements of multinationals like Hindustan Lever Ltd, Siemens, Dr. Beck. Corporate like Travel Corporation of India. Camlin. Fulford. Advertising Agencies like Trikaya Grey. Hindustan Thomson Associates. Synchronicity, airlines like British Airways. Air India. Indian Airlines. Publications houses like Times of India. Indian Express. Zee Premiere. Banks like Reserve Rank of India. Rank of Baroda to name a few. The division supplies mostly gifts & promotional items and it also takes up contracts for designing & stitching uniforms

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The product range offered by Bombay Stores consists of all the categories of Cosmetic & Health Care, Food products, Leisure & Entertainment. Home Accessories & Artifacts, Home Furnishings, Fashion Accessories, Ready to wear and so on. The Bombay Store in Bangalore was set up with an investment of Rs2.10 crore n October 2000 and is unique from its other branches in Mumbai and Pune for the extensive store space it occupies. The decision on merchandise depends on several factors they are like of the target segment, the availability of variety, and the seasonality of the product, the available shelf space. The current trend and the inventory support from the main Office. In case of Bangalore customers more stress is on breadth of the product rather than the depth. Bombay stores believe in formulating genuine promotional schemes for its customers. These promotional schemes range from gift vouchers, which can be used in any of the four outlets in country. The other schemes are small gifts with the purchase and bundling of product pricing. However a conscious decision is take not to offer price discounts taking into account the store positioning as premium niche store. Bombay Stores has also associated itself either in the form of products or donations with various NGOs likes MOBILE CRECHES in its attempt to contribute to the Indian society. Future plans of Bombay Store include setting up The Bombay Store in major metros of India like Delhi, Hyderabad, Calcutta, Madras, Bangalore & cities which are strong tourist destinations like Lucknow, Agra & Goa as well as explore opportunities at the busy airports of India. After achieve a stronghold in India, the company had planned to venture into international shores by opening the shop either independently or as a franchisee operation. In the recent times Madura Garments Planet Fashion is proving to be extremely popular with customers, providing as it does a superior quality retail experience wherein all leading brands of Madura Garments are available under a single roof and this is being appropriately being conveyed through its positioning strategies that conveys One stop shopping for all premium brands.

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Excerpts from interview Mr. Rajan, Store Person, Louis Philippe Bangalore What according to you are the most important factor/factors while opening an apparel retail store? The most important factor mat needs to be considered while opening an apparel retail store is the Location issues. The retailer needs to carefully select the location for its tore to have greater visibility and ease of access to the customers. Other issues which need to address is the Presentation i.e. how well you can display your merchandise to your customers. This is very important to create positive first impression of the apparel store and give quality-shopping experience to its customers. Another important issue is the brand selection. A well-established brand makes it easy for attracting customers to the retail store. Therefore the new apparel store needs to carefully select its brands. What are the other important issues that need to be addressed while managing an apparel retail store? The most important issue here is the merchandise selection and the inventory management. The retailer must always make sure that there is enough product and merchandise availability in the store. Various promotional schemes are always important to create awareness and attract customers to the retail store. The retail store should also use various media vehicle for pulling the customers to its store. Another important issue is providing the customers the Value for Money considering the Price sensitive mindset of the Indian customer. How much is the pricing issue important? Although pricing plays a major role considering the price sensitive Indian customer, the customer base it is targeting is not very much price sensitive but at the same time is looking for Value for Money. Louis Philippe makes sure that its customers are getting the value for money for all the purchases they are having with them. How a small Store like Louis Philippe does takes care of the competition from giant stores like Shoppers Stop and Life Style? Louis Philippe tries to differentiate its store from its competitors by giving better customer service like providing personal touch to its customers by having higher degree of personal involvement that the big retail stores like Shoppers Stop and Life Style usually lack. What is the expected future scenario of apparel retailing in India? The Indian apparel retailing is moving to organized retail stores, some of them are single branded outlets while some are multi branded outlets. The future holds good for apparel retail industry but much more depends on giving better services to the customer and the buzz word i.e. giving them the value for money.

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QUESTIONNAIRE I am a student of M P Birla Institute of Management, pursuing MBA Program. As a part of the MBA curriculum, I have taken up a research project on Developing marketing strategy framework for large scale retailing in India. In this connection, I need some information. Below is the questionnaire. Kindly give your responses to the questions in the Questionnaire. I sincerely assure your responses will be kept strictly confidential and shall only be used for academic purpose. I shall greatly appreciate your cooperation in completing my research project.

Mr. Inayatullah 1. Segmentation is based on? Geographic Segmentation Demographic Segmentation Psychographic Segmentation Behavioral Segmentation 2. Demographic Segmentation? Age 18-25 25-35 35 & above 10k-25k 25k-35k 35k & above Male Female [ ] [ ] [ ] [ ] [ ] [ ] [ ] [ ] [ [ [ [ ] ] ] ]

Income

Gender

3. Psychographic Segmentation? Lifestyle Personality Values Occasions Loyalty status [ [ [ [ [ ] ] ] ] ]

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4. Pattern of target market selection? Single segment concentration Selection specialization Product specialization Market specialization Full market coverage 5. Different positioning strategy? Benefit positioning Competitor positioning Product category positioning Quality/price positioning User positioning 6. Pricing? Cost plus pricing Demand based pricing Rate of return Competitor indexing 7. Demand oriented pricing? Discrimination pricing Skimming pricing Competitive pricing Market penetration 8. Sales promotion tools? Samples Coupons Cash refund offer Premium/gifts 9. Types of advertising? Product advertising Markdown event advertising Institutional advertising Co-operative advertising [ [ [ [ ] ] ] ] [ [ [ [ ] ] ] ] [ [ [ [ ] ] ] ] [ [ [ [ ] ] ] ] [ [ [ [ [ ] ] ] ] ]

[ [ [ [ [

] ] ] ] ]

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10. Marketing mix? How would you rank the following for marketing mix? Product Range [ ] Quality [ ] Brand name [ ] Service line [ ] Price Level [ ] quality/price [ ] differentiation [ ] discount [ ] Place Location [ ] accessibility [ ] distribution channel [ ] distribution coverage [ ] Promotion Advertising [ ] personal selling [ ] sales promotion [ ] publicity [ ] public relation [ ] People Personnel [ ] behavior [ ] degree of involvement [ ] customer/customer contact [ ] Physical evidence Furnishing [ ] color [ ] layout [ ] noise level [ ] Process Policies [ ] procedures [ ] mechanization [ ] customer involvement [ ] 11. How would you rate the store on the following aspects? Excellent Ambience Store planning & design Store windows Flooring Displays Space design Fixture & hardware Props and decorative Colors Lighting Very Good Good Average Poor

12. Do you agree that different stores that cater to different customers need to be different in their internal design? Totally agree Somewhat agree Neither agrees nor disagrees Totally disagree Somewhat disagree [ [ [ [ [ ] ] ] ] ]

13. Do you agree that the visual merchandising help retailers to communicate retail brand message so that the customers can make better informed choices?

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Totally agree Somewhat agree Neither agrees nor disagrees Totally disagree Somewhat disagree

[ [ [ [ [

] ] ] ] ]

14. Do you agree that the window display should be changed weekly or fortnightly to ensure fresh display? Totally agree Somewhat agree Neither agrees nor disagrees Totally disagree Somewhat disagree [ [ [ [ [ ] ] ] ] ]

15. Do you agree that the retailers should avoid too many floors because shoppers would be tired? Totally agree Somewhat agree Neither agrees nor disagrees Somewhat disagree Somewhat disagree [ [ [ [ [ ] ] ] ] ]

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Bibliography
Books and journals Journal of Retailing Journal of Advertising and Marketing Journal of Marketing Science Journal of the Academy of Marketing Science Journal of Super Market Business International Journal of Research in Marketing Formulating Retail Location Strategy in changing Environment by Abijit Ghosh & Samuel Craig, in Journal of Marketing McKinsey Quarterly Report Retail Magazine by Abijit Ghosh Market Leadership Strategic Websites www.google.com www.businessworldindia.com www.advantage-india.com www.rediff.com www.businesstoday.com www.retailyatra.com www.wikepedia.com

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