INTRODUCTION

Traditionally retailing in India can be traced to :

The emergence of the neighborhood ‘Kirana’ stores catering to the convenience of the

consumers era of government support for rural retail: Indigenous franchise model of store

chains run by Khadi & Village Industries Commission 1980s experienced slow change as

India began to open up economy.

Textiles sector with companies like Bombay Dyeing, Raymond's, S Kumar's and Grasim

first saw the emergence of retail chains.

Later Titan successfully created an organized retailing concept and established a series of

showrooms for its premium watches.

The latter half of the 1990s saw a fresh wave of entrants with a shift from Manufactures

to Pure Retailers.

For e.g. Food World, Subhiksha and Nilgiris in food and FMCG; Planet M and Music

World in music; Crossword and Fountainhead in books.

Post 1995 onwards saw an emergence of shopping centers, mainly in urban areas, with

facilities like car parking targeted to provide a complete destination experience for all

segments of society.

Emergence of hyper and super markets trying to provide customer with 3 V’s - Value,

Variety and Volume.

Expanding target consumer segment: The Sachet revolution - example of reaching to the

bottom of the pyramid. At year end of 2000 the size of the Indian organized retail

industry is estimated at Rs. 13,000 crore

 RECENT TREND

 Retailing in India is witnessing a huge revamping exercise

as can be seen in the graph

 India is rated the fifth most attractive emerging retail

market: a potential goldmine.

 Estimated to be US$ 200 billion, of which organized

retailing (i.e. modern trade) makes up 3 percent or US$ 6.4
billion

 As per a report by KPMG the annual growth of department

stores is estimated at 24%

 Ranked second in a Global Retail Development Index of 30

developing countries drawn up by AT Kearne
 DISTRIBUTION NETWORK

McDonald
& others
PP

Connaught
Place & other

C&F

Agencies

Sub Distributor Retailers

Retailers
The wheel of retailing of Non –Durable Products

The wheel of retailing lies on following principles:

1. There are many price sensitive shoppers who will trade customer service, wide
selection and convenient locations for lower price.

2. Price sensitive buyers are not loyal.

3. New institution have lower operating cost than existing institution..

4. As one move up the wheel, they typically do so to increase sales, broaden

the target market, improve their image.

High-end strategy
• High price
• Excellent facilities
• Upscale consumers

Medium strategy
• Moderate pricing
• Improved facilities
• Broader base of value
• and service
• conscious consumers

Low-end strategy
• Low price
• Limited facilities
• Price sensitive consumers
Objectives of the Study:

1. To analyze the customers perception about food retail industry.

2. To find out the competitive edge of the company over the competitors.

3. To analyze the market size of the food retail industry.

4. To study the consumer preference about different non- durable products.

5. To study the urban / modern food habit/lifestyle trend.

 FOUR P’S OF THE PRODUCT

PRODUCT: Non-durable Products has wide range of variety that consists of more than

hundred variety available in the market.

PRICE: The price of these non durable is very economical & affordable. In novelty item

the price of the flavors varies from Rs.20 to Rs250. The pricing strategy of most retailers

is, to target each income group of the society. The cheaper price of products is meant for

targeting the people with low income. Along with the low income group the retailers are

also targeting medium as well as the premium segment by providing different flavors at

different prices.

PLACE: Widely distributed in urban important locations like Greater Noida (NCR) &

Noida. All the locations had the same outlets & standard & showed hardly any variance

from the other outlets of the same company.

PROMOTION: McDonald, KFC, Pizza Hut are well-established brands & highly

recognized. For promotion of the products the company gives advertisement in

newspaper and magazines & also uses the other mass media like television.
 SWOT ANALYSIS

STRENGTH:

1. Famous among teen & youngsters which contributes the bulk of the sale.

2. Takes less serving time period & hence saves time.

3. Instant service.

4. Highly delicious.

WEAKNESS:

1. Less or No sale during Morning hrs also termed as dead hrs.

2. Less Nutritious value.

3. Quality of service poor at some locations due to lack of training.

OPPORTUNITY:

a) Noida & Greater Noida (NCR) is one of the fastest growing place with people

having good income, hence one of the best place for the marketers to tap the

untouched market place.

 b) There is ample scope in the low priced segment as also in other categories where

consumers presently are dissatisfied with the quantity being provided i.e the price

being charged.

c) Food retails have the opportunity to capture the more evolved young adults and

children who are open to new products provided they meet their expectations.

THREAT:

a) New companies are entering the food retail industry.

b) Local retailers are growing at an alarming rate.

c) Good advertisement campaign from competitors.

RESEARCH DESIGN:

The research design prepared with great care keeping in mind the research objective. The

project was divided into two parts—parts ‘A’, part ‘B’.

RESEARCH APPROACH:

In the part ‘A’ the research was conducted by visiting to the various existing outlets of

McDonald, KFC, Pizza Hut & other retail outlet.

In the part ‘B’ the research was conducted by observation & through internet.

RESEARCH INSTRUMENTS:

The primary data collected for this study was done through detailed market survey by

means of unstructured interaction. The secondary data is collected through Internets &

details provided by the retailers.

SAMPLE PROCEDURE:

Sample Size: Approx. 150.

Universe: Noida & Greater Noida (NCR).

Time Period: Conducted Between 02nd April to 12th April’09.

The procedure adopted for sampling was on the basis of judgmental sampling.

LIMITATIONS:

 The study limit to Noida & Greater Noida (NCR) selected retail outlets.

 In many residential blocks shops located in corners of by lanes were difficult to

locate.

 The time duration was short for the completion of all activities.
 PROJECT ACTIVITY SEQUENCING

Start

Developing open and Collecting some

structured secondary
questionnaire data/informatio
n from various
sources

Conduct survey in
Noida & Gr. Noida
Study the
(NCR)
information

Compile and analyze

the collected
information

Do report Final Report

writing
This table shows the interested to take retailership for Non-durable
Products.

Dealers Number YES NO

100 70 30

From the above graph it is found that 70% retailers are interested in non-durable

products. Only 30% retailers are not interested.

If yes, which brand would you like to go for:

Retailers McDonalds KFC Pizza Hut Others

100 40 20 30 10

The graph shows that out of hundred percent retailers 40% retailers favored Mc Donald

which was the max compared to the others & was followed by Pizza Hut which was 2nd

favourite while KFC was least preferred at 2%.

Comparison of preference given by the customers to the different Non-

Durable Food Products:

From the above graph it is conclude that Amul is leading in the price and variety

preference but giving equivalent competition to other companies in quality, packaging

and availability. Amul is way behind in terms of services.

Mode of payment by customers :

Customers Cash Debit/Credit Card Security

100 60 20 20

The above graph shows that most of the customers prefer to pay by cash which occupies

most of the Pie Chart followed by the installment & security payment during big Party

Events.
Segmentation on the basis of the Gender:

Sample Gents Women Children/Teen

100 30 20 50

The above graph shows that the Teen/ Children’s were the most frequently visited

customers than gents or women coming individually.

Mode of purchase:

Retailers Cash down Installment Security

30 22 1 7

The graph shows that the 74% of existing retailers purchased their deep freezer form

Amul by paying cash. Only 23% of the retailers who have their shops on prime location

got deep freezer on security basis.

Which product is sold most?

Sample McAllo McFrench Pizza Chicken Roll Cold drinks &

Tikki Fries Ice-cream
150 48 12 28 11 51

The graph shows that McAllo Tikki & Cold Drink & Ice-cream were mostly preferred
By the consumers & the chicken roll (Non-veg) occupied the bottom position.
At what period of time customers comes in bulk:

Sample Morning Afternoon Evening Night

150 12 28 85 25

In the evening between 1800 hrs to 200 hrs the sale of the non- durable products reached
to its optimum level.
 FINDINGS

After analyzing all the data given by retailers & customers I found certain key finding

which is listed below:

1. Margin of Profit is more.

2. Service is expensive.

3. Trend of fast food among teenage is more than other age group.

4. Teenage are more crazy for such fast food & an alamaring signal of obesity, high

blood pressure etc are growing.

5. Popular among college going students.

6. Sale is higher in evening on weekdays & on weekends.

7. Also retail outlets in others areas did not showed more variance in product,

service & design.

 RECOMMENDATION

1. Relationship with retailers and customers should be kept under a close watch due

to increasing competition.

2. Service is expensive hence should not be compromised on the type of class of a

consumer i.e all costumers should be treated equally.

3. More attention should be paid on the teenage class because they are the most

frequent visitors, hence they cannot be ignored.

4. Generally nutrition part is mostly ignored which should be paid more attention

due its increasing consumption.

5. Hygiene should be properly maintained.

6. Business in the morning hrs is very poor, strategies should be made to utilize that

time period for some other purposes to generate more revenue &profit.
7. Special discount can be given during non-peak or dead hrs to boost sales.

8. Special security arrangement should be kept during rush hrs to avoid any

unnecessary mess.

9. Special attention should be paid on hard core loyal customers with some special

discount given to them to increase their visits.

 CONCLUSION

There is an ample scope for non-durable products making companies to do progress in

this lush green environment. The market size is increasing day by day and the demand for

new flavours is arising. The brands like McDonald, KFC and Pizza Hut are trying to

capture more market share with their new ideas and plan. Also it was also found that

these kinds of outlets was more famous in the urban areas or in the metros due to the

rapid urbanization & changing lifestyle compared to the rural areas.

 BIBLIOGRAPHY

1. BOOKS.

 Retail Management by Saroj Kumar (Vikas Edition).

 The art of retailing by Lamba (Tata McGraw-Hill,2001)

 Retailing management by Michael Lervy M & Weitz B W (Tata McGraw-

Hill,2004)

2. INTERNET.

 www.mcdonaldsindia.com

 www.kfc.com

 www.pizzahut.com

3. NEWSPAPER.

 Times Of India, 23rd January’ 09 –Business Edition (Page No- 18)

 SAMPLE QUESTIONNAIRE

1) NAME:

2) ADDRESS:

3) TELEPHONE: (LL) (M)

4) OCCUPATION:

a) STUDENT N‫ٱ‬ b) BUSINESS N‫ٱ‬

c) PROFESSIONAL N‫ٱ‬ d) OTHERS N‫ٱ‬

5) COMPANY NAME:

6) DESIGNATION:

7) YOUR ANNUAL INCOME (Rs):

a) 0-50,000 N‫ٱ‬

b) 50,000-1,00,000 N‫ٱ‬

c) 1,00,000-2,50,000 N‫ٱ‬

d) 2,50,000-5,00,000 N‫ٱ‬

e) Above 5,00,000 N‫ٱ‬

8) WHICH IS YOUR FAVOURITE DISH?

a) McAllo Tikki N‫ٱ‬

b) McFrench Fries N‫ٱ‬

c) Pizza N‫ٱ‬

d) Chicken Roll N‫ٱ‬

e) Cold drinks N‫ٱ‬

f) Ice-cream N‫ٱ‬
 9) HOW FREQUENTLY YOU VISIT THEM IN A WEEK?

a) 1-3

b) 4-7

c) 7-10

d) <10

10) WHICH RETAIL OUTLET DO YOU PREFER MOST TO LEAST

LIKING?

1.

2.

3.

4.

11) ON WHICH OCASSION DO YOU VISIT THEM?

 a) WEEKENDS

b) FRIENDS BIRTHDAY

c) ANNIVERSARY

d) OTHERS

12.) MODE OF PAYMENT YOU PREFER TO PAY YOUR BILLS?

a) CASH

b) DEBIT/CREDIT CARDS

c) OTHERS

13.) ANY EXPECTATIONS FROM THE RETAILERS?

a.) BETTER SERVICE

b.) QUALITY

c.) QUANTITY

d.) GOOD HYGINIC CONDITIONS

e.) DISCOUNT
14.) ANY SUGESTIONS FOR IMPROVEMENT…?

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