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Group 2

Sawmya
B051
Shruti Mishra

SPECIALITY B053
Rajarshi Bhattacharya B045

STORE_DECATHLON
Vikas Pollisetty
B067
Manu Srivastava
C032
Madhumita Gnanasekar C029
Customer Profile and Target Shopper

Demographics Geographic Psychographic Customer Buying Patterns

•Age 19-35 •Mostly Tier 1 and few •Customers who enjoy •Test the product before
•Gender- Both male and Tier 2 cities (Total 71 outdoor activities such as purchase
female stores in India) trekking, gymnastics, •Try on the sportswear
•Class- Middle class and yoga, swimming, before purchase
upper middle class camping, playing outdoor •No definite frequency of
segment sports such as basketball, visits
cricket, etc.
•Marital Status- •Customer from middle
Independent of this •Wide variety of products class households do not
demographic available at one store make purchases in bulk.
(Sportswear and sports
equipment)
•Attractive pricing (low
price compared to
competitors)
•Quality products
■ Target Customer-
Upper middle class and middle class segment (both the genders and
irrespective of marital status) aged between 19-35 and demand quality
sports wear or sports equipment at affordable prices.
Value Proposition and Competitive Advantage

Sports for all and All for Sports

•Emphasising on the fact that they want to address consumers from all backgrounds

Economic Pricing

•Low cost offering without compromising on quality as compared to other brands like
Nike, Adidas, Under Armour etc.

High product variety

•Gear and equipment relating to 70 types of sports available under one roof
Space for experiencing their offering

• Play areas provided as a differentiating factor as compared with competitors such as Nike,
Adidas, etc.
• They have positioned themselves as a community which promotes sporting events by
providing space for hosting various sports
• The stores itself are quite spacious for a pleasant shopping experience with dedicated
parking and playing areas

Superior Service Quality

• They provide 2 years warranty on their products with 90 days exchange policy
• They hire people with a knack for sports to be able to guide customers better and in a more
professional manner
Location

■ Situated on the outskirts of the city


- Location- Bannerghatta Road.
- Store Profile- Covered a large area (like a warehouse or a fulfilment centre) with its own
outdoor playing area and dedicated parking.
- Hence, the cost for setting up a store is very high.
- Land prices are quite high within the cities and it took time to get the ideal location and
lease the plot in Bannerghatta Road.
- Also, customers will have to allot at least 1-2 hours for their trip to this store as seen from
the map and they tend to spend all day there because of their sporting facilities.
Product Assortment

■ Portfolio includes sports equipment, accessories, clothing , footwear


■ Products are Inline with target shoppers
■ There is a wide collection of products for all the sports including football, baseball,
basketball, cricket, badminton
■ Decathlon also has all the items for less popular sports like archery, billiard, darts, field
hockey, roller skates, volleyball and even scuba diving
■ Decathlon also offers products from its own brands like Artengo , Domyos, Kalenji, New
Feel, Inesis, Oxelo
Floor Plan
1. Billing Counter
13. Surfing, Diving & Snorkelling
2. Trekking Equipment
14. Football
3. Cycles
15. Basketball
4. Cycling Gear
16. Tennis
5. Hiking
17. Badminton
6. Apparel
18. Cricket
7. Apparel
19. Cycling Service station
8. Running(Shoes & Apparel)
20. Skate Boards & scooters
9. Running(shoes)
21. Trial Room
10. Gym Equipment
22. Women Essentials, watches
11. Gym Apparel
23. Indoor games( carroms,
12. Swimming
dartboard etc)
Pricing & Service strategy

■ Overall strategy - encourage sports all over the world. So, it makes sure every
sporting gear is available at affordable prices. It has consistently maintained its low
prices by not compromising with quality.
■ This is because of the optimization of internal processes in design and logistics.
Cost leadership, along with decent quality is the core competency of this brand.
Decathlon keeps its prices around 20 percent lower than its competitors.
■ There is always a discount on MRP.
■ Extremely low margin on products.
■ Since 50-60% of products (Footwear & Metal – where India lacks technicality to
manufacture) are imported. The cost of importing high priced products is high and
so the margins are kept thin to make prices affordable to consumer.
■ Margins are higher on domestic production ( Heavily stitched equipment like
basketballs and bags as well as apparel)
■ The vision is for India is to focus on domestic manufacturing to reduce cost of
import and ultimately pass on the benefit to the customers.
■ Which corresponds to their over-all strategy of always having a price drop.

■ Services for more technical products (Bikes, basketball boards, treadmills)


■ Every product comes with a 2 year manufacturer’s warranty
■ Hiring of the staff does not differentiate candidates on the basis of technicality of
the sales job. The only pre-requisite is that he needs to be a sportsperson.
■ The sales staff has to be able to relate to the customer on his requirements, hence a
swimwear product can only be sold by a swimmer.
■ You can return exchange anything anywhere.
■ But service is not the differentiator. Product speciality is the key differentiator.
Research and Integrated
Manufacturing Logistics
development Design

Passion Brands Locating design Import vs domestic


(Bringing more teams in places
brands in house where the sport is
and pooling most accessible and
R&D) frequently practiced
to have a quicker
feedback on
products and
continuously
innovating essentials
for each sport.
Supply chain
KEY FOCUS ON
■ Availability
■ SLT Management- Stock lifetime Management
■ Decathlon has its own warehouse and logistics team
■ Works 2 seasons prior – Keep an ambition on SLT
■ How much stock I will hold in the warehouse/Sale (This number needs to be less)
■ Sales forecasts have to be strong / Purchase forecast have to be strong
(A retail supplier team is responsible)
■ RFID technology to track from the time of manufacturing to sale.
Sports
In Store
communities
Promotions
and clubs
Marketing
and
Promotion

Events
Summer
conducted
Camps
regularly
Thank you

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